2024 Prepaid Card Data Book
- Date:January 23, 2024
- Author(s):
- Jordan Hirschfield
- Report Details: 19 pages, 10 graphics
- Research Topic(s):
- Prepaid
- PAID CONTENT
Overview
Open-loop and closed-loop prepaid segments have stabilized after periods of economic uncertainty, and many have had gains even as counter products to inflationary pressure. Into 2024, we expect stable short- and long-term growth potential. The immediate impact in most segments will track closely to our projected compounded growth rates, with most segments tracking between 5% and 7% growth in 2024 and a total industry CAGR of 7% through 2027.
Business and consumer segments are emerging into a new and more stable overall environment. The past year highlighted that economic, political, and market forces have different impacts on various segments while allowing for an overall steady state in the broad prepaid market. This gives the industry the ability to plan accordingly to ensure continued growth and immediately maximize the specific segments that have the most short-term potential.
Specific areas that will have a particular short-term lift include business and corporate prepaid, such as incentives, with estimated year-over-year growth of 12%, retail gift cards at 7%, and open-loop general-purpose cards at 7%. Products tied to cost-of-living adjustments will likely see less immediate growth, with a specific impact on government prepaid programs such as Social Security, nutritional assistance, and Temporary Assistance for Needy Families, all with an estimated 2024 growth of 3%, which comes in slightly lower than the 2027 CAGR of 4%.
Key questions discussed in this report:
- Which segments are primed for short-term growth in 2024?
- What should the industry understand about the prepaid industry in planning for the next five years?
- What is expected for specific large verticals in the prepaid space?
Companies Mentioned:
American Express, Discover, Mastercard, Visa
Learn More About This Report & Javelin
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