Online transactions surged as consumers scoured digital channels for their basic necessities, according to RCBC Bankard.
The credit card arm of the Rizal Commercial Banking Corporation (RCBC) said consumers shifted to online transactions versus face-to-face transactions due to the Coronavirus 2019 (Covid19) pandemic.
With the exclusion of online purchases from travel, amusement, airlines, and hotels, which used to be the top online categories, online transactions using credit cards grew by 58 percent while swiped or face-to-face transactions fell by 36 percent, based on RCBC Bankard data.
“The digital journey will continue, so we will continue to bring more customers to the digital platforms, as we ride on the waves of this consumer behavior,” said RCBC Bankard president and chief executive officer Arniel B. Ong.
Consumers spent more for groceries, noting that in terms of card usage, the contribution of grocery spending increased from 21 percent to 29 percent. A stronger growth is forecast to continue this year.
Last year, consumers spent more on service providers, digital goods, utilities/internet/cable services, and courier/shipping services/freight.
In contrast, consumers spent less for amusement and recreation as well as food and dining which shrunk by 59 percent.
“Consumers are shifting towards essential spending through e-commerce transactions and less discretionary spend,” Ong added.
RCBC Bankard’s total cards-in-force stood at 917,729 as of March 2021.
