Register for The Paypers news Follow The Paypers on LinkedIn! Follow The Paypers on Twitter! Follow The Paypers on Facebook! Follow The Paypers on Google+!
The Paypers, paypers, Insight in payments, News, Reports, Events
Online Payments

Ovum Research: PSD2 to cause a decline in online card volumes by 2027

Monday 19 June 2017 | 10:53 AM CET

Ovum, a market research and consulting company, has released a study that shows how PSD2 will drive single card payments down by 37% until 2027.

The research Instant payments and the post-PSD2 landscape, commissioned by Icon Solutions, provides insights into how PSD2 will lead to a decline in card transactions and an increase in frictionless payment methods such as Instant Payments in Europe.

The new European Payment Service Directive will cause ecommerce card usage to stagnate at current levels of around EUR 260 billion annually, instead of hitting the EUR 411 billion mark predicted without PSD2. On the other hand, the directive will boost frictionless payment methods, like Instant Payments and ewallets, which are expected to overtake cards.

As ecommerce card payments decrease by 37%, digital wallets and Instant Payments will become the two dominant payment methods as early as 2024, absorbing an average of 29% of expenditure across Europe.

The shift from ecommerce to digital channels will pressure merchants into adopting an omnichannel approach and to support new payment methods, the study shows.

The research, conducted by Ovum and commissioned by Icon Solutions, covers ten Europe-based markets and uses data from a European payments database, built from several sources including, national banks, national statistics agencies, and payments associations.

Print | Contact editor | Mail
© 2017 The Paypers
More: Abstract