In this legal case, Circum Network recently submitted a report and Benoît Gauthier testified as an expert witness at the Competition Tribunal, in a case revolving around the forms of payment used by Canadians, their preferences and attitudes towards certain payment method steering strategies used at the points of sale. The participation as an expert witness was based on a survey of 11,561 Canadians aged 18 and older who possess a credit card. The survey included an on-line component (8,894 respondents, or 78%) as well as a telephone component (2,577 respondents, or 22%).

The study shed light on Canadians' ownership of various modes of payment and their use; their attitudes when presented with various point-of-scale scenarios; and their opinions vis-à-vis a series of forced choices.

• Ownership of modes of payment: The vast majority of Canadians possess a debit card (93% of respondents), a checking account (91%) and a credit card usable in many stores (87%); and about one quarter (27%) of respondents reported owning a credit store usable in only one store. Among those who owned a credit card, 77% had a Visa, and 60% a MasterCard. Moreover, almost one half of cardholders (48%) owned a premium card. [2]
• Use of modes of payment: The survey showed that the debit card was the mode of payment most likely to be frequently used (most days) (42% of respondents); premium credit cards were a close second (38% of respondents). Cash was used most days by over one quarter of respondents (27%), and standard credit cards, by about one fifth of respondents (22%).
• Point-of-scale scenarios: The rebate scenarios were the most effective at moving customers to a lower-fee method of payment. The rebate to pay cash (debit, cash, cheque) instead of paying using a standard card moved 75% of the customers concerned.
• Forced choices: Surcharging was the least preferable strategy from a customer perspective: 3% and 8% selected surcharging over rebates and a single-price strategy.