Boston, MA (PRWEB) November 14, 2005
In a new research report, the Mercator Advisory Group assess developments in the small business credit card market.
The small business credit card market in the United States has grown enormously over the last five years, drawing the attention of nearly all of the major US Card Issuers. Major issuers like Citibank, JP Morgan Chase, Bank of America, and MBNA have joined traditional powers American Express, Capital One, Advanta and US Bank to create a competitive and vibrant segment marked by varying strategies and products and robust growth.
"Overall consumer concern over debt levels, an improving economy, and cheap and readily available home equity-backed debt have all conspired to slow the growth rate of consumer credit card loans. There are, however, some segments of the general-purpose card business that hold the promise of growth," according to Brian O'Keeffe, Director of Mercator Advisory Group's Credit Service and principal analyst on the report. "The commercial card category has shown better growth than consumer cards in the last several years, and within that, the small business card segment has been a notable bright spot."
In The US Small Business Credit Card Market - Update, 2005, Mercator Advisory Group expands on its 2004 report covering the small business segment. The report answers several key questions:
- How many potential small business customers are there?
- How much of their spending could potentially move to payment cards?
- What are the key differences between consumer cards, corporate cards, and small business cards; and how do these differences effect strategy and product design?
- What have been the most effective distribution channels for small business cards?
- Given the large number of consumer card conversions, are the 27% segment growth rate really as healthy as it seems?
This report provides:
- A discussion of the potential US market for small business cards
- The current market environment for small business cards – associations and issuers
- Product evolution – rates, rewards and other selling features
- Analysis of the varying distribution channels for small business cards
Members of Mercator Advisory Group have access to these reports as well as the upcoming research for the year ahead, presentations, analyst access and other membership benefits. Please visit us online at http://www.mercatoradvisorygroup.com.
For more information call Mercator Advisory Group's main line: 781-419-1700.