Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept and close

Description

Description

“Awareness of debit card rewards is not high but there are segments that prefer debit so banks can use an attractive rewards program as a first time relationship builder.”
– Sanjay Sharma, Senior Financial Services Analyst

This Report looks at the following areas:

  • Credit and cash are the most popular payment methods
  • TD is the most popular choice for debit; TD & RBC are the leading issuers of credit cards
  • Around one in four 18-24s would prefer to use debit exclusively 
  • Men over-55 more likely to exceed $2,000 in monthly credit card spending
  • Young males more willing to pay a higher fee for better credit card rewards

What's included

What's included

Table of contents

Table of contents

  1. Overview

      • Regional classifications
        • Income
        • Executive Summary

            • The issues
              • Credit and cash are the most popular payment methods
                • Figure 1: Payment methods used, August 2017
              • TD is the most popular choice for debit; TD & RBC are the leading issuers of credit cards
                • Figure 2: Choice of FI for debit and credit cards, August 2017
              • Around one in four 18-24s would prefer to use debit exclusively
                • Figure 3: Agreement with statements related to debit card usage (% agree), August 2017
              • Men over-55 more likely to exceed $2,000 in monthly credit card spending
                • Figure 4: “My average credit card monthly spend exceeds $2,000” (% agree), August 2017
              • Young males more willing to pay a higher fee for better credit card rewards
                • Figure 5: Agreement with statements related to credit card rewards, August 2017
              • The opportunities
                • Debit can be the starting point of a lifelong relationship
                  • Figure 6: Agreement with statements related to debit card rewards, (% agree), August 2017
                • Three in five consumers prefer to use the card offered by their main FI
                  • Figure 7: Agreement with statements about credit cards, August 2017
                • Building a win-win relationship with high credit card spenders
                  • Figure 8: Agreement with statements related to credit card usage (% agree), 18-44s vs over-45s, August 2017
                • What it means
                • Market Factors – What You Need to Know

                  • Canada’s population is aging
                    • Canada will become increasingly diverse
                      • Growth in smartphone ownership a boon for mobile banking
                        • Financial concerns can lead to cautious spending habits
                          • High participation in loyalty programs drives credit card ownership
                            • Awareness of mobile payment high; cryptocurrencies is lower
                            • Market Factors

                              • Canada’s population is aging
                                • Figure 9: Canadian population, by age, 2016
                              • Canada will become increasingly diverse
                                • Growth in smartphone ownership a boon for mobile banking
                                  • Financial concerns can lead to cautious spending habits
                                    • High participation in loyalty programs drives credit card ownership
                                      • Figure 10: Loyalty program participation, by industry, June 2017
                                    • Awareness of mobile payment high; cryptocurrencies is lower
                                      • Figure 11: Awareness and usage of digital tools related to payments, March 2017
                                  • Key Players – What You Need to Know

                                    • CIBC and PC Financial end partnership; CIBC to rebrand digital bank as Simplii
                                      • Equifax breach has a Canadian impact
                                        • China's Alibaba bringing online payment platform AliPay to Canada
                                          • Venmo testing physical debit card
                                            • PayPal debuts a credit card that offers 2% cash back
                                              • Apple’s new money transfer service Apple Pay Cash to launch in late fall 2017
                                                • Uber launches credit card
                                                • Industry Developments and Innovations

                                                  • Canadian developments and innovations
                                                    • CIBC and PC Financial end partnership; CIBC to rebrand digital bank as Simplii
                                                      • Canadian startup STACK partners with MasterCard
                                                        • China's Alibaba bringing online payment platform AliPay to Canada
                                                          • RBC launches two new iOS payment options
                                                            • Equifax breach has a Canadian impact
                                                              • International developments and innovations
                                                                • Venmo testing physical debit card
                                                                  • PayPal debuts a credit card that offers 2% cash back
                                                                    • Mobile wallet Curve launches 'time travel' tool to let you 'shop in the past'
                                                                      • Petal announces new credit card that does not require credit scores
                                                                        • Apple’s new money transfer service Apple Pay Cash to launch in late fall 2017
                                                                          • Samsung Pay expands in Canada with new partners
                                                                            • Uber launches credit card
                                                                            • Marketing Campaigns

