US Cards and Payments: Opportunities and Risks to 2028

US Cards and Payments: Opportunities and Risks to 2028

Summary

GlobalData’s ‘US Cards and Payments: Opportunities and Risks to 2028' report provides top-level market analysis, information and insights into the US cards and payments industry, including-

• Current and forecast values for each market in the US cards and payments industry, including debit, credit and charge cards.
• Detailed insights into payment instruments including cards, cash, direct debits, credit transfers, and cheques. It also, includes an overview of the country's key alternative payment instruments.
• Ecommerce market analysis.
• Analysis of various market drivers and regulations governing the US cards and payments industry.
• Detailed analysis of strategies adopted by banks and other institutions to market debit, credit and charge cards.
• Comprehensive analysis of consumer attitudes and buying preferences for cards.
• The competitive landscape of the US cards and payments industry.

GlobalData’s ‘US Cards and Payments: Opportunities and Risks to 2028' report provides detailed analysis of market trends in the US cards and payments industry. It provides values and volumes for a number of key performance indicators in the industry, including cards, cash, direct debits, credit transfers, and cheques during the review-period (2020-24e).

The report also analyzes various payment card markets operating in the industry and provides detailed information on the number of cards in circulation, transaction values and volumes during the review-period and over the forecast-period (2024e-28f). It also offers information on the country's competitive landscape, including market shares of issuers and schemes.

The report brings together GlobalData’s research, modeling, and analysis expertise to allow banks and card issuers to identify segment dynamics and competitive advantages. The report also covers detailed regulatory policies and recent changes in regulatory structure.

Key Highlights

• The growth of online shopping events such as Black Friday, Amazon Prime Day, and Cyber Monday has boosted ecommerce in the US. According to Mastercard, online sales recorded year-on-year growth of 8.5% during the 2023 Black Friday sale. Meanwhile, according to Adobe Analytics, in 2023, online sales on Cyber Monday sales saw an annual growth of 9.6%, totaling $12.4 billion, and on Cyber Week, sales totaled $38 billion, registering an annual growth of 7.8%. BNPL alone accounted for $940 million online spending on Cyber Monday - witnessing an annual growth of 42.5%, according to Adobe analytics.
• Merchants in the US set to gain from Visa and Mastercard’s interchange rate cut. In March 2024, both companies agreed to reduce their credit card interchange rates for retailers for a period of at least five years. This agreement comes as part of a legal settlement with merchants, providing them with clarity and certainty regarding payment card acceptance. The settlement is currently awaiting final approval by the Eastern District court of New York. All changes to rules and practices will occur post-settlement approval, anticipated to take effect in late 2024 or early 2025.
• Contactless payments are increasingly being used for public transport. In July 2023, New York’s Metropolitan Transportation Authority (MTA) announced that its customers had completed 1 billion contactless transactions using the OMNY fare payment system since its launch in May 2019. OMNY fare payments are available at all of the city’s 472 subway stations as well as on 204 local and 31 express bus routes. In May 2024, the MTA announced plans to expand the reach of OMNY to include all customer groups by the end of 2024, including students, Reduced-Fare, Fair Fares, Access-a-Ride, and pre-tax commuter benefit customers. The substantial completion of the rollout across subway, bus and paratransit services is slated for the end of 2025.

Scope

• Card market size in terms of number of cards, value and volume of transactions in US along with detailed card segmentation of debit, credit and charge cards available in the country.
• Market sizing and analysis of major payment instruments including cards, cash, direct debits, credit transfers, and cheques.
• Payment market trends and growth for both historical and forecast period
• Competitor analysis with detailed insights into leading card issuers and schemes.
• Comprehensive analysis of consumer attitudes and buying preferences for cards.
• A detailed snapshot of country's key alternative payment brands.

Reasons to Buy

• Make strategic business decisions, using top-level historic and forecast market data, related to the US cards and payments industry and each market within it.
• Understand the key market trends and growth opportunities in the US cards and payments industry.
• Assess the competitive dynamics in the US cards and payments industry.
• Gain insights into marketing strategies used for various card types in US.
• Gain insights into key regulations governing the US cards and payments industry.