An electronic purse is a card that stores value and can be used to pay for travel or other small-scale transactions in a similar way to cash. The secure information stored in a dedicated area or file on the smart-card is the electronic "purse." The two main objectives of electronic purse cards are to replace cash in the public transportation payment system, either to transition away from a primarily cash-based system or as a replacement for residual cash payments in a mostly pre-paid system. The other objective is to maintain the single tariff as the primary fare product, wherein this could serve as an alternative to or replacement for timed tickets. Therefore, the surge in demand for the electronic purse card is expected to boost the growth of the market in the upcoming years.
The global electronic purse card market is segmented on the basis of type, application, end-user and region. Based on type, the market is divided into tokens, transport money, transport & micro-purchases and E-cash. In terms of application, the market is categorized into general purpose re-loadable card, government benefit/disbursement card, payroll card and others. On the basis of end user the market is divided into retail establishments, corporate institutions, government, financial institutions and others. Geographically, the market is analyzed across several regions such as North America, Europe, Asia-Pacific, and Latin America, Middle East & Africa (LAMEA).
Key players operating in the global electronic purse card industry include CardLogix Corporation, Watchdata, Thales, Giesecke & Devrient GmbH, HID Global Corporation, Eastcompeace Technology Co. Ltd, NXP Semiconductors, IDEMIA, ABCorp and CPI Card Group Inc. These companies have adopted several strategies such as product launches, partnerships, collaborations, mergers & acquisitions, and joint ventures to strengthen their foothold in the global electronic purse card market.
COVID-19 Impact Analysis
- The COVID-19 pandemic has led to the implementation of social distancing, lockdowns, and other restrictions in various regions. This has further led the customers to heavily rely on the internet. Customers are entirely dependent on digital services. Be it for streaming of films and videos or online shopping during the ongoing pandemic and social restrictions, which is a major factor driving the growth of the market.
- The pandemic has accelerated the growth of various digital payments systems, which include contactless payments among many others. This is a major factor driving the growth of the electronic purse card market share in the pandemic situation.
Top Impacting Factors
Rise in demand for electronic purse card payments and government initiatives for accelerating digital payments across the globe are expected to drive the growth of the market. In addition, growing deployment in personal identification and access control application propel the market growth. However, lack of awareness and trust related to electronic purse card payments might hamper the the market. On the contrary, the rising penetration of internet across various economies can be perceived as an opportunity for the electronic purse card market in the forecasted period.
Rise in Demand for Electronic Purse Card Payments
Electronic purse card payments help to reduce customer queues and hassles, which in turn, provides better results in the form of higher revenue for retailers. It is well known that electronic purse card transactions are much faster than both cash and conventional card transactions, which drives the growth of the market. Furthermore, the adoption of electronic purse cards is rapidly increasing across the globe as the transaction process is comparatively simple and easy, which enhances the growth of the market. Furthermore, consumers across the globe can enjoy the ease, speed, and comfortability of electronic purse card payments for small and frequent transactions. Therefore, the rising demand for electronic purse card payments is expected to substantially increase the growth of the electronic purse card market during the forecast period.
Growing Government Initiatives for Accelerating Digital Payments Across the Globe
Various governments have introduced different initiatives to promote and accelerate electronic purse card transactions since COVID-19 has taken place, to make it accessible for everyone, thereby driving the growth of the market. In addition, governments across developing nations have come up with various initiatives to curb the usage of cash, which resulted in increased transactions through electronic purse card payments. Various discounts are given to encourage electronic purse card payments by allowing customers to make payments through low-cost payment modes. Such factors have contributed to the rapid growth of the market andare expected to drive the growth of the electronic purse card payment during the forecasted period.
Key Benefits of the Report
- This study presents the depiction of the electronic purse card market forecast along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with a detailed analysis of the market share.
- The current market is quantitatively analyzed to highlight the electronic purse card market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the electronic purse card market trends.
- The report provides detailed electronic purse card market analysis based on competitive intensity and how the competition will take shape in the coming years.
Questions Answered in the Electronic Purse Card Market Research Report
- Which are the leading market players active in the electronic purse card market size?
- What are the detailed impacts of COVID-19 on the electronic purse card market?
- What are the current trends that will influence the market in the next few years?
- What are the driving factors, restraints, and opportunities in the economic sanctions market?
- What future projections would help in taking further strategic steps?
Electronic Purse Card Market Report Highlights
Key Market Players
CPI Card Group Inc., IDEMIA, Watchdata, Thales, HID Global Corporation, Giesecke & Devrient GmbH, Eastcompeace Technology Co. Ltd, NXP Semiconductors, CardLogix Corporation, ABCorp