Philippines Prepaid Card and Digital Wallet Business and Investment Opportunities Databook - Market Size and Forecast, Consumer Attitude & Behaviour, Retail Spend - Q1 2024 Update

According to the publisher, the prepaid card market (value terms) in Philippines increased at a CAGR of 7.3% during 2019-2023. Over the forecast period of 2024 to 2028, the market is expected to record a CAGR of 10.3%, increasing from US$3.21 billion in 2023 to reach US$5.31 billion by 2028.

The thriving fintech market has aided the growth of the prepaid card industry in the Philippines. These businesses are catering to the needs of underbanked and unbanked consumers, thus leading to higher adoption of prepaid payment instruments, including digital wallets and prepaid cards. In 2024, the publisher expects the adoption of these payment solutions to further increase in the Philippines.

The industry growth will also be driven by the trend of strategic collaborations in the sector in 2024. To simplify payments for travelers, at a time when travelers are returning to the Philippines, businesses are entering into strategic partnerships in the market. Government policy measures are also projected to play a pivotal role in the industry growth over the medium term. Overall, the publisher maintains a positive growth outlook for the Philippines prepaid card industry over the next three to four years.

Firms are entering into strategic partnerships to drive financial inclusion in the Philippines market

A significant chunk of the Filipino population has no access to digital payment services. Consequently, to tap into this consumer demographic, firms are entering into strategic alliances in the Philippines.

• GCash, the Philippine-based super app, entered into a strategic collaboration with Visa in October 2023. The partnership is part of the strategy to reach the unbanked population and provide them with payment cards, thereby targeting financial inclusion in the Philippines. With the prepaid cards powered by Visa, consumers will be able to use the payment solution in more than 200 countries and territories.

From the short to medium-term perspective, the publisher expects more firms to enter into such strategic collaborations in the Philippines. This will drive the competitive landscape and market growth over the next three to four years.

Digital wallet providers are looking to ride on the booming tourism market in the Philippines

As global travelers return to the Philippines, digital wallet providers are seeking a growth opportunity in the segment over the medium term. Consequently, firms are entering into strategic collaborations in the Philippines.

• Asia United Bank (AUB), in September 2023, entered into a strategic partnership with Alipay+. This will enable more local merchants to accept cross-border digital payments from South Korea, Hong Kong, and Malaysia. The collaboration will also drive the growth of AUB PayMate, the e-wallet service offered by AUB.
• Tourists can use their home country's digital wallets to make payments for various things like tourism, shopping, dining, entertainment, and attractions in the Philippines. This includes digital wallets like AlipayHK from Hong Kong, Kakao Pay from South Korea, and Touch 'n Go eWallet from Malaysia, along with Alipay from Mainland China.

AUB PayMate has made it possible for more than 5,000 stores in Manila and Cebu, two highly visited places in the Philippines, to accept Alipay+. As the travel market continues to grow in the Philippines, it will also support the growth of prepaid card transactions over the medium term.

Digital wallet providers are evaluating the impact of fee waivers on micropayments in the Philippines

The Bangko Sentral ng Pilipinas, in 2023, advocated for eliminating fees on small-value transactions to encourage more people to use digital payments. This is part of the strategy to promote payment methods like e-wallets and card-based payments, while also targeting higher financial inclusion in the country. This move, however, is expected to have a revenue impact on digital wallet providers and banking institutions.

GCash and Maya, two of the leading digital wallet service providers, are evaluating the impact of fee waivers on micropayments. These providers charge a fee for various transactions starting from P5 each. The fee waiver will cover transactions like sending money to another e-wallet user, adding funds to an e-wallet account, withdrawing money from an e-wallet account, and transferring funds to a bank account, among other similar transactions.

This report provides a detailed data centric analysis of prepaid payment instruments, covering spend through prepaid cards and digital wallets across retail and corporate consumer segments. In addition, it provides a snapshot of consumer behaviour and retail spend dynamics in Philippines. With over 100 KPIs at country level, this report provides comprehensive understanding of prepaid card and digital wallet card market dynamics.

• Market dynamics: Provides a comprehensive view on size and structure, industry dynamics, market trends, consumer attitude and behaviour, and competitive landscape in prepaid card and digital wallet industry.
• Digital wallet segments: Provides value, volume and average value per transaction across 5 key spend categories in digital wallet. This includes retail, travel, entertainment and gaming, restaurant, and recharge and bill payment.
• Open loop and closed loop prepaid cards: market estimates and forecasts to assess opportunities 12 open loop and closed loop prepaid market segments. Details four essential KPIs - number of cards in circulation, number of transactions, load value, and value of transactions.
• Virtual Prepaid Cards: Provides transaction value analysis across 12 key prepaid card catergories for Virtual Prepaid Cards.
• Detailed Market Share Analysis by Key Players in the Prepaid Card Market.
• Consumer attitude and behaviour: Drawing from proprietary survey results, this report identifies and interprets key prepaid KPIs, including spend by age, gender, and income level.
• Retail spend: Breaks down retail spend across 11 categories to provide detailed insights on consumer behaviour and changing dynamics of prepaid card spend.

