The Cards and Payments Industry in Germany: Emerging Trends and Opportunities to 2021

Powered by

All the vital news, analysis, and commentary curated by our industry experts.

$2750

GlobalData’s "The Cards and Payments Industry in Germany: Emerging Trends and Opportunities to 2021" report provides top-level market analysis, information and insights into the German cards and payments industry, including –
– Current and forecast values for each market in the German cards and payments industry, including debit, credit and charge cards.
– Detailed insights into payment instruments including credit transfers, direct debits, cash transactions, checks and payment cards. It also, includes an overview of the country's key alternative payment instruments.
– E-commerce market analysis and payment methods.
– Analysis of various market drivers and regulations governing the German 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 in the German cards and payments industry.

This report provides detailed analysis of market trends in the German cards and payments industry. It provides values and volumes for a number of key performance indicators in the industry, including credit transfers, direct debits, check payments, payment cards and cash transactions during the review period (2012–2016).

The report also analyzes various payment card markets operating in the industry, and provides detailed information on the number of cards in circulation, and transaction values and volumes during the review period and over the forecast period (2017–2021). It also offers information on the country's competitive landscape, including the 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 details of regulatory policy and recent changes in the regulatory structure.

To increase financial access to the under and unbanked populations, Bafin – the banking and financial services regulator – announced mandatory free basic accounts to all Germans as part of the new Payment Account Acts (Zahlungskontengesetz – ZKG) in 2016. Under the terms, basic accounts must be provided to all citizens including those with no permanent address, asylum seekers and those without a permit of residence. All accountholders will be offered basic functionality including a payment card, credit transfer facilities and the ability to pay direct debits.

To offer secured and convenient online payments, German Savings Banks Association (DSGV) launched its own online payment solution, Paydirekt in November 2015. It allows customers of participating banks to pay for online purchases directly from their checking accounts, thereby eliminating the need for any third-party payment processors.

The emergence of digital-banks is likely to accelerate the shift away from cash. Telecom service provider Telefónica Deutschland partnered with Fidor Bank to launch a mobile-only bank in July 2016. Customers using the O2 banking app can conduct transactions such as P2P transfers and apply for loans. Upon opening of the account, customers receive Mastercard debit card. Other mobile-only banks such as N26 and Fidor Bank are active in the German market.

Scope

– This report provides a comprehensive analysis of the German cards and payments industry.

– It provides current values for the German cards and payments industry for 2016, and forecast figures to 2021.

– It details the different demographic, economic, infrastructural and business drivers affecting the German cards and payments industry.

– It outlines the current regulatory framework in the industry.

– It details marketing strategies used by various banks and other institutions.

Reasons to Buy

– Make strategic business decisions, using top-level historic and forecast market data, related to the German cards and payments industry and each market within it.

– Understand the key market trends and growth opportunities in the German cards and payments industry.

– Assess the competitive dynamics in the German cards and payments industry.

– Gain insights into marketing strategies used for various card types in Germany.

– Gain insights into key regulations governing the German cards and payments industry.

DSGV
BVR
Deutsche Bank
Commerzbank
Landesbanken
Credit Mutuel-Targobank
ING Bank
UniCredit - Hypovereinsbank
Santander
Valovis Bank
American Express
Diners Club
Visa
Mastercard
girocard

