Bango has analyzed payment data from countries initially impacted by the outbreak of Covid-19. Data from Singapore, Taiwan, South Korea, Japan and Hong Kong provides an insight into the likely shifts in consumer behavior in European and North American markets, as governments and businesses respond to the outbreak of Covid-19, adopting “stay at home” policies. A summary of the findings are below:
Online consumer spend following the outbreak of Covid-19
|Commerce Category||Avg increase in 1st week of containment||Avg. increase in 1st week of lockdown|
Note: These changes represent data taken from one week across a range of sources.
Data points were gathered measuring spend prior to containment and lockdown taking effect in each analyzed market, and measuring growth in online activity in the weeks following containment or lockdown measures. Spending patterns were also analyzed in the US and Italy. Based on the early indicators, it is likely that increases in spending could be twice as high with the introduction of new services to meet demand. Key dates can be found below:
|Geography||Containment phase begins||Lockdown phase begins|
|Hong Kong||22 Jan||n/a|
|S. Korea||14 Feb||23 Feb|
|Italy||22 Feb||8 Mar|
The latest information analyzed by Bango includes data from NHN Ace - the leading payment and data company in South Korea and a strategic partner of Bango – which reveals deeper underlying trends in consumer behavior. Following a policy of voluntary self-isolation, South Korea moved to mandatory closures of schools, factories and other meeting places. Bango also owns Audiens, a Customer Data Platform (CDP) based in Milan, Italy.
Commenting on these findings, Anil Malhotra, co-founder and Chief Marketing Officer at Bango said: “The human cost of Covid-19 is truly tragic, and this is a time for us all - individuals, public service providers and businesses - to pull together. The infrastructure of our societies is being heavily tested as we scramble to protect our population’s health and economic well-being. With much of this infrastructure now provided online, Bango is able to identify and quantify the changes in consumer behavior as people isolate at home under emergency response plans. At a time of great concern for governments, businesses and citizens across the world, Bango - alongside other providers of essential online technology – is helping to make it easier for individuals to comply with stay-at-home policies by supporting the sudden increase in people’s need for online services.”
This analysis suggests general trends in consumer behavior and is not intended as a forecast of changes to End User Spend or other financial metrics relating to Bango or other online companies.