Scope

This report provides a detailed data centric analysis of prepaid payment instruments, covering spend through prepaid cards and digital wallets across retail and corporate consumer segments. In addition, it provides a snapshot of consumer behaviour and retail spend dynamics in Philippines. With over 100 KPIs at country level, this report provides comprehensive understanding of prepaid card and digital wallet card market dynamics.

Philippines Prepaid Payment Instrument Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction

Philippines Digital Wallet Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction

Philippines 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)

Philippines Digital Wallet Spend by Key Retail Categories

• Food and Grocery
• Health and Beauty Products
• Apparel and Foot Wear
• Books,Music and Video
• Consumer Electronics
• Pharmacy and Wellness
• Gas Stations
• Restaurants and Bars
• Toys, Kids and Baby Products
• Services
• Other Categories

Philippines 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

Philippines Open Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

Philippines Closed Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

Philippines Prepaid Card Market Share by Key Players

• General Purpose Prepaid Cards
• Business and Administrative Expense Prepaid Cards
• Travel Forex Prepaid Cards
• Meal Prepaid Cards

Philippines Prepaid Card Consumer Usage Trends

• By Age Group
• By Income Group
• By Gender

Philippines Prepaid Card Spend by Key Retail Categories

• Food and Grocery
• Health and Beauty Products
• Apparel and Foot Wear
• Books,Music and Video
• Consumer Electronics
• Pharmacy and Wellness
• Gas Stations
• Restaurants and Bars
• Toys, Kids and Baby Products
• Services
• Other Categories

Philippines General Purpose Prepaid Card Market Size and Forecast

Philippines 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

Gift Card Market Size and Forecast by Consumer Segments

• 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

Philippines Entertainment and Gaming Prepaid Card Market Size and Forecast

Philippines 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

Philippines Business and Administrative Expense Prepaid Card Market Size and Forecast

Business and Administrative Expense Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Philippines Payroll Prepaid Card Market Size and Forecast

Payroll Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Philippines Meal Prepaid Card Market Size and Forecast

Meal Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Philippines Travel Forex Prepaid Card Market Size and Forecast

Travel Forex Prepaid Card Market Size and Forecast by Consumer Segments

• By Retail
• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Philippines Transit and Tolls Prepaid Card Market Size and Forecast

Philippines Healthcare and Wellness Prepaid Card Market Size and Forecast

Philippines Social Security and Other Government Benefit Programs Prepaid Card Market Size and Forecast

Philippines Fuel Prepaid Cards Market Size and Forecast

Philippines Utilities, and Other Prepaid Cards Market Size and Forecast

Philippines Virtual Prepaid Card Industry Market Attractiveness

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction

Philippines Virtual Prepaid Card Market Size and Future Growth Dynamics by Key Categories

• General Purpose Prepaid Cards
• Gift Cards
• Entertainment and Gaming Prepaid Cards
• Teen and Campus Prepaid Cards
• Business and Administrative Expense Prepaid Cards
• Payroll Prepaid Cards
• Meal Prepaid Cards
• Travel Forex Prepaid Cards
• Transit and Trolls Prepaid Cards
• Social Security and Other Government Benefit Programs Prepaid Cards
• Fuel Prepaid Cards
• Utilities and Other Prepaid Cards

Reasons to buy

• In-depth understanding of prepaid card and digital wallet market dynamics: Understand market opportunity, industry dynamics, key trends and drivers across 75+ market segments and sub-segments of prepaid payment instrument,Prepaid Card, Digital Wallet and Virtual Prepaid Card in Philippines.
• Understand market opportunities and key trends along with forecast (2019-2028). Understand market dynamics through essential KPIs such as Transaction Value, Transaction Volume, and Average Value Per Transaction.
• Develop market specific strategies: Identify growth segments and target specific opportunities to formulate your prepaid card and digital wallet strategy; assess market specific key trends, drivers and risks in the industry.
• Detailed analysis of market share by key players across key Prepaid Card Categories.
• Get insights into consumer attitude and behaviour: Understand changing consumer attitude and behaviour and boost ROI. Get detailed insights into retail spend through prepaid cards, virtual prepaid cards and digital wallets.