€1.8bn of e-commerce spend is paid for upfront
Central Bank data shows that total card spending to 24 August (including ATM withdrawals) was 3% below the daily average spending figure for August last year.
This is considerably higher (up 63%) than its low point in mid-April.
Spending on debit and credit cards picked up in late July and remained relatively stable throughout August, up around 9% on the daily average spending figure in August last year.
Point of sale
E-commerce expenditure recorded an increase of 16% (or €31 million) compared to July last year and accounted for 41% of all point of sale spending.
Total e-commerce expenditure amounted to €2.2 billion in July 2020, up 1% on the previous month, although it recorded a growth rate of 16% (or €311 million) when compared to July 2019.
Of total e-commerce expenditure, €1.8 billion can be attributed to debit cards, while €428 million can be attributed to credit cards
The value of ATM withdrawals, however, remain significantly lower on a year-on-year basis, down circa 31% compared with the daily average in August last year, as consumers continue to limit cash withdrawals.
In July, the accommodation and transport sub-sectors recorded notable month-on-month increases in spending of 160% and 24% respectively.
Lower
However, both sub-sectors remained significantly lower on a year-on-year basis.
Spending on groceries declined marginally on the month, although remained significantly higher in year-on-year terms, up 36%.
The restaurant sub-sector recorded an increase in spending of 56% on the month, while entertainment rose by a more subdued 10%.
The monthly data shows that total card spending (including ATM transactions) equated to €5.8 billion in July, a decrease of 5% (or €328 million), when compared with the same month the previous year.
When compared with the previous month, the total value of card transactions (including ATM withdrawals) increased by 8%, which corresponded with the third phase of restrictions being eased at the end of June.
Social sector
The reopening of restaurants and some bars in late June saw spending in the social sector up by 35% in July, compared to the previous month.
The restaurants/dining sub-sector increased by 56% and accounted for the vast majority of the overall increase in the social sector. Spending on entertainment was also up on the month, recording an increase of 10% compared to June.