Payments Flashcards
Digital payments penetration of total PCE, increasing per year
43%, 2% per year
US / Canada digital payments penetration
61% USA / 76% Canada
Global digital payment volume growth
11% (5% macro PCE growth, 6% secular - 2 points penetration per year)
eCommerce share of total PCE / share of carded transactions
eCommerce PCE growth = 15% in US (20% in ROW)
16% of total PCE / 22% of carded transactions
Note: over half of eCommerce includes eBillPay (which has penetrated 50% of total bill pay in uS) which is predominantly ACH (not carded)
Visa cross-border revenue and profit mix
What drives it?
30%
Volatility is a lot higher (1-21% last 5 years vs. 6-13% for domestic)
3-5x the revenue yield per transaction versus domestic (ie. cross-border only represents <10% of transaction volume but 30% of rev). Yields higher when FX is more volatile, and V/MA are only true global providers
When merchant and consumer bank are in different countries - driven by tourism and e-commerce. When USD strong, less cross-border volume as tourism to US decreases. Cash displacement not big driver bc card use in tourism already high