Canada Cards and Payments - Opportunities and Risks to 2026

Abstract

GlobalData's 'Canada Cards and Payments - Opportunities and Risks to 2026' report provides detailed analysis of market trends in the Canadian cards and payments industry. It provides values and volumes for a number of key performance indicators in the industry, including cards, cash, credit transfers, direct debits, mobile wallets and cheques during the review-period (2018-22e).

The report also analyzes various payment card markets operating in the industry and provides detailed information on the number of cards in circulation, transaction values and volumes during the review-period and over the forecast-period (2022e-26). It also offers information on the country's competitive landscape, including market shares of issuers and schemes.

The report brings together GlobalData's research, modeling, and analysis expertise to allow banks and card issuers to identify segment dynamics and competitive advantages. The report also covers detailed regulatory policies and recent changes in regulatory structure.

The report provides top-level market analysis, information and insights into the Canadian cards and payments industry, including -

• Current and forecast values for each market in the Canadian cards and payments industry, including debit, credit, and charge cards
• Detailed insights into payment instruments including cards, cash, credit transfers, direct debits, mobile wallets and cheques. It also, includes an overview of the country's key alternative payment instruments.
• Ecommerce market analysis.
• Analysis of various market drivers and regulations governing the Canadian cards and payments industry.
• Detailed analysis of strategies adopted by banks and other institutions to market debit, credit and charge cards.
• Comprehensive analysis of consumer attitudes and buying preferences for cards.
• The competitive landscape of the Canadian cards and payments industry.

Scope

• Payments Canada is currently developing a new real-time payment system known as Real-Time Rail (RTR). The system will support API integrations, enabling participants to offer value-added services. Payments Canada partnered with Interac in March 2021 to leverage the latter's exchange solution to facilitate the transmission of RTR payment messages between participants. Mastercard's Vocalink will provide the clearing and settlement solution for the system. Meanwhile, in September 2021, the Large Value Transfer System (LVTS) - an electronic credit transfer system that operated on a real-time basis - was replaced by Lynx. In June 2022, Lynx launched the updated ISO 20022 messaging standard to support SWIFT global standard requirements. As of April 2023, Lynx is supported by 17 banks and financial institutions in Canada.
• The central bank has been steadily increasing interest rates to curb inflation. In January 2023, the Bank of Canada revised its policy interest rate to 4.5%, compared to 0.25% in January 2022. As a result, banks and card issuers are increasing interest rates on consumer lending products. Such moves will directly impact the credit card market, leading to reduced spending via these cards.
• Alternative payment solutions are being introduced in Canada. Samsung Pay is a digital wallet and mobile payment app launched in Canada in November 2016. It enables consumers to conduct both online and in-store payments using Samsung phones. In January 2023, Samsung introduced Samsung Wallet, which combines Samsung Pay with additional functionality. In addition to mobile payments, users can now store and access digital keys, boarding passes, and essential documents such as ID cards and driving licenses digitally within the wallet. As of May 2023, a total of 42 banks and credit institutions support Samsung Pay in Canada.

Reasons to Buy

• Make strategic business decisions, using top-level historic and forecast market data, related to the Canadian cards and payments industry and each market within it.
• Understand the key market trends and growth opportunities in the Canadian cards and payments industry.
• Assess the competitive dynamics in the Canadian cards and payments industry.
• Gain insights into marketing strategies used for various card types in Canada.
• Gain insights into key regulations governing the Canadian cards and payments industry.