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Reverse Factoring Market to Reach $1.3 Trillion, Globally, by 2032 at 11.2% CAGR: Allied Market Research

The global reverse factorings market is growing due to several factors such as increasing investments by micro, small medium manufacturing enterprises (MSMEs) in reverse factoring tools for pre-trade, post-trade, and examination of cross-asset and cross-market goods are driving the growth of the reverse factoring industry.

/EIN News/ -- Wilmington, Delaware, Aug. 06, 2024 (GLOBE NEWSWIRE) -- Allied Market Research published a report, titled, "Reverse Factoring Market by Category (Domestic and International), Financial Institution (Banks and Non-banking Financial Institutions), and End-User (Manufacturing, Transport & Logistics, Information Technology, Healthcare, Construction and Others): Global Opportunity Analysis and Industry Forecast, 2024-2032". According to the report, the reverse factoring market was valued at the global reverse factoring market was valued at $0.5 trillion in 2023, and is projected to reach $1.3 trillion by 2032, growing at a CAGR of 11.2% from 2024 to 2032.  

Get Your Sample Report & TOC Today: https://www.alliedmarketresearch.com/request-sample/A323715 

Prime determinants of growth    

The global reverse factorings market is growing due to several factors such as increasing investments by micro, small medium manufacturing enterprises (MSMEs) in reverse factoring tools for pre-trade, post-trade, and examination of cross-asset and cross-market goods are driving the growth of the reverse factoring industry. However, lack of standardization and perception of risk of fraud restrains the development of the market. In addition, the advancements in emerging technologies such as natural language processing (NLP), cloud computing, artificial intelligence (AI), big data analytics, the Internet of Things (IoT), and Blockchain are creating robust market opportunities for the reverse factoring industry.    

Report coverage & details:   

Report Coverage    Details   
Forecast Period   2024–2032   
Base Year    2023 
Market Size in 2023   $0.5 trillion   
Market Size in 2032  $1.3 trillion   
CAGR  11.2%   
No. of Pages in Report   150  
Segments Covered    Category, Financial Institution, End User, and Region.  
Drivers    
  •  Increase in demand for working capital needs    
  •  Growing importance of supply chain finance   
  • Rise in adoption of digitalization and advance technology in reverse factoring 
Opportunities   
  •  Risk of fraud   
Restraint   
  •  Growing popularity of online reverse factoring platform   


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Segments Highlights:  

The domestic segment is expected to dominate the market during the forecast period 

By category, the domestic segment held the highest market share in 2023, accounting for more than half of the global Reverse Factoring market revenue and is expected to retain its dominance throughout the forecast period, owing to advancements in technology and the emergence of global trade platforms, due to which cross-border reverse factoring solutions are becoming more accessible. However, the commercial segment is projected to manifest the highest CAGR from 2024 to 2032. This can be attributed to increasing adoption of supply-chain finance solutions.    

The bank segment is expected to garner the largest market share throughout the forecast period.  

By financial institution, the bank segment held the highest market share in 2023, accounting for nearly one-third of the global reverse factoring market revenue and is expected to retain its dominance throughout the forecast period. This can be attributed to rise in popularity of digitalization to fill the current gaps in various financial services and shift in various banks' focus on offering enhanced consumer experience.   

However, the NBFCs segment is projected to manifest the highest CAGR from 2024 to 2032. This can be attributed to the NBFIs offers improved transparency & flexibility in their reverse factoring solutions and helps various businesses in dealing with evolving supply chain and geopolitical environment, creating robust opportunities for the reverse factoring industry.     

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Asia-Pacific to maintain its dominance by 2032  

By region, Asia-Pacific held the highest market share in terms of revenue in 2023, accounting for three-fourths of the global reverse factoring market revenue and is expected to dominate in terms of revenue throughout the forecast timeframe owing to increase in business activity levels, availability of quick expert advice for financial management from a majority of the firms, and significant penetration of the market leaders in the region.   

Players: -   

  • Accion International     
  • Banco Bilbao Vizcaya Argentaria, S.A.     
  • Barclays Plc     
  • Credit Suisse Group AG    
  • Deutsche Factoring Bank     
  • Drip Capital Inc.     
  • eFactor Network    
  • The Hongkong and Shanghai Banking Corporation Limited    
  • JP Morgan Chase & Co    

The report provides a detailed analysis of these key players in the global Reverse Factoring market. These players have adopted different strategies such as new product launches, collaborations, expansion, joint ventures, agreements, and others to increase their market share and maintain dominant shares in different regions. The report is valuable in highlighting business performance, operating segments, product portfolio, and strategic moves of market players to showcase the competitive scenario.    

Recent Industry Development  

  • In January 2024, Ford Motor Company initiates a reverse factoring program with its suppliers, providing them with early payment options to ensure stability in the supply chain while optimizing working capital.   
  • In March 2023, Walmart partnered with financial institutions to offer early payment options to its suppliers through reverse factoring, enabling them to access cash faster and improve financial liquidity.   
  • The UK government announced reforms to the Prompt Payment Code, encouraging fairer payment practices within supply chains. While not specifically targeting reverse factoring, these reforms aim to address the broader issue of late payments.   
  • In October 2022, Apple implemented a supply chain finance program, offering early payment options at discounted rates to its suppliers, enhancing supplier relationships and cash flow management.   

Purchase This Comprehensive Report (PDF with Insights, Charts, Tables, and Figures) @ https://bit.ly/3WQZ2K7 

Key Benefits For Stakeholders  

  • This report provides a quantitative analysis of the Reverse factoring Market segments, current trends, estimations, and dynamics of the reverse factoring market analysis from 2024 to 2032 to identify the prevailing reverse factoring market opportunities.  
  • The market research is offered along with information related to key drivers, restraints, and opportunities.  
  • Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.  
  • In-depth analysis of the Reverse factoring Market segmentation assists to determine the prevailing reverse factoring market size, reverse factoring market share, reverse factoring market growth, and reverse factoring market opportunity.  
  • Major countries in each region are mapped according to their revenue contribution to the global Reverse factoring Market Statistics.  
  • Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players, and reverse factoring market forecast. 
  • The report includes an analysis of the regional as well as global reverse factoring market outlook, key players, market segments, application areas, and market growth strategies.  

Reverse Factoring Market Key Segments: 

By Category 

  • Domestic 
  • International 

By Financial Institution 

  • Banks 
  • Non-banking Financial Institutions 

By End-User 

  • Manufacturing 
  • Transport & Logistics 
  • Information Technology 
  • Healthcare 
  • Construction 
  • Others 

By Region 

  • North America (U.S., Canada) 
  • Europe (France, Germany, Italy, Spain, UK, Rest of Europe) 
  • Asia-Pacific (China, Japan, India, South Korea, Australia, Rest of Asia-Pacific) 
  • LAMEA (Latin America, Middle East, Africa) 

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About Us: 

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Wilmington, Delaware. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports Insights" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain. 

We are in professional corporate relations with various companies and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Allied Market Research CEO Pawan Kumar is instrumental in inspiring and encouraging everyone associated with the company to maintain high quality of data and help clients in every way possible to achieve success. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry. 

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