Table of Contents

Table of Contents

1. EXECUTIVE SUMMARY 2

1.1. Market overview 2

1.2. Key facts 3

1.3. Top five industry events 4

2. PAYMENT INSTRUMENTS 11

2.1. Current payment environment 11

3. E-COMMERCE AND ALTERNATIVE PAYMENTS 13

3.1. E-commerce market analysis 13

3.2. Alternative payment solutions 15

3.2.1. ELV 15

3.2.2. Sofort 16

3.2.3. Giropay 16

3.2.4. PayPal 17

3.2.5. Paysafecard 17

3.2.6. RatePAY 17

3.2.7. Barzahlen 18

3.2.8. Alipay 18

3.2.9. boon 18

3.2.10. Seqr 18

3.2.11. Visa V.me 19

4. REGULATIONS IN THE CARDS AND PAYMENTS INDUSTRY 20

4.1. Regulatory framework 20

4.1.1. SEPA implementation 20

4.1.2. Implementation of the PSD 21

4.1.3. Interchange fee regulation 22

4.1.4. Anti-money laundering 22

4.2. Foreign direct investment (FDI) regulations 23

5. ANALYSIS OF CARDS AND PAYMENTS INDUSTRY DRIVERS 24

6. PAYMENT CARDS 27

7. DEBIT CARDS 29

7.1. Debit cards market analysis 29

7.2. Competition in the debit cards market 31

7.3. Debit cards comparison 33

8. PAY LATER CARDS 34

8.1. Pay later cards market analysis 34

8.2. Competition in the pay later cards market 36

8.3. Pay later cards comparison 37

9. PREPAID CARDS 39

10. MERCHANT ACQUIRING 41

11. APPENDIX 44

11.1. Abbreviations and acronyms 44

11.2. Supplementary data 45

12. DEFINITIONS 61

12.1. Common payment card features 62

12.2. Methodology 63

12.3. Bibliography 65

12.4. Further reading 65

Table

List of Tables

Table 1: Germany, Key Facts, 2016 3

Table 2: Germany, Regional Benchmarking of Payment Cards, 2016 3

Table 3: Germany, Modes of Entry of Foreign Banks 23

Table 4: Germany, Debit Cards Comparison and Key Features, 2016 33

Table 5: Germany, Gold Credit Cards Comparison and Key Features, 2016 37

Table 6: Germany, Premium Credit Cards Comparison and Key Features, 2016 38

Table 7: Germany, Charge Cards Comparison and Key Features, 2016 38

Table 8: Germany – Mergers and Acquisition in Merchant Acquiring 42

Table 9: Germany, Payment Instrument Transaction Values (EUR Billion), 2012-2016 45

Table 10: Germany, Payment Instrument Transaction Values (US$ Billion), 2012-2016 45

Table 11: Germany, Payment Instrument Transaction Volumes (Billion), 2012-2016 45

Table 12: Germany, Payment Cards in Circulation by Type (Million), 2012-2021 46

Table 13: Germany, Volume of Payment Card Transactions (Billion), 2012-2021 46

Table 14: Germany, Value of Payment Card Transactions (EUR Billion), 2012-2021 46

Table 15: Germany, Value of Payment Card Transactions (US$ Billion), 2012-2021 46

Table 16: Germany, Debit Cards in Circulation (Million), 2012-2021 47

Table 17: Germany, Debit Card Transaction Volumes, 2012-2021 47

Table 18: Germany, Debit Card Transaction Values (EUR), 2012-2021 47

Table 19: Germany, Debit Card Transaction Values (US$), 2012-2021 48

Table 20: Germany, Debit Cards in Circulation by Scheme (Million), 2012-2016 48

Table 21: Germany, Debit Card Transaction Values by Scheme (EUR Billion), 2012-2016 48

Table 22: Germany, Debit Card Transaction Values by Scheme (US$ Billion), 2012-2016 48

Table 23: Germany, Debit Card Transaction Values by Issuer (EUR Billion), 2012-2016 49

Table 24: Germany, Debit Card Transaction Values by Issuer (US$ Billion), 2012-2016 49

Table 25: Germany, Pay Later Cards in Circulation (Million), 2012-2021 49

Table 26: Germany, Pay Later Card Transaction Volumes, 2012-2021 50

Table 27: Germany, Pay Later Card Transaction Values (EUR), 2012-2021 50

Table 28: Germany, Pay Later Card Transaction Values (US$), 2012-2021 50

Table 29: Germany, Pay Later Cards in Circulation by Scheme (Million), 2012-2016 51

Table 30: Germany, Pay Later Card Transaction Values by Scheme (EUR Billion), 2012-2016 51

Table 31: Germany, Pay Later Card Transaction Values by Scheme (US$ Billion), 2012-2016 51

Table 32: Germany, Pay Later Card Transaction Values by Issuer (EUR Billion), 2012-2016 52

Table 33: Germany, Pay Later Card Transaction Values by Issuer (US$ Billion), 2012-2016 52

Table 34: Germany, Credit Cards in Circulation (Million), 2012-2021 52

Table 35: Germany, Credit Card Transaction Volumes, 2012-2021 53

Table 36: Germany, Credit Card Transaction Values (EUR), 2012-2021 53

Table 37: Germany, Credit Card Transaction Values (US$), 2012-2021 53

Table 38: Germany, Credit Cards in Circulation by Scheme (Million), 2012-2016 54

Table 39: Germany, Credit Card Transaction Values by Scheme (EUR Billion), 2012-2016 54

Table 40: Germany, Credit Card Transaction Values by Scheme (US$ Billion), 2012-2016 54

