Consumer Credit in Spain 2006

Short report analyzing the consumer credit market in Spain. Covers market size, trend analysis, market forecasts, competitor market shares and key regulatory and competitor developments in the market.

• Covers the consumer credit market (not including any loans secured on property)
• Provides market sizing data in terms of gross advances and balances outstanding
• Provides competitor market share for the top five players in terms of balances outstanding; a short profile of the top players is also provided
• Provides competitor market share for the top five credit card lenders in terms of balances outstanding

The Spanish economy has been "booming", resulting in major growth of the consumer credit market. However, Datamonitor believes that while Spain will continue to see strong economic performance, thus maintaining its status as one of the fastest growing economies in Western Europe, there will be a slight slowdown in the near future.

Consumers in Spain borrowed more through point of sale (POS) retail finance in 2004 than any other product. Much of the POS retail finance market in Spain is made up of private label cards, which are used for short term lending thus accounting for the higher proportion of gross advances compared to balances outstanding for POS retail finance.

The rapid growth experienced in the Spanish retail finance sector has occurred hand-in-hand with a boom in the Spanish consumer credit market as a whole, largely buoyed by favorable economic conditions. In addition, the rise in mortgage borrowing has further increased spending on furniture and other household items for newly purchased properties.

• Learn how the Spanish consumer credit market has developed over the last five years
• Understand the recent developments in the market in terms of regulation, competition and product innovations
• Find out Datamonitor's opinion on the future performance of the Spanish consumer credit market over the next five years and its future prospects

OVERVIEW

Market Size

Future Growth Indicators

Key market players

CHAPTER 1 INTRODUCTION

What is this report about?

Scope of the report

Structure of report

CHAPTER 2 MARKET CONTEXT

Country overview

Economy

GDP

Inflation

Distribution of income

Distribution of liquid assets

Unemployment

Demographics

Population and demographic split

Market structure

Private Commercial Banks

Cajas de Ahorros (savings banks)

Cooperativas de Crédito (co-operative banks)

Market data

Total consumer credit

Gross advances

Balances outstanding

Consumer credit as a proportion of total retail lending

Consumer credit as a proportion of GDP

Consumer credit per capita

Consumer credit product statistics

Consumer credit gross advances by product

Consumer credit balances outstanding by product

Regulatory environment

Industry regulators

Banco de España

Industry associations

Asociación Española de Banca - AEB

Asociación Hipotecaria Española - AHE

Confederacion Española de Cajas de Ahorros - CECA

Unión Nacional de Cooperativas de Crédito - UNACC

Asociación Nacional de Establecimientos Financieros de Crédito (ASNEF)

Asociación de Usuarios de Servicios Bancarios (AUSBANC)

Credit bureaux

The Bank of Spain manages a public registry

Equifax operates a private sector credit bureau in Spain

Regulatory issues in the market

European consumer credit directive

CHAPTER 3 COMPETITOR AND PRODUCT OVERVIEW

Consumer credit market shares by competitor

Profiles of the top five consumer credit providers

Grupo Santander

Grupo Santander is the largest credit card issuer in Spain

Personal loan and POS finance products are also important to the group

BBVA

La Caixa

Caja Madrid

Banco Popular Español

Top five credit card lenders

Market share by balances outstanding

Competitor developments

Consolidation of the Spanish market

Foreign lenders have been entering the Spanish market

Product analysis

Typical product design

Product innovations

Fast loans are a priority area for Spanish banks

Dia becomes the first Spanish supermarket to offer consumer credit

Distribution

La Caixa is the online banking leader

CHAPTER 4 FORECASTING THE CONSUMER CREDIT MARKET IN SPAIN

Forecasting gross advances

Gross advances in the Spanish consumer credit market will reach €87.0 billion in 2010

A number of factors will drive this growth

Future prospects

Strengths

Weaknesses

Opportunities

Threats

CHAPTER 5 APPENDIX

Supplementary data

Definitions

Forecasting methodology

Research methodology

Relevant readings

Datamonitor's custom research capabilities

SPP writing team

How to contact experts in your industry

List of Tables

Table 1: Consumer credit gross advances and balances outstanding in Spain, 2001-2005

Table 2: GDP per capita for selected European countries, 2005

Table 3: GINI Coefficient for selected European countries

Table 4: Segmentation of liquid assets in Spain, 2004

Table 5: Population distribution according to age group in Spain, 2005

Table 6: Consumer credit balances outstanding compared to GDP of selected European countries, 2005

Table 7: Consumer credit balances outstanding per capita of selected European countries, 2005

Table 8: APRs for La Caixa Catalunya's "Zero Loan", December 2005

Table 9: Forecast of consumer credit gross advances in the Spanish consumer credit market, 2004-2010f

Table 10: Percentage change of GDP from the previous year, 2001-2005

Table 11: Rate of unemployment in Spain, 2001- 2005

Table 12: Consumer credit gross advances in Spain, 2001-2005

Table 13: Consumer credit balances outstanding in Spain, 2001-2005

Table 14: Consumer Credit as a proportion of total retail lending in Spain, 2000-2005

Table 15: Market shares of consumer credit gross advances by product in Spain, 2004

Table 16: Market shares of consumer credit balances outstanding by product in Spain, 2004

Table 17: Market share of total consumer credit balances outstanding for the top five Spanish consumer credit providers, 2004

Table 18: Market shares of credit card balances outstanding of the top five Spanish credit card providers, 2004

List of Figures

Figure 1: Gross advances in the Spanish consumer credit market will grow at a CAGR of 10.4 per cent to reach €87.0 billion in 2010, 2001-2010f

Figure 2: Santander is the leading consumer credit provider in Spain, 2004

Figure 3: Key statistics for the Spanish consumer credit market, 2005

Figure 4: GDP growth in Spain slowed in 2000 and 2001, but has since recovered, 2000-2005

Figure 5: The services sector is the greatest contributor to Spanish GDP, 2005

Figure 6: Inflation in Spain has been consistently over three per cent in recent years, 2000-2005

Figure 7: Despite declining slightly in recent years, unemployment in Spain remains high, 2002-2005

Figure 8: The three pillars of Spanish banking, 2005

Figure 9: Banks in Spain in the three pillars, 2005

Figure 10: Consumer credit gross advances in Spain have been rising fast, 2001-2005

Figure 11: Consumer credit balances outstanding in Spain have been rising year-on-year, 2001-2005

Figure 12: Consumer credit rose for the first time as a proportion of total retail lending in Spain, 2001-2005

Figure 13: Retail finance is the major consumer credit product in terms of gross advances in Spain, 2004

Figure 14: In terms of balances outstanding personal loans are the major consumer credit product in Spain, 2004

Figure 15: Regulatory overview of Spain, 2005

Figure 16: Santander is the leading consumer credit provider in Spain in terms of outstanding balances, 2004

Figure 17: Santander is the leading credit card lender in Spain, 2004

Figure 18: Mergers and acquisitions in the Spanish banking market, 1998-2005

Figure 19: Gross advances in the Spanish consumer credit market will grow at a CAGR of 10.4 per cent to reach €87.0 billion in 2010, 2001-2010f

Figure 20: Datamonitor's core consulting capabilities