This blog is part of a series of weekly insights that reveal the impact of the Coronavirus pandemic on global E-Commerce, Online Payment and many other vertical topics such as Online Travel, Cross-Border, Online Education etc.

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1. COVID-19 Impact on E-Commerce 03 - 04
2. COVID-19 Impact on Online Payments 05 - 06
3. COVID-19 Impact on Selected Online Verticals 07 - 08
4. COVID-19 Impact Data Highlights 09 - 13

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Total digital commerce and payment volume is projected to decrease
by -14% in 2020 as a result of COVID-19 outbreak.
Newsflash: COVID-19 Impact on E-Commerce, April 9-15, 2020
Digital Commerce & Payments Value to Decline by -14% in 2020 Due to the Coronavirus
 Global digital commerce spending, including remote digital purchases of products and services, contactless mobile payments, digital
banking, IoT payments, money transfer and gambling, is projected to decline by -14% in 2020 to USD 9.7 trillion as a result of the
COVID-19 outbreak. The dampening consumer spending and the decrease in market segments particularly affected by the
coronavirus are expected to drive the decline. Among them, the digital ticketing segment is forecasted to fall by -59% year-on-year.
On the upside, sectors such as video subscription services and digital games are projected to expand during 2020. The overall digital
commerce market is forecasted to resume growth in 2021, rising by +4% compared to 2019, though some segments are expected to
take significantly longer to recover. For example, some analysts project that the full recovery of airline ticketing could last 5 years.
 At the same time, COVID-19 is projected to have a long-term effect on consumer behavior, spurring the shift from offline purchases
and payments to digital channels. The boost in online groceries and digital purchases during the pandemic is set to encourage the
growth of digital spending for the next five-year period.
Sources: Juniper Research/Business Wire
B2B E-Commerce Marketplaces to Benefit From B2B Sellers Shifting to Digital Amid the COVID-19 Outbreak
 The coronavirus has affected B2B E-Commerce in a number of ways. On the one hand, the shift to remote purchasing seen in the
B2C sector can also be found in business-to-business commerce. Supply shortages force B2B buyers to look for new ways to
purchase. Companies with omnichannel capabilities and B2B E-Commerce marketplaces could benefit from this trend. For example,
Amazon Business launched a dedicated online shop for COVID-19 supplies and waived the standard referral fees for third-party
sellers contributing to this initiative. The E-Commerce giant was reportedly onboarding thousands of hospitals and government
organizations as a result of the initiative. On the other hand, disruptions in the logistics sector caused by the COVID-19 outbreak also
have an impact on B2B commerce, with three in four supply chain managers surveyed in mid-March reporting transportation-related
problems. In order to convert the changes brought about by the coronavirus into an opportunity, B2B companies are advised to shift
their efforts to digital marketing and online channels, given that many of their customers are likely to be working remotely and using
digital channels more than traditional.
Sources: Digital Commerce 360, PYMNTS.com, BCG

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1. COVID-19 Impact on E-Commerce 03 - 04
2. COVID-19 Impact on Online Payments 05 - 06
3. COVID-19 Impact on Selected Online Verticals 07 - 08
4. COVID-19 Impact Data Highlights 09 - 13

