Dublin, March 11, 2022 (GLOBE NEWSWIRE) -- The "Latin America Prepaid Card and Digital Wallet Business and Investment Opportunities Databook - Market Size and Forecast, Consumer Attitude & Behaviour, Retail Spend" report has been added to ResearchAndMarkets.com's offering.
According to the publisher, the prepaid card market (value terms) in Latin America increased at a CAGR of 10.0% during 2017-2021. Over the forecast period of 2022 to 2026, the market is expected to record a CAGR of 14.3%, increasing from US$62.96 billion in 2022 to reach US$107.53 billion by 2026.
The adoption of digital wallets and prepaid cards has surged significantly in Latin America. According to the Q4 2021 Global Prepaid Cards Market Survey, fintech companies in the region are expanding their reach across the region to expand their market share. For instance, Argentina-based FinTech firm, Uala provides consumers with prepaid cards managed to issue 100,000 debit cards within five months of its launch in Mexico in 2021.
Moreover, with the rising demand for cryptocurrencies in the region, many fintech companies are integrating crypto trading in their digital wallets. The publisher expects that the prepaid card market will be supported by the innovative product launched targeting a large expat population in short to medium term perspective.
Global digital asset exchange platform entering the Brazilian market with the introduction of Visa Crypto Card
Cryptocurrencies are gaining popularity around the world. In Brazil, the demand for cryptocurrencies increased significantly in the last six to eight quarters. Moreover, in November 2021, the Brazilian government proposed a bill to legalize cryptocurrency in the public and private sectors. Consequently, the publisher expects the government initiative is to encourage fintech companies to launch their products in Brazil in short to medium term.
- In November 2021, Hong Kong-based digital asset exchange crypto.com has started issuing Visa crypto cards for the residents of Brazil.
- These cards are prepaid in nature and should be recharged through fiat or cryptocurrencies.
- Decentralization enables the use of these Visa crypto cards to convert tokens into currencies of the individual geographies.
- The card can also be used for withdrawing cash from ATMs or Point of Sale (PoS) purchases.
- Additionally, the cardholders will get offers up to 8% back on spending, LoungeKey airport lounge access, and full subscription rebates for Spotify, Netflix, and Amazon Prime.
- Notably, Brazilians have to clear an approval process after applying for the card, and eligible users will get a virtual card after the clearance.
Digital wallets and remittance providers expanding their business in Brazil
With the growing expat community in Brazil, global payment providers are expanding their business in the country. Companies are launching alternative banking solutions to cater to the needs of the people residing and working away from the country in regions such as the United States, Italy, Portugal, and Spain, as well as also for supporting immigrants who will settle in Brazil.
- In December 2021, Sokin, a London-based fintech launched its inclusive Global Currency Account and prepaid debit card in Brazil for its residents and expat community.
- The customers are allowed to receive and send money and access cost-effective currency exchange in 38 currencies against a monthly fee. Notably, consumers can perform all these through Sokin's digital wallet.
With the growing number of Brazilian expats, products targeting these segments are likely to push the usage of prepaid cards in the country in the next four to eight quarters.
Digital payment providers are partnering with lending companies to launch prepaid card solutions in Mexico
In Mexico, there is almost 40 million unbanked population. With the change in the payment trends in the country, fintechs are entering into strategic partnerships to launch prepaid card solutions with the intention of providing financial inclusion in the country.
- In August 2021, Mexico-based i2c, a digital payment provider partnered with KEO, a lending company and Mexican customer loyalty program PAYBACK to launch KEO PAYBACK American Express Card, a prepaid card solution,
- This new card will help customers to access a financial alternative that will enable them to build credit history.
- Moreover, this prepaid card will provide customers to receive the benefits of the loyalty program and also access the American Express network for both online and international purchases.
- The customers will be provided quick credit approval on the basis of the underwriting process done, and they will not require any credit check or paperwork for the same.
