The more than 20-year trend that had debit card purchase volume and
purchase transactions gaining share versus credit cards ended in 2012,
according to The
Nilson Report, a leading payment industry newsletter. In a feature
projecting results for U.S. payment cards through 2017, it reported that
spending for goods and services on general purpose and private label
consumer and commercial credit, debit, and prepaid cards reached $4.633
trillion in 2012, and is projected to reach $7.285 trillion by 2017.
Credit cards accounted for 52.82% of spending in 2012 compared to 47.18%
for debit cards. In 2011 credit cards accounted for 52.63% and debit
cards accounted for 47.37% of $4.301 trillion in purchase volume. In
2017, 54.72% is projected to be generated from credit cards and 45.28%
from debit cards.
"There is a finite amount of money in deposit accounts owned by
consumers," said David Robertson, Publisher of The Nilson Report.
"Credit cards are different. Because they can borrow money and pay it
back over time, they can spend more on credit than they have in their
Visa debit cards' market share of 23.83% was highest when comparing
purchase volume for all product types in 2012. Visa credit cards ranked
second with 21.18%, followed by American Express credit cards (12.70%),
MasterCard credit cards (11.53%), and MasterCard debit cards (9.67%).
Visa credit card purchase volume is projected to have a greater share in
2017 at 23.65% than Visa debit cards at 22.98%. American Express's share
is projected to grow to 13.36%. MasterCard's credit card share is
expected to fall to 10.82%, and its debit card share is expected to fall
About The Nilson Report
Nilson Report is a highly respected source of global news and
analysis of the card and mobile payment industries. The subscription
newsletter provides in-depth rankings and statistics on the current
status of the industry, as well as company, personnel, and product
updates. David Robertson, Publisher of The Nilson Report, and a
recognized expert in the field, is a frequent speaker at industry
conferences, and is regularly quoted in publications worldwide. Over
18,000 readers in 90 countries value The Nilson Report to track industry
trends and market information.
The Nilson Report
Lori Fulmer, 805-684-8800