Cashless paying: Girocard remains Germany's favorite 2024

Von Kl Redaktion

In Germany, cashless payment methods are becoming increasingly popular. Numerous people can be observed at every kiosk, bakery or even in the swimming pool who, who are often known as the "EC card" with the Girocard, are often known. According to a current evaluation of Euro card systems, the number of payment processes with this card rose to around 3.84 billion in the first half of 2024. This corresponds to an increase of 5.3 percent compared to the previous year and underlines the unbroken popularity of the Girocard as a leading means of payment in Germany.

For 2024, the Girocard is on the best way to reach new records again. In 2023, 7.48 billion payment processes have already been recorded. This statistics throws a positive light on the development of cashless payments and the use of girocards by the population. It is particularly noteworthy that the use of this card is becoming more and more a standard for smaller amounts.

A look at the numbers

The average amount of payments with the Girocard is currently 39.08 euros, which represents a decline of over one euro compared to the previous year. This indicates that even in the case of small amounts, paying is increasingly electronically paid. In the total amount, sales climbed to an impressive 150.1 billion euros, which means an increase of one percent. The Girocard has therefore also established itself as a popular choice for everyday small transactions.

Another trend is the increase in the use of digital solutions to pay cashlessly. Users have the option of linking their girocard with a smartphone or a smartwatch, which makes contactless paying even easier and faster. According to the current surveys, over 84.9 percent of customers have already paid contactlessly in the first half of 2024, be it with the card, a smartphone or a smartwatch. This shows a clear acceptance of modern payment methods in everyday life.

competition and acceptance

The introduction of the Girocard in 2007 as a payment instrument for German banks and savings banks has contributed a lot to the establishment of cashless options in recent years. However, the Girocard is in a violent competition with international providers such as Visa and Mastercard as well as digital payment methods such as PayPal, which are particularly accepted in online retail and abroad.

The advantages of the Girocard are primarily in the comparatively low transaction fees that make you attractive for retailers. Such low costs encourage many shops to offer this payment method, which contributes to further distribution. However, the acceptance of the Girocard in the online area and for international payments is still a point that many users look at.

The fact that more and more people fall back on cashless payment methods and the Girocard strengthens its position represents a significant trend in the German payment landscape. The decline in cash use indicates that consumers are increasingly willing to engage in digital solutions.

The future of numbers in Germany

The development shows that the introduction and use of cashless payment methods will not stand still. What role the Girocard will play in the future remains exciting to observe. In view of the increased interest in contactless and digital payment, the Girocard could be used more often in the coming years, while competition with international providers will continue to bring to benefits and challenges. Whether this leads to a further increase in the number of users is a question that pays the payment service providers and consumers alike.

Another aspect that influences the increasing popularity of cashless payment methods in Germany is the rapid digital transformation due to the covid 19 pandemic. Many retailers have updated or adapted their payment infrastructures to meet the requirements of a contactless society. This meant that consumers are increasingly willing to use cashless payment methods. According to a Bitkom survey from 2023, 61 percent of those surveyed stated that they found contactless payments during pandemic as safer. These changes have contributed to the fact that cashless payment systems are not only asked, but are also regarded as an everyday standard.

growth of digital payment methods

In addition to the Girocard, other digital payment methods also grow. The use of mobile wallets such as Google Pay and Apple Pay has recently become more important. According to a study by Statista, the number of users for mobile payment apps in Germany increased by 23 percent in 2023, which indicates the increased acceptance and convenience of these payment methods. Consumers increasingly prefer payments quickly and easily with their smartphone instead of carrying cash.

regulation and data protection

With the growth of digital payments, however, there is also a number of challenges, especially with regard to data protection and security. The European Union has issued numerous regulations in recent years to strengthen the protection of personal data in digital transactions. One of the most important regulations is the General Data Protection Regulation (GDPR), which came into force in May 2018. Companies must ensure that they protect consumers' personal data and provide transparent information about the use of this data. This has an impact in the way in which payment service providers process and save data.

comparison with other countries

In international comparison, it turns out that Germany is on the right track in terms of cashless payments, but other countries are already significantly further. In Scandinavia, for example, especially in Sweden, the trend towards cashless payments is even more pronounced. In Sweden, less than 10 percent of the transactions were carried out in cash in 2023, while the majority of payments are carried out digitally. These differences make it clear that despite growth in Germany there is still potential for further digitization of the payment methods.

In the future, the use of cashless payment methods will continue to increase, not only in Germany, but globally. The developments in financial technology, the increasing use of cryptocurrencies and advanced security solutions are expected to fundamentally change the landscape of payment transactions. Consumers are ready to use the advantages of digital payments, which brings exciting challenges and opportunities for both companies and payment service providers.