A new study by Juniper Research, the foremost experts in fintech markets, found the number of cards issued by modern card issuing platforms will double from 748 million in 2024 to 1.4 billion in 2029. Modern card issuing platforms are API driven; enabling issuers to issue payment cards instantly. To stay competitive against agile digital-only banks, traditional banks must adopt modern card issuing platforms to respond to rapidly changing consumer trends and improve user experience.
An extract from the new report, Global Modern Card Issuing Platforms Market 2024-2029, is now available as a free download.
Keeping Cards ‘Top-of-Wallet’
As the number of payment methods available to consumers increases, the report predicted card issuers will face rising competition to remain ‘top-of-wallet’ for users. The cardholder personalisation services offered by modern card issuing platforms, such as smart PIN and personalised graphics, are anticipated to provide a key differentiation point against services launched by competitors.
Furthermore, the ability to customise which cards are issued will enable financial institutions to meet emerging regulations that necessitate accessibility services, including the European Accessibility Act. For example, modern card issuing platforms will ease the issuance of cards with features like voice payment cards for the visually impaired.
Payment Cards Need to Be Modernised to Stay Competitive
The report identified digital-first issuing, where a digital card is provisioned immediately while the physical card is in transit, as being beneficial to aiding banks in modernising offerings. This approach boosts card activation rates and enables customers to start making purchases immediately; helping cards remain a valuable proposition in the face of competition from A2A (Account-to-Account) payments. Issuers who fail to offer this will struggle to remain competitive.
About the Research Suite
The new market research suite offers the most comprehensive assessment of the modern card issuing platform market to date, providing analysis and forecasts of over 13,000 datapoints across 60 countries over five years. It includes a ‘Competitor Leaderboard’ and examination of future market opportunities.
Juniper Research has, for two decades, provided market intelligence and advisory services to the global financial sector, retained by many of the world’s leading banks, intermediaries, and providers.
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