TransUnion Completes Acquisition of Verisk Financial Services
TransUnion completed its acquisition of Verisk Financial Services. Together, our combined capabilities will help us better serve customers through enhanced insights into customer behaviour. Read More.
A comprehensive overview of the cards, payments and consumer banking market in the United States, with clearsighted commentary backed by relevant data. This report provides a detailed analysis of market trends in the cards market of the US with valuable insight into emerging trends to 2025.
It provides values and volumes for many key performance indicators, including details of cash use, debit and credit card transactions and mobile payments over the review period from 2016 with estimates and forecasts to 2025.
Alongside details and data on credit card use in the US, our experts chart the development of mobile payments, including proximity and P2P payments.
The report gives clients the information they need to make sound strategic business decisions with the support of detailed historic and forecast market data for the United State's cards and payments markets.
It covers the contemporary financial and regulatory landscape for the banking, acquiring and processing operations and provides the necessary data and intelligence to assess the competitive dynamics and emerging market trends.
Although digital-payment options are growing, cards remain indispensable to Americans. Credit cards have rebounded spectacularly from the pandemic, with spend in 2022 over 50 per cent higher than in 2020. The average consumer makes 11.5 card purchases per week. At the point of sale, Tap to pay is finally taking off: one in four in-person card payments are now contactless.
Thanks to e-commerce and P2P uplift, mobile payments enjoy high growth after several false starts. Providing another boost, the new real-time payments network FedNow goes live in 2023. Almost 80 per cent of retailers here now accept contactless, with over half of all cards here having the functionality as 2022 began. PayPal Credit, Affirm and Klarna (which has launched an interest-free credit card) are the big BNPL players, but Apple Pay Later enters the space in 2023. Debit and prepaid-card spending have increased on the back of the government preferring to disburse and receive monies via the likes of the US debit card.
Interchange-fee revenues have been rising on growth in online spending and premium cards. However, influential lawmakers from the major political parties are pushing for routing mandates to open up competition and drive down swipe fees. Issuers are pouring resources into the fight for new customers, offering new product portfolios and more flexible reward offerings. Post-Covid, customers have become reluctant to be locked into a single airline programme, preferring to redeem more widely. Co-brand partnerships are important differentiators for issuers, with big-tech brands becoming increasingly prevalent.
The big tech giants continue to delve into payments and consumer-facing financial services, but with mixed success. Visa and Mastercard continue to benefit from spending but have also been diversifying into alternative payments. American Express and Discover are competing energetically: routing mandates, if enacted, could shake up the networks-market profile.
The report explores the American payments system covering infrastructure payment preferences, consumer payment trends and the development of online payment systems.
As well as a detailed US credit-card report, our experts chart the development of mobile payments, including proximity and P2P payments.
Our writers and researchers frame information in contexts such as historical, sectoral and regional trends, adding a layer of value often missing from the rolling news cycle.
The report enables clients to make sound strategic business decisions with the support of detailed historic and forecast market data for the United States' cards and payments markets.
TABLE OF CONTENTS
Key retail banks and issuers
Acquiring and processing
Regulatory and other cards market information
United States Country Report Data Tables
(All 2016-25F unless otherwise stated)
1: Demographic and economic indicators
2: Ownership of key consumer devices
3: Internet usage by population
4: Access points 2016-23E
5: Account penetration
6: Consumer payment trends 2016-23E
7: B2C e-commerce payment methods 2016-23E
8: Total cards payment metrics
9: Contactless cards metrics 2018-25F
10: Credit card numbers
11: Total credit cards metrics
12: Credit cards profitability indicators
13: Debit cards numbers
14: Debit cards metrics
15: Prepaid/e-money cards metrics
16: Mobile proximity payment metrics
17 : Mobile P2P payments
18: US market profit pool including credit card numbers, billed volumes, outstandings, interest incomes, net interest revenues, merchant revenues, card fee revenues, other non-interest incomes, total revenues, net credit losses, operating expenses, total expenses, pre-tax profits, merchant service charges, rollover rates, APR, net credit losses to outstandings, operating costs to revenues, ROA (pre-tax profits to outstandings).