Table 41: Germany, Charge Cards in Circulation (Million), 2012-2021 54

Table 42: Germany, Charge Card Transaction Volumes, 2012-2021 55

Table 43: Germany, Charge Card Transaction Values (EUR), 2012-2021 55

Table 44: Germany, Charge Card Transaction Values (US$), 2012-2021 55

Table 45: Germany, Charge Cards in Circulation by Scheme (Million), 2012-2016 56

Table 46: Germany, Charge Card Transaction Values by Scheme (EUR Billion), 2012-2016 56

Table 47: Germany, Charge Card Transaction Values by Scheme (US$ Billion), 2012-2016 56

Table 48: Germany, Prepaid Cards in Circulation (Million), 2012-2021 56

Table 49: Germany, Prepaid Card Transaction Values (EUR Million), 2012-2021 56

Table 50: Germany, Prepaid Card Transaction Values (US$ Million), 2012-2021 57

Table 51: Germany, Merchant Acquiring Transaction Volumes (Billion), 2012-2021 57

Table 52: Germany, Merchant Acquiring Transaction Values (EUR Billion), 2012-2021 57

Table 53: Germany, Merchant Acquiring Transaction Values (US$ Billion), 2012-2021 57

Table 54: Germany, Acquirers’ Transaction Volumes (Million), 2012-2016 58

Table 55: Germany, Acquirers’ Transaction Values (EUR Billion), 2012-2016 58

Table 56: Germany, Acquirers’ Transaction Values (US$ Billion), 2012-2016 59

Table 57: Germany, Retail Outlets and Card-Accepting Merchants (Thousand), 2012-2021 59

Table 58: Germany, Debit Card Average Interchange Fees (%), 2012-2016 59

Table 59: Germany, Debit Card Merchant Service Charge and Interchange Fee (%), 2012-2021 59

Table 60: Germany, Pay Later Card Average Interchange Fees (%), 2012-2016 60

Table 61: Germany, Pay Later Card Merchant Service Charge and Interchange Fee (%), 2012-2021 60

Table 62: Definitions of Commonly Used Terms 61

Table 63: Common Features of Payment Cards 62

Table 64: Annual Average Exchange Rate (EUR-US$), 2012-2021 64

Figures

List of Figures

Figure 1: Germany, Payment Instrument Shares by Transaction Value (%), 2012 vs 2016 11

Figure 2: Germany, Payment Instrument Shares by Transaction Volume (%), 2012 vs 2016 12

Figure 3: Germany, E-Commerce Value 13

Figure 4: Germany, Population and Economic Indicators 24

Figure 5: Germany, ATMs, POS Terminals and Household Consumption 25

Figure 6: Germany, Payment Cards Transaction Value and Cards in Circulation (%), 2012-2021 27

Figure 7: Germany, Debit Card Penetration and Turnover per Card, 2016 29

Figure 8: Germany, Debit Cards Scheme and Issuer Transaction Value Share (%), 2016 31

Figure 9: Germany, Pay Later Card Penetration and Turnover Per Card, 2016 34

Figure 10: Germany, Pay Later Cards Scheme and Issuer Transaction Value Share (%), 2016 36

Figure 11: Germany, Prepaid Cards in Circulation and Transaction Value, 2012-2021 39

Figure 12: Germany, Merchant Acquiring Transaction Volume and Value, 2012-2021 41

Figure 13: Germany, Acquirers’ Market Share in Terms of Transaction Volume and Value (%), 2016 43

Figure 14: Germany, Average Merchant Service Charge and Interchange Fee (%), 2012-2021 43

Frequently asked questions

The Cards and Payments Industry in Germany: Emerging Trends and Opportunities to 2021 thematic reports
Currency USD
$2,750

Can be used by individual purchaser only

$8,250

Can be shared globally by unlimited users within the purchasing corporation e.g. all employees of a single company


Undecided about purchasing this report?

Enquire Before Buying

Get in touch to find out about multi-purchase discounts

reportstore@globaldata.com
Tel +44 20 7947 2745

Every customer’s requirement is unique. With over 220,000 construction projects tracked, we can create a tailored dataset for you based on the types of projects you are looking for. Please get in touch with your specific requirements and we can send you a quote.

See what our customers are saying

“The GlobalData platform is our go-to tool for intelligence services. GlobalData provides an easy way to access comprehensive intelligence data around multiple sectors, which essentially makes it a one-for-all intelligence platform, for tendering and approaching customers.

