1. Market Research
  2. > Financial Services
  3. > Banking Market Trends
  4. > Retailer Payments, Banking, Insurance and Assistance in the USA

Retailer Payments, Banking, Insurance and Assistance in the USA investigates the market for financial services organised by over 500 major retail brands in the USA. As well as examining their initiatives in payment cards, banking products, insurance and assistance, the study also examines their involvement in proprietary and coalition loyalty programs, and details the online payment mechanisms accepted by those with an online sales capability. Among other data points, the report and PartnerBASE™ dataset that accompanies it embrace the following information about the retailers covered:

- whether they offer their own credit, debit or prepaid cards and, if so, the card issuers that they work with in this context if they do not issue the cards themselves;

- whether they are linked to one or more loyalty programs and, if so, whether these are proprietary or coalition schemes;

- whether they make non-card point-of-sale finance available to their customers and, if so, the finance providers that they employ for this purpose;

- whether they promote mainstream banking products such as general-purpose personal loans, mortgages and savings accounts and, if so, the partners that they co-operate with;

- whether they distribute accident, auto, dental, health, homeowners, life, pet or travel insurance, or any kind of assistance services and, if so, the insurance or assistance providers used;

- for retail brands with an online sales capability, the payment means and providers that they accept for online purchases with consideration of payment cards, online accounts, mobile payments, bank transfers and other online payment options.

The report and PartnerBASE™ dataset can be used in the following ways:

- to gain access to a comprehensive source of information that provides detailed insights into the involvement of major retail brands in the USA in payments, banking, insurance and assistance;

- to monitor the activity of key competitors in retailer financial services including Citibank, Comenity Bank, GE Capital Retail Bank, PayPal and U.S. Bank;

- to understand the potential in the US for converting proprietary retailer loyalty cards and coalition loyalty schemes into fully-fledged payment cards;

- to evaluate the extent to which consolidation among conventional banks is opening up opportunities for new retailer banks to emerge as ‘consumer champions';

- to appreciate the range of online payment choices open to consumers in the US who buy products and services through the websites of major retail groups.

Table Of Contents

Retailer Payments, Banking, Insurance and Assistance in the USA
0.0 EXECUTIVE SUMMARY 1
1.0 INTRODUCTION 3
What is this report about? 3
Rationale 3
In many countries, consumers are tending to gravitate to larger retailers and to buy more online... 3
... which throws up new opportunities in payments, banking, insurance and assistance 3
Methodology 4
Survey of retailers 4
The survey's scope covers 501 important retail brands grouped across ten categories... 4
Definitions 5
Payment, banking, insurance and assistance products and services 5
Operating models 7
Weighted shares 7
PartnerBASE 7
Finaccord 8
2.0 MARKET ANALYSIS 9
Introduction 9
Retailer payment cards 11
Credit, debit and prepaid cards 11
Co-branded and private-label payment cards are widespread among major retail brands in the US... 11
... and three issuers account for a half of all payment card schemes between them... 11
... although there are a further 20 external partners active in this field... 12
... plus a number of captives, which means that its tail is quite fragmented 13
Several retailers continue to issue payment cards themselves with no apparent external or captive partner 13
Comenity Bank, owned by Alliance Data, manages over 30 million payment card and customer accounts . 14
WEX Bank is a leading provider of fleet fuel cards in the US 14
Citibank, Comenity Bank, GE Capital and U.S. Bank are the market leaders 15
The retailer payment card market has been characterised by numerous acquisitions in recent years... 15
... including the acquisition by Capital One of the private-label credit card portfolio of Kohl's... 15
... and a comparable deal involving TD Bank Group and Target 15
GE Capital also works in this sphere with numerous regional retail brands... 17
... stating that customers with retailer cards make more regular and higher value purchases 17
Private-label cards continue to dominate, whether viewed in unweighted or weighted terms 17
Retailers operating a mixed distribution model are most likely to promote their own payment card 17
Gift cards 20
The closed-loop prepaid gift card market is worth over USD 300 billion in terms of total loaded value... 20
…with retailers in the sporting goods sector the most likely to be active in this field 20
Retailer loyalty programs 22
Over two thirds of major retail brands in the US participate in some type of loyalty scheme… 22
…with retailers in the department store and variety sector the most likely to promote such a program 22
Proprietary loyalty programs 24
Over a half major retail brands in the US operate a proprietary loyalty program 24
Coalition loyalty programs 24
Numerous major retailers are affiliated to Sallie Mae's Upromise program 24
Consumer finance 24
Provision rates for point-of-sale finance are markedly lower those for retailer payment cards... 24
… with PayPal's Bill Me Later service by far the largest provider in this domain... 24
…and with a small number of other finance providers making up the rest of the market 25
Ranked second in the weighted analysis, WhyNotLeaseIt holds several important partnerships 25
The consumer electronics sector features the highest provision rate for consumer finance 27
Banking products 29
Overview 29
Over 20 major retailers have an arrangement in the field of international remittances... 29
Personal loans, mortgages and savings accounts 29
... but relatively few distribute mainstream banking products 29
Walmart's Bluebird joint venture with American Express now functions as a deposit-taking bank 30
International payments / remittances 32
Both MoneyGram and Western Union have secured multiple major retail brands as distributors... 32
…while department store Curacao operates its own captive international remittance service 32
Insurance and assistance 35
Eight major retail chains in the US promote mainstream forms of insurance of the type researched... 35
... among which Camping World distributes the widest array of policies 35
eHealth has become an important online distributor for health insurance in the US 36
Speciality retailers are most likely to promote insurance or assistance products 38
Online payments 39
Acceptance rates 39
Payment cards and online accounts are clearly the preferred online payment options in the US 39
Payment cards 39
Acceptance rates for American Express and Diners Club are close to those for MasterCard and Visa 39
Online accounts 41
PayPal dominates but faces competition from four powerful rivals... 41
... namely, Amazon Checkout, Google Wallet, MasterPass and V.me 41
Online accounts enjoy the highest acceptance rates among online retailers of sporting goods 42
Mobile payments 43
Bank transfers 43
Direct bank transfers are not a common means of online payment among retailers in the US 43
Other methods of online payment 44
A few online retail brands also accept payments on delivery (COD) or payments through wire transfers 44
3.0 APPENDIX 46
Major captives and joint ventures 46


