Co-branded Credit Card Market by Vendor Type, Credit Card Type, End-User

Description

List of Tables

[191 Pages Report] The Co-branded Credit Card Market size was estimated at USD 13.41 billion in 2023 and expected to reach USD 14.63 billion in 2024, at a CAGR 9.74% to reach USD 25.72 billion by 2030.

Co-branded credit cards include a store card and a rewards card, which is backed by a major network or a card issuer. Consumers use these credit cards where they are accepted while accessing significant merchandise perks, discounts, points, or other rewards. Airlines, hotels, eCommerce, and fuel companies are collaborating with banks to introduce co-branded cards to their customers for ease of payment. The rising adoption of credit cards by the young and millennial generation and the customers' interest in attaining significant discounts and potential cash-back present the main driving factor for the market. However, limitations associated with the operations and working of co-branded credit cards and high annual fees restrain the market growth. The industry is currently focused on launching improved co-branded credit cards and is entering partnerships with retail and airline companies to expand the development of the co-branded credit card market.

KEY MARKET STATISTICS
Base Year [2023]	USD 13.41 billion
Estimated Year [2024]	USD 14.63 billion
Forecast Year [2030]	USD 25.72 billion
CAGR (%)	9.74%

Vendor Type: Rising emphasis of the card issuer to offer tailored co-branded credit cards

Co-branded credit cards involve partnerships between different types of vendors to create and offer the cards. The card issuer is usually a financial institution, such as a credit card company or a bank, responsible for issuing and managing co-branded credit cards, which handles the application process, credit underwriting, account management, and customer service related to co-branded credit cards. The card network is the payment processing network that facilitates the authorization, clearing, and settlement of transactions made with co-branded credit cards. Retailers play a significant role in co-branded credit card programs as they are co-branded partners and provide the brand affiliation and customer base the card issuer leverages. Retailers can be major chains, department stores, and online marketplaces.

Credit Card Type: Emerging preference for virtual co-branded credit cards among users

Virtual co-branded credit cards are digital and virtual representations of credit cards that exist in a digital format. Virtual co-branded credit card programs provide convenience and security for online shopping and digital payments. They can be stored in mobile wallet applications and accessed through online banking platforms. Physical co-branded credit cards are traditional plastic cards issued to cardholders and carry the branding of the financial institution and the co-branded partner. Physical co-branded credit cards offer the familiar form factor of a traditional credit card, including the name of the cardholder, card number, expiration date, and security features.

End-User: Extensive adoption of co-branded credit cards by travel and petroleum industries

Co-branded credit cards in the gaming industry are designed for avid gamers and gaming enthusiasts. The co-branded credit card offers rewards such as discounts on game purchases, exclusive in-game content, and access to gaming events and tournaments. Co-branded credit cards in the hospitality industry are commonly associated with hotel chains, resorts, and travel booking platforms. These cards offer hotel loyalty points, room upgrades, complimentary night stays, and exclusive discounts on hotel bookings. Co-branded credit cards in the petroleum industry are often issued in partnership with gas stations and oil companies. These cards provide rewards and discounts on fuel purchases, including cashback on gas spending and fuel points that can be redeemed for future fuel purchases. Co-branded credit cards in the retail industry are commonly associated with major retail chains, department stores, or online marketplaces. These cards offer rewards, discounts, and exclusive access to sales events at the partnering retailers. Co-branded credit cards in education are often offered in partnership with universities or educational institutions.

