Survey Confirms: Decoupled Credit Card Market Sizable
This entry was posted on 3/10/2008 5:08 PM and is filed under Debit Card.
Boston, MA, March 10, 2008: Based on an online
survey of 500 U.S. consumers completed in January 2008, a new report from Aite Group, LLC reveals that there is a sizable potential market for decoupled
debit cards in the United States, with about a third of cardholders expressing interest.
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According to the Aite report, decoupled debit cards - cards issued by
an entity other than the institution where a customer's primary checking account resides - are a
relatively new concept, but one with a large potential market. About one-third of online consumers
who have either a debit or credit card are interested to very interested in decoupled debit card concepts.
Among its key findings, the report notes that consumers interested in decoupled debit
cards are "reward addicts," going out of their way to earn rewards, participating in all
types of rewards programs and frustrated by programs that are restrictive.
"Because co-brand cards usually restrict the scope of the rewards, as opposed
to non-co-brand reward cards, our study suggests that the co-brand approach might not be the best path
to marketing decoupled debit cards" says Gwenn Bezard, research director with Aite Group and
co-author of the report. "Program managers may want to focus on issuing decoupled debit cards on
their own, or as part of a coalition marketing alliance with a large number of merchants."
To purchase this report or for additional information, please contact:
Aite Group Sales Tel: 1.617.338.6050 sales@aitegroup.com
