Countries Covered: Singapore
Publication Date: 17/11/2020
Questions Covered in the report:
- What are the top payment methods used in E-Commerce among Singaporean consumers?
- How did the COVID-19 crisis affect the mobile payment market in Singapore?
- How was the growth of DBS PayLah! impacted during the COVID-19 pandemic?
- What is the share of Singaporean consumers who used e-wallets during the COVID-19 health crisis?
- What is the impact of the COVID-19 crisis on GrabPay’s activity in Singapore?
Singapore’s online payments boosted by COVID-19
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.