Regional Insights

In the Americas, particularly in the United States, the production and use of co-branded credit cards are highly developed, driven by a culture of credit reliance and robust rewards programs. Financial institutions and brands are collaborating to leverage extensive consumer data analytics to tailor offerings, making these cards popular across various sectors, including airlines, retail, and hospitality. The Asia-Pacific region exhibits varied adoption rates, with markets such as Australia and Japan witnessing significant uptake due to high consumer spending habits and an inclination for loyalty programs. Emerging markets within APAC are gradually embracing co-branded cards, facilitated by growing middle-class populations and digital banking advancements. In Europe, stringent regulatory frameworks for data protection and financial transactions, including the General Data Protection Regulation (GDPR), influence the structure and marketing of co-branded cards. Adoption in the Middle East is on the rise, driven by luxury travel and retail sectors, while Africa's focus remains on financial inclusion, with co-branded credit cards playing a minor role.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Co-branded Credit Card Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Co-branded Credit Card Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Co-branded Credit Card Market, highlighting leading vendors and their innovative profiles. These include American Express Company, AU Small Finance Bank Limited, Axis Bank Limited, Bank of America Corporation, Barclays PLC, BNP Paribas Group, Capital One Financial Corporation, Cardless, Inc., CIMB Group Holdings Berhad, Citigroup Inc., Commercial International Bank (Egypt) S.A.E., Concerto Card Company, CTBC Bank (Philippines) Corp., Despegar.com, Corp., First Abu Dhabi Bank, FPL Technologies Pvt. Ltd., HDFC Bank Limited, ICICI Bank Limited, IDBI Bank Ltd., JPMorgan Chase & Co., Marqeta, Inc., Mastercard International Incorporated, National Payments Corporation of India, Saigon Thuong Tin Commercial Joint Stock Bank, Scotiabank, Shinhan Bank Co., Ltd., Standard Chartered PLC, Synchrony Bank, The Bank of Baroda Ltd., The Goldman Sachs Group, Inc., U.S. Bancorp, Uniorbit Technologies Private Limited, Visa Inc., and Wells Fargo & Company.

Market Segmentation & Coverage

This research report categorizes the Co-branded Credit Card Market to forecast the revenues and analyze trends in each of the following sub-markets:

Vendor Type
- Card Issuer
- Card Network
- Retailer

Credit Card Type
- Physical Credit Cards
- Virtual Credit Cards

End-User
- Education
- Gaming
- Hospitality
- Petroleum
- Retail
- Travel

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Georgia
    - Illinois
    - Kentucky
    - Michigan
    - Mississippi
    - New Jersey
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Co-branded Credit Card Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Co-branded Credit Card Market?

3. What are the technology trends and regulatory frameworks in the Co-branded Credit Card Market?

4. What is the market share of the leading vendors in the Co-branded Credit Card Market?

5. Which modes and strategic moves are suitable for entering the Co-branded Credit Card Market?

Product Code: MRR-DF3DAFF62F1C

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Increasing adoption of co-branded credit cards by companies to provide innovative solutions to customers
  - 5.1.1.2. Rapid expansion in the retailer and airline partnerships with financial institutions
- 5.1.2. Restraints
  - 5.1.2.1. Issues associated with the strategic conflict between the financial institutions
- 5.1.3. Opportunities
  - 5.1.3.1. Ongoing product launch and development of new co-branded credits cards
  - 5.1.3.2. Emerging trend of digital co-branded credit cards
- 5.1.4. Challenges
  - 5.1.4.1. Limitations associated with the use of co-branded credit cards
5.2. Market Segmentation Analysis
- 5.2.1. Vendor Type: Rising emphasis of the card issuer to offer tailored co-branded credit cards
- 5.2.2. Credit Card Type: Emerging preference for virtual co-branded credit cards among users
- 5.2.3. End-User: Extensive adoption of co-branded credit cards by travel and petroleum industries
5.3. Market Trend Analysis
- 5.3.1. Expanding deployment of co-branded credit cards by retailers and online travel companies in the Americas
- 5.3.2. Rising digital literacy rates and expanding eCommerce sector across Asia-Pacific
- 5.3.3. Evolving consumer landscape and a shift toward more strategic partnerships between credit card issuers and brands across EMEA region
5.4. Cumulative Impact of High Inflation
5.5. Porter's Five Forces Analysis
- 5.5.1. Threat of New Entrants
- 5.5.2. Threat of Substitutes
- 5.5.3. Bargaining Power of Customers
- 5.5.4. Bargaining Power of Suppliers
- 5.5.5. Industry Rivalry
5.6. Value Chain & Critical Path Analysis
5.7. Regulatory Framework Analysis

