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Private Label Credit Cards in the U.S., 8th Edition


Attention: There is an updated edition available for this report.

With U.S. retail credit card portfolios on the mend, private label accounts growing again, and major new players emerging from a spate of deals, the market for private label credit cards has definitely gotten a second wind. Receivables and volume declines are now in the rear view mirror: Packaged Facts forecasts that 2012 total private label credit card loans outstanding of $108.6 billion will grow at six percent through 2015. Private Label Credit Cards in the U.S. provides market guidance on industry opportunities, with an emphasis on retail credit card program features and benefits analysis, retail card strategies and growth trends among bank and non-bank issuers, and trend spotting:

  • Assessment of leading private label credit cards from Target, Walmart, J.C. Penney, Sears, Macy’s, Nordstrom, The Gap, Home Depot, Lowe’s, Office Depot, Staples, Amazon and Best Buy—to gauge program differentiation and related features and benefits.
  • Relying on proprietary consumer research, analysis of which private label credit card features and benefits would most incentivize non-store card and store card users to sign up for a new private label credit card.
  • Analysis of U.S. private label card programs operated by North America’s leading financial institutions, including Alliance, Data Systems, GE Capital Retail Bank, Citi Retail Services, Capital One, TD Bank, Wells Fargo and JPMorgan Chase, including private label income, volume and receivables analysis; card introductions; and key retailer profiles.
  • In-depth profiles of the in-house retail card programs of Nordstrom, Cabela’s and Signet Jewelers, including private label income, volume and receivables analysis, and card introductions.
  • Analysis of branded credit card and store card (broken out into five categories) penetration, usage in past 30 days, and trending of monthly usage patterns for 2004-2012. Also featured is current demographic analysis for these metrics.
  • Receivables estimates for the U.S. private label credit card market for 2012, and receivables and volume forecasts for 2013-2015.