GlobalData is very customer orientated, with a high degree of personalised services, which benefits everyday use. The highly detailed project intelligence and forecast reports can be utilised across multiple departments and workflow scopes, from operational to strategic level, and often support strategic decisions. GlobalData Analytics and visualisation solutions has contributed positively when preparing management presentations and strategic papers.”

Business Intelligence & Marketing Manager, SAL Heavy Lift

“COVID-19 has caused significant interference to our business and the COVID-19 intelligence from GlobalData has helped us reach better decisions around strategy. These two highlights have helped enormously to understand the projections into the future concerning our business units, we also utilise the project database to source new projects for Liebherr-Werk to use as an additional source to pitch for new business.”

Market Analyst & Management, Liebherr-Werk

Your daily news has saved me a lot of time and keeps me up-to-date with what is happening in the market, I like that you almost always have a link to the source origin. We also use your market data in our Strategic Business Process to support our business decisions. By having everything in one place on the Intelligence Center it has saved me a lot of time versus looking on different sources, the alert function also helps with this.

Head of Key Accounts, Saab AB

Having used several other market research companies, I find that GlobalData manages to provide that ‘difficult-to-get’ market data that others can’t, as well as very diverse and complete consumer surveys.

Marketing Intelligence Manager, Portugal Foods

Our experience with GlobalData has been very good, from the platform itself to the people. I find that the analysts and the account team have a high level of customer focus and responsiveness and therefore I can always rely on. The platform is more holistic than other providers. It is convenient and almost like a one stop shop. The pricing suite is highly competitive and value for our organisation.

I like reports that inform new segments such as the analysis on generation Z, millennials, the impact of COVID 19 to our banking customers and their new channel habits. Secondly the specialist insight on affluent sector significantly increases our understanding about this group of customers. The combination of those give us depth and breadth of the evolving market.

I’m in the business of answering and helping people make decisions so with the intelligence center I can do that, effectively and efficiently. I can share quickly key insights that answer and satisfy our country stakeholders by giving them many quality studies and primary research about competitive landscape beyond the outlook of our bank. It helps me be seen as an advisory partner and that makes a big difference. A big benefit of our subscription is that no one holds the whole data and because it allows so many people, so many different parts of our organisation have access, it enables all teams to have the same level of knowledge and decision support.

Head of Customer Insight and Research, Standard Chartered

“I know that I can always rely on Globaldata’s work when I’m searching for the right consumer and market insights. I use Globaldata insights to understand the changing market & consumer landscape and help create better taste & wellbeing solutions for our customers in food, beverage and healthcare industries.

Globaldata has the right data and the reports are of very high quality compared to your competitors. Globaldata not only has overall market sizes & consumer insights on food & beverages but also provides insights at the ingredient & flavour level. That is key for B2B companies like Givaudan. This way we understand our customers’ business and also gain insight to our unique industry”

Head of Consumer Sensory Insights, Givaudan

GlobalData provides a great range of information and reports on various sectors that is highly relevant, timely, easy to access and utilise.  The reports and data dashboards help engagement with clients; they provide valuable industry and market insights that can enrich client conversations and can help in the shaping of value propositions. Moreover, using GlobalData products has helped increase my knowledge of the finance sector, the players within it, and the general threats and opportunities.

I find the consumer surveys that are carried out to be extremely beneficial and not something I have seen anywhere else. They provided an insightful view of why and which consumers take (or don’t) particular financial products. This can help shape conversations with clients to ensure they make the right strategic decisions for their business.

One of the challenges I have found is that data in the payments space is often piecemeal. With GD all of the data I need is in one place, but it also comes with additional market reports that provide useful extra context and information. Having the ability to set-up alerts on relevant movements in the industry, be it competitors or customers, and have them emailed directly to me, ensures I get early sight of industry activity and don’t have to search for news.

Senior Account Manager, TSYS
Go even deeper with GlobalData Intelligence Center

Every Company Report we produce is powered by the GlobalData Intelligence Center.

Subscribing to our intelligence platform means you can monitor developments at The Cards and Payments Industry in Germany: Emerging Trends and Opportunities to 2021 in real time.

  • Access a live The Cards and Payments Industry in Germany: Emerging Trends and Opportunities to 2021 dashboard for 12 months, with up-to-the-minute insights.
  • Fuel your decision making with real-time deal coverage and media activity.
  • Turn insights on financials, deals, products and pipelines into powerful agents of commercial advantage.