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The coronavirus pandemic winds on, and while it seems like it’s been forever, when — and not if — we emerge from all this, consumer spending will be altered. Even grocery spending growth slowed to 25 percent on credit cards and 10 percent for debit cards, which gives a nod to the fact that consumers are likely “fully stocked up.”
Consumers who previously paid for purchases by swiping or inserting their cards at in-store point-of-sale (POS) terminals are now turning to contactless cards and online shopping to safely and easily obtain needed goods. The COVID-19 pandemic is shaking up shopping behavior.
The COVID-19 pandemic and safety measures taken to slow the virus’s spread have overturned consumers’ daily lives, including what they are buying and which payment methods they are using to transact. These changes have presented consumers with new economic conditions and created different purchasing priorities. Grocery Spending Climbs.
The continued pivot toward digital banking and mobile devices substituting for in-person visits to branches is spurring financial institutions (FIs) to reconsider how they deliver new products and services – and what their consumers really need right now.
A transformation toward contactless payments is underway at the nation’s creditunions as the public shuns cash and even physical cards to lower infection risks with COVID-19. This change in consumer behavior is expected to remain even after vaccines are more widely distributed. The High Stakes Of Offering Contactless.
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