Switzerland's Cards and Payments Industry: Emerging Opportunities, Trends, Size, Drivers, Strategies, Products and Competitive Landscape

The Swiss economy is prosperous, with low unemployment and a highly skilled workforce

The Swiss payment cards grew in value and volume terms during the review period (2009–2013). In terms of transaction value, payment cards grew from CHF111.3 billion (US$102 billion) in 2009 to CHF126.7 billion (US$136 billion) in 2013, at a review-period compound annual growth rate (CAGR) of just over 3%, and is anticipated to post a forecast-period (2014–2018) CAGR of just less than 3% to reach to CHF146 billion (US$161 billion) in 2018.

In terms of the number of cards in circulation, payment cards grew from over 16 million in 2009 to  just over 20  million in 2013, at a CAGR of over  5%, and are anticipated to post a forecast-period CAGR of just over 3% to reach just less than 30 million in 2018.

Report Highlights

Switzerland's Cards and Payments Industry: Emerging Opportunities, Trends, Size, Drivers, Strategies, Products and Competitive Landscape provides top-level market analysis, information and insights into Switzerland's cards and payments industry, including:

Several mobile payments (m-payments) solutions were promoted in the country during the review period. Some charge amounts to mobile phone bills, while others are linked to bank accounts or credit cards. Post Finance offers an m-payment solution that is connected to the customer’s account. Currently, m-payments are used at parking facilities, vending machines and mountain cabs where there is a mobile phone reception.       

M-payments grew significantly during the review period and are anticipated to provide scope for card-based payments over the forecast period. In terms of transaction value, both the credit and charge card markets recorded CAGRs of just less than 5% and just over 4% respectively. 

In 2013, the value of credit card transactions reported at point of sale (POS) terminals was significantly greater than that reported at ATMs, representing over 94% of the total credit cards transaction value. Similarly, the charge cards transaction value reported at POS terminals was greater than that reported at ATMs, representing just a little over 95% of the total charge cards transaction value. The increasing use of credit and charge cards at POS terminals for purchases, supported by banks offering bonus programs, reward points, cash back offers and discounts at partner retailers, will further increase card transaction values over the forecast period. 

With growth in the payment cards instrument type, both in terms of the number of cards and transaction value, card fraud increased marginally at a CAGR of just less than 1% during the review period, from CHF94 million (US$86 million) in 2009 to CHF96 million (US$104 million) in 2013. Banks and Swiss authorities carry out periodic card fraud awareness campaigns and preventive measures to safeguard against card misuse.