Market Trends of Romania POS Terminals Industry
This section covers the major market trends shaping the Romania POS Terminals Market according to our research experts:
Fixed Point-of -Sale to Show Significant Growth
- The market registered strong growth in terms of card payment volume and value, supported by convenient repayment options such as installment facilities, long repayment tenures, and banks offering various incentives in the form of reward points, discounts, and cashback. For instance, as per statistics published by DreptulLaBanking in News.ro, The number of card payment transactions increased by 61% in June 2021 compared to June 2019, to 327 million. The value of card payments also went up by 60%, to RON 41.4 billion. Card payments also increased by 46% compared to June 2020, the data shows.
- Further, the report also suggested that, the number and the value of card payment transactions in Romania increased by 60% in June 2021 compared to June 2019, reflecting the accelerated digitization process in the banking system amid the pandemic.
- Moreover, The total number of cards in circulation in Romania at the end of June 2021 amounted to 19.2 million, 8.5% higher than in June 2019. Of the total, 16.2 million were debit cards, and 2.9 million were credit cards.
- It also suggested that among the users of Financial Services 43% make card payments at merchants (POS), 27% pay via Internet/Mobile Banking, and 61% of respondents mentioned that they withdraw cash from ATMs, the question asked being multiple-choice . Such instances suggest the growing adoption of POS payments in the country.
Understand The Key Trends Shaping This Market
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Retail to Hold the Highest Market Share
- The retail industry in Romania to a big blow owing to the pandemic as most of the shops were closed to contain the spread of the virus. However, the closure also led to the adoption of e-shopping platforms which further increased the number of card transactions online.
- Veranda Mall, a Romanian shopping mall, far from wallowing in self-pity, set out to make the best out of the situation with the help of VTEX while becoming the first online shopping mall in Romania. VTEX was not only the perfect technological solution to Veranda Mall's tricky situation but also a great business partner that was not afraid to get its hands dirty. Such initiatives further encouraged digital payment platforms.
- E-commerce has become the new face of modern retail business as most companies shifted their business online. Further, consumers found it much easier by screening huge product lists and availing offers on cashback and EMIs upon card payments. It further initiated the adoption of POS Payments in the market.
- According to ARMO (Association of Romanian Online Stores) estimates, the e-commerce sector exceeded the 5.6 billion euro threshold at the end of 2020, 30% more than in 2019 when the value of e-commerce was estimated at 4.3 billion euros. The increase was approx. 500 million euros over the initial forecasts, amid the COVID-19 pandemic which accelerated the online shopping rhythm, as well as the percentage of online card payments.
