CHICAGO – Global market research company Euromonitor International released today new consumer finance industry data. According to the new research, consumer card payments will surpass cash payments for the first time in 2016, registering USD $23.1 trillion globally.
Consumer card payments and mobile-commerce will see a 6.6 percent and 23 percent compound annual growth rate (CAGR), from 2016-2021, respectively whereas global cash payments will register a CAGR of 1.3 percent.
“This stagnant growth of cash payments signals a shift from an increase of cash supply to a decrease and is a major victory for card and electronic payments,” said Kendrick Sands, senior consumer finance analyst at Euromonitor International. “And the shift of consumer shopping channels toward online is directly benefitting mobile-commerce, which saw a 53 percent rise from 2015 to 2016.”
Debit cards experienced the strongest year-on-year growth from 2015 to 2016 by cards in circulation at 8.1 percent, compared to credit cards at 5.3 percent growth globally. In China, 65 percent of card payments were made on debit cards with more than 5.4 billion in circulation.
“With more consumers gaining access to financial products and services, total debit cards in circulation are expected to register a 7.4 percent global CAGR growth from 2016-2021,” Sands said. “Overall, continued strong momentum is expected in the conversion of consumer payments away from paper to card and electronic alternatives.”
To learn more, visit: http://www.euromonitor.com/consumer-finance.
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