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Data for today’s episode is provided by Mercator Advisory Group’s report – 16th Annual U.S. Closed-Loop Prepaid Cards Market Forecasts, 2018–2022
- With well almost 15 years of back history, the only thing certain in predicting prepaid is volatility & variance
- The dual influences of disruptive technology as well as changing regulatory constraints makes prepaid hard to predict
- Further compounding factors include:
- Dependence on funding tied to government
- Fluctuating economy
- Consumer sentiment
- Unknowns in the immediate future also disproportionately impact prepaid like:
- Political agenda uncertainty
- Interest rate environment
- Stock market volatility
- Nonetheless, the closed-loop prepaid market is forecasted for steady though not overly impressive growth of 2% from now through 2022
- Current closed-loop prepaid loads are estimated at $332 billion and expected to rise to $363 billion in 2022
About the report
The report titled 16th Annual U.S. Closed-Loop Prepaid Cards Market Forecasts, 2018–2022 provides an analysis of the growth and development of the prepaid cards industry through 2022. The report examines loads, growth potential, and market dynamics in the United States across all closed-loop prepaid card segments.
Mercator Advisory Group’s forecast report identifies key segments that will continue to decline over the next few years as well as those that should see growth. However, the economy, politics, and consumer behavior will all influence which segments grow and which decline.
This report reviews and forecasts load dollar volume for closed-loop segments. This forecast highlights the segments approaching market saturation as well as those that will continue to experience annual growth.
“Prepaid providers should be evaluating their businesses and looking for ways to diversify,” commented C. Sue Brown, Director of Mercator Advisory Group’s Prepaid Advisory Service, the author of the report. “Opportunities in the prepaid market shift with economic, political, and regulatory changes. New technologies such as the internet of things, connected car, and use of prepaid for transit and tolls may provide growth markets in the years to come.”
This document contains 24 pages and 15 exhibits.
