The EDPIA (European Digital Payment Industry Alliance) is very active on the subject of the payment business model

• In a first document, she notes the positive effects 5 years after the implementation of the Interchange Regulation. However, it recommends that the regulator not stop in its analysis of card payment costs and take into account other developments in the ecosystem since 2015. Namely, (i) the existence of national regulations (consumer law, contract law) that still constitute obstacles to a true single payments area, (ii) the implementation of the PSD2 and the RGPD, (iii) the predominance of mobile for digital payments, (iv) the consolidation of payment players on a European scale.
  
  
• In a second publication, it provides some key figures on the drop in payment transaction volumes observed at the height of the lockdown (nearly 70% over the period mid-March/mid-May 2020) while at the same time refunds increased 22-fold (11% of transactions versus 0.5% in normal times). The EDPIA draws attention to the systemic risk that this constitutes in the tourism and transport sector when the peak in refunds (+35%) was not naturally offset by cash receipts (-98%).
  
  

For its part, the ACPR, after surveying 15 neobanks, notes that although their NBI is increasing in absolute terms, it is decreasing in terms of contribution per customer (from €106 in 2016 to €99 in 2018). As such, the ACPR notes that the business model based on "one account / one card" is not sufficient to reach equilibrium and that a diversification of revenue sources is necessary for these neobanks.

For more information and the complete watch: contacteznous@oaklen.eu

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