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Singapore’s online payments boosted by COVID-19, says new yStats.com report

The latest publication from Germany-based market research company yStats.com, “Top Mobile Payment Services Providers in Singapore 2020 and Their Reaction to the COVID-19 Crisis” gives insights into mobile payment service providers activity in Singapore. The publication reveals that the adoption of digital payments among consumers in Singapore accelerated significantly with the coronavirus outbreak in 2020.

E-commerce in Singapore is expected to surge in value by 2021

The E-Commerce market in Singapore is one of the most developed in Southeast Asia. There had already been a rapid increase in transaction value in 2019 and growth was predicted to continue at a high single-digit annual rate through 2021 according to figures cited in the new yStats.com report. This is due, in part, to the rising middle class and the high proportion of young Singaporeans in the population. With the outbreak of coronavirus and precautions imposed, in 2020 E-commerce has advanced substantially, and, according to different surveys cited in the new yStats.com report, consumers opt for contactless paying methods such as mobile or online payments, among others.

The top E-Payment service providers of Singapore partnered with other companies during the COVID-19 pandemic to increase their user base

E-Wallets as a mean of payment were common even before the pandemic, and their use has increased with the corona outbreak. Currently the three most preferred E-Wallets in Singapore are: DBS PayLah!, GrabPay and FavePay. All three players have crafted new partnerships in 2020 to offer cashback per transaction, a greater variety of choices in retail outlets, a wider choice of merchants for consumers among other benefits, as reported in the new yStats.com publication. These collaborations contributed to the growth of users on each platform and contactless payment usage frequency.

During the pandemic, the government of Singapore assisted merchants and promoted online payment methods

This year the government initiated numerous grants and supporting measures, such as the COVID-19 Support package for FinTechs, the Enterprise Development Grant, International Co-Innovation Programmes and others, to help companies operate and adapt to new operating conditions. The yStats.com report states that Enterprise Singapore, the governmental institution advocating enterprise development, released an E-Commerce Booster Package to aid small and medium-sized enterprises to shift from an offline business model to online sales.