Commercial Payment Cards: US Market Trends, 13th Edition

PUBLISHED: June 13, 2024

PAGES: 90 Pages

DELIVERY TIME: 1-2 business days

ADD TO COMPARE

SELECT AN OPTION

Description

Commercial cards have become a staple in the United States and around the world, gradually phasing out traditional methods like checks and bank wires with their more advanced payment card versions. These cards, when integrated with spend management systems, allow finance teams to significantly reduce fraud risks and delegate purchasing authority to a broader range of employees, all while retaining stringent oversight on the spending parameters.

The latest edition of the Packaged Facts report, titled "Commercial Payment Cards: US Market Trends, 13th Edition," provides profiles of major entities and platforms within the commercial card payment industry. It highlights the potential market growth and also addresses the challenges that hinder the adoption of virtual cards.

This comprehensive report sheds light on the current trends of commercial payment cards within the U.S. market and evaluates the global market size for this payment method. As a segment experiencing swift growth within the payment card industry, commercial cards are championed by finance departments that prioritize seamless integration and continuous innovation in their operations.

Product Code: LA18867404

Table of Content

CHAPTER 1: EXECUTIVE SUMMARY

SCOPE & METHODOLOGY
Scope
Methodology
MARKET OPPORTUNITY FOR COMMERCIAL CARDS
SMALL BUSINESS CARDS
FINTECHS USE NICHE EXPERTISE TO BUILD OUT MARKET PRESENCE
GLOBAL MARKET OF COMMERCIAL CARD NETWORKS
US COMMERCIAL CARD MARKET
US CARD NETWORKS
LEVERAGING CATEGORIES OF CORPORATE SPEND
CHALLENGES AND SOLUTIONS IN THE COMMERCIAL CARD BUSINESS

CHAPTER 2: GLOBAL MARKET OF COMMERCIAL CARD NETWORKS

OVERVIEW
Table 2.1. Volume Processed by Largest Global Payment Networks, 2021-2023 ($ trillion)
Table 2.2. Global Commercial Card Volume, 2021-2023 ($ trillion)
Table 2.3. Global Commercial Card Volume, 2021-2027 ($ trillion)
JCB
JCB Dives into Europe with Fiserv Partnership
Table 2.4. JCB Annual Transaction Volume, 2021-2023 (JPY in trillion and USD in billion)
Table 2.5. JCB Cardholders, 2020-2023 (million card holders)
CHINA UNIONPAY
State Control of Financial Services Ensures Payments Align with Country's Agenda
UnionPay is a Key Player in China's Economic Growth Strategy
Growing Domestic Economy Boosts Number of Payment Cards
Table 2.6. Bankcards in China: Number, Value, and Number of Transactions, 2021-2023

Figure 2.1. UnionPay's Commercial Virtual Card Control Platform,

Belt and Road Initiative
Belt and Road and Payments
DISCOVER FINANCIAL SERVICES
Discover is a Small Issuer with a Mighty Reach
Highest Levels of Customer Satisfaction
Discover Acquisition by Capital One
Table 2.7. Discover Transaction Volume, Quarterly, Q1 2023-Q1 2024 ($ billions)

CHAPTER 3: US COMMERCIAL CARD MARKET

TOTAL US COMMERCIAL CARD VOLUME
Table 3.1. US Commercial Card Volumes by Network, 2021-2023 ($ billion)

US Commercial Card Forecast to

Table 3.2. Total US Commercial Card Volumes, 2021-2027 ($ billion)
Small Business Cards
Small Businesses Use Credit Cards to Finance Their Operating Costs
Table 3.3. Financing and Credit Products Sought by Small Businesses in the Prior 12 Months (percentage)
Virtual Cards
Virtual Cards Driving Growth of Commercial Card Market
Precise Payments, Employer Control and Fraud Resistance Drive Adoption
Virtual Cards Best RTP
Virtual Cards are Boon for Accounts Payables Process
Virtual Card Friction at Vendor Must Be Addressed
Large Organizations Use Multiple Types of Cards
Government Commercial Cards
Table 3.4. Federal Government's Spend on Credit Cards by Card Type, Fiscal 2023 ($ billion. million unit, and units)
Payroll Cards
Largest Consumer Card Issuers Are Also the Largest Commercial Card Issuers
Table 3.5. Credit Card Receivables, Largest Credit Card Issuers, 2021-2023 ($ billion)

CHAPTER 4: US CARD NETWORK

US NETWORK OVERVIEW
Visa & Mastercard Overview
Table 4.1. Side-by-Side Comparison of Visa and Mastercard Payment Volume, Quarterly, Q1 2023-Q1 2024 ($ billion)
Visa
Table 4.2. Visa Inc. Nominal Payments and Cash Volume for Consumer Credit, Consumer Debit, and Commercial Payments, 2021-2023 ($ trillion)
Table 4.3. Visa Commercial Nominal Payments, 2021-2023 ($ billion)
Visa B2B Connect
Table 4.4. Visa Inc. Network Volume, Number of Transactions and Cards in Force, 2021-2023
Visa Commercial Solutions

