Norway's payment card usage is high, with only 6% using cash daily and a significant adoption of contactless cards. E-commerce is thriving, with a notable increase in online spending projected to double by 2020, and a strong preference for cashback incentives to attract customers. Norway is moving towards becoming a cashless society, with substantial investments needed to enhance payment infrastructure.

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Consumer Payments
Country Snapshot: Norway
10/10/2016

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Payment card ownership & use in Norway is high 2
The card remains in a strong position in Norway with only 6% of the population using cash on a daily
basis, and most possessing a minimum of two payment cards. Although the market is one of the most
mature in the world – there are 126 POS terminals per person. Contactless cards, introduced in 2014,
have witnessed a fast uptake with 40% of Norwegians now possessing one.
Contactless PaymentsE-commerce/M-Commerce
Credit card use in Norway is high by
international standards, although it falls
short of pay-now card usage
domestically. To entice new customers,
cashback offers are the most popular
incentive.
Credit Cards
Online shopping is well established in
Norway, and the NOK112bn spent in
2015 is set to double over the next five
years. Both e-commerce and m-
commerce will record similar CAGR’s
over the next five years.
DebitCredit
38% 12% 11%
26% 16% 11%
Quick Facts
Cards per consumer in Norway
Cards in Issue in 2015
Cards in circulation by 2020
2.8
15m
Quick Facts (by value spend)
Food & drink Flights & hotels Clothing & footwear
Electrical GoodsFlights & hotels Food & drink
Roll out of contactless and NFC-
enabled payment terminals has been
slow. For greater level of consumer
uptake payment providers will need to
invest in upgrading merchant
terminals.
18m

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Payments Infrastructure 3
AcquirerIssuer
Top 3 Merchant Acquirers in Norway:
1.Swedbank
2.Nets
3.Handelsbanken
Nets acquired Nordea’s merchant acquiring
business in late 2015 making it the largest
merchant acquirer in Norway
Top 4 Card Issuers in Norway:
1.DNB [5.1m cards]
2.Sparebank 1 Gruppen [3.5m cards]
3.SEB Kort [0.9m cards]
4.Nordea [0.9m cards]
Schemes
Visa handles all foreign transactions on
behalf of Bank Axept – the sole issuer of
debit cards in Norway explaining the
popularity of Visa
Top 4 Card Schemes in Norway:
1.Visa [6.2m cards]
2.Bank Axept [5.3m cards]
3.Mastercard [2.7m cards]
4.American Express [0.4m cards]
60%
of all cards
in Issue (2015)
42%
18%
36% 34% 38%
DNB Market Share
Debit card Credit card Charge/deferred

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Market Size and Forecasting
71%
market
share
10.5m
cards
(2015)
12.8m
cards
(2020)
Debit
27%
market
share
3.9m
cards
(2015)
4.8m
cards
(2020)
Credit
46
times
on
average
NOK699
per POS
transaction
Pay later cards are being used to pay for a
greater number of items more often –
further evidence that card payments of all
types are replacing cash transactions in
Norway.
168
times
on
average
Increasing frequency of use and declining
average transaction value signify pay-now
cards are being used for small ticket items.
It is claimed Norway could be a cashless
society by 2020.
NOK346
per POS
transaction
4
Now Future Debit Credit

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Norway has one of the highest POS-
terminal-to-citizen rations globally with
153,000 POS terminals and 19,500 ATM’s in
operation in 2015. POS terminal growth
since 2010 recorded a CAGR of 4%.
Banks have been removing ATM’s and
making some branches cashless – 2020 is
when leading banks want Norway to
become cashless.
POS Terminals
153
thousand
19,500
ATM’s
15.4% CAGRR
2015-2020
E-COMMERCE
16.0% CAGRR
2015-2020
M-COMMERCE
5
The Online commerce market in Norway is higher than any
other Nordic nation with online payments in Norway
accounting for NOK112 billion in 2015. This is forecast to
grow by almost 100% by 2020.
76% of online commerce sales in Norway
are e-commerce .
POS – ATM Overview Online E-commerce

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E-commerce and M-commerce
Mobile Proximity Payments
The mobile proximity payment market is developing quickly
in Norway
24%
1.14 million
Smartphone
owners
A modest opportunity
for NFC-based mobile
payment service
32%
are ready for mobile payments at the POS
as soon as they are available
expressed interest in making contactless
payments via a mobile phone
6
NOK
41.5
bn
Worth of transactions were made
using credit and debit cards in 2015
Online spend by payment tool

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E-commerce and M-commerce
Mobile Proximity Payments
The mobile proximity payment market is developing quickly
in Norway
24%
1.14 million
Smartphone
owners
A modest opportunity
for NFC-based mobile
payment service
32%
are ready for mobile payments at the POS
as soon as they are available
expressed interest in making contactless
payments via a mobile phone
6
NOK
41.5
bn
Worth of transactions were made
using credit and debit cards in 2015
Online spend by payment tool