20th Annual U.S. Closed-Loop Prepaid Card Market Forecast, 2023-2027

With this report, Javelin Strategy & Research continues its annual series on market trends in the closed-loop prepaid market. In general, Javelin expects a stable environment for the prepaid ecosystem. Top categories such as in-store gifting should enjoy continued healthy growth, whereas other areas, such as transit, are strong but ripe for disruption. Economic conditions continue to make a large impact on overall market growth. Lessening budgetary and inflationary pressure should benefit the areas of consumer choice but inhibit the growth of items that depend on cost-of-living adjustments. Products such as campus cards and tolling will continue to rebound from the 2020-21 pandemic era.

Consumer sentiments remain positive overall, with American buyers showing strong belief in the closed-loop market. Javelin research highlights healthy spending patterns in prepaid cards as well as the frequency of purchases, with a prime opportunity to capitalize on consumers’ willingness to purchase more prepaid cards in the coming year.

Key questions discussed in this report:

• What does the growth of the total closed-loop market look like?
• What segments are primed for outsized growth?
• What factors affect the growth of each closed-loop prepaid product?

Companies Mentioned:

AT&T, CPI Card Group, PLI, T-Mobile, Verizon