Growth attributed to recovery post chip shortage and SPA perimeter extensionNext generation eco-friendly [2] global card shipments represented 21% of worldwide total SPA card shipments, a +7 percentage points compared to 14% in 2022Contactless products accounted for 88% of total shipments by SPA members
MUNICH, July 4, 2024 /PRNewswire/ — Smart Payment Association (SPA), the trade body of the cards and mobile payments industry, today released findings from its annual review of the smart payment cards market.
Led and organized by the SPA, utilizing data collected from its own members and participants of the SPA Market Monitoring Advisory Council, this annual analysis of worldwide smart payment card and module shipments reveals a total shipment volume of 3.2 billion units were delivered in 2023 – up from 2.6 billion units shipped in 2022.
The rise in shipments can be attributed to several factors. In addition to welcoming new members into the SPA, 2023 saw a few existing members extend their market perimeters. This expansion of SPA coverage resulted in the capture of incremental shipment figures for the 2023 review.
In parallel with these changes, disruptions, caused by the global silicon chip shortage, reduced throughout the year. As a result, SPA members were able to meet the increased demand caused by the need to replenish inventory levels, as well as the demand from 2022 that was postponed to 2023.
“The commitment of SPA members to maintaining payment card production and minimizing any impact to customers and consumers, despite chip shortages, is definitely reflected in the SPA figures for 2023,” says Jacques Doucerain, SPA President.
Growth in sustainable payment card [3] shipments
Reflecting growing consumer demand for eco-friendly payment cards alongside new corporate ESG mandates from governments, 2023 saw issuing banks in regions around the word accelerate their rollout of sustainable card issuance strategies designed to reduce plastic waste and carbon emissions.
Last year global eco-friendly card shipments represented 21% of worldwide total SPA card shipments. This strong share increase (+7 percentage points compared to 14% in 2022 figures), highlights the pace and scale at which banks are transitioning away from first-use PVC as a payment card material.
50% of these eco-friendly card shipments were for the European market, demonstrating the leadership of this region in the transition, while 40% were delivered to the Americas.
Close collaboration across the payment card industry is helping to fuel these transformative efforts. In addition to eco-card innovations, SPA members are pioneering end-to-end approaches that encompass a breadth of ‘cradle to grave’ processes – everything from rethinking materials such as inks, envelopes and packaging through to end-of-life recycling.
“The industry continues investing in new eco-innovative materials and processes. As climate and environmental concerns grow for consumers, banks are accelerating their sustainable card issuance rollouts around the globe. But cards are just the tip of the iceberg. As the global industry moves towards enabling a more sustainable future, today’s expanded eco-focus includes new services such as card collection and recycling,” says Jacques Doucerain.
Contactless cards dominate as consumers in all markets embrace touch free payments and tap-to-pay goes mainstream
A growing consumer preference for contactless payments helped propel a significant uptick in contactless card shipments in markets around the world.
Accounting for 88% of total global shipments recorded for 2023 (up 4 percentage points on 2022 figures), SPA members reported an impressive 27% increase in overall contactless shipment volumes. With every country in the world now issuing dual interface cards that support contactless payments, the lowest regional share of contactless shipments hit 78%, with the highest achieving 99%.
“NFC, the contactless payment technology used by cards and mobiles, has established itself as the reference as consumers worldwide have integrated tap-to-pay into their habits, a convenient, secure and interoperable way to pay,” concluded Jacques Doucerain.
More information
A full breakdown and analysis of all results is available for sale to non-members. As part of its extensive market monitoring activities, the SPA has established two Advisory Councils to enable non-SPA members to access the most up-to-date marketplace data available. The SPA Monitoring Advisory Council is open to EMV technology vendors supplying cards and/or modules, while the SPA Forecasting Advisory Council is open to organizations operating in the wider payment ecosystem. For more details, click here.
About the Smart Payment Association (SPA)
The Smart Payment Association (SPA) is the trade body of the cards and mobile payment industry. SPA addresses the challenges of the fast-evolving payment ecosystem, promoting innovation, security, and interoperability of payment instruments. SPA works closely with regulators and standardization bodies, offering leadership and expert guidance to help its members and their customers adopt new payment technologies of today and tomorrow.
For more information on the SPA visit our website at www.smartpaymentassociation.com.
[1] Embedded in the payment card body during manufacturing, the module consists of the encapsulated smart card chip attached and electrically bonded to the micro connector or contact plate.
[2] The following companies participate in the SPA Market Monitoring process: Austria Card Group, CPI, G+D, IDEMIA, NXP, STMicroelectronics, Thales.
[3] Payment card bodies containing sustainable materials including R-PETG, Recycled PVC, Ocean Bound Plastic, Bio-sourced material, whatever the % of the total body.
Logo – https://mma.prnewswire.com/media/2454255/SPA_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/3-2-billion-smart-payment-cards-and-modules-shipped-in-2023-by-spa-1-302189556.html
Technology5 days ago
Technology4 days ago
Coin Market4 days ago
Coin Market4 days ago
Technology4 days ago
Coin Market4 days ago
Coin Market4 days ago