The Colombian credit and debit card market has shown significant activity in 2024, with notable shifts in market share among key competitors and varying growth rates in transaction volumes and card issuance. As of June 2024, the market comprises 14.1 million credit cards and 45 million debit cards, indicating the broad penetration of these payment instruments in the Colombian economy.
Credit Card Market Dynamics
In the credit card segment, the total volume of transactions (including ATM withdrawals and point-of-sale (POS) transactions) grew by 4.4% on a year-over-year basis. However, the number of transactions slightly decreased by 1.9%, suggesting a possible increase in the average transaction size or a shift in consumer behavior towards fewer but larger transactions. The volume of credit card financing saw a minor decline of 0.6%, reflecting a potential cautiousness among consumers or tighter credit conditions.
Credit Card Market Dynamics
In the credit card segment, the total volume of transactions (including ATM withdrawals and point-of-sale (POS) transactions) grew by 4.4% on a year-over-year basis. However, the number of transactions slightly decreased by 1.9%, suggesting a possible increase in the average transaction size or a shift in consumer behavior towards fewer but larger transactions. The volume of credit card financing saw a minor decline of 0.6%, reflecting a potential cautiousness among consumers or tighter credit conditions.
Credit Cards - Market share growth ranking
When examining market share growth among credit card issuers, BBVA Colombia led the market with a 1.88 percentage point increase in its market share. Banco Davivienda followed closely with a 1.62 percentage point gain. Banco Colpatria - Scotiabank, Banagrario, and Banco Popular also recorded modest increases in their market shares, with growths of 0.48, 0.14, and 0.11 percentage points, respectively.
In terms of brand performance, Visa saw a 2.52 percentage point increase in its market share, solidifying its position as a leading brand in the Colombian credit card market. Mastercard's share increased by 0.30 percentage points, while Diners Club experienced a slight gain of 0.02 percentage points. On the other hand, American Express and proprietary brands faced declines, with American Express losing 0.10 percentage points and proprietary brands dropping by 2.75 percentage points.
Debit Card Market Trends
The debit card market also experienced shifts, particularly in the volume of transactions. The volume of purchase transactions made with debit cards grew significantly by 16.2% year-over-year, indicating strong consumer adoption for everyday purchases. Conversely, the number of ATM transactions decreased by 9.5%, possibly reflecting a broader trend towards digital payments and reduced cash usage.
Debit Card Market Trends
The debit card market also experienced shifts, particularly in the volume of transactions. The volume of purchase transactions made with debit cards grew significantly by 16.2% year-over-year, indicating strong consumer adoption for everyday purchases. Conversely, the number of ATM transactions decreased by 9.5%, possibly reflecting a broader trend towards digital payments and reduced cash usage.
Debit Cards - Market share growth ranking
Bancolombia was the top performer in the debit card segment, increasing its market share by 2.10 percentage points. Banagrario also showed robust growth with a 1.23 percentage point increase. RappiPay, Bancoomeva, and AV Villas recorded smaller but positive gains in market share, with increases of 0.55, 0.44, and 0.37 percentage points, respectively.
Acquiring Networks and Market Share
The acquiring side of the market, which includes the processing of transactions for both credit and debit cards at POS terminals, saw its own set of shifts. Mastercard emerged as the leader in terms of market share growth, with a 1.39 percentage point increase in the total transaction volume. Visa also gained, with a 1.00 percentage point rise. Visionamos experienced minimal change, gaining 0.01 percentage points. However, some networks saw declines; Credibanco's market share dropped by 0.71 percentage points, and Redeban Multicolor experienced a more significant decline of 1.68 percentage points.
Acquiring Networks and Market Share
The acquiring side of the market, which includes the processing of transactions for both credit and debit cards at POS terminals, saw its own set of shifts. Mastercard emerged as the leader in terms of market share growth, with a 1.39 percentage point increase in the total transaction volume. Visa also gained, with a 1.00 percentage point rise. Visionamos experienced minimal change, gaining 0.01 percentage points. However, some networks saw declines; Credibanco's market share dropped by 0.71 percentage points, and Redeban Multicolor experienced a more significant decline of 1.68 percentage points.
POS transactions COP$ value market share growth ranking
The data from June 2024 reflects a dynamic and competitive landscape in Colombia's credit and debit card market. While some players have successfully expanded their market presence, others have faced challenges. The shifts in consumer behavior towards digital payments and the varying growth rates among different market participants highlight the evolving nature of the financial services sector in Colombia.
