The volume of card payments grew significantly across Europe between 2010 and 2012 as consumers increasingly moved from using cash to cards for transactions. According to RBR’s Payment Cards Issuing and Acquiring Europe 2014 report, the number of card payments in western Europe was up 15 per cent over this period, while in central and eastern Europe (CEE), they increased by 82 per cent. Card usage has been boosted generally by a move away from cash for low-value payments, by the increased issuance – and acceptance – of contactless cards, and the growing proliferation of mPOS acquiring, seen in such markets as France, Denmark, Greece, Bulgaria, Russia and Kazakhstan.

The continuing boom of e-commerce is also playing a significant role: during 2012 there were 2.5 billion e-commerce payments using cards across western Europe and 224 million in CEE, representing six and four per cent of total card payment volume in these regions respectively. The sector is rapidly expanding, through the establishment of new e‑commerce merchants, and new bank services which facilitate e-commerce payments – such as Turkey’s BKM Express, which allows cardholders to make online transactions through the interbank card centre without having to type in their card numbers every time they wish to make a payment.

The payment cards markets of western Europe still show signs of potential for further development, with issuers and acquirers adopting new technology to encourage consumers to use cards more frequently and for a wider range of transactions. In CEE, strong growth in the number of cards issued is expected, as there remains room for increased cardholding in many markets. Although the drivers in the two regions vary significantly, both can expect to continue to grow for some years to come.

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