India POS Terminals Market Size (2024 - 2029)

India POS Terminals Market Anslysis

The India POS Terminals Market size is estimated at USD 33.26 billion in 2024, and is expected to reach USD 63.17 billion by 2029, growing at a CAGR of 11.49% during the forecast period (2024-2029).

Several factors are propelling India's POS terminal market, such as the surging demand for mobile POS terminals, increasing adoption of mobile wallets, supportive regulations, the growth of e-commerce, the influx of new enterprises, urbanization, and technological advancements.

• The world of payments is undergoing dramatic changes, driven by evolving consumer preferences, technological advancements, and regulatory shifts. India, propelled by the surge in digital transactions, is witnessing remarkable growth, reshaping its payment landscape.
• The Indian retail sector is witnessing a surge, driven by a proliferation of retail outlets and heightened consumer spending. Consequently, there is a growing demand for payment processing machines. With a rising preference for digital transactions over cash among Indian consumers, these machines have become an essential element for retailers.
• India boasts a robust market for point-of-sale (POS) terminals. These devices facilitate cashless transactions, allowing consumers to make payments via their phones or cards. The Indian market for these machines is expanding due to the extended adoption of digital payments over cash. With this shift, there's a growing demand from businesses and stores for specialized POS terminals. Over the last few years, India has witnessed a significant surge in the adoption of card payment machines, enabling businesses to accept digital payments.
• The Reserve Bank of India (RBI), in addition to the government and other ministries, has diligently spearheaded efforts that have led to a significant surge in digital payments. Several of these initiatives have garnered international recognition. Card payments, alongside the Aadhaar-enabled Payment System (AePS), Unified Payments Interface (UPI), Immediate Payment Service (IMPS), QR-based payments, and National Electronic Toll Collection (NETC), have played pivotal roles in the gradual shift from a cash-centric economy to one that is increasingly reliant on digital transactions.
• In October 2023, Paytm, a player in the fintech industry, unveiled its latest innovation: the Paytm Card Soundbox. This advanced device not only offers audio alerts for UPI transactions but also facilitates 'tap-and-pay' card transactions, covering major networks like Visa, Mastercard, Amex, and RuPay. Pine Labs also introduced a cost-effective iteration of its traditional point-of-sale (PoS) terminal, dubbed 'Mini'. The 'Mini' terminal is equipped to process UPI transactions and 'tap-and-pay' card payments across a wide array of networks.
• However, the industry's growth is hampered by a scarcity of PoS terminals. The market faces challenges such as steep installation and maintenance costs, security concerns, and related expenses, all hindering its expansion.

India POS Terminals Industry Segmentation

A point-of-sale terminal, commonly known as a POS terminal, is a hardware device utilized in retail stores to facilitate card payments. Equipped with software capable of reading both credit and debit card magnetic strips, modern POS systems are evolving to incorporate portable designs and contactless capabilities, catering to the rising trend of mobile payments.

India's POS terminals market is segmented by mode of payment acceptance (contact-based and contactless), type (fixed point-of-sale systems and mobile or portable point-of-sale systems), and end-user industry (retail, hospitality, healthcare, and other end-user industries). The market sizes and forecasts are provided in terms of value in USD for all the above segments.