The number of Cards-In-Force (CIF) for the four major U.S. payment card networks rose 5.3% year-on-year (Y/Y) during the second quarter of 2014 (Q2/14). Visa (VS), MasterCard (MC), American Express (AX) and Discover (DS) reported 1185 million U.S. CIF at the end of Q2/14, compared to 1125 million one year ago.
Based on U.S. CIF, MC led the four networks in Y/Y gains in market share for the U.S., gaining 60 basis points (bps) Y/Y, while VS declined 40 bps Y/Y in Q2/14. AX remained flat and DS declined 20 bps Y/Y. At the end of Q2/14, VS remains the U.S. giant with a 62.0% market share, compared to 29.0% for MC, 3.8% for AX and 5.1% for DS, according to CardData.
VS reported a 4.7% Y/Y gain in Q2/14, with an estimated 735 million CIF. (Visa no longer reports CIF on a current quarterly basis.)
MC posted a 7.5% Y/Y increase in Q2/14 U.S. CIF to 344 million.
AX Q2/2014 U.S. CIF of 44.7 million, up 4.2% over the year ago quarter.
DS does not publicly release CIF, but the consensus of at least 60 million appears to be reasonable.
RAM Research projects U.S. payment card CIF for the third quarter 2014 will rise slightly to 1200 million.
U.S. NETWORK CIF STATS
2Q/13 3Q/13 4Q/13 1Q/14 2Q/14
VS: 702 713 728 726 735
MC: 320 327 336 343 344
AX: 43 43 44 44 45
DS*: 60 60 60 60 61
*Discover does not disclose cards-in-force and estimate is presente
Source: Visa; MasterCard; American Express; Discover; CardData
For more data on the U.S. Payment Card CIF access CardData®. For information and commentary on the U.S. Payment Card CIF visit the searchable CardFlash® Library of more than 58,000 articles published since 1995. Custom RAM Research® projects on the U.S. Payment Card CIF are available exclusively through CardWeb.com.®
Total volume, payments volume and cash volume, and the number of payments transactions, cash transactions, accounts and cards represent cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards.
Payments volume represents the aggregate dollar amount of purchases made with cards carrying the Visa, Visa Electron and Interlink brands for the relevant period; and cash volume represents the aggregate dollar amount of cash disbursements obtained with these cards for the relevant period and includes the impact of balance transfers and convenience checks; but excludes proprietary PLUS volume. Total volume represents payments volume plus cash volume.
Visa payment products are comprised of credit and debit programs, and data relating to each program is included in the tables. Debit programs include Visa’s signature based and Interlink (PIN) debit programs.
The data presented are based on results reported quarterly by Visa’s financial institution clients on their operating certificates. Estimates may be utilized if data is unavailable. On occasion, previously presented information may be updated.
MasterCard’s GDV represents purchase volume plus cash volume and includes the impact of balance transfers and convenience checks; “purchase volume” means the aggregate dollar amount of purchases made with MasterCard-branded cards for the relevant period; and “cash volume” means the aggregate dollar amount of cash disbursements obtained with MasterCard-branded cards for the relevant period. The number of cards includes virtual cards, which are MasterCard-branded payment accounts that do not generally have physical cards associated with them.
The MasterCard payment product is comprised of credit, charge and debit programs, and data relating to each type of program is included in the tables. Debit programs include MasterCard-branded debit programs where the primary means of cardholder validation at the point of sale is for cardholders either to sign a sales receipt or enter a PIN. The data include information with respect to transactions involving MasterCard-branded cards that are not processed by MasterCard and transactions for which MasterCard does not earn significant revenues.
The data set forth in the GDV, purchase volume, purchase transactions, cash volume and cash transactions columns is provided by MasterCard customers and is subject to verification by MasterCard and partial cross-checking against information provided by MasterCard’s transaction processing systems. The data set forth in the accounts and cards columns is provided by MasterCard customers and is subject to certain limited verification by MasterCard. A portion of the data set forth in the accounts and cards reflects the impact of routine portfolio changes among customers and other practices that may lead to over counting of the underlying data in certain circumstances. All data is subject to revision and amendment by MasterCard’s customers subsequent to the date of its release.
AMERICAN EXPRESS –
Card billed business includes activities (including cash advances) related to proprietary cards, cards issued under network partnership agreements (non-proprietary billed business), and certain insurance fees charged on proprietary cards. In-store spend activity within retail co-brand portfolios in Global Network Services, from which the Company earns no revenue, is not included in non-proprietary billed business. Card billed business is reflected in the United States or outside the United States based on where the issuer is located.
Total cards-in-force represents the number of cards that are issued and outstanding. Proprietary basic consumer cards- in-force includes basic cards issued to the primary account owner and does not include additional supplemental cards issued on that account. Proprietary basic small business and corporate cards-in-force include basic and supplemental cards issued to employee Card Members. Non-proprietary cards-in-force includes all cards that are issued and outstanding under network partnership agreements, except for retail co-brand Card Member accounts that have no out-of-store spend activity during the prior 12 month period.