Consumer Finance in Germany
Euromonitor International's Consumer Finance in Germany report establishes the size and structure of the market for ATMs, credit cards, debit cards, store cards and smart cards. It looks at key players in the market (issuers and operators), number of cards in circulation, numbers transactions and value of transactions. It offers strategic analysis of sector forecasts and trends to watch.
Buy online to access strategic market analysis and an interactive statistical database of value and volume for retail and internet transactions, number of cards in circulation and company brand shares.
Tables: 147 | Publication date: Jun 2009
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Consumer lending; Financial cards and payments
Executive summary
Consumer payments keep growing with smaller amounts per transaction
2008 was a better year for Germany economically, and while German consumers remained conservative on the whole, consumer confidence slightly improved from 2007. Specifically, with the global credit crunch rippling effect, consumer confidence dipped again from 2008 onwards but in general 2008 was still a better year than 2007. This was reflected in the performance of the consumer payments industry. Of the various payments circulating in the country, there was in general a trend of more transactions but of smaller amounts continuing in 2008.
Financial cards grow in importance with debit cards as all-time favourites
More German consumers switched to using financial cards over cash for their payments over the review period, with 2% growth in the number of cards in circulation in 2008. Within financial cards, Germans use debit cards as their preferred method of payment at points of sale. Debit cards exceed all other functions in number, value and transaction volume. Debit cards are much preferred over little-known credit cards, because consumers find the cash flow and connected budgets easy to trace since debit payments are deducted immediately from the personal bank account. Also, debit cards are issued by the trusted house banks and involve very low fees in comparison to charge cards, for example. Increasing merchant acceptance due to pressure from competitors only reinforces the predominant position of debit cards in Germany.
Easier entry to German market thanks to SEPA introduction
Most Europeans and especially Germans like to deal with local banks, service providers and retailers. This makes access to the German financial cards market a challenge. However, through the introduction of Single European Payment Area (SEPA) and several successful loyalty programmes, foreign competitors are increasingly successful on the German market. SEPA renders Europe one financial market and intensifies competition among acquirers. Loyalty programmes allow foreign players to team up with established domestic companies to gain market share and trusting consumers.
Germans favour loyalty programmes
Store cards and charge cards were mainly growing in Germany towards 2008 because they offer attractive bonuses to the cardholders. Germans are cost-conscious and budget-concerned; they are willing to spend more time to hunt for the best bargain. Following the motto: “Take care of the pennies and the pounds will take care of themselves”, more Germans subscribed to co-branded credit cards and store cards, with a high number of merchants over the review period. One of the favourite co-branded products is the MasterCard Lufthansa Miles & More charge card. Also, American Express builds on this trend by teaming up with BMW. As of 2008, Payback is the preferred loyalty programme offered by a group of merchants with more than half of Germans as customers and the second most popular loyalty programme is HappyDigits, with almost half of Germany participating.
GeldKarte micro-payment instrument as m-commerce has yet to take off
The expectation that m-commerce would conquer the micro-payment market was not yet realised in 2008. Increasingly, teenagers that are on the phone 24/7 use m-commerce. However, the main trend is of Germans increasingly using GeldKarte, a general purpose prepaid function included on the chip featured on the majority of German ATM and debit cards. GeldKarte can be used at cigarette vending machines, as well as for local public transport. GeldKarte can be charged at most ATMs and in the forecast period, also via the internet and already in the short term, at virtually all points of sale in Germany.
