About P2P Lending
P2P lending is referred to peer-to-peer lending, is the process of giving money or lending money for a particular instance to businesses or individuals through online services. Prosper, SoFi, Funding Circle, Peerform, and Upstart is the popular website for P2P lending. The P2P lending services are more transparent and cheaper as compared to the traditional process. Growing demand from developing economies due to low market risk & operating cost and high transparency between lender and borrower in P2P lending system due to technical advancement is the major driver for the market. Additionally, the rising trend in investing and digital technologies and rising awareness of P2P lending across the globe is supplementing overall growth of the market. However, strict government regulation & risk of losing all money and lack of awareness regarding benefits associated with P2P lending is limiting the growth of the market. Moreover, burgeon number of startups globally may increase the usage of peer to peer lending platforms.
Attributes | Details |
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Study Period | 2018-2030 |
Base Year | 2023 |
Unit | Value (USD Billion) |
CAGR | 55.23% |
The market is fragmented by numerous players. R&D, M&A, product launch are the key strategy adopted in the global tuberculosis diagnosis and treatment market. These players are collaborating with each other for the growth and improvement of the Tuberculosis Drugs & Treatment market. For instance, In 2017, Johnson & Johnson entered into a partnership with the Institute of Microbial Technology (IMTECH), part of the Council of Scientific and Industrial Research (CSIR), to accelerate the discovery of a novel treatment for tuberculosis.The Players having a strong hold in the market are LendingClub Corporation, Funding Circle Limited, Prosper Marketplace, Inc., Daric, Social Finance, Inc.. Analyst at AMA Research estimates that United States and United Kingdom Players will contribute the maximum growth to Global P2P Lending market throughout the forecasted period. Established and emerging Players should take a closer view at their existing organizations and reinvent traditional business and operating models to adapt to the future.
LendingClub Corporation (United States), Funding Circle Limited (United Kingdom), Prosper Marketplace, Inc. (United States), Daric (United States), Social Finance, Inc. (United States), Zopa Limited (United Kingdom), Avant, Inc. (United States), onDeck Capital, Inc. (United States), RateSetter (United Kingdom) and Kabbage, Inc. (United States) are some of the key players that are part of study coverage. Additionally, the Players which are also part of the research coverage are LendUp (United States) and Peerform (United States).
Segmentation Overview
AMA Research has segmented the market of Global P2P Lending market by and Region.
On the basis of geography, the market of P2P Lending has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). If we see Market by Interest Rate, the sub-segment i.e. 4.99 percent will boost the P2P Lending market. Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth. If we see Market by Business Model , the sub-segment i.e. Alternate Marketplace Lending will boost the P2P Lending market. Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth. If we see Market by Loan Type, the sub-segment i.e. Personal Loans will boost the P2P Lending market. Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth. If we see Market by End User, the sub-segment i.e. Lenders will boost the P2P Lending market. Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth.
Influencing Trend:
Millennials have been attracted towards P2P Lending Services due to rising Trend in Investing and Digital Technologies
Market Growth Drivers:
Growing Demand from Developing Economies due to Low Market Risk and Operating Cost and High Transparency between Lender and Borrower in P2P Lending System due to technical advancement
Challenges:
Lack of Awareness regarding Benefits Associated with P2P Lending
Restraints:
Strict Government Regulation and Risk of Losing All Money
Opportunities:
Rising Awareness of P2P lending across the Globe and Burgeon Number of Startups Globally may Increase the Usage of Peer to Peer Lending Platforms
Market Leaders and their expansionary development strategies
In August 2023, Zopa joins forces with Experian to leverage credit bureau data for improved borrower risk assessment, promoting responsible lending practices.
In October 2023, LendingClub debuts its "AI-powered Personal Loan Portfolio Management" tool, enabling investors to optimize their loan selections based on personalized risk-return models.
In the UK, the planned initial public offering (IPO) of Funding Circle on the London Stock Exchange has been met with both optimism for enabling the sector to gain wider recognition and validation and also criticism because of its infancy and often misunderstood risks. and UKs Financial Conduct Authority took responsibility for oversight of loan-based crowdfunding platform in 2014, limiting the ability of ordinary investors to plough more than 10% of their net investable assets into crowdfunding campaigns.
Key Target Audience
P2P Lending Service Providers, Banking and Finical Sector, Government Agencies, Investors and Others
About Approach
To evaluate and validate the market size various sources including primary and secondary analysis is utilized. AMA Research follows regulatory standards such as NAICS/SIC/ICB/TRCB, to have a better understanding of the market. The market study is conducted on basis of more than 200 companies dealing in the market regional as well as global areas with the purpose to understand the companies positioning regarding the market value, volume, and their market share for regional as well as global.
Further to bring relevance specific to any niche market we set and apply a number of criteria like Geographic Footprints, Regional Segments of Revenue, Operational Centres, etc. The next step is to finalize a team (In-House + Data Agencies) who then starts collecting C & D level executives and profiles, Industry experts, Opinion leaders, etc., and work towards appointment generation.
The primary research is performed by taking the interviews of executives of various companies dealing in the market as well as using the survey reports, research institute, and latest research reports. Meanwhile, the analyst team keeps preparing a set of questionnaires, and after getting the appointee list; the target audience is then tapped and segregated with various mediums and channels that are feasible for making connections that including email communication, telephonic, skype, LinkedIn Group & InMail, Community Forums, Community Forums, open Survey, SurveyMonkey, etc.