Plastic Cards Market Size, Share, Growth, And Industry Analysis by Type (Smart Cards, Regular Cards) by Application (Payment Cards, Government/Health, SIM Cards, Transportation Cards, Gift Cards, Access Cards & Others), Regional Insights, and Forecast From 2024 To 2031

Updated On: 20 November 2023

Plastic Cards Market Report Overview

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The global plastic cards market size was USD 15440 million in 2020. As per our research, the market is expected to reach USD 34887.13 million by 2031, exhibiting a CAGR of 7.7% during the forecast period.

Nowadays, plastic cards are used almost everywhere. The way we trade and access different services has been completely transformed by these little, rectangular bits of strong plastic. These plastic marvels, whether they are credit cards, debit cards, identity cards, or membership cards, provide ease and security. They contain important data on magnetic strips or integrated chips, making it simple for us to make transactions, withdraw cash, and confirm our identities. Plastic cards are a popular option for both individuals and organisations since they are portable, lightweight, and resistant to wear and tear. However, with the increased attention being paid to environmental sustainability, it is essential to look at options that have a minimal ecological effect.

The market for plastic cards is still expanding gradually as a result of a number of reasons that are boosting the demand for this product. First off, plastic cards are becoming a necessary component of our everyday lives due to their ease and adaptability. Plastic cards offer a smooth and secure transaction experience for anything from internet shopping to contactless payments. Additionally, as individuals look for easier payment options, the development of e-commerce and digital banking has increased demand for plastic cards. Additionally, the extensive use of incentive schemes, membership services, and loyalty programmes has increased the need for plastic cards. As a result, the plastic cards market size is growing as more companies and customers recognize their advantages.

COVID-19 Impact: The Pandemic Initially Posed Challenges, It Also Stimulated The Market For Plastic Cards By Encouraging The Adoption Of More Secure And Convenient Payment Options

The market for plastic cards has been significantly impacted by the COVID-19 outbreak. There has been a discernible change in consumer behaviour as a result of the widespread implementation of lockdowns and limitations. While online sales increased during this time, in-person purchases decreased as a result of lower foot traffic and concerns over the spread of viruses. As a result, there was a brief decline in the demand for physical payment cards like credit and debit cards. Though contactless payment systems, which mainly rely on plastic cards with NFC (Near Field Communication) technology, were already becoming more popular, the epidemic also sped up their acceptance. The need for new or improved plastic cards with contactless capabilities has surged as a result of the transition towards contactless payments, which has been motivated by safety concerns.

Latest Trends

"One Important Advancement In The Plastic Card Industry Is The Deployment Of Cutting-Edge Technologies To Enhance Usefulness And Security"

The use of cutting-edge technology to improve functionality and security is one significant development in the plastic card business. New plastic card-related items and technologies are being introduced as digital innovation progresses. For instance, to add an additional layer of protection, plastic cards are being combined with biometric identification capabilities like fingerprint or face recognition. This lowers the risk of fraud by allowing users to authenticate transactions using their specific biometric data. In order to address environmental concerns, top firms in the sector are also looking at using eco-friendly materials in the production of cards. To lessen the impact of plastic cards on the environment, solutions made of recycled or biodegradable plastic are being offered. A smooth and streamlined payment experience is provided through the integration of plastic cards with digital wallets and mobile payment apps. This fusion of sustainability and technology emphasises the market's dynamism and the leaders in the field's ongoing attempts to adapt and develop.

Plastic Cards Market Segmentation

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• By type

Depending on plastic cards given are types: smart cards, regular cards. The smart cards type will capture the maximum market share through 2028.

• By Application

The market is divided into payment cards, government/health, sim cards, transportation cards, gift cards, access cards & others based on application. The global plastic cards market  players in cover segment like Payment Cards will dominate the market share during 2022-2028.

Driving Factors

"One Major Factor Driving Up Demand For Plastic Cards Is The Increased Digitalization Of Financial Services"

The growing digitisation of financial services is a key element boosting the demand for plastic cards. The need for plastic cards as a secure payment method has increased as more people and businesses use digital banking, e-commerce, and online transactions. Users may readily access their digital funds and make purchases in actual stores thanks to plastic cards, which provide a solid connection between the digital and physical worlds. Additionally, the variety and ease of use that plastic cards provide, such as contactless transactions and interoperability with a number of different payment platforms, has increased demand for them. The demand for seamless integration between the digital and physical worlds of financial transactions is expected to fuel growth in the plastic card industry as the digital landscape continues to develop and change.

