Weekly Headlines

18th March 2022

Average amount spent per contactless card transaction rose by almost 30%

1 in 12 people turned to BNPL to cover basic costs

BNPL appeals to wealthy consumers

Euronet completes the purchase of the Piraeus Bank Merchant Acquiring business

62% of consumers would avoid merchants with a poor payment experience

Flux extends its loyalty platform to any Visa card

SCA rules have entered into force in the UK

Catalonian Ministry of Labour considers new law to limit the times of home deliveries

 

Average amount spent per contactless card transaction rose by almost 30%

UK Finance’s latest card spending data shows the average amount spent per contactless card transaction rose by almost 30% following the contactless limit increase to £100 in October 2021. In September 2021, when the contactless limit was £45, the average spend per contactless payment was £11.86, this increased to £15.30 in December. The total value of contactless transactions in 2021 also increased, reaching £165.9 billion. This is 46 per cent higher than in 2020 and 106 per cent more than 2019.

 

1 in 12 people turned to BNPL to cover basic costs

Citizens Advice has found that one in 12 people turned to BNPL to cover basic costs – such as food and toiletries – in the last six months. A Citizens Advice poll of 1,124 people who had used BNPL in the past 12 months showed that young people, those in debt and those claiming Universal Credit, are at least twice as likely to have used BNPL for essentials than the general population.

 

BNPL appeals to wealthy consumers

Survey suggests BNPL appeals to both rich and poor alike. Mizuho Securities, a financial firm that follows Affirm, said last week that a survey of households with at least $100,000 in annual income showed that nearly 37% have used Affirm.

 

Euronet completes the purchase of the Piraeus Bank Merchant Acquiring business

Euronet Worldwide announced the completion of the purchase of the Piraeus Bank Merchant Acquiring business of Piraeus Bank in Greece. PBMA’s acquiring services and assets includes approximately 205,000 POS terminals at 170,000 merchants throughout Greece. The in-store acquiring business represents approximately 20% of Greece’s market, while PBMA’s online merchant acquiring represents approximately 40% of online and digital transactions in the country.

 

62% of consumers would avoid merchants with a poor payment experience

According to the latest findings from Plaid, 62% of consumers would avoid merchants with a poor payment experience and 22% would avoid them even if they needed to use them. 81% feel it is also important for companies to offer a wide variety of payment options, whether that be buy now pay later, or digital payments.

 

Flux extends its loyalty platform to any Visa card

Through a partnership with Fidel API, Flux is extending its loyalty platform to any Visa card. For a customer to take advantage, they just need to go to the Flux Offers website, register their card, activate the offers they want and choose a bank account for cashback to be sent to.

 

SCA rules have entered into force in the UK

SCA rules have entered into force in the UK. Mastercard expects about 25% of online transactions to require some form of extra verification by the customer from Monday, compared with only 1% of online purchases previously. Barclaycard research found that in February, more than 1.2m online transactions worth more than £100m were declined as part of the “ramp-up” to SCA’s full implementation. About 14% of shoppers noticed an increase in their online payments being declined and 37% headed to another retailer to complete their purchase.

 

Catalonian Ministry of Labour considers new law to limit the times of home deliveries

The Catalonian Ministry of Labour is considering approving a new law that will regulate and limit the delivery times of home deliveries. By limiting the delivery times of couriers, the ministry wants to minimize competition between physical and online retail. According to the new law, online stores can only offer deliveries of orders in the same hours as brick-and-mortar opening hours. This means that parcels can be delivered during a maximum of 12 hours, with 9.00 p.m. as a limit from autumn to spring. In summer, parcels can also be delivered until 10.00 p.m. The law also proposed a prohibition on deliveries in the weekends, especially on Sundays.

 

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