Table of contents
CONSUMER FINANCE IN GERMANY : MARKET INSIGHT
EXECUTIVE SUMMARY
Consumer payments keep growing with smaller amounts per transaction
Financial cards grow in importance with debit cards as all-time favourites
Easier entry to German market thanks to SEPA introduction
Germans favour loyalty programmes
GeldKarte micro-payment instrument as m-commerce has yet to take off
KEY TRENDS AND DEVELOPMENTS
Introduction of Single European Payment Area (SEPA)
Giropay's appeal heightens as a cashless and card-free online payment option
More loyalty schemes offered to encourage acceptance of financial cards
Increasing technology developments for financial cards
More financial cards offer multi-functions
MARKET DATA
Table 1 Consumer Payments: Value 2003-2008
Table 2 Financial Cards: Number of Cards in Circulation 2003-2008
Table 3 Financial Cards Transactions: Value 2003-2008
Table 4 Financial Cards: Number of Transactions 2003-2008
Table 5 Financial Cards: Number of Accounts 2003-2008
Table 6 Financial Cards: Number of Cards by Issuer 2003-2007
Table 7 Financial Cards: Number of Cards by Operator 2003-2007
Table 8 Financial Cards: Card Payment Transaction Value by Operator 2003-2007
Table 9 Financial Cards: Card Payment Transactions by Acquirer 2003-2007
Table 10 Consumer Payments Forecast: Value 2008-2013
Table 11 Financial Cards Forecast: Number of Cards in Circulation 2008-2013
Table 12 Financial Cards Forecast: Value 2008-2013
Table 13 Financial Cards Forecast: Number of Transactions 2008-2013
Table 14 Financial Cards Forecast: Number of Accounts 2008-2013
MARKET INDICATORS
Table 15 Number of POS Terminals 2004-2008
Table 16 Number of ATMs 2004-2008
Table 17 Disposable Income 2003-2008
Table 18 Value Lost to Fraud 2003-2008
Table 19 Acquirer Fraud 2003-2008
Table 20 Card Expenditure by Location 2008
Table 21 Card Expenditure by Sector 2008
Table 22 Financial Cards in Circulation by Type: % Number of Cards 2004-2008
Table 23 Domestic versus Foreign Spend 2008
DEFINITIONS
Summary 1 Research Sources
CONSUMER LENDING IN GERMANY
EXECUTIVE SUMMARY
Consumer lending sees further slight decline
More consumers opting for Internet loans
Stricter requirements for lenders
Two smallest consumer credit loan types see fastest growth
Further decline expected in forecast period
KEY TRENDS AND DEVELOPMENTS
Population decline hinders consumer lending market
More diverse options available for loans
Changing legal environment for consumer loans
MARKET DATA
Table 24 Consumer Lending By Sector: Outstanding Balance: Value 2003-2008
Table 25 Consumer Lending By Sector: Outstanding Balance: % Value Growth 2003-2008
Table 26 Consumer Lending By Sector: Gross Lending: Value 2003-2008
Table 27 Consumer Lending By Sector: Gross Lending: % Value Growth 2003-2008
Table 28 Consumer Lending: Non-performing vs Other Loans 2003-2008
Table 29 Mortgages/Housing: Non-performing vs Other Loans 2003-2008
Table 30 Consumer Credit: Non-performing vs Other Loans 2003-2008
Table 31 Forecast Consumer Lending By Sector: Outstanding Balance: Value 2008-2013
Table 32 Forecast Consumer Lending By Sector: Outstanding Balance: % Value Growth 2008-2013
Table 33 Forecast Consumer Lending By Sector: Gross Lending: Value 2008-2013
Table 34 Forecast Consumer Lending By Sector: Gross Lending: % Value Growth 2008-2013
DEFINITIONS
Summary 2 Research Sources
LOCAL COMPANY PROFILES - GERMANY
BAYERISCHE LANDESBANK - FINANCIAL CARDS AND PAYMENTS - GERMANY
STRATEGIC DIRECTION
KEY FACTS
Summary 3 Bayerische Landesbank: Key Facts
Summary 4 Bayerische Landesbank: Operational Indicators
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 5 Bayerische Landesbank: Competitive Position 2007
CARD PROCESS GMBH - FINANCIAL CARDS AND PAYMENTS - GERMANY
STRATEGIC DIRECTION
KEY FACTS
Summary 6 Card Process GmbH: Key Facts
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 7 Card Process GmbH: Competitive Position 2007
CONCARDIS GMBH - FINANCIAL CARDS AND PAYMENTS - GERMANY
STRATEGIC DIRECTION
KEY FACTS
Summary 8 ConCardis GmbH: Key Facts
