Welcome!

News Feed Item

18% Increase in Online Spending with Visa Fuels Solid Growth for the Business in the UK

UK consumers’ preference for electronic payments continued to increase in 2013 as Visa Europe announces that spending with UK Visa credit, debit, commercial and prepaid cards increased by 9.2% to £445bn. This is according to Visa Europe’s annual results for the year to 30th September 2013, which are announced today.

Spending by UK cardholders with Visa debit increased by 9.3% on the previous year. Debit payments account for over 80% of Visa Europe’s business in the UK. More than £1 in every £3 spent in the UK is now spent using Visa.

Growth was also strong in other core areas of the Visa Europe business, with spending on commercial cards increasing by 18.1% and on prepaid cards by 42.8%.

Continued uptake of new payments technologies

The UK’s partiality for online purchases was unabated in 2013 with £110bn spent at UK merchants in the year to September 2013, which equates to £3,488 being spent every second with a Visa card. This is an increase of 18% on the previous year at UK merchants. Over 25% of Visa Europe’s UK business now takes place online.

The well received launch of Visa Europe’s digital wallet, V.me by Visa, in 2013 is testament to the increasing demand from consumers, retailers and banks for safer, more convenient ways to pay online. To date, 4,000 UK retailers have signed up to offer V.me by Visa which is already available from the Nationwide Building Society with more banks due to launch in early 2014.

2013 was an exceptional year for the roll-out and take up of contactless payments with Visa Europe exceeding its targets in the UK for the distribution of contactless cards and the installation of terminals. Some 30.3 million cards are now in circulation with 293,600 terminals installed. Access to the payment infrastructure and education about contactless meant that usage soared resulting in contactless transactions increasing four fold in the year to September 2013, with £461.6 million spent with Visa contactless cards up from £96.7 million in the previous year.

Another key payment innovation development was RBS and NatWest making Visa Personal Payments available to their UK customers. Allowing person-to-person payments, the service enables anyone with a Visa card to send payments to another Visa cardholder via a smartphone without the need to share any account details. More than 3.1 million NatWest customers have downloaded the updated mobile banking app to date.

This early mobile payment success, the growth of contactless and the roll-out of V.me by Visa signifies that Visa Europe is on track to realise its prediction that 50% of Visa transactions will made be made through a mobile device by 2020.

Commenting on the results and his vision for Visa Europe, Chief Executive Officer Nicolas Huss, who joined on 1st October 2013, said: “I have joined a very successful business. We have huge scale – as many Visa cards as people in Europe (500m) and €1 in every €6.50 spent in Europe is now spent on a Visa card.

“This is an excellent platform on which to build and I have four main priorities for the future. We will scale-up our next generation payment solutions to move in pace with the rapid adoption of new technologies and, more particularly, the growth of mobile and digital commerce. We will apply a disciplined commercial focus to operate a leaner, more agile company. We will work constructively with regulators to arrive at mutually beneficial solutions. And we will work more flexibly to meet the needs of our customers and partners across Europe.

“As a membership organisation focused on European solutions for the best interests of all parties in our four-party model, our continued success is good for the European economy because electronic payments fuel commerce, replace inefficient and expensive cash and fight the shadow economy. It is good for banks, issuers and acquirers, because we invest on their behalf to deliver payments innovations. It is good for retailers and businesses because we enable them to do business quicker, safer and more easily across any channel. And it is good for consumers because it enables them to pay with ease, confidence and security.”

European results

There are now 500m Visa cards in Europe. Additionally, €1 in every €6.50 being spent in Europe is now spent on a Visa card. In the year to September 2013, the total expenditure on Visa cards reached €2 trillion (€2,000,000,000,000), while point-of sale spend increased by 8.5%.

E-commerce continued to grow at exceptional speed in 2013, with a 20% year-on-year rise. This coincides with Visa Europe’s launch of V.me by Visa, the first pan-European digital wallet service to be offered by banks and financial institutions, in four countries – France, Spain, Poland and the UK.

Contactless has passed the tipping point in many markets and is growing at lightning pace across Europe. Contactless payment is now available in twice as many countries as this time last year while transactions have nearly tripled and terminals almost doubled. At the same time, 62 mobile contactless projects are now live or planned to launch across Europe.

For more details on Visa Europe’s annual results and Nicolas Huss’ vision for the business, please visit http://www.visaeurope.com/en/viewpoints.aspx

NOTES TO EDITORS

About Visa Europe

Visa Europe is a payments technology business owned and operated by member banks and other payment service providers from 37 countries across Europe.

Visa Europe works at the forefront of technology to create the services and infrastructure which enable millions of European consumers, businesses and governments to make electronic payments. Its members are responsible for issuing cards, signing up retailers and deciding cardholder and retailer fees.

Visa Europe operates a high volume, low cost business model that provides services to its members. Its surplus is reinvested into the business and used to improve capital and reserves.

There are 500m Visa cards in Europe, while €1 in every €6.50 spent in Europe is on a Visa card. In the year to September 2013, total expenditure on Visa cards reached €2 trillion, while point-of-sale spend increased by 8.5% to €1.4 trillion. Annual online spending on Visa cards continues to grow (20% year-on-year) and now stands at €240bn.

