Overview

The United States is home to more immigrants than any other country in the world, and Javelin estimates that remittance providers could potentially collect upwards of $2.12 billion in fees from outbound cross-border transfers. But increasing globalization, interconnected global economies, and the prevalence of travel have created a need for remittance transfers that extends beyond just the migrant worker population. Today’s remittance market is being shaped by a variety of factors, including a host of new regulations, a changing user base, and the undeniable influence of digital channels. This report will discuss key trends in the remittance transfer market, focusing primarily on domestic outbound transfers, and the primary factors driving change within the market. This report will provide a current and potential revenue market sizing for remittance providers, an in-depth overview of the current user base, and recommendations for maximizing providers’ return on investment.

Primary Questions:

  • What is the size of the remittance transfer market?
  • How are new regulations changing the remittance transfer market?
  • Who uses remittance transfers?
  • How do remittance transfer users typically make payments, and how can FIs cross-sell additional payment products?
  • How are the online and mobile channels affecting the remittance transfer market?

 

Companies Mentioned

Bank of America

Remitly

Barclays

Sprint

Citibank/Banamex

Visa

Expensify

Wells Fargo

HSBC

Western Union

MoneyGram

Xoom

PayPal

 

 

Methodology
  • The consumer data in this report is based primarily on a survey with information collected online from 5,641 U.S. adults in March 2013.
  • This report is further based on in‐depth interviews with industry leaders and companies including MoneyGram, Visa, Wells Fargo, PayPal, and Earthport.