  • Executive Summary
    • Report Scope
      • Market size and forecast
    • Trends & opportunities
    • Private label retail card landscape
      • Target REDCard
      • Walmart Credit Card
      • jcp credit card
      • Sears Card
      • Macy's Card
      • Nordstrom Retail Card
      • GapCard
      • Home Depot Consumer Credit Card
      • Lowe's Consumer Credit Card
      • Office Depot Personal Credit Account
      • Staples Personal Account
      • Amazon.com Store Card
      • Reward Zone Credit Card
    • Private label bank issuers
      • Alliance Data Systems
      • GE Capital Retail Bank
      • Citi Retail Services
      • Capital One
      • TD Bank
      • Wells Fargo
      • JPMorgan Chase
    • Private label non-bank issuers
      • Nordstrom card program closing in on $9 billion and 40% of net company sales
      • Cabela's: sky high FICO scores help credit card program contribute 10% to bottom line
      • Signet Jewelers gets half of sales from in-house financing
    • Private label credit card usage trends
    • Private label credit card usage motivators
  • Overview
    • Major retailer benefits: usable data and customer loyalty
    • Major cardholder benefit: buying power
    • Healthy general purpose credit card volume growth
      • Table U.S. General Purpose Card Purchase Volume, 2007–2012
  • Market Size and Forecast
    • Total U.S. private label card loans outstanding
    • Receivables by issuer
    • Purchase volume by issuer
      • Table Alliance Data Systems & Citi Retail Services Private Label Credit Card Loan Volume: 2012
    • Private label cards market forecast
  • Trends & Opportunities
    • Summary analysis
    • Improving economy leads to improving card portfolios
    • But declining loans outstanding
    • Post-recession consumer usage rebound
    • Increased industry deal-making and interest
    • Cobrand conversion
    • Turning an expense into income
    • Increasing customer loyalty
  • Private Label Retail Card Landscape
    • Summary analysis
      • Target REDCard
      • Walmart Credit Card
      • jcp credit card
      • Sears Card
      • Macy's Card
      • Nordstrom Retail Card
      • GapCard
      • Home Depot Consumer Credit Card
      • Lowe's Consumer Credit Card
      • Office Depot Personal Credit Account
      • Staples Personal Account
      • Amazon.com Store Card
      • Reward Zone Credit Card
    • Target REDCard
      • Everyday discounts emphasized
        • Table Target REDCard Incentives, Rewards and Other Features
      • Differentiator
    • Walmart Credit Card
      • Table Walmart Credit Card Incentives, Rewards and Other Features
      • Sign up incentives emphasized
      • A supplementary offering
    • jcp credit card
    • A rich mix of incentives and rewards
      • Table JCP Credit Card Incentives, Rewards and Other Features
      • With a catch
      • Differentiator: strong incentive to spend now and return quickly
    • Sears Card
      • Table Sears Card Incentives, Rewards and Other Features
      • Shop Your Way Rewards
      • Differentiator: Strong loyalty program association
        • Table Sears Card Shop Your Way Rewards
        • Table Sears Card VIP Tiers
    • Macy's Card
      • Strong incentives
        • Table Sears Card Incentives, Rewards and Other Features
      • Differentiator: Loaded upfront
    • Nordstrom Retail Card
      • Table Nordstrom Retail Card Incentives, Rewards and Other Features
      • Table Nordstrom Fashion Rewards: Tiers and Benefits
    • GapCard
      • Table GapCard Retail Card Incentives, Rewards and Other Features
      • Solid signup and rewards mix
      • Spend $800 and get upgraded to Gap Silver
    • Home Depot Consumer Credit Card
      • A range of incentives
        • Table Home Depot Consumer Credit Card Incentives, Rewards & Features
      • Differentiator: Variety to incentivize large purchases
    • Lowe's Consumer Credit Card
      • No-interest financing at sign up
        • Table Lowe's Consumer Credit Card Incentives, Rewards & Features
      • Differentiator: card customization
    • Office Depot Personal Credit Account
      • Table Office Depot Personal Account Incentives, Rewards & Features
      • The bait
      • Differentiation
    • Staples Personal Account
      • Table Staples Personal Account Incentives, Rewards & Features
      • Key incentive
      • Differentiation
    • Amazon.com Store Card
      • Table Amazon.com Store Card Incentives, Rewards & Features
      • A supplementary offering
    • Reward Zone Credit Card
      • Table Best Buy Reward Zone Credit Card Incentives, Rewards & Features
      • Differentiation
  • Private Label Bank Issuers
    • Summary analysis
      • Alliance Data Systems
      • GE Capital Retail Bank
      • Citi Retail Services
      • Capital One
      • TD Bank
      • Wells Fargo
      • JPMorgan Chase
    • Alliance Data Systems
      • Private Label Services and Credit
      • Competitive positioning
      • Signings
      • Portfolio acquisitions
      • Sales growth
      • Key retailers
        • Table Alliance Data Systems: Q1 2013 Private Label Credit Card Retailers
      • New clients
      • Robust volume, receivables and account growth
        • Table Alliance Data Systems Private Label Revenue, Volume, Receivables and Account Trends
      • And improving card portfolio health
        • Table Alliance Data Systems Private Label Receivables Loan Health Trends: 2011 vs. 2012
      • A look inside Alliance Data's subsidiary banks
        • Table Alliance Data Systems' Comenity Bank & Comenity Capital Bank Card Metrics: 2012
