Marketplace Lending (Consumer) - Greece

The total transaction value in the MarketMarketplace Lending (Consumer) market market in Greece is expected to reach US$14.35m by 2024.
When compared globally, the United States is projected to have the highest transaction value, reaching US$28bn in 2024.
Key Market Indicators offer a glimpse into the social and economic landscape of Greece, shedding light on market-specific trends.
These indicators, combined with data from statistical offices, trade associations, and companies, form the basis for the Statista market models.
Greece's Marketplace Lending sector in Capital Raising is experiencing a surge in consumer loan originations, driven by increasing demand for alternative financing options.

Definition:

Marketplace Lending platforms offer private users the option to place requests for loans in an online marketplace to find private investors who would invest at an appropriate interest rate. These services apply a credit score and list the financial requests by intended purpose before fixing a lending rate. One or more investors can then serve the credit request. Although banks act in cooperation with the platform providers, the lending is done, in principle, without direct exposure, risk audits or the formal requirements normally associated with credit lending. This is attractive for many users because the processes are expedited, there is less demand when it comes of the borrower’s creditworthiness and the conditions are often more flexible than with traditional bank loans. Users are defined in this case as active borrowers on an online platform; applicants or investors who are only partially recorded as users are not included. The amount of outstanding, short-term installments or consumer loans recognized during the applicable year is used here as a benchmark.

Additional Information:

Key players in the market are Lending Club, Zopa, Auxmoney and Prosper.

Online marketplace for personal loan applications and private investors
Peer-to-Peer loans with interest rates depending on internal credit scoring of the platform provider

Online comparison websites for bank loans
Traditional bank loans
Loans for business purposes (see Crowdlending)

The Marketplace Lending (Consumer) market in Greece has been steadily growing in recent years, driven by changing customer preferences and favorable market trends.

Customer preferences: Greek consumers have increasingly turned to marketplace lending platforms for their borrowing needs. This shift in preference can be attributed to several factors. Firstly, the convenience and speed of the online application process have made marketplace lending an attractive alternative to traditional banks. Borrowers can easily compare loan offers and choose the one that best suits their needs, all from the comfort of their own homes. Secondly, marketplace lending platforms often offer more flexible lending criteria, making it easier for individuals with limited credit history or lower credit scores to access financing. Lastly, the competitive interest rates offered by marketplace lenders have also contributed to their popularity among Greek consumers.

Trends in the market: One of the key trends in the Greek marketplace lending market is the increasing demand for consumer loans. As the economy recovers from the financial crisis, consumers are regaining confidence and are more willing to take on debt for various purposes such as home improvement, education, and travel. This trend is expected to continue as the Greek economy continues to stabilize. Another trend in the marketplace lending market is the emergence of specialized lending platforms. These platforms cater to specific niches such as small business loans, student loans, or loans for medical expenses. By focusing on specific customer segments, these platforms are able to provide tailored loan products and better meet the needs of borrowers.

Local special circumstances: Greece's financial crisis in recent years has had a significant impact on the lending landscape in the country. Traditional banks have tightened their lending criteria and become more risk-averse, making it difficult for many individuals and small businesses to access financing. This has created a gap in the market, which marketplace lending platforms have been able to fill. The online nature of these platforms allows them to operate with lower overhead costs compared to traditional banks, enabling them to offer more competitive interest rates and more accessible lending criteria.

Underlying macroeconomic factors: The recovery of the Greek economy after the financial crisis has played a crucial role in the development of the marketplace lending market. As the economy stabilizes and consumer confidence improves, individuals and businesses are more willing to borrow and invest. Additionally, the low interest rate environment in Greece has made borrowing more affordable, further driving demand for marketplace loans. In conclusion, the Marketplace Lending (Consumer) market in Greece is experiencing growth due to changing customer preferences, favorable market trends, and the unique circumstances of the Greek financial landscape. As the economy continues to recover and consumer confidence improves, the marketplace lending market is expected to further expand, providing Greek consumers with more options for accessing financing.

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.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

Crowdfunding is the collective effort of a large number of individuals who network and pool small amounts of capital to finance a new or existing business venture. Each campaign is set for a goal amount of money and a fixed timeframe, each day is counted down and the money raised will be tallied up for visitors to follow its success. The size of the global crowdfunding market is growing and the largest markets are North America and Asia.