We just published a whitepaper on the topic of 'Next-generation card processing' - offering in-depth insights into its market relevance and defining characteristics, authored by our colleagues Steven Jacob, Francesco Burelli, Kim Catherin Kasch, Peter Grosskurth and Malte Thom in a joint study with Peter Theunis from the global PSP and card processor BPC #Payments #CardPayments
Over the past decade, #CardProcessing in the #CardIssuing business has been shaped by various dynamics. In addition to increasing commoditization, declining prices, and consolidation among established players, several challengers have entered the market, positioning themselves as “Modern Card Processors” or “Next-generation Processors” and aiming to differentiate accordingly. In collaboration with card processor BPC, we have thoroughly examined this topic to assess the significance of "Next-generation card processing" and to define the term itself. Some key insights from the analysis of 46 providers and over 150 portfolio wins: 💡 Challenger processors are experiencing significantly higher growth compared to the overall market (based on a sample of 10 challengers) 💡 There is no single feature that defines a Next-generation Processor… 💡 …rather, it is the interplay of 1. core functionalities in card processing, 2. cloud-native architecture, 3. open APIs, and 4. regulatory services that enable these providers to serve various target groups (including non-banks) and use cases along the issuing value chain. #EmbeddedFinance #CreditCards #DebitCards Peter Theunis Francesco Burelli Peter Grosskurth Jannik Lücking Kim Catherin Kasch Malte Thom Torben Lötje Siu-Liang Hor Hauke Sawall