Scope
Digital Wallet Market Size and Forecast
- Transaction Value Trend Analysis
- Transaction Volume Trend Analysis
- Average Value per Transaction
Digital Wallet Market Size and Forecast by Key Segments
- Retail Shopping (Value, Volume, Avg. Value)
- Travel (Value, Volume, Avg. Value)
- Entertainment and Gaming (Value, Volume, Avg. Value)
- Restaurant (Value, Volume, Avg. Value)
- Recharge and Bill Payment (Value, Volume, Avg. Value)
Prepaid Card Industry Market Attractiveness
- Load Value Trend Analysis
- Transaction Value Trend Analysis
- Transaction Volume Trend Analysis
- Average Value per Transaction
- Number of Cards
Market Share Analysis by Functional Attributes - Open Loop vs. Closed Loop, 2016 - 2025
Market Share Analysis by Prepaid Card Categories
Open Loop Prepaid Card Future Growth Dynamics, 2016 - 2025
- Transaction Value Trend Analysis
- Transaction Volume Trend Analysis
- Average Value per Transaction
- Number of Cards
Closed Loop Prepaid Card Future Growth Dynamics, 2016 - 2025
- Transaction Value Trend Analysis
- Transaction Volume Trend Analysis
- Average Value per Transaction
- Number of Cards
General Purpose Prepaid Card Market Size and Forecast
Gift Card Market Size and Forecast
Gift Card Market Size and Forecast by Functional Attribute
- By Open Loop Gift Card
- By Closed Loop Gift Card
- By Retail Consumer Segment
- By Corporate Consumer Segment
Gift Card Market Share Analysis by Retail Categories
Gift Card Market Share Analysis by Gifting Occasion
Gift Card Market Share Analysis by Purchase Location
Entertainment and Gaming Prepaid Card Market Size and Forecast
Teen and Campus Prepaid Card Market Size and Forecast
Teen and Campus Prepaid Card Market Size and Forecast by Functional Attribute
- By Open Loop Teen and Campus Prepaid Card
- By Closed Loop Teen and Campus Prepaid Card
Business and Administrative Expense Prepaid Card Market Size and Forecast
- By Small Scale Business Segment
- By Mid-Tier Business Segment
- By Enterprise Business Segment
- By Government Segment
Payroll Prepaid Card Market Size and Forecast
- By Small Scale Business Segment
- By Mid-Tier Business Segment
- By Enterprise Business Segment
- By Government Segment
Meal Prepaid Card Market Size and Forecast
- By Small Scale Business Segment
- By Mid-Tier Business Segment
- By Enterprise Business Segment
- By Government Segment
Travel Forex Prepaid Card Market Size and Forecast
- By Retail
- By Small Scale Business Segment
- By Mid-Tier Business Segment
- By Enterprise Business Segment
- By Government Segment
Transit and Tolls Prepaid Card Market Size and Forecast
Healthcare and Wellness Prepaid Card Market Size and Forecast
Social Security and Other Government Benefit Programs Prepaid Card Market Size and Forecast
Fuel Prepaid Cards Market Size and Forecast
Utilities, and Other Prepaid Cards Market Size and Forecast
Companies Mentioned
- Cencosud SA
- Carrefour SA
- Coto CICSA
- MercadoLibre Inc
- Importadora y Exportadora de la Patagonia SA
- Wal-Mart Stores Inc
- Garbarino SA
- Casino Guichard-Perrachon SA
- Natura Cosmeticos SA
- Lojas Americanas SA
- Adeo Groupe
- Magazine Luiza SA
- Falabella SACI
- SMU SA
- Feria Chilena del Libro SA
- PriceSmart Inc
- Inditex, Industria de Diseno Textil SA
- Confecciones Leonisa SA
- Organizacion Soriana SAB de CV
- Grupo Comercial Chedraui Sa de CV
- Controladora Comercial Mexicana SAB de CV
- Farmacias Similares SA de CV
- Corporativo Fragua Sa de CV
- Home Depot Inc, The
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