                                                                              • Interac gets consumers to open up to tapping
                                                                                • Figure 12: Interac – Open up to flash, September 2017
                                                                              • American Express targets Millennial life
                                                                                • Figure 13: The NEW American Express Cobalt Card – You Do You, September 2017
                                                                              • Selected campaigns from Mintel Comperemedia
                                                                                • RBC offers an Apple Watch or iPhone
                                                                                  • Figure 14: RBC new customer gift, email advertisement, October 2017
                                                                                • BMO ATM’s make your life easier
                                                                                  • Figure 15: BMO’s ATM email advertisement, October 2017
                                                                              • The Consumer – What You Need to Know

                                                                                • Credit and cash are the most popular payment methods
                                                                                  • TD is the most popular choice for debit; TD & RBC are the leading issuers of credit cards
                                                                                    • Awareness of debit rewards is not high
                                                                                      • Around three in ten would prefer to use debit exclusively
                                                                                        • Men over-55 more likely to exceed $2,000 in monthly spending
                                                                                          • Younger women are particularly stressed about unpaid card balances
                                                                                            • Young males more willing to pay a higher fee for better credit rewards
                                                                                            • Payment Methods Used

                                                                                              • Credit and cash are the most popular payment methods
                                                                                                  • Figure 16: Payment methods used, August 2017
                                                                                                • Older Canadians more likely to prefer “traditional” payment methods
                                                                                                  • Figure 17: Payment methods used, 18-44s vs over-44s, August 2017
                                                                                                • Women have different payment preferences
                                                                                                  • Figure 18: Payment methods used (select), men vs women, August 2017
                                                                                                • Asian Canadians less likely to use debit
                                                                                                  • Figure 19: Payment methods used (select), Asian Canadians vs overall population, August 2017
                                                                                              • Choice of Financial Institution for Debit and Credit Cards

                                                                                                • TD is the leading debit card issuer
                                                                                                  • Figure 20: Choice of FI for debit cards, August 2017
                                                                                                • Desjardins is the leading debit card issuer in Quebec
                                                                                                  • Figure 21: Choice of FI for debit cards, Quebec vs overall population, August 2017
                                                                                                • TD and RBC are the leading choices for credit cards
                                                                                                  • Figure 22: Choice of FI for credit cards, August 2017
                                                                                                • PC Financial more popular among women, Amex among men
                                                                                                  • Figure 23: PC Financial and Amex credit cards, men vs women, August 2017
                                                                                                • Regional differences are significant
                                                                                                  • Figure 24: Choice of FI for credit cards, Quebec vs overall population, August 2017
                                                                                                • TD’s strength among 18-24s
                                                                                                • Debit and Credit Card Usage

                                                                                                  • Debit card usage
                                                                                                    • Over one third of 18-24s would prefer to use debit exclusively
                                                                                                      • Figure 25: Agreement with statements related to debit card usage, (% agree), August 2017
                                                                                                    • Younger consumers relatively more likely to use multiple debit cards
                                                                                                      • Figure 26: Agreement with statements related to debit card usage (% agree), men vs women, August 2017
                                                                                                    • Credit card usage
                                                                                                      • Three in five consumers prefer to use the card offered by their main FI
                                                                                                        • Figure 27: Agreement with statements about credit cards, August 2017
                                                                                                      • Men over-55 more likely to exceed $2,000 in monthly spending
                                                                                                        • Figure 28: “My average credit card monthly spend exceeds $2,000” (% agree), by age and gender, August 2017
                                                                                                      • Around a third of 18-34s have used a prepaid card
                                                                                                        • Younger consumers more likely to prefer debit
                                                                                                          • Figure 29: Agreement with select statements related to credit card usage (% agree), by age, August 2017
                                                                                                        • Older card holders more prolific and responsible users
                                                                                                          • Figure 30: Agreement with statements related to credit card usage (% agree), 18-44s vs over-45s, August 2017
                                                                                                        • Chinese Canadians are much more likely to prefer credit over debit cards
                                                                                                          • Figure 31: Agreement with select statements about credit card usage (% agree), Chinese Canadians vs overall population, August 2017
                                                                                                      • Debit and Credit Card Rewards

