Market Insights Financial Capital Raising Digital Capital Raising

Marketplace Lending (Consumer) - France

France

The total transaction value in the MarketMarketplace Lending (Consumer) market market in France is forecasted to reach US$0.36bn in 2024.
When comparing globally, it is evident that the United States leads with a transaction value of US$27,720m in 2024.
Key Market Indicators offer a glimpse into the social and economic landscape of France, shedding light on market-specific trends.
These indicators, coupled with information from statistical offices, trade associations, and businesses, form the basis for the Statista market models.
In France, Marketplace Lending for Capital Raising is seeing a surge in innovative platforms catering to diverse consumer borrowing needs.

Key regions: United Kingdom, United States, China, Brazil, Australia

Market

Region

Region comparison

Currency

Analyst Opinion

Marketplace lending, also known as peer-to-peer lending, has been gaining significant traction in France in recent years. This alternative lending model connects borrowers directly with investors, bypassing traditional financial institutions. The Marketplace Lending (Consumer) market in France has been driven by customer preferences for convenience, transparency, and competitive interest rates.

Customer preferences: French consumers are increasingly turning to marketplace lending platforms for their borrowing needs. This can be attributed to several factors. Firstly, marketplace lending offers a convenient and streamlined application process, allowing borrowers to access funds quickly and easily. Additionally, the transparency of the marketplace lending model appeals to customers, as they can view the terms and conditions, fees, and interest rates upfront. Another key customer preference driving the growth of marketplace lending in France is the competitive interest rates offered by these platforms. Marketplace lenders often have lower overhead costs compared to traditional banks, allowing them to offer more favorable rates to borrowers. This has made marketplace lending an attractive option for individuals seeking affordable financing.

Trends in the market: One notable trend in the marketplace lending market in France is the increasing diversification of loan products offered by platforms. Initially, marketplace lending platforms focused primarily on personal loans. However, they have expanded their product offerings to include other types of consumer loans, such as auto loans and debt consolidation loans. This diversification has allowed marketplace lenders to cater to a broader range of customer needs and attract a larger customer base. Another trend in the marketplace lending market in France is the emergence of partnerships between marketplace lenders and traditional financial institutions. This collaboration allows marketplace lenders to leverage the existing customer base and infrastructure of banks, while banks benefit from the technological expertise and agility of marketplace lenders. These partnerships have facilitated the growth of marketplace lending by increasing access to capital and expanding the reach of these platforms.

Local special circumstances: France has a well-established banking sector, with a strong presence of traditional financial institutions. However, the marketplace lending market has been able to thrive in this competitive landscape due to its unique value proposition. The convenience, transparency, and competitive interest rates offered by marketplace lenders have resonated with French consumers, leading to the growth of this sector.

Underlying macroeconomic factors: The growth of the marketplace lending market in France can also be attributed to underlying macroeconomic factors. The low-interest-rate environment in the country has made borrowing more affordable, encouraging individuals to seek financing for various purposes. Additionally, the digitalization of financial services has made marketplace lending more accessible to a wider audience, contributing to its growth. In conclusion, the Marketplace Lending (Consumer) market in France is developing due to customer preferences for convenience, transparency, and competitive interest rates. The diversification of loan products and partnerships with traditional financial institutions are key trends in the market. The unique value proposition of marketplace lending, coupled with the low-interest-rate environment and digitalization of financial services, has contributed to its growth in France.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.