"The Growing Use Of Incentive And Loyalty Programmes By Businesses Is Another Factor Boosting The Demand For Plastic Cards"

Another factor driving the plastic cards market growth is the increasing adoption of loyalty programs and reward systems by businesses. Loyalty programs have become an effective marketing strategy for retaining customers and fostering brand loyalty. Plastic cards serve as a convenient medium for customers to access and redeem their loyalty points, discounts, or exclusive offers. Businesses recognize the value of offering personalized rewards and incentives to attract and retain customers, and plastic cards play a crucial role in facilitating these programs. The ease of use and portability of plastic cards make them an ideal tool for customers to participate in loyalty programs across various merchants. As businesses continue to invest in loyalty programs to enhance customer engagement, the demand for plastic cards as a means to access and manage these programs is expected to grow.

Restraining Factors

"One Major Factor Limiting The Market Expansion For Plastic Cards Is The Rising Use Of Mobile Payment Applications And Digital Wallets"

The growing use of mobile payment apps and digital wallets is a key restraint on the market expansion for plastic cards. With the popularity of smartphones and the ease they provide, people are choosing digital payment options more frequently. Mobile payment applications make it easy and frictionless to make purchases, doing away with the need for actual plastic cards. Because there is less demand for physical cards as a result of this transition towards digital payment methods, the traditional plastic card business faces challenges. Plastic card usage may slow down as more customers choose digital wallets, forcing card issuers and manufacturers to innovate and adapt to stay competitive in a payment environment that is becoming more and more digitally focused.

Plastic Cards Market Regional Insights

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"Asia-Pacific Is Poised To Hold A Substantial Market Share Or Grow At A Fast Rate Due To Presence Of Major Manufacturing Hubs And Technological Advancements"

Asia-Pacific is predicted to be the largest market for plastic cards. The area offers a large development opportunity for plastic card usage due to its enormous population, fast urbanisation, and rising disposable income. The growth of e-commerce, retail, and digital payments in nations like China, India, and Japan is boosting the need for plastic cards market share. Governments in the area are also advancing digitization and financial inclusion, which is accelerating the acceptance of plastic cards. The region's technical breakthroughs and the existence of significant manufacturing centres both contribute to its supremacy. As a result, Asia-Pacific is well-positioned to control a substantial portion of the market or expand quickly.

The second-leading region in the market for plastic cards is North America. With its well-established financial infrastructure and a tech-savvy population, North America remains a key player in the industry. The region's strong economy, coupled with a high level of digitalization, drives the demand for plastic cards. The United States, in particular, has a mature payment ecosystem, with a significant reliance on credit and debit cards. Additionally, the presence of major card issuers and financial institutions in the region contributes to its prominence. While other regions are experiencing rapid growth, North America continues to hold a substantial market share, reflecting its importance in the global plastic card market.

Key Industry Players

"Key Players Focus on Partnerships to Gain a Competitive Advantage "

Prominent market players are making collaborative efforts by partnering with other companies to stay ahead of the competition. Many companies are also investing in new product launches to expand their product portfolio. Mergers and acquisitions are also among the key strategies used by players to expand their product portfolios.

List of Market Players Profiled

• Gemalto (Netherlands)
• American Banknote Corporation (U.S.)
• Giesecke & Devrient (Germany)
• IDEMIA (France)
• Inteligensa Group (U.S.)
• CPI Card Group(U.S.)
• Perfect Plastic Printing Corporation (U.S.)
• Goldpac Group (China)
• Marketing Card Technology (China)
• TAG Systems SA (Spain)
• Toppan Printing (Japan)
• Teraco (South Africa)
• Arroweye Solutions (U.S.)
• QARTIS (Portugal)
• Tactilis (Singapore)
• CardLogix Corporation (U.S.)

Report Coverage

This research profiles a report with extensive studies that take into description the firms that exist in the market affecting the forecasting period. With detailed studies done, it also offers a comprehensive analysis by inspecting the factors like segmentation, opportunities, industrial developments, trends, growth, size, share, and restraints. This analysis is subject to alteration if the key players and probable analysis of market dynamics change.