21st Annual U.S. Closed-Loop Prepaid Card Market Forecast, 2024-2028

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. Newly covered markets in online gaming and gambling represent not only one of the largest prepaid stored-value segments but also one that is the fastest growing. 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. 

Consumer sentiments remain positive overall, with buyers and card users in the United States continuing to utilize closed-loop products as a vital part of their payments mix. Javelin’s market estimates and consumer research identify growth in card loads, a return to utilization of previously strong sectors, and new market opportunities and also identify a smaller number of closed-loop sectors that continue to wane in the marketplace.

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, Blackhawk Network, CPI Card Group, Discover, Fiserv, Mastercard, PLI, T-Mobile, Verizon, Visa