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Payments companies worldwide are offering relief and stimulus
programs to help small businesses recover from COVID-19.
Newsflash: COVID-19 Impact on Online Payments, April 9-15, 2020
COVID-19 Gives Rise to Digital Fraud
 Amid the rise of E-Commerce orders for products such as groceries and necessities during the pandemic, digital fraud related to
COVID-19 is also increasing. According to a March 2020 survey, 22% of U.S. adults were targeted by coronavirus-related digital
fraud. This includes phone calls, phishing emails and fraudulent websites promising information on the coronavirus in exchange for
login details. As a result, account details and personal data may get stolen and used to conduct fraud on merchant websites. Account
takeover and synthetic identity fraud are expected to rise amid the coronavirus outbreak. Better management of customer life cycles
and additional verification steps are recommended as measures to help merchants prepare for COVID-19-related fraud attacks.
Sources: Payments Journal, PaymentsSource
Payments Companies Offer Relief Measures and Initiatives to Support Small Business Affected by COVID-19
 Payments firms across the globe are launching COVID-19 relief measures and initiatives, especially targeting small businesses. In
the U.S., Square, PayPal and Intuit are supporting the Small Business Administration’s Paycheck Protection Program aimed at
providing stimulus loans. Furthermore, Visa Foundation announced investing USD 210 million in programs to support small and
micro businesses affected by the coronavirus. In China, Alipay announced new initiatives to help small merchants in Wuhan digitize.
These include offering loans with zero interest in the first month and launching a special section in the Alipay app promoting products
and services of Wuhan’s businesses. Germany-based payments firm Wirecard and software provider SAP cooperated with Futur/io
to introduce low cost and free digital payment solutions to businesses, such as a “Pay-by-Link” service allowing firms to receive
payments in real-time via smartphone.
Sources: Business Insider, USA Today, FinTech Futures
The Effect of The Coronavirus on Cryptocurrencies
 The turmoil in the financial markets has also impacted the virtual currencies, but less severely than some other assets. As of April 15,
Bloomberg Galaxy Crypto Index which tracks the performance of the major cryptocurrencies transacted in USD was down by -2.56%,
having partially recovered after a sell-off wave at the beginning of March. Furthermore, as central banks are pushing quantitative
easing amid COVID-19, cryptocurrencies are seen as an alternative to currencies which are prone to devaluation. Anticipating the
trend, European FinTech firm Revolut made cryptocurrency available to all its 7 million clients. Previously the option was only
available to premium customers. However, fraudsters are also expected to try to make use of cryptocurrency during the pandemic.
FBI issued a warning on April 13 against the anticipated rise in COVID-19-related scams involving virtual currencies.
Sources: FinExtra, Financial Times, Bloomberg, FBI

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1. COVID-19 Impact on E-Commerce 03 - 04
2. COVID-19 Impact on Online Payments 05 - 06
3. COVID-19 Impact on Selected Online Verticals 07 - 08
4. COVID-19 Impact Data Highlights 09 - 13

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Domestic travel starts to recover in China, but is still down to less than
half of last year’s volume.
Newsflash: COVID-19 Impact on Selected Online Verticals, April 9 – 15, 2020
Domestic Travel Expected to Recover From COVID-19 Faster Than International
 Domestic travel in most countries is expected to recover from COVID-19 faster than international travel. Latest data from China
confirms this expectation. According to Trip.com, China’s leading OTA, nearly 100% of visitors to the top 10 travel destinations in
China during the recent Qingming national holiday were locals. Still, overall for the market, the number of travelers was down by -
61% year-on-year to 43 million, with revenues down by -81% to CNY 8.3 billion (USD 1.2 billion). A survey conducted by Trip.com at
the end of March showed that only 16% of consumers would be ready to resume travel in May, and among those, nine in ten would
prefer domestic destinations. In an attempt to boost demand, Trip.com held a live streaming sales event on April 2, generating USD
3.8 million in transaction value in just one hour. Livestreaming and advance purchases are seen as the top two trends helping
Chinese OTAs to recover from the impact of COVID-19.
 With travel activities remaining low and concentrated on nearby destinations, air travel has not yet started to recover as of early April.
Sales of domestic air travel were still down by -65% year-on-year in terms of the transaction count during April 1-7. Outbound travel
was down by -98%. Globally, air travel seat capacity was down by -77% in March 30 - April 5 compared to the same period in 2019.
UNWTO expects that international tourist arrivals worldwide could fall by between -20% and -30% in 2020, compared to its previous
forecast of +3% to +4% growth. The decline could result in USD 30-50 billion less spending on travel.
Sources: Reuters, CNN Travel, ARC/IATA, China Travel News, CGTN/China Tourism Academy, SHINE UNWTO
Online Grocery Shopping & Delivery Continues to Boom During the Coronavirus
 Online grocery sales climbed by double and triple-digit percentages in Italy and Spain, up by +162% and +55% year-on-year in the
week of March 29, respectively. The trend is global, reflected across multiple regions. In MENA, online grocery delivery app
InstaShop reported that the number of orders doubled within the first few weeks in the countries where it operates (UAE, Bahrain,
Egypt, Qatar, Lebanon and Egypt), while the number of app downloads was up by above +70%. Carrefour’s subsidiary in Brazil
increased its online sales more than three-fold in March, as the pandemic continued to spread in the country, while in the U.S.
Walmart’s online grocery sales in March were estimated to have increased by +21% compared to February 2020 and by +99%
compared to March 2019.
Sources: Arabian Business, Reuters, Nielsen, Chain Storage Age/1010data

