Credit Card Market Share Analysis: A Global Perspective

The credit card market is a vast and complex landscape, with numerous players vying for a share of the global market. In 2020, the global credit card market size was valued at $1.4 trillion.

Mastercard held the largest market share in 2020, with a 27% share of the global credit card market. Visa was a close second, with a 24% market share. American Express, Discover, and JCB rounded out the top five.

The global credit card market is projected to grow at a compound annual growth rate (CAGR) of 10.5% from 2020 to 2025. This growth is driven by increasing adoption of digital payments and a growing middle class in emerging markets.

Credit card issuers play a significant role in the credit card market share. JPMorgan Chase held the largest credit card market share by purchase volume in the United States in 2023, with $1.2 trillion in purchase volume, accounting for 21% of the market.

The top five credit card issuers by purchase volume in the United States in 2023 were JPMorgan Chase, American Express, Citi, Capital One, and Bank of America. JPMorgan Chase's purchase volume was significantly higher than the next closest competitor, American Express, which had $1.1 trillion in purchase volume.

JPMorgan Chase also held the largest credit card market share by outstanding balance in 2023, with $211 billion in outstanding balances, accounting for 18% of the market. This is a significant amount, and it highlights the importance of JPMorgan Chase in the credit card industry.

Here is a breakdown of the top five credit card issuers by outstanding balance in 2023:

Overall, JPMorgan Chase was the clear leader in both purchase volume and outstanding balance in 2023, highlighting its significant market share in the credit card industry.

The payment landscape is evolving rapidly, with credit, debit, and prepaid card usage on the rise. Credit card purchase volume alone reached an astonishing $19.6 trillion in 2023, a 3.5% increase from the previous year.

There were 17.45 billion credit, debit, and prepaid cards in circulation worldwide as of the end of 2023. This staggering number is a testament to the growing demand for these payment methods.

UnionPay cards made up a significant 56% of total cards, while Visa and Mastercard held 25% and 17% respectively. American Express, on the other hand, accounted for slightly less than 1%.

Debit and credit cards have become an integral part of our lives, with over 232.7 million adults in the U.S. (90%) having a debit card in 2023.

The purchase volume on general purpose credit and debit cards in the United States in 2022 was $10.4 trillion, a 11% increase from 2021. Credit cards accounted for $5.6 trillion while debit and prepaid cards accounted for $4.9 trillion.

In the U.S., 157 billion purchases were made using a credit or debit card in 2021, up from 132.7 billion in 2020. Americans have spent more on their credit cards than their debit cards over the past 20-plus years.

Here are some key statistics on debit and credit card usage:

The value of card payments grew faster from 2018 to 2021 than any other previous three-year period, a reflection of not only inflation, but more Americans turning to credit and debit cards for purchases.

Debit cards are a staple in many American wallets. In 2023, a whopping 232.7 million adults in the U.S., which is about 90% of the adult population, had a debit card.

The majority of these debit card users likely rely on them for everyday purchases. Debit cards accounted for $4.9 trillion in purchase volume in 2022, which is a significant chunk of the total $10.4 trillion in card payments.

Here's a breakdown of the debit card numbers:

It's no surprise that debit cards are so popular, given the convenience and security they offer.

Credit card penetration has been growing steadily worldwide. In 2011, 2014, 2017, and 2021, credit card penetration was recorded in 161 countries.

The United States has seen a significant increase in credit card penetration, with a penetration rate of 54.4% in 2029, up from 43.6% in 2014. Brazil, on the other hand, has a penetration rate of 54.1% in 2029, down from 55.1% in 2014.

Canada's credit card penetration rate is expected to reach 59.3% in 2029, while India's rate is expected to reach 44.1% in the same year. Singapore's credit card penetration rate is expected to reach 74.8% in 2029, and Thailand's rate is expected to reach 63.1% in 2029.

Here's a breakdown of credit card penetration rates in various countries:

Credit card debt in the United States has been increasing over the years. As of 2023, the average credit card balance in the United States is around $5,000. The quarterly credit card debt in the U.S. has been steadily increasing, with a total of $1.04 trillion in 2023.

In 2023, the share of adults planning to carry credit card balance in the U.S. was around 55%.

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Issuer Performance is a key factor in determining credit card market share. Visa holds a significant lead with a market share of over 44%.

The largest issuer in the credit card market is JPMorgan Chase, with a portfolio of over 160 million cards. This is due in part to its acquisition of Bank One, which added millions of cards to its portfolio.

Capital One is another major player, with a focus on premium rewards and cashback cards that appeal to high-income consumers. Its market share has been steadily increasing over the years.

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Issuer Volume is a key metric for understanding the performance of credit card issuers. JPMorgan Chase dominated the US market in 2023, accounting for 21% of the total purchase volume with $1.2 trillion.

The top five issuers in the US market share were JPMorgan Chase, American Express, Citi, Capital One, and Bank of America. Here's a breakdown of their market share:

These numbers give us a glimpse into the competitive landscape of the US credit card market.

JPMorgan Chase held the largest credit card market share in terms of outstanding balance, with a total of $211 billion.

The top 30 credit card issuers in the U.S. reported a significant increase in outstanding balances, with a total of $1.51 trillion at the end of 2023.

The largest credit card issuers in the U.S. by outstanding balance are:

Visa and Mastercard control approximately 90% of all payment processing outside of China, showcasing a significant duopoly in the global payments processing market with a combined market value of around $850 billion.

The four major credit card processors in the United States are valued at a collective $850.898 billion, with Visa Inc. holding an aggregate market value of $364.9 billion or 42.9% of the total market value.

Mastercard Inc. has an aggregate market value of $328.8 billion or 38.6% of the total market value of the largest U.S. credit card networks, while American Express Company has an aggregate market value of $128.1 billion or 15.1%.

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Credit card purchase volume grew faster than debit card purchases in 2023, and credit card debt is at a record level, with Americans projected to lean more on their credit cards in the future.

The Nilson Report estimates that credit card purchase volume will rise to $6.3 trillion in 2026, up from the current $4.4 trillion.

Here's a breakdown of the major credit card issuers in the United States by purchase volume in 2023:

The credit card market is dominated by a few major players.

The four major credit card processors in the United States are valued at a collective $850.898 billion. This staggering figure gives you an idea of the massive scale of the credit card industry.

Here's a breakdown of the market value of the four major U.S. credit card networks:

These figures show that Visa Inc. is the largest credit card network, with a market value of $364.9 billion, accounting for 42.9% of the total market value of the four major U.S. credit card networks.

The credit card market share has come a long way since its inception. In 1950, Diners Club issued the first modern credit card, marking the beginning of a new era in payment processing.

The success of Diners Club led to other financial institutions and companies jumping into the market. American Express emerged as a major player in 1958, issuing its own charge card with a hefty annual fee of $6, equivalent to $64 today.

Public interest in American Express's charge card was immense, with 250,000 cards issued before the official launch date. Bank of America also entered the market in 1958, introducing a credit card exclusive to California.

In 1966, Bank of America's credit card expanded beyond California and was licensed for use in other states. This marked the beginning of the end for Bank of America's involvement in the credit card market, as it spun off Visa as an independent corporation in 1976.

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The same year, 1966, saw the establishment of the Interbank Card Association, which would eventually introduce Master Charge, later renamed Mastercard in 1979. Today, Mastercard and Visa dominate the payment processing market, controlling a whopping 90% of the market outside of China.

Their duopoly has led to high operating margins, with Visa boasting 67% and Mastercard 57% in 2023. This has raised concerns about stifling competition, a common issue with monopolies and duopolies.