B2B is Strategic Priority for Visa in 2024 and

Focusing on $200 Trillion Opportunity for New Flows
Building New Revenue Streams from Others' Initiatives
Visa Introduces Pay by Bank
Visas new "Visa Protect for A2A Payments" Catches 60% of Fraud Attempts Undetected by FIs.
Conferma Links Banks, Corporations and Digital Wallets for Virtual Card Transactions
Mastercard
Table 4.5. Mastercard Transaction Volume, US and Worldwide, 2021-2023 ($ billion)
Linking Every Touchpoint for Payments in the Commercial Ecosystem
China Opens to Mastercard

Table 4.6. Mastercard GDV by Program Type and Cards in Force,

Commercial Product Growth is Greater at Visa than at Mastercard
Table 4.7. Mastercard Commercial Credit and Debit Cards, 2021-2023
Frictionless Virtual Card Payments
Banks Must Add Commercial Card AR Management to Their Roster of Priority Projects
Mastercard is Exclusive RTP Payment Software Provider to TCH
Mastercard Targeting New Flows at POS and Corporate ERP
American Express
Table 4.8. American Express Network Total Billed Business and Cards in Force, 2021-2023
AmEx is Opening Its Virtual AmEx APIs to Fintechs
AmEx Targets the $2.6 Trillion of Embedded B2B Transaction Volume
Delta is an "Important Source of Value" for AmEx Cardholders
Co-Branded Card Volumes
AmEx Commercial Services
Table 4.9. American Express Commercial Services Segments, Billed Business, Cards in Force and Average Card Member Spend, 2021-2023
Discover
Table 4.10. Discover Transaction Volume, YE 2021-2023
Discover Sets Aside $1 Billion for Merchant Reimbursements in Misclassification Action

CHAPTER 5: LEVERAGING CATEGORIES OF CORPORATE SPEND

T&E COMMERCIAL CARD SPEND
Global Business Travel Rebounding
T&E Spending for Largest Corporate Users

Table 5.1. Largest Corporate Spenders on Travel and Entertainment,

Airline Revenues Have Rebounded; Almost Reaching 2019 Levels
Without Consistent Communication, Co-Branded Card Relationships Can Be Lost
The Power of Co-Branded Credit Cards to Drive Behavior
Table 5.2. Leisure and Business Traveler Co-Branded Airline Credit Card Owners Show Declining Use of Airline as Time Passed, 2016-2018
Travel - Almost Back to 2019 Levels

Return to Business Travel Continues in

HOTELS - THE SECOND CORNERSTONE OF T&E
In 2021 and 2022, Leisure Travel Brought Hotel Industry Back from the Brink
Hotel Industry Recovered from Pandemic More Quickly Than Anticipated
Who is Traveling?
Co-Branded Relationships
Overview of Hilton Worldwide
Financial Performance of Hilton Honors
Figure 5.1. Hilton Honors American Express Cards
Fleet and Fuel Cards Become Platforms for Providers' Growth
Corpay (formerly FLEETCOR)
Corpay Vehicle Payments
Corpay Business Payments
Corpay Lodging Payments
Table 5.3. Corpay Revenue by Segment, 2021-2023 ($ million)
Corpay Growth Comes Amidst Controversies
FLEETCOR Controversies
WEX
Table 5.4. WEX Total Revenues and Total Volume Processed, 2021-2023 ($ million)
WEX Mobility Segment
WEX Corporate Payments
WEX Benefits Segment
Table 5.5. WEX Revenues by Business Segment, 2022 and 2023 ($ million)
WEX Bank Provides Low-Cost Funds for Liquidity and Growth
WEX Corporate Goals

CHAPTER 6: CHALLENGES AND SOLUTIONS IN THE COMMERCIAL CARD BUSINESS

CHALLENGE: STASIS OF BUSINESS OPTIMISM STRAINS COMMERCIAL CARD GROWTH
Figure 6.1. Business Expectations of Sales Revenue Growth ($ billion)
MARKET OPPORTUNITIES FOR GROWTH
FINTECHS INTRODUCE SOLUTIONS TO SPECIFIC PROBLEMS
AMERICAN EXPRESS LEVERAGES BUSINESS BANKING ACCOUNT TO BRING SMALL BUSINESSES INTO A RELATIONSHIP
FINTECHS ARE FORCING TRADITIONAL ISSUERS TO INNOVATE
Ramp Targets Card and AP Spend
Ramp Founders are Proven Money Savers
Ramp Acquiring its Way to Saving Companies More Money
BILL Spend and Expense
Brex: Outgrowing its Original Customer Base
Seven Years to a Valuation of $12.3 Billion
Cross-border Employees Inspires Innovation
CHALLENGES