Summary 9 ConCardis GmbH: Operational Indicators
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 10 ConCardis GmbH: Competitive Position 2007
EURO KARTENSYSTEME GMBH - FINANCIAL CARDS AND PAYMENTS - GERMANY
STRATEGIC DIRECTION
KEY FACTS
Summary 11 EURO Kartensysteme GmbH: Key Facts
COMPANY BACKGROUND
COMPETITIVE POSITIONING
LANDESBANK BERLIN AG - FINANCIAL CARDS AND PAYMENTS - GERMANY
STRATEGIC DIRECTION
KEY FACTS
Summary 12 Landesbank Berlin AG: Key Facts
Summary 13 Landesbank Berlin Holding AG: Operational Indicators
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 14 Berlin Landesbank AG: Competitive Position 2007
ATM TRANSACTIONS IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 35 ATM Cards Sector Performance: 2003-2008
Table 36 ATM Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 37 ATM Cards Sector Performance: % Growth 2003-2008
Table 38 ATM Cards in Circulation Sector Performance: % Growth 2003-2008
Table 39 ATM Cards Forecast Sector Performance: 2008-2013
Table 40 ATM Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 41 ATM Cards Forecast Sector Performance: % Growth 2008-2013
Table 42 ATM Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
DEBIT TRANSACTIONS IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 43 Debit Cards Sector Performance: 2003-2008
Table 44 Debit Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 45 Debit Cards Sector Performance: % Growth 2003-2008
Table 46 Debit Cards in Circulation Sector Performance: % Growth 2003-2008
Table 47 Debit Cards: Number of Cards by Issuer 2003-2007
Table 48 Debit Cards: Number of Cards by Operator 2003-2007
Table 49 Debit Cards Transactions by Acquirer 2003-2007
Table 50 Debit Cards Payment Transaction Value by Operator 2003-2007
Table 51 Debit Cards Forecast Sector Performance: 2008-2013
Table 52 Debit Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 53 Debit Cards Forecast Sector Performance: % Growth 2008-2013
Table 54 Debit Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
CREDIT CARD TRANSACTIONS IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 55 Credit Cards Sector Performance: 2003-2008
Table 56 Credit Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 57 Credit Cards Sector Performance: % Growth 2003-2008
Table 58 Credit Cards in Circulation Sector Performance: % Growth 2003-2008
Table 59 Personal Credit Cards Sector Performance: 2003-2008
Table 60 Personal Credit Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 61 Personal Credit Cards Sector Performance: % Growth 2003-2008
Table 62 Personal Credit Cards in Circulation Sector Performance: % Growth 2003-2008
Table 63 Credit Cards: Number of Cards by Issuer 2003-2007
Table 64 Credit Cards: Number of Cards by Operator 2003-2007
Table 65 Credit Cards Transactions by Acquirer 2003-2007
Table 66 Credit Cards Payment Transaction Value by Operator 2003-2007
Table 67 Personal Credit Cards Payment Transaction Value by Operator 2003-2007
Table 68 Credit Cards Forecast Sector Performance: 2008-2013
Table 69 Credit Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 70 Credit Cards Forecast Sector Performance: % Growth 2008-2013
Table 71 Credit Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
Table 72 Personal Credit Cards Forecast Sector Performance: 2008-2013
Table 73 Personal Credit Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 74 Personal Credit Cards Forecast Sector Performance: % Growth 2008-2013
Table 75 Personal Credit Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
CHARGE CARD TRANSACTIONS IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 76 Charge Cards Sector Performance: 2003-2008
Table 77 Charge Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 78 Charge Cards Sector Performance: % Growth 2003-2008
Table 79 Charge Cards in Circulation Sector Performance: % Growth 2003-2008
Table 80 Personal Charge Cards Sector Performance: 2003-2008
Table 81 Personal Charge Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 82 Personal Charge Cards Sector Performance: % Growth 2003-2008