Since 2004, Visa Europe has been independent of Visa Inc. and incorporated in the UK, with an exclusive, irrevocable and perpetual licence in Europe. Both companies work in partnership to enable global Visa payments. As a dedicated European payment system Visa Europe is able to respond quickly to the specific market needs of European banks and their customers - cardholders and retailers - and to meet the European Commission’s objective to create a true internal market for payments.

For more information, please visit www.visaeurope.com

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
With more than 30 Kubernetes solutions in the marketplace, it's tempting to think Kubernetes and the vendor ecosystem has solved the problem of operationalizing containers at scale or of automatically managing the elasticity of the underlying infrastructure that these solutions need to be truly scalable. Far from it. There are at least six major pain points that companies experience when they try to deploy and run Kubernetes in their complex environments. In this presentation, the speaker will d...
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists discussed how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations might...
The deluge of IoT sensor data collected from connected devices and the powerful AI required to make that data actionable are giving rise to a hybrid ecosystem in which cloud, on-prem and edge processes become interweaved. Attendees will learn how emerging composable infrastructure solutions deliver the adaptive architecture needed to manage this new data reality. Machine learning algorithms can better anticipate data storms and automate resources to support surges, including fully scalable GPU-c...
When building large, cloud-based applications that operate at a high scale, it's important to maintain a high availability and resilience to failures. In order to do that, you must be tolerant of failures, even in light of failures in other areas of your application. "Fly two mistakes high" is an old adage in the radio control airplane hobby. It means, fly high enough so that if you make a mistake, you can continue flying with room to still make mistakes. In his session at 18th Cloud Expo, Le...
Machine learning has taken residence at our cities' cores and now we can finally have "smart cities." Cities are a collection of buildings made to provide the structure and safety necessary for people to function, create and survive. Buildings are a pool of ever-changing performance data from large automated systems such as heating and cooling to the people that live and work within them. Through machine learning, buildings can optimize performance, reduce costs, and improve occupant comfort by ...
As Cybric's Chief Technology Officer, Mike D. Kail is responsible for the strategic vision and technical direction of the platform. Prior to founding Cybric, Mike was Yahoo's CIO and SVP of Infrastructure, where he led the IT and Data Center functions for the company. He has more than 24 years of IT Operations experience with a focus on highly-scalable architectures.
The explosion of new web/cloud/IoT-based applications and the data they generate are transforming our world right before our eyes. In this rush to adopt these new technologies, organizations are often ignoring fundamental questions concerning who owns the data and failing to ask for permission to conduct invasive surveillance of their customers. Organizations that are not transparent about how their systems gather data telemetry without offering shared data ownership risk product rejection, regu...
CI/CD is conceptually straightforward, yet often technically intricate to implement since it requires time and opportunities to develop intimate understanding on not only DevOps processes and operations, but likely product integrations with multiple platforms. This session intends to bridge the gap by offering an intense learning experience while witnessing the processes and operations to build from zero to a simple, yet functional CI/CD pipeline integrated with Jenkins, Github, Docker and Azure...
René Bostic is the Technical VP of the IBM Cloud Unit in North America. Enjoying her career with IBM during the modern millennial technological era, she is an expert in cloud computing, DevOps and emerging cloud technologies such as Blockchain. Her strengths and core competencies include a proven record of accomplishments in consensus building at all levels to assess, plan, and implement enterprise and cloud computing solutions. René is a member of the Society of Women Engineers (SWE) and a m...
Dhiraj Sehgal works in Delphix's product and solution organization. His focus has been DevOps, DataOps, private cloud and datacenters customers, technologies and products. He has wealth of experience in cloud focused and virtualized technologies ranging from compute, networking to storage. He has spoken at Cloud Expo for last 3 years now in New York and Santa Clara.
Enterprises are striving to become digital businesses for differentiated innovation and customer-centricity. Traditionally, they focused on digitizing processes and paper workflow. To be a disruptor and compete against new players, they need to gain insight into business data and innovate at scale. Cloud and cognitive technologies can help them leverage hidden data in SAP/ERP systems to fuel their businesses to accelerate digital transformation success.
Containers and Kubernetes allow for code portability across on-premise VMs, bare metal, or multiple cloud provider environments. Yet, despite this portability promise, developers may include configuration and application definitions that constrain or even eliminate application portability. In this session we'll describe best practices for "configuration as code" in a Kubernetes environment. We will demonstrate how a properly constructed containerized app can be deployed to both Amazon and Azure ...
Poor data quality and analytics drive down business value. In fact, Gartner estimated that the average financial impact of poor data quality on organizations is $9.7 million per year. But bad data is much more than a cost center. By eroding trust in information, analytics and the business decisions based on these, it is a serious impediment to digital transformation.
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
Predicting the future has never been more challenging - not because of the lack of data but because of the flood of ungoverned and risk laden information. Microsoft states that 2.5 exabytes of data are created every day. Expectations and reliance on data are being pushed to the limits, as demands around hybrid options continue to grow.