ACI Worldwide Research Reveals Increase in June eCommerce Sales – Largest Since the Start of COVID-19 Pandemic Restrictions
July 14 2020 - 2:00AM
Business Wire
Outdoor equipment and sporting goods, personal
protective equipment (PPE) and DIY items drive increase
Global eCommerce sales rose 28 percent in June 2020 compared to
June 2019, making it the largest year-over-year (YoY) increase in
sales since COVID-19 restrictions were put in place in March. The
analysis by ACI Worldwide (NASDAQ:ACIW) of hundreds of millions of
eCommerce transactions from global merchants also showed a
continued increase (117%) in athletic, footwear and sporting goods
sales. Outdoor equipment was among the most popular purchase
categories with an increase of 10 percent in June compared to an
eight percent increase in May. Personal protective equipment (PPE)
and DIY items also continued to be among the most popular purchases
last month.
The U.K. saw a steep jump in purchase volume in June 2020 — up
20 percent compared to June last year — whereas in May 2020,
purchase volume was up six percent compared to the previous year.
U.K. consumer purchases continued to be driven by goods such as
hardware, homeware and DIY furniture. In the U.S., consumer
purchases in June 2020 were up 25 percent, consistent with the May
2020 increase of 25 percent. U.S. consumer purchases were driven
largely by apparel, as well as a continued demand for online
games.
“eCommerce growth remains strong even as COVID-19 pandemic
restrictions are being eased, suggesting a possible behavioral
shift with consumers young and old around the world as they embrace
the convenience of online shopping. In fact, more consumers
representing older generations who have traditionally preferred
purchasing at brick and mortar stores are finding online shopping
to be the new norm,” said Debbie Guerra, executive vice president,
ACI Worldwide. “Additionally, as the easing of restrictions
coincides with the summer holiday season across much of the globe,
numerous merchants are seeing a higher percentage of outdoor goods
being purchased as compared to this time last year.”
Non-fraud chargebacks continued to see a steep increase (27%) in
April*—particularly in the airline industry as consumers looked to
secure refunds for unused airline tickets. Sectors continuing to
experience a dramatic decline in purchase volume include travel
(down 29%) and ticketing (down 94%), whereas the volume of
purchases remains strong for gaming (up 70%) and retail (up
68%).
“As the pandemic led to wide-ranging restrictions and
work-from-home arrangements, many call centers and package
processing facilities were unable to operate normally, leading to a
backlog of returns and shipment delays, which drove up non-fraud
chargebacks. Many merchants facing these challenges in fulfilment
were able to offer consumers credit or alternative options such as
points or gift cards to offset the inconvenience. And, the major
card brands have made temporary changes to chargeback programs as a
result of COVID-19,” Guerra added.
Key Findings:
eCommerce purchasing trends:
- Driven by the gaming, DIY and digital sectors, global purchase
volume increased by 15 percent from January to June 2020 compared
to the same period in 2019, whereas the average ticket price fell
(from $116 in 2019 to $87 in 2020).
- For the month of June 2020, purchase volume increased 31
percent compared to the same month in 2019, whereas purchase value
decreased by 3 percent.
- Purchase volume increased in all regions, with the EMEA region
having the highest increase:
- EMEA up 39 percent
- U.S. up 35 percent
- APAC up 25 percent
Fraud trends:
- For the period from January to June 2020, fraud attempts
increased by 4.7 percent in value, while they decreased by 3.2
percent in volume.
- However, for the month of June 2020, fraud attempts were 3.7
percent by value (a 0.2 percent increase compared to the same month
last year) reflecting a continued month-over-month downward trend
after having reached a high of 5.8 percent in March 2020.
- Fraud average ticket price increased from $161 in 2019 to $174
in 2020 — double the average ticket price for genuine purchases in
2020 ($87).
*As chargebacks take approximately 45 days to process, the most
current complete data is from April 2020.
About ACI Worldwide ACI Worldwide powers electronic payments for
more than 6,000 organizations around the world. More than 1,000 of
the largest financial institutions and intermediaries, as well as
thousands of global merchants, rely on ACI to execute $14 trillion
each day in payments and securities. In addition, myriad
organizations utilize our electronic bill presentment and payment
services. Through our comprehensive suite of software solutions
delivered on customers’ premises or through ACI’s private cloud, we
provide real-time, immediate payments capabilities and enable the
industry’s most complete omni-channel payments experience. To learn
more about ACI, please visit www.aciworldwide.com. You can also
find us on Twitter @ACI_Worldwide.
© Copyright ACI Worldwide, Inc. 2020 ACI, ACI Worldwide, ACI
Payments, Inc., ACI Pay, Speedpay and all ACI product/solution
names are trademarks or registered trademarks of ACI Worldwide,
Inc., or one of its subsidiaries, in the United States, other
countries or both. Other parties’ trademarks referenced are the
property of their respective owners.
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Media: Dan Ring dan.ring@aciworldwide.com
781-370-3600
Nidhi Alberti nidhi.alberti@aciworldwide.com 781-370-3600
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