6. Co-branded Credit Card Market, by Vendor Type

6.1. Introduction
6.2. Card Issuer
6.3. Card Network
6.4. Retailer

7. Co-branded Credit Card Market, by Credit Card Type

7.1. Introduction
7.2. Physical Credit Cards
7.3. Virtual Credit Cards

8. Co-branded Credit Card Market, by End-User

8.1. Introduction
8.2. Education
8.3. Gaming
8.4. Hospitality
8.5. Petroleum
8.6. Retail
8.7. Travel

9. Americas Co-branded Credit Card Market

9.1. Introduction
9.2. Argentina
9.3. Brazil
9.4. Canada
9.5. Mexico
9.6. United States

10. Asia-Pacific Co-branded Credit Card Market

10.1. Introduction
10.2. Australia
10.3. China
10.4. India
10.5. Indonesia
10.6. Japan
10.7. Malaysia
10.8. Philippines
10.9. Singapore
10.10. South Korea
10.11. Taiwan
10.12. Thailand
10.13. Vietnam

11. Europe, Middle East & Africa Co-branded Credit Card Market

11.1. Introduction
11.2. Denmark
11.3. Egypt
11.4. Finland
11.5. France
11.6. Germany
11.7. Israel
11.8. Italy
11.9. Netherlands
11.10. Nigeria
11.11. Norway
11.12. Poland
11.13. Qatar
11.14. Russia
11.15. Saudi Arabia
11.16. South Africa
11.17. Spain
11.18. Sweden
11.19. Switzerland
11.20. Turkey
11.21. United Arab Emirates
11.22. United Kingdom

12. Competitive Landscape

12.1. Market Share Analysis, 2023
12.2. FPNV Positioning Matrix, 2023
12.3. Competitive Scenario Analysis
- 12.3.1. SBI Cards and Payment Services Ltd Witnesses Share Uplift Following Launch of Titan Co-Branded Card
- 12.3.2. RAKBANK and Air Arabia Enhance Partnership Through Co-Branded Credit Initiative for Strategic Renewal
- 12.3.3. Capital One Set to Acquire Discover in Landmark USD 35.3 Billion All-Stock Deal
- 12.3.4. Strategic Partnership Elevates Financial Flexibility Through Innovative Co-Branded Credit Card Launch in Egypt
- 12.3.5. Goldman Sachs' Ambitious Growth Plans in India and Beyond Strategic Expansion and Realignment
- 12.3.6. Imprint's Accelerated Growth in Co-branded Credit Card Market with Strategic Funding
- 12.3.7. Imprint Secures USD 75 Million in Series B Funding to Redefine Co-Branded Credit Card Sector
- 12.3.8. IndusInd Bank's Strategic Alliance with Tiger Fintech to Launch a Preeminent Co-Branded Credit Card
- 12.3.9. Barclays and Breeze Airways Launch Innovative Co-Branded Credit Card Program Through Strategic Partnership
- 12.3.10. Axis Bank's Acquisition of Citibank's Consumer Business as Strategic Consolidation in India's Consumer Banking Sector
- 12.3.11. IRCTC Partners With HDFC Bank to Launch Co-branded Travel Credit Card
- 12.3.12. Strategic Partnership Elevates Guest Experience as the Choice Hotels Collaborates with Wells Fargo and Mastercard on Co-Branded Credit Card Initiative
- 12.3.13. Wells Fargo to Launch No-Annual-Fee Choice Hotels Credit Card
- 12.3.14. Strategic Partnership Elevates CFNA Offerings through Exclusive Mastercard Collaboration

13. Competitive Portfolio

13.1. Key Company Profiles
13.2. Key Product Portfolio