Spanish card users increase online purchases by 70% in only five years
The second ‘Bankintercard’ report indicates that online shopping has become the new consumer trend: in Spain, more people are buying online, though for small amounts on average.
During 2017, 31% of credit card purchases were made with contactless payment.
On ‘Black Friday’, Spaniards spend 74% more than on any other day of the year.
The digital revolution has certainly changed consumer habits in Spain. With strong advent of smartphones in Spain, alongside other factors such as the increase in online shopping deals, the wider variety of apps and advances in big data solutions, online shopping and payment systems have been quickly evolving.
Spanish credit card users have increased online purchases by 70% in only five years.
In 2017, card users shopping on the Internet are expected to spend an average 877 euros on online purchases, 12% more than in 2016.
Furthermore, online consumers have gone from making an average 8.1 online transactions in 2013 to an estimated 13.5 online transactions in 2017, a 67% increase in the number of online purchases in only five years.
This is just some of the data revealed in the second ‘Bankintercard’ report prepared by Bankinter Consumer Finance. The report took into account statistical data from transactions made by almost 800,000 credit card users.
With regard to the digital transformation in retail and the new habits of consumers, Alfonso Sáez, board member and managing director of Bankinter Consumer Finance, pointed out, ‘We find ourselves in a moment of profound transformation, as consumers are increasingly quicker to make innovation and new technology a part of their daily habits. This trend indicates that the Internet is the shopping channel of tomorrow’s consumers. Online shopping will be become the norm very soon, and we will move toward exponential growth in online purchasing, which is already a new consumer habit that we will see surpass face-to-face shopping, as we have already begun to see in industries like travel’.
The star of online purchasing: travel.
The industry in which consumers spend the most online is travel and airfare, generating 20% of total online credit card purchases, compared to 8% of total card purchases made directly in outlets.
Travel is followed by general online shopping platforms, which take in 13% of all online payments. 8% of online purchases are for leisure, compared with 3% of face-to-face purchases. 6% of online payments go towards electronics, versus 5% of store-bought gadgets. Meanwhile, as regards clothing purchases, 4% are made online, while 8% are still carried out face-to-face in retailers.
Purchases made on general online shopping platforms have gone from being 6% of ‘online shopping carts’ in 2013 to 13% in 2016.
The fashion industry shows the highest concentration of young people who shop online. Currently, shoppers under the age of 30 purchase 12% of their clothing items online.
The Internet, the shopping channel of tomorrow’s consumers.
The second Bankintercard report reveals that online consumers between the ages of 30 and 40 spend the most on the Internet (an average 874 euros annually) while also making the highest number of purchases (an average 13.3 purchases a year). Nonetheless, people under the age of 30 spend most of their budget (26%) on online purchases.
A wider online spending gap between men and women.
On average, online consumers are men aged between 30 and 40. Men generally pay with credit card 23% more than women; however, when it comes to online payments, this difference rises to 35%. In 2016, men spent on average 852 euros while women spent an average 632 euros.
Black Friday: a shopping boom.
The report also shows the shopping boom that takes place more often on Black Friday. In Spain, consumers spend 74% more than on any other day of the year. Shopping is also reported to increase in the days leading up to the most awaited Friday of the year. This sales spike is related to the early deals put forward by several brands looking to extend Black Friday for almost a week.
Although Black Friday started as an electronics shopping phenomenon, clothing has gained ground. In 2016, it accounted for 14% of total purchases in 2016, while electronics made up only 12% of Black Friday purchases.
Innovation driving new payment systems.
Today’s digital transformation is also quickly changing payment systems. Without a doubt, the payment system with the most success in recent years is contactless payment. This technology is based on a near-field communication chip, which allows consumers to pay for items by simply waving their card close to a payment terminal.
This year alone, 31% of credit card purchases were carried out on contactless payment systems. Its reception has been very significant, especially amongst the youngest consumers (under the age of 30), who use it to make 40% of their credit card purchases.
On the other hand, the Bankinter ‘wallet’ app for paying with a mobile telephone has already begun to be used by the youngest consumers and the so-called ‘early adopters’ who start using new technologies before they become trendy. According to the report, ‘wallet’ users spent on average 236 euros a month as of August 2017, with an average 5 transactions per month.
About Bankinter Consumer Finance
Bankinter consumer Finance is the financial institution that grew the most in the Spanish banking system during 2016, increasing its loan book by 46% from the previous year. Its customer portfolio grew by 23% in 2016, with more than 898,000 customers. During the first months of 2017, it has continued to grow strong, with over one million customers by the end of September and a loan book amounting to 1.3 billion euros, 41% more than a year ago.