Table 83 Personal Charge Cards in Circulation Sector Performance: % Growth 2003-2008
Table 84 Commercial Charge Cards Sector Performance: 2003-2008
Table 85 Commercial Charge Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 86 Commercial Charge Cards Sector Performance: % Growth 2003-2008
Table 87 Commercial Charge Cards in Circulation Sector Performance: % Growth 2003-2008
Table 88 Charge Cards: Number of Cards by Issuer 2003-2007
Table 89 Charge Cards: Number of Cards by Operator 2003-2007
Table 90 Charge Cards Transactions by Acquirer 2003-2007
Table 91 Charge Cards Payment Transaction Value by Operator 2003-2007
Table 92 Personal Charge Cards Transaction Value by Operator 2003-2007
Table 93 Commercial Charge Cards Payment Transaction Value by Operator 2003-2007
Table 94 Charge Cards Forecast Sector Performance: 2008-2013
Table 95 Charge Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 96 Charge Cards Forecast Sector Performance: % Growth 2008-2013
Table 97 Charge Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
Table 98 Personal Charge Cards Forecast Sector Performance: 2008-2013
Table 99 Personal Charge Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 100 Personal Charge Cards Forecast Sector Performance: % Growth 2008-2013
Table 101 Personal Charge Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
Table 102 Commercial Charge Cards Forecast Sector Performance: 2008-2013
Table 103 Commercial Charge Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 104 Commercial Charge Cards Forecast Sector Performance: % Growth 2008-2013
Table 105 Commercial Charge Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
GENERAL PURPOSE PRE-PAID CARD TRANSACTIONS IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 106 General Purpose Pre-paid Cards Sector Performance: 2003-2008
Table 107 General Purpose Pre-paid Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 108 General Purpose Pre-paid Cards Sector Performance: % Growth 2003-2008
Table 109 General Purpose Pre-paid Cards in Circulation Sector Performance: % Growth 2003-2008
Table 110 General Purpose Pre-paid Cards by Type: % Number of Cards 2004-2008
Table 111 General Purpose Pre-paid Cards: Number of Cards by Operator 2003-2007
Table 112 General Purpose Pre-paid Cards Transaction Value by Operator 2003-2007
Table 113 General Purpose Pre-paid Cards Forecast Sector Performance: 2008-2013
Table 114 General Purpose Pre-paid Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 115 General Purpose Pre-paid Cards Forecast Sector Performance: % Growth 2008-2013
Table 116 General Purpose Pre-paid Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
STORE CARD TRANSACTIONS IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 117 Store Cards Sector Performance: 2003-2008
Table 118 Store Cards Sector Performance: Number of Cards in Circulation 2003-2008
Table 119 Store Cards Sector Performance: % Growth 2003-2008
Table 120 Store Cards in Circulation Sector Performance: % Growth 2003-2008
Table 121 Store Cards: Number of Cards by Issuer 2003-2007
Table 122 Store Cards Forecast Sector Performance: 2008-2013
Table 123 Store Cards Forecast Sector Performance: Number of Cards in Circulation 2008-2013
Table 124 Store Cards Forecast Sector Performance: % Growth 2008-2013
Table 125 Store Cards in Circulation Forecast Sector Performance: % Growth 2008-2013
CONSUMER CREDIT IN GERMANY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 126 Consumer Credit By Sector: Outstanding Balance: Value 2003-2008
Table 127 Consumer Credit By Sector: Outstanding Balance: % Value Growth 2003-2008
Table 128 Consumer Credit By Sector: Gross Lending: Value 2003-2008
Table 129 Consumer Credit By Sector: Gross Lending: % Value Growth 2003-2008
Table 130 Forecast Consumer Credit By Sector: Outstanding Balance: Value 2008-2013
Table 131 Forecast Consumer Credit By Sector: Outstanding Balance: % Value Growth 2008-2013
Table 132 Forecast Consumer Credit By Sector: Gross Lending: Value 2008-2013
Table 133 Forecast Consumer Credit By Sector: Gross Lending: % Value Growth 2008-2013