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1. COVID-19 Impact on E-Commerce 03 - 04
2. COVID-19 Impact on Online Payments 05 - 06
3. COVID-19 Impact on Selected Online Verticals 07 - 08
4. COVID-19 Impact Data Highlights 09 - 13

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9.7
11.6
0
5
10
15
2019 2020f 2021f*
inUSDtrillion
-14%
vs. 2019
Global digital commerce spending is projected to fall by -14% in 2020
as a result of COVID-19, but resume growth in 2021.
Global: Post-COVID-19 Forecast for Digital Commerce Spending, in USD trillion, 2020f & 2021f
Compared to 2019
Note: *2021f calculated from the growth rate reported by the source (+4% compared to 2019);
the growth rates are as reported by the source; may not add up due to rounding
Definition: digital commerce spending including the following segments: digital banking, IoT payments, mobile and online gambling, mobile and online money transfer, mobile and
online ticketing (incl. transportation, event tickets, air travel), mobile contactless payments, mobile QR code payments, remote digital purchases of digital goods, remote
digital purchases of physical goods
Source: Juniper Research on Business Wire, published April 15, 2020
+4%
vs. 2019
+20%
vs. 2020

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44%
38%
46% 45% 42% 45% 44%
56%
81% 82%
97%
142%
162%
17%
3%
15% 16%
6%
15% 13%
8%
28% 28%
59%
46%
55%
0%
40%
80%
120%
160%
5-Jan 12-Jan 19-Jan 26-Jan 2-Feb 9-Feb 16-Feb 23-Feb 1-Mar 8-Mar 15-Mar 22-Mar 29-Mar
Italy Spain
Year-on-YearChange
E-Commerce sales of FMCG in Italy and Spain were up by +162% and
+55%, respectively, during the week ending March 29, 2020.
Europe: Year-on-Year Change in FMCG E-Commerce Sales During the Pandemic, in %, by Italy and
Spain, Week 1 – Week 12 of 2020
Source: Nielsen, April 2020

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In the U.S., net online purchase intent for “Entertainment at home”
in two weeks following April 5, 2020, was +21%.
USA: Net Purchase Intent During Coronavirus Pandemic Over the Next Two Weeks, By Selected
Categories, By Online And In-Store, in Percentage Points, March 30 – April 5, 2020
Percentage Point Difference in Share of Consumers Expecting to Increase
Shopping Frequency and Share of Those Expecting to Decrease
In-store Online
Entertainment at Home -29 +21
Non-food Child Products -23 +14
Groceries -5 +12
Household Supplies -15 +6
Books/Magazines/Newspapers -43 +3
Snacks -16 0
Food Takeout & Delivery -34 -1
Tobacco Products -20 -12
Alcohol -28 -12
Skin Care & Make-up -56 -12
Furnishing & Appliances -53 -17
Apparel -64 -18
Fitness & Wellness -54 -19
Consumer Electronics -54 -20
Accessories -59 -27