Article by Trevor Forbes, TSG’s Director of Market Intelligence
The COVID-19 pandemic has clearly had a major impact on U.S. consumer lifestyles and purchase behavior, including how, when and where consumers are making purchases. Many consumers expect changes in their purchase behavior will be here to stay, even after the seemingly never-ending pandemic subsides. Visa Consulting & Analytics (VCA) and payments industry consultancy The Strawhecker Group (TSG) teamed up to survey U.S. consumers as well as analyze Visa’s spending data to understand the impact to this behavior.
Lifestyles Are Disrupted
Purchasing, like nearly everything else in a pandemic, looks different. Forty-eight percent of consumers surveyed decreased their overall spending since the pandemic started, while 28 percent of respondents increased their overall spending. The places consumers spend, the channels they use, and the methods they choose for payment are shifting and leaning digital.
Cards Over Cash
Consumers have been changing what payment options they reach for to make purchases. Twenty-six percent of consumers surveyed expect to use less cash after the pandemic ends than they did before, though 18 percent expect their use of cash to increase after the pandemic ends. Additionally, 27 percent of consumers surveyed expect to use credit and debit cards more after the pandemic ends than they did prior. Continue reading
Related: Download TSG and Visa’s infographic