The total volume of international digital remittances is expected to rise from $1.1 billion in 2022 to over $2 billion in 2027, according to a report by Juniper Research.
- The firm predicts that this growth will be accelerated by the increasing speed and low cost of digital remittances versus traditional agent-based services. The report also discovered that the costs of digital remittance are being reduced due to a very competitive environment, making differentiation difficult for vendors in the space
- According to the report, mobile remittances will account for over 73% of all digital remittances globally by 2027; up from 67% in 2022. It identified mobile remittances as key to future growth, with funding via digital wallets and integration within superapps becoming key differentiators.
- The research recommends that cross-border remittance providers focus on offering a compelling user experience, by providing easy tracking of payments and convenient funding options; given the increased commoditisation of services.
- The report identified partnerships with super apps, where multiple services including payments and eCommerce are available in one app, as the clearest way to ensure success in markets where super apps dominate.