Not all doom and gloom for Europe

Dec. 5, 2011 - PRLog -- With a population of 850 million people and including several emerging markets already embracing new ways to pay and be paid, Europe presents considerable opportunities for serious players in the areas of contactless, prepaid and mobile payment.

According to European Payment Cards Yearbook - the industry’s most comprehensive report covering every aspect of payment across 33 European countries - the prepaid cards sector has been one of the fastest growing market segments in the card business since 2009.  Industry experts predict that spending on prepaid cards could match that of revolving-credit cards in the next few years.

“In continental Europe the current account is still the cornerstone of the bank-customer relationship,” says Horst Förster, researcher and co-author of the report.

“The historic dominance of debit cards across Europe continues,” explains Förster. “This is reflected in the 38.2% growth of debit cards between 2006 and 2010. In addition, debit transactions rose by more than twice the rate of cards issued, a clear sign that government and bank measures to stimulate electronic payment methods and drive out cash are working. “

The total growth in ATM terminals and cash transactions, however, shows that the battle against cash has not yet been won. This bodes well for opportunities in prepaid, contactless and other forms of electronic payment. There is also a clear movement towards mobile payment innovations, with market entrants including a range of ‘new kids on the block’ such as mobile network operators, Google, PayPal and others.

“A number of interesting developments are emerging in the dynamic and diverse European markets,” says Alex Rolfe, managing director of Payments Cards and Mobile, which commissioned and published the report.  

“As previously predicted, new contactless technologies, online and mobile payments are now providing a serious challenge to the traditional forms of payment. More than 200 near field communication projects are underway in Europe while contactless initiatives proliferate in markets like Poland and Turkey. This is a clear sign of what we can expect to see more of in the very near future.”

Mr Rolfe points out that, despite the depressing economic headlines, there are still real opportunities available in Europe for innovative, pioneering companies.

The European Payment Cards Yearbook, now in its 14th year, covers pan-European and more detailed country-by-country details. Comprehensive statistics, charts and commentary are available on card issuing and acquiring, the banking sector, mergers and acquisitions in this sector as well as developments in electronic and mobile commerce.
The Yearbook has evolved over the years to become a complete ‘almanac’ for payments professionals. A separate publication, also available now, is the Russia, Georgia and CIS Payment Cards Yearbook. It covers Kazakhstan, Armenia, Azerbaijan, Belarus, Kyrgyzstan, Moldova and Uzbekistan in addition to Russia, Georgia and Ukraine.

More information is available at: http://www.paymentcardyearbooks.com/

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