(All 2016-23F below unless otherwise stated)
19: Networks' credit card market shares
20: Networks' credit card numbers
21: Networks' credit card billed volume
22: Networks' number of credit card transactions
23: Networks' average credit card transaction value
24: Credit card interchange fees by network
25: Networks' debit card market shares
26: Networks' debit card numbers
27: Networks' debit card billed volume
28: Networks' number of debit card transactions
29: Networks' average debit card transaction value
30: Debit card interchange fees by network
31: Key credit card issuers market shares by credit card numbers 2018-23F
32: Key issuers market shares in credit card outstandings 2018-23F
33: Key debit card issuers market shares by debit card numbers 2018-23F
34: Key private-label card issuers market shares by credit card numbers 2018-23F
35: Merchant acquirer credit card market share 2022E
36: Credit card merchant service charges
37: Merchant acquirer debit card market share: 2022E
38: Debit card merchant service charges
39: Credit card issuer/issuing processor relationships
40: Credit card acquirer/acquiring processor relationships
41: Credit card issuing processor market shares by card numbers 2022E
42: Credit card acquiring processor market shares by the number of POS transactions 2022E
43: Online merchant acquirer market share 2022E
With growth rates far outstripping that of cash throughout the period under review, card payments are, overwhelmingly, the preferred payment method for consumers.
Using payment cards for online transactions is popular, with an increasing number of Americans purchasing goods and services online, mostly funded by credit cards.
Adoption of mobile payments in the United States is making perceptible progress, albeit at a slower rate than in other developed markets, despite the fact that some 85 per cent of Americans owned a smartphone at the end of 2021.
Credit cards continue to be a big revenue driver for American banks. According to AAR's profit pool model, pre-tax profits were $44 billion in 2021.
A quartet of networks – Visa, Mastercard, American Express and Discover – control the credit cards market... Most debit cards in this market are Visa- or Mastercard-branded.
Key Retail Banks and Issuers
A small number of large banks hold a commanding position in the retail- banking sector, most notably JPMorgan Chase, Bank of America, Wells Fargo and Citibank. However, there is a long tail of smaller competitors, including regional and specialist players, ensuring a healthy market.
Acquiring and Processing
Integrated payments have also become a key focus for acquirers here. This involves payments being embedded into POS software designed for specific merchant types, for example, in healthcare, hospitality or education. It is common in this market for both issuers and acquirers to outsource processing.
The e-commerce market in the United States has performed well during the period under review and only saw a minimal decline during the pandemic.
Regulatory and Markets Information
The sheer size and complexity of the American banking and payments sector has resulted in a dense and idiosyncratic regulatory landscape. Private market participants, the Federal Reserve (which serves as the country's central bank) and a variety of authorised regulators are involved in payment mechanisms and structures.
Apple Pay Later
Bank of America
Bank of America Merchant Services
Bank of Delaware
Bank of Hawaii
Bank of Italy
CBDC Testing Platform
Chase Merchant Services
Citi Retail Services
City Bank of New York
Conference of State Bank Supervisors
Consumer Financial Protection Bureau
Crédit Mutuel Arkéa
Dean Witter Discover & Co.
Department of the Treasury
Discover Financial Services
Discover Global Network
Early Warning Services
Eazy Financial Services
Fidelity National Information Services
Fifth Third Bank
Financial Crimes Enforcement Network
First Financial Management Corp
First National City Bank of New York
GE Capital Retail Bank
Heartland Payment Systems
Interbank Card Association
J.P. Morgan Payments
La Banque Postale
Mark and Graham
Mid-America Bankcard Association
National Data Corporation
Nova Information Systems
Office of the Comptroller of the Currency
SecureNet Payment Systems
Signet Financial Corp
Tap to Phone
The Clearing House
U.S. Debit Card
Visa Acceptance Cloud
Wells Fargo Merchant Services
Argus Advisory Research reports delivering invaluable market and competitor intelligence on payments cards, e-money, acquiring/processing, retail banking, and consumer credit. Analysts and researchers use primary and secondary source data and conduct in-depth interviews with senior industry executives and local experts.
See more North America Country Reports or explore the full range of worldwide cards & payments reports available for 72 markets worldwide.
To find out more or to discuss subscription options, please email: email@example.com or telephone: +44(0)20 7337 4200.