Alternative Payments Networks: A Matrix Model

Mercator Advisory Group report explores rapidly changing landscape of alternative payment networks

Boston, MA — Alternative payment networks (some of which have been in operation for almost a full decade now) are establishing themselves as a permanent part of the market landscape. They are one of the forces of change taking place in the modern electronic payments industry.

Mercator Advisory Group’s Alternative Payment Networks: A Matrix Model report not only addresses the question of whether alternative networks are new networks at all, but examines whether new matrices have emerged out of a combination of new technology, new delivery channels, and existing payment networks.

The Alternative Payment Networks: A Matrix Model report examines the forces that are shaping this segment of the market as exemplified by three companies: PayPal, Bling Nation, and Cimbal, which we profile in depth. In addition, we discuss the potential impact of these organizations being defined (or not) as a payment network by the Durbin Amendment statute.

“Quite simply, the market needs alternative networks, which breathe new life into payment solutions, provide new value propositions for consumers and merchants, and incubate technologies outside of traditional development channels,” Patricia Hewitt, Director of Mercator Advisory Group’s Debit Advisory Service comments.

Highlights of this report include:


A detailed overview of the three profile companies: PayPal, Bling, and Cimbal.

Commentary on the potential impact the Durbin Amendment might have on these networks.

A discussion of how legacy and emerging networks combine to form new payment schemes.

An examination of different network types and developmental timelines.

A review of PayPal X and other open development strategies.



One of 12 exhibits in this report.

This report is 31 pages long and has 12 exhibits.

Companies mentioned in this report include: PayPal, Bling Nation, Cimbal, Visa, and MasterCard.

Members of Mercator Advisory Group have access to this report as well as the upcoming research for the year ahead, presentations, analyst access and other membership benefits.

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About Mercator Advisory Group
Mercator Advisory Group is the leading, independent research and advisory services firm exclusively focused on the payments and banking industries. We deliver pragmatic and timely research and advice designed to help our clients uncover the most lucrative opportunities to maximize revenue growth and contain costs. Our clients range from the world’s largest payment issuers, acquirers, processors, merchants and associations to leading technology providers and investors.