Report

The Norway Payments Market size is estimated at USD 37.38 billion in 2025, and is expected to reach USD 61.06 billion by 2030, at a CAGR of 10.31% during the forecast period (2025-2030).

E-commerce payment preferences are shifting away from cash and credit cards to digital wallets and buy now, pay later options (BNPL). Credit cards' dropping share is due to the rise of alternative payment methods, volume transferring to credit- and debit-linked digital wallets, customers choosing interest-free credit in BNPL, and credit-centric sectors like travel recovering from pandemic damage.

Key Highlights
- The Norway payment system is gradually shifting from cash to digital payments. Payments are becoming increasingly cashless, assisting in the growth of digital economies and payment infrastructure innovation. Contactless payments are becoming more popular in a variety of places throughout the world. Contactless payment solutions at the point of sale, such as face recognition, Quick Response (QR) codes, or Near-field Communication (NFCs), are transforming the countries' payment environment.
- Apps for mobile banking are becoming more popular. App developers can identify the immediate impact of these apps and create them to satisfy the needs of all users. Because of artificial intelligence, banking consumers receive assistance. Instead of being forced to visit a physical location, customers now have more options than earlier.
- The mobile transaction market has evolved, and more and more service providers are requesting new mobile payment solutions - as surcharged text message payments and as accurate mobile payments. Despite the widespread use of credit cards, substantial cash is still circulating. On the other hand, mobile and contactless technology will provide consumers with payment options as convenient as cash.
- However, while digital payment systems offer advantages, there also pose privacy and security risks that can impact customers, merchants, markets, and governments and impede the market growth. Payment systems must be modified to ensure privacy while employing strong encryption and open standards. Data privacy legislation and a strong market regulator are also necessary.
- The pandemic-induced lockdown and mobility restrictions significantly impacted e-commerce in Norway, driving demand to new highs, bringing new shoppers and sellers into digital platforms, and offering players long-term growth. The containment efforts introduced people to online buying and motivated experienced online buyers to make more purchases, making the e-commerce business one of the largest beneficiaries of the pandemic. This helped e-commerce payments or online sales become a key metric in the market studied.


Norway Payments Market Trends

Adoption of Online Mode of Payments Drives the Market Growth


- Online payment and banking have altered how consumers shop, buy, and pay and how businesses operate. Indeed, online payment has revolutionized both e-commerce and banking. With more companies launching online, the Norwegian e-commerce sector is growing rapidly.
- One of the main reasons for Norway's quick acceptance of digital payments is convenience. While cash is a significant transaction and is still used in small-dollar transactions, the convenience and security of using a digital payment method have led to an increase in the number of Norways using digital payments. Norwegians are likely familiar with Vipps AS, Nets A/S, Bank Norwegian, and Klarna Bank AB payment vendors. Debit cards are now one of Norwegians' most popular payment methods, whether in stores or at other points of sale.
- The Buy Now Pay Later (BNPL) segment is another emerging area that has revolutionized how Norwegians pay for things. According to Appmagic, Klarna remained Norway's most downloaded BNPL app in 2021 and 2022, while Tillit continued to grow.
- Consumers can save a digital representation of their debit and credit cards in their smartphone or other devices (such as a smartwatch), which can subsequently be used to make contactless payments at retail and, in certain situations, online. Smartwatches are "on the rise" and could threaten the future use of cash or credit cards.


Digital Wallet Point of Sale Segment Holds Significant Market Share


- Banking institutions in Norway, Denmark, and Finland had decided to combine their mobile payment platforms, joining a wave of consolidation in the quickly expanding payments sector. The three platforms, MobilePay from Danske Bank, Pivo from Finland's OP Financial Group, and Vipps from a group of Norwegian banks led by DNB serve 11 million customers and more than 330,000, including brick-and-mortar stores. The new business hopes to capitalize on the rise of digital payments and demand for digital wallet services at the point of sales to compete with businesses like Nexi, AliPay, ApplePay, and PayPal. These innovation initiatives for brick-and-mortar stores must be carried out in difficult commercial situations. With mobile wallets, however, retailers may improve the payment acceptance process for customers while enjoying lower overall acceptance costs.
- Accepting and processing payments is an essential part of doing business for all shops. However, some payment options pose more practical difficulties than others. Promoting payment card acceptance, however, presents its challenges. The payment networks charge an interchange fee for each card transaction to process debit and credit card transactions and manage the payment rails. Some merchants' attempts to avoid these charges have had a detrimental impact on the consumer experience, whether through card surcharges or higher prices. That is why companies are developing digital wallets for POS transactions.
- For example, to eliminate the need to carry real cards while shopping in-store, Klarna introduced a new Loyalty Card function in the Klarna App that enables customers to store and access all their physical loyalty cards as digital copies. The loyalty card offering integrates into the Klarna App to strengthen an all-in-one experience that drives convenience and value to consumers' shopping and is powered by Klarna's successful acquisition of mobile wallet provider Stocard recently, which has amassed over 48 million users. In 18 areas, including Norway, the Klarna App has lived digital Loyalty Card functionality.
- In May 2022, Google introduced Google Wallet. Users can use Google Pay to do their previous actions (not Tez). When customers are set to board a flight, Google says Google Wallet will alert them of delays and gate changes. They'll get a reminder on their phone before a concert, reminding them of users' saved tickets. Google Wallet will be available in 40 nations, including Norway, where Google Pay is available. When this happens, the service will be immediately replaced.
- The e-commerce platforms are also rocketing their digital ecosystem in the COVID-19 pandemic. The country with unstable geographical terrains is overcoming its weaknesses by bringing out regulations and initiatives for digital payments, improving digital literacy, and growing its mobile and internet penetration. According to Eurostat, The share of daily internet users in Norway will be approximately 96.3 percent in 2022.


Norway Payments Industry Overview

The norway payments market is fragmented with the presence of major players like Vipps AS, Nets A/S, Bank Norwegian, Klarna Bank AB, and PayPal Holdings Inc. Players in the market are adopting strategies such as partnerships, mergers, innovations, and acquisitions to enhance their product offerings and gain sustainable competitive advantage.

In June 2023 - Nets Finland has announced to launch Npay - a pan-European payment terminal solution for merchants, Where The new terminal technology provides merchants with an easy and versatile solution for accepting payments in physical store?s and facilitates payment acceptance through leading card schemes, such as Visa and Mastercard, and is prepared for use with local systems.

In October 2022, MobilePay, located in Denmark, announced that the EU Commission has authorized its merger with Vipps, based in Norway. The merger would develop a significant Nordic and European mobile wallet, as the new combined entity will have about 11 million users, 400,000 merchants, and 900 million transactions each year.

In April 2022, Klarna, a global retail bank, payments, and shopping service, announced the completion of its acquisition of PriceRunner, the comparison shopping service in the Nordic region with operations in Sweden, Denmark, Norway, and the United Kingdom. PriceRunner will bring new features to the Klarna app globally in the form of rich product discovery, price comparisons, and product reviews to help consumers save time and money and make informed decisions to take control of their finances.

In March 2022, Nets Group expands the framework agreement with DNB, one of Norway's largest banks, continuing the current collaboration. This comprises numerous important payment services, information technology, and other financial service delivery.

Additional Benefits:

- The market estimate (ME) sheet in Excel format
- 3 months of analyst support