back Back
Seeking to raise capital? Seeking to invest? Click Here & Express your early interest to be a part of IBS Intelligence’s new fund initiative.

Barclaycard Payments reports subscription economy grew to £395 mn

By Joy Dumasia

August 03, 2021

Share

Barclaycard Payments, which processes credit and debit card transactions, found that increase coincides with a 16 per cent rise in the number of shoppers signed up to subscriptions and a 12 per cent upsurge in annual expenditure per person for those signed up to the services.

Despite lockdown restrictions easing across much of the UK, Barclaycard Payments reveals the nation’s demand for subscriptions continues to grow, reaching a value of £395 million – up 23 per cent in the past year.

This rise coincides with a spike in new subscription offerings, with 83 per cent of subscription-selling retailers launching an average of three new subscription products or services since the start of this year alone. It seems this trend is set to continue, with retailers projecting a further 30 per cent growth for the subscription sector over the next 12 months.

Research from Barclaycard Payments also identified the factors most important for consumers when receiving subscription services are: Good value remains the factor customers most want to see (54 per cent), with 45 per cent even regularly comparing their services to ensure they’re getting a good deal. Flexible contracts (36 per cent) and straightforward opt-out processes (33 per cent) are also crucial. Additionally, 41 per cent of Brits who don’t have any subscriptions suggested that being locked into a contract was their central deterrence, preferring a no-strings-attached approach.

Marc Pettican, President of Barclaycard Payments, said: “Our second annual review of the subscription economy shows a sizeable growth of spending on these services over the past year, showcasing how important this revenue stream has become to retailers. While lockdown certainly provided a catalyst for their growth, our data shows the popularity of digital and direct-to-door sign-up services is here to stay.”

IBS Intelligence reported that Barclaycard Payments had announced the appointment of Harshna Cayley as its new MD, Head of Product Gateway. Cayley will be reporting directly to Rob Cameron, CEO, as a member of the Payments Executive Committee, and will be responsible for the strategy, vision and commercial management of Barclaycard Payments’ suite of Gateway products.

Previous Article

August 03, 2021

Rapyd announces a $300 mn Series E funding for Embedded Finance

Read More
Next Article

August 03, 2021

bfinance appoints a new ESG and Responsible Investment Director

Read More










IBSi Daily News Analysis

The Weekly Wrap

August 12, 2022

The Weekly Wrap: all you need to know by Friday COB | August 12th

Read More

IBSi FinTech Journal

  • Most trusted FinTech journal since 1991
  • Digital monthly issue
  • 60+ pages of research, analysis, interviews, opinions, and rankings
  • Global coverage
Subscribe Now

Other Related News

Today

ANZ New Zealand selects FIS’s modern banking platform

Read More

August 04, 2022

IndusInd Bank partners with M2P to offer digital first products

Read More

August 04, 2022

3 companies helping Mongolia to embrace FinTech

Read More

Related Reports

Sales League Table Report 2022

£1,500.00 / year

Know More
IBS Intelligence - Global Digital Banking Vendor & Landscape Report Q2 2022
Global Digital Banking Vendor & Landscape Report Q2 2022

£1,500.00 / year

Know More
IBS Intelligence - Wealth Management & Private Banking Systems Report Q2 2022
Wealth Management & Private Banking Systems Report Q2 2022

£1,500.00 / year

Know More
Global Transaction Banking Vendors and Landscape Report Q2 2022

£1,500.00 / year

Know More
IBS Intelligence - Treasury & Capital Markets Systems Report Q2 2022
Treasury and Capital Markets Systems Report 2022

£1,500.00 / year

Know More

IBSi Sales League Table

The industry acknowledged barometer of global banking technology vendor performance!
Get your copy now!
close-link
Get your copy now! IBSi Sales League Table 2022