Marketplace Lending (Consumer) - Netherlands

The total transaction value in the MarketMarketplace Lending (Consumer) market market in Netherlands is forecasted to reach US$60.29m in 2024.
When compared globally, it is evident that the United States leads with a transaction value of US$28bn in 2024.
Key Market Indicators offer a comprehensive view of the social and economic landscape of the Netherlands, shedding light on market-specific trends.
These indicators, in conjunction with data from statistical offices, trade associations, and companies, form the basis for the Statista market models.
In the Netherlands, Marketplace Lending for consumer capital raising is gaining traction among tech-savvy investors seeking alternative investment opportunities.

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)

Marketplace lending (consumer) in the Netherlands has been witnessing significant growth in recent years. Customer preferences for online lending platforms, along with favorable market conditions, have contributed to the development of this market.

Customer preferences: Dutch consumers have shown a growing interest in marketplace lending platforms due to their convenience and accessibility. Online lending platforms offer a streamlined application process, quick approval, and competitive interest rates, making them an attractive alternative to traditional banks. Additionally, the ability to compare multiple loan offers in one place allows borrowers to make more informed decisions. This customer preference for a seamless and efficient lending experience has fueled the growth of marketplace lending in the Netherlands.

Trends in the market: One of the key trends in the marketplace lending market in the Netherlands is the increasing participation of institutional investors. These investors are attracted to the potential returns offered by marketplace lending platforms, which often outperform traditional fixed-income investments. The presence of institutional investors brings additional liquidity to the market, allowing platforms to offer larger loan amounts and expand their product offerings. This trend has further boosted the growth of marketplace lending in the country. Another trend in the market is the emergence of specialized lending platforms catering to specific borrower segments. These platforms focus on niche markets such as small business loans, student loans, or loans for renewable energy projects. By tailoring their services to the specific needs of these borrowers, these platforms are able to provide more customized loan products and attract a loyal customer base. This trend reflects the growing demand for specialized lending solutions in the Netherlands.

Local special circumstances: The Netherlands has a well-developed financial infrastructure and a high level of internet penetration, which has created a conducive environment for the growth of marketplace lending. The country's strong regulatory framework ensures consumer protection and transparency in the lending process, fostering trust in online lending platforms. Additionally, the Dutch population has a high level of financial literacy, making them more comfortable with using online financial services.

Underlying macroeconomic factors: The favorable macroeconomic conditions in the Netherlands have also contributed to the growth of marketplace lending. The country has experienced stable economic growth, low unemployment rates, and low interest rates, creating a favorable borrowing environment. As a result, consumers are more willing to take on loans for various purposes, such as home improvements, debt consolidation, or funding small businesses. The availability of affordable credit and the ease of accessing it through online platforms have further fueled the demand for marketplace lending in the Netherlands. In conclusion, the marketplace lending (consumer) market in the Netherlands is witnessing significant growth due to customer preferences for convenience and accessibility, the participation of institutional investors, the emergence of specialized lending platforms, a well-developed financial infrastructure, and favorable macroeconomic conditions. These factors have created a thriving marketplace lending ecosystem in the country, offering borrowers a viable alternative to traditional banking channels.

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.