                                                                                                        • Awareness of debit rewards is not high
                                                                                                          • Figure 32: Agreement with statements related to debit card rewards, (% agree), August 2017
                                                                                                        • Younger users more willing to pay more for better debit rewards
                                                                                                          • Figure 33: Agreement with statements related to debit card rewards (% agree), 18-44 vs over-45s, August 2017
                                                                                                        • Scotia debit customers are more aware of debit rewards
                                                                                                          • Figure 34: Agreement with statements related to debit card rewards (% agree), August 2017
                                                                                                        • Debit can be the starting point of a lifelong relationship
                                                                                                          • Young males more willing to pay a higher fee for better credit card rewards
                                                                                                            • Figure 35: Agreement with statements related to credit card rewards, August 2017
                                                                                                          • PC Financial customers are more “functional” users
                                                                                                            • Figure 36: Agreement with statements related to credit card rewards (% agree), August 2017
                                                                                                          • Around a third of PC Financial card customers have a “black” card
                                                                                                            • Figure 37: Agreement with statement related to credit card usage (% agree), Desjardins vs PC Financial credit card customers, August 2017
                                                                                                        • Credit Card Spending and Security

                                                                                                          • Younger women are particularly stressed about unpaid card balances
                                                                                                            • Figure 38: Agreement with statements about credit cards, August 2017
                                                                                                          • Men are more interested in paying for balance protection insurance
                                                                                                            • Figure 39: Agreement with statements about credit cards, August 2017
                                                                                                          • Men and younger consumers more likely to be influenced by non-reward benefits
                                                                                                            • Around three in five consumers agree liability protection enhances safety
                                                                                                              • Figure 40: Agreement with statements about credit cards, August 2017
                                                                                                          • Appendix – Data Sources and Abbreviations

                                                                                                            • Data sources
                                                                                                              • Consumer survey data
                                                                                                                • Consumer qualitative research
                                                                                                                  • Abbreviations and terms

                                                                                                                  About the report

                                                                                                                  This report will give you a complete 360-degree view of your market. Not only is it rooted in robust proprietary and high-quality third-party data, but our industry experts put that data into context and you’ll quickly understand:

                                                                                                                  • The Consumer

                                                                                                                    What They Want. Why They Want It.

                                                                                                                  • The Competitors

                                                                                                                    Who’s Winning. How To Stay Ahead.

                                                                                                                  • The Market

                                                                                                                    Size, Segments, Shares And Forecasts: How It All Adds Up.

                                                                                                                  • The Innovations

                                                                                                                    New Ideas. New Products. New Potential.

                                                                                                                  • The Opportunities

                                                                                                                    Where The White Space Is. How To Make It Yours.

                                                                                                                  • The Trends

                                                                                                                    What’s Shaping Demand – Today And Tomorrow.

                                                                                                                  Please Note: This is a sample report. All of the figures, graphs, and tables have been redacted.

                                                                                                                  Trusted by companies. Big and small.

                                                                                                                  • bell
                                                                                                                  • boots
                                                                                                                  • google
                                                                                                                  • samsung
                                                                                                                  • allianz
                                                                                                                  • kelloggs
                                                                                                                  • walgreens
                                                                                                                  • redbull
                                                                                                                  • unilever
                                                                                                                  • Harvard
                                                                                                                  • pinterest
                                                                                                                  • new-york-time