List of Graphics / Tables


0.0 EXECUTIVE SUMMARY 1
Provision rates for key payment, banking, insurance and assistance products, adherence rates for loyalty
schemes and online payment product acceptance rates among retailers in the US, 2013 2
1.0 INTRODUCTION 3
Retailers researched in the US, segmented by category, 2013 4
Retailers researched in the US segmented by distribution model, 2013 5
2.0 MARKET ANALYSIS 9
Provision of retailer payment cards by type of card in the US, 2013 11
Retailer payment cards in the US: provision rate and operating models, 2013 14
Retailer payment cards in the US: unweighted and weighted issuer share of partnerships, 2013 16
Retailer payment cards in the US: unweighted and weighted network share of partnerships, 2013 . 18
Provision of retailer payment cards by retailer category and distribution model in the US, 2013 19
Provision of retailer gift cards by retailer category and distribution model in the US, 2013 21
Retailer loyalty programs in the US: provision rates, program types and links to payment and other cards,
2013 22
Provision of or involvement in loyalty programs by retailer category and distribution model in the US, 2013
23
Retailer consumer finance in the US: provision rate and operating models, 2013 25
Retailer consumer finance in the US: unweighted and weighted provider share of partnerships, 2013 ..... 26
Provision of retailer consumer finance by retailer category and distribution model in the US, 2013 .. 28
Retailer provision of other banking products and services in the US, 2013 29
Retailer personal loans, mortgages and savings accounts in the US: provision and operating models,
2013 30
Retailer personal loans, mortgages and savings accounts in the US: unweighted and weighted provider
share of partnerships, 2013 31
Retailer international payments / remittances in the US: provision and operating models, 2013 32
Retailer international payments / remittances in the US: unweighted and weighted provider share of
partnerships, 2013 33
Provision of international payments / remittances by retailer category and distribution model in the US,
2013 34
Retailer insurance and assistance in the US: provision by policy type, 2013 35
Retailer insurance and assistance in the US: provision and operating models, 2013 36
Retailer insurance and assistance in the US: unweighted and weighted provider share of partnerships,
2013 37
Provision of insurance and assistance by retailer category and distribution model in the US, 2013 . 38
Retailer online payment acceptance in the US: acceptance rates by payment type, 2013 39
Payment cards accepted as an online payment mechanism by retailers in the US: unweighted and
weighted network share of acceptance, 2013 40
Acceptance of payment cards as an online payment mechanism by retailer category in the US, 2013 .... 41
Online accounts accepted as an online payment mechanism by retailers in the US: unweighted and
weighted provider share of acceptance, 2013 42
Acceptance of online accounts as an online payment mechanism by retailer category in the US, 2013 ... 43
Acceptance of direct bank transfers as an online payment mechanism by retailer category in the US, 2013
44
Acceptance of other types of online payment mechanisms by retailer category in the US, 2013 45
3.0 APPENDIX 46
Retailer captives and joint ventures in payments, banking, insurance and assistance in the US: operating
models, partners and ownership, 2013 46

View This Report »

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 24 Million searchable statistics with tables, figures & datasets
  • More than 10,000 trusted sources
24/7 Customer Support

Talk to Ahmad

+1 718 618 4302

Purchase Reports From Reputable Market Research Publishers
China Banking IT Solutions Market Shares, 2015: Market Maintains Stable Growth

China Banking IT Solutions Market Shares, 2015: Market Maintains Stable Growth

  • $ 7500
  • Industry report
  • October 2016
  • by IDC

"China's banking industry is facing three major challenges -- economic slowdown, interest rate liberalization reform, and internet finance, accompanied by dramatic changes in the banking business environment," ...

Blockchain Technology Market by Provider, Application, Organization Size, Vertical, and Region - Global Forecast to 2021

Blockchain Technology Market by Provider, Application, Organization Size, Vertical, and Region - Global Forecast to 2021

  • $ 5650
  • Industry report
  • October 2016
  • by MarketsandMarkets

“Need for transparency and immutability is driving the growth of the blockchain technology market” MarketsandMarkets estimates the global blockchain technology market to grow from USD 210.2 million ...

China Banking Industry IT Solutions Forecast, 2016-2020

China Banking Industry IT Solutions Forecast, 2016-2020

  • $ 5500
  • Industry report
  • September 2016
  • by IDC

"China's banking industry is facing three major challenges -- economic slowdown, interest rate liberalization reform, and internet finance, accompanied by dramatic changes in the banking business environment. ...

Uk Wealth Report 2016

September 2016 $ 4995

Italy Wealth Report 2016

September 2016 $ 4995

ref:plp2014

Reportlinker.com © Copyright 2016. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.