Competition Scenario in Turkey Credit
Cards Market
Turkey
is moderately concentrated with a presence of ~ banks with ~% market share and
other handful of banks which do not have a dedicated cards business. The turkey
cards and payments market is segmented in debit and credit card.
Market has fierce competition, i.e., the credit card players have been highly
competitive and experimental in product offerings and follow business
strategies to expand their reach to untapped audience and retain existing
clients. Major existing players have observed brand loyalty due to the
dedicated services offered over the period of time. The latest market entry was
back in 2016 with troy card, which is a nation payment scheme and now has tied
up with ~ banks which are offering troy logo cards.
Turkey Credit Card Market Size Future
Outlook and Projections, 2019(E) - 2013(E)
The
number of credit cards in circulation is anticipated to grow to ~ million by
2023E. The number of credit card transactions is expected to grow from ~
million in 2019E to ~ million by 2023E. The credit card transaction volume is
expected to reach TRY~ billion by 2023E from TRY ~ billion in 2019E. The credit
card operators and issuers can increase their member merchant network which
will enable the card holder to make transactions which are benefit motivated.
These benefits can be in term of monetary benefit / reward point program where
in the reward points earned can be redeemed on future transactions. More dependence
on credit debt in the coming years will be a major driver for this market with
young population being the major card holders due to their tech savvy
lifestyle.
Debit Cards Market Size
Debit cards are preferred over credit cards in
Turkey, with ~ debit cards per capita, compared with ~ credit cards per capita.
When it comes to a preferred card brand with which to shop online, Turkish
consumers tend to treat ~ and ~. At present, cash retains a small but not
insignificant role in online E-commerce payments, taking ~% of all
transactions. This is likely due to the ongoing availability of
cash-on-delivery payments in the country. However, the government has indicated
its desire to phase out the use of cash. The usage of debit cards has been
steadily growing with the number of transactions increasing at a CAGR of ~%
from 2014 to 2018.
Turkey Debit Card Market Segmentation,
2014-2018
By Transaction Volume, 2014-2018:-
The volume of debit card transactions has been on a
rise since 2014, as consumers prefer to pay directly by account rather than
taking debit. The cardholders are switching to debit cards from cash when it
comes to micro payments. The variety of goods and services available in small
ticket size has contributed the most to the surge in volume of transactions in
recent years, also some customers try to avoid the interest for debit and hence
prefer debit cards. The volume of transactions has increased from ~ million in
2014 to ~ million in 2018. The four year CAGR has been ~%. The convenience of
plastic money has contributed the most to the robust CAGR in previous years.
By Transaction Value, 2014-2018:-
Debit card Transaction Value has shown an absolute
increase of ~ % since 2014. In last five years the value of debit card
transaction has close to double from TRY ~ billion in 2014 to TRY ~ in 2018.
The reasons for such a robust growth are debit card reward program,
substitution of hard cash use for micro payments, innovative technology
integration in debit and debit card market. 2016 witnessed the maximum year on
Year growth of ~% as the BKM introduced the National Payment scheme – TROY
which penetrated the operator debit card market to the extent of ~ million
transactions as of 2018.
By Average Transaction value,
2014-2018:
The
average debit card Transaction Value was computed by dividing the total
Transaction Volume from total value of transaction. It has been observed that
the average transaction size increased from TRY ~ in 2014 to TRY ~ in 2016.
However, the growth from 2017 to 2018 has been stagnant at ~% due to almost
equal proportional increase in both value and volume of debit card. In Absolute
terms, the Average Transaction Value increased from TRY ~ in 2014 to TRY ~ in
2018, which is ~% increase. The four year CAGR is at ~%.
By Number of Debit Card in
Circulation, 2014-2018:-
It
has been observed that the number of debit cards in circulation have increased
from ~ million in 2014 to ~ million in 2018. The surge in the number of cards
in circulation is approximately by ~ million which indicates the consumer
prefer debit cards over cash. The debit cards issued has been on a rising trend
at a four year CAGR of ~%. The year on year growth rate has been in the range
of ~% to ~% in the last four years. In the last two years the growth rate has
doubled at ~ % and ~% in 2017 and 2018.
Respectively,
indicating the demand of debit card. The subscription has gone up and the
cardholders are willing to spend more on debit in order to avail the benefits
of reward program and other perquisites.
Competition Scenario in Turkey Debit
Cards Market
Debit
card market within Turkey is fairly concentrated with a few banks. The banks
are providing different types of debit cards having different features,
technology and merchant tie-ups. The market is highly competitive and marketing
campaigns is a very significant variable considered by all the players with a
fair market share both in terms of volume and Transaction Value and number of
cards in circulation. The Turkey debit card market is highly competitive as the
players are highly prone to lose out the market share because of continuous
technological advancement in the financial technologies leading to obsolescence
of existing technologies. The players continuously develop new technologies and
keep in increasing their network with member merchants in order capture more
and more target audience.
Turkey Debit Card Market Size Future
Outlook and Projections, 2019(E) - 2013(E)
The
number of debit cards in circulation is anticipated to grow to ~ million by
2023E. The number of debit card transactions is expected to grow from ~ million
in 2019E to ~ million by 2023E. The debit card transaction volume is expected
to reach TRY~ billion by 2023E from TRY ~ billion in 2019E. The debit card
operators and issuers can increase their member merchant network which will
enable the card holder to make transactions which are benefit motivated. These
benefits can be in term of monetary benefit- reward point program where in the
reward points earned can be redeemed on future transactions. Although the
market is moving towards debt but debit card is expected to dominate due to
preference of customers for.
Key Segments Covered:-
Credit Cards
Value of transaction
Volume of transaction
Number of Credit card in circulation
Domestic Transaction Using Domestic Credit Card
International Transaction Using Domestic Credit Card
Domestic Transaction using International Credit Card
Sectoral Spending
Debit Cards
Value Of Transaction
Volume Of Transaction
Number Of Debit Card In Circulation
Domestic Transaction Using Domestic Debit Card
International Transaction Using Domestic Debit Card
Domestic Transaction Using International Debit Card
Sectoral Spending
Key Target Audience:-
Credit/ Debit Card Operator
Credit/ Debit Card Issuers
Prepaid Card Issuers/ Operators
Local/ Foreign Bank
Reward/ Loyalty Program Business Operators
Payment gateway provider
Credit/ Debit Card Issuer
POS Device Manufacturers
Debit/ Credit Card Manufacturing companies
ATM Manufacturing Entities
Investors
Time Period Captured in the Report:-
Historical Period: 2014-2018
Forecast Period: 2019-2023
Companies Covered in Turkey Card Market:-
Issuers
Turkiye Cumhuriyeti Ziraat Bankasi AS
Turkiye Vakiflar Bankasi TAO
Turkiye Halk Bankasi AS
Denizbank
Yapi ve Kredi Bankasi AS
Turkiye Is Bankasi AS (Is bank)
Garanti Bankasi AS
Ak bank TAS
Finansbank AS
TEB AS
Seker Bankasi AS
HSBC Bank AS
Citigroup Inc
Operators
Visa Inc
MasterCard International Inc
American Express Co
Troy
For more information, refer to below link:-
Related Reports:-
Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249
