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Data for today’s episode is provided by Mercator Advisory Group’s report – 2019 Annual U.S. Debit Market Data Review
Recent debit card policy changes are driving new consumer usage patterns:
- New card network rules allow merchants to skip the consumer signature step at checkout prompting a 9% decline in debit signatures
- 39% of consumers now report experiencing checkout without using PIN or signature
- 69% of consumers prefer to use a PIN at checkout, while only 6% prefer no PIN or signature
- Though merchants are using PINless debit, overall transactions with PIN are increasing faster. PINed transactions are less expensive.
- Consumer concerns over exposing checking accounts with online and mobile payments has stifled growth
- The largest change on the horizon for Debit is the advent of contactless and tap-and-go
About the Report
Debit cards turned in another year of very solid transaction growth in the U.S., albeit not quite as robust as the previous year, which may be reflective of an underlying weakening of consumer confidence. However, some new trends are likely to have a positive influence on the market, according to the report.
Mercator Advisory Group has released new research on the U.S. debit cards in the 2019 Annual U.S. Debit Market Data Review. Mercator Advisory Group’s fourth annual review of the market dynamics in the U.S. debit industry focuses on trends and events impacting the industry.
“This report is the fourth annual debit data review compiled by Mercator Advisory Group and new trends continue to influence this very mature payments product,” commented Sarah Grotta, Director, Debit and Alternative Products Advisory Service at Mercator Advisory Group and author of the report. “The most influential events include the anticipated consolidation of EFT debit networks as their large processor owners propose to merge, the beginning of contactless debit card issuance, the growing influence of debit push payments on network transactions and approaches to battle card-not-present fraud.”
This report has 21 pages and 15 exhibits.
Companies mentioned in this report include: Bank of America, BB&T, Chase Bank, Discover, EMVCo, First Data, Fifth Third Bank, FIS, Fiserv, HSBC, Key Bank, M&T Bank, Mastercard, PayPal, Santander, Shazam, Square, Starbucks, TD Bank, Visa, Wells Fargo Bank, and Worldpay.