    • GE Capital Retail Bank
      • Private label powerhouse
        • Table GE Capital Retail Bank Private Label, Co-brand & Affinity Partners: 2013
      • But transition to cobrand underway
      • Direct marketing and loyalty programs
      • Acquisitions and signings
      • Sales growth
        • Table GE Capital Retail Bank Loan & Account Trends
      • Key retailers
        • Table GE Capital Retail Bank Retailer Credit Card Loan & Account Share: 2013
      • Client analysis
      • Dillard's
      • J. C. Penney
    • Citi Retail Services
      • Table Citi Retail Services Retail Private Label & Co-brand Partners: 2013
      • Acquisitions
      • Key retailers
      • Macy's: Bounty approaches $1 billion
      • New launches
      • ExxonMobil Smart Card: Transitioning from cobrand to private label
      • Brandsource retailer coalition taps independents
      • Volume, loans outstanding and account growth trends
        • Table Citi Retail Services 2008-2012 Retail Credit Card Loan Volume, Loans Outstanding & Accounts
    • Capital One
      • Competitive positioning
      • Acquisitions and sales
      • HSBC acquisition
      • New retail accounts
      • Neiman Marcus
      • Polaris
      • Saks
      • Capital One private label sales growth
    • TD Bank
      • Target acquisition brings 5 million accounts and $5.7 billion in receivables
      • A look underneath the Target portfolio's hood
        • Table Target Corporation: 2010-2012 Retail & Credit Card Profit and Revenue Analysis
        • Table Target Corporation: 2010-2012 Retail Sales Attributable to Proprietary Credit & Debit Cards; On- and Off-Premises Proprietary Credit Card Charge Volume Trends
        • Table Target Corporation: 2010-2012 Credit Card Receivables FICO & Delinquency Trends
      • Zale
      • Fred Meyer Jewelers
    • Wells Fargo
      • Table Wells Fargo Retail Private Label & Co-brand Partners: 2013
    • JPMorgan Chase
      • MILITARY STAR private label card
  • Private Label Non-Bank Issuers
    • Summary analysis
      • Nordstrom card program closing in on $9 billion and 40% of net company sales
      • Cabela's: sky high FICO scores help credit card program contribute 10% to bottom line
      • Signet Jewelers gets half of sales from in-house financing
    • In-House Programs: An Endangered Species
    • Nordstrom
      • Program metrics
        • Table Nordstrom Credit Card Metrics Analysis
      • Nordstrom FSB income, loan and unused credit line analysis
        • Table Nordstrom FSB Credit Card Interest & Noninterest Income, Loans Outstanding & Unused Credit Card Lines: 2012
    • Cabela's
      • Credit card program generates more than 10% of company revenue
      • A distinguished group of cardholders; a sterling portfolio
        • Table Cabela's Credit 2011 & 2012 Credit Card Metrics
        • Table World's Foremost Bank Credit Card Interest & Noninterest Income, Loans Outstanding & Unused Credit Card Lines: 2012
    • Signet Jewelers
      • Table Signet Jewelers 2011, 2012 & 2013 Credit Program Metrics
  • Private Label Credit Card Usage Trends
    • Summary analysis
    • Credit card usage trends: 2004-2012
      • After dropping during recession, credit card use stabilizes
      • Store card declines trump branded credit card declines; growth for both hard to come by
    • Private label card usage trends: 2004 to 2012
      • Usage penetration down 26%
      • Active store card usage declines—then dives in 2009—with little rebound
        • Table Store Card (and Store Card Type) & Branded Credit Card Usage in Past 30 Days: 2004-2012
      • Higher-frequency monthly store card use a trouble spot
        • Table Store Card (and Store Card Type) & Branded Credit Card Monthly Usage Frequency: 2004-2012
    • Demographic analysis
      • Almost twice as many women use private label credit cards
        • Table Store Card (& Store Card Type) & Branded Credit Card Usage & Usage in Past 30 Days, by Gender: 2012
      • Private label sweet spot: age 55+
        • Table Store Card (& Store Card Type) & Branded Credit Card Usage & Usage in Past 30 Days, by Age: 2012
      • Private label credit card usage higher among whites and Asians
        • Table Store Card (& Store Card Type) & Branded Credit Card Usage & Usage in Past 30 Days, by Race/Ethnicity: 2012
      • Employment status
        • Table Store Card (& Store Card Type) & Branded Credit Card Usage & Usage in Past 30 Days, by Employment Status: 2012
      • HH income trends among active users suggest J.C. Penney strength
        • Table Store Card (& Store Card Type) & Branded Credit Card Usage & Usage in Past 30 Days, by HH Income: 2012
  • Private Label Credit Card Usage Motivators
    • Summary analysis
    • Private label card signup influencers
      • Reward me & help me save money: Points & everyday discounts biggest draw
      • Non-cardholders entrenched against store cards?
      • Interest rate teasers less relevant
      • Gender rules
        • Table Private Label Credit Card Usage Motivators: Users, Active Users, and Non-Users, by Gender: 2013
      • Age
        • Table Private Label Credit Card Usage Motivators: Users, Active Users, and Non-Users, by Age: 2013
      • Income
        • Table Private Label Credit Card Usage Motivators: Users, Active Users, and Non-Users, by HH Income: 2013
  • Appendix
    • Methodology
      • Consumer survey methodology
    • Market size and forecast
    • Report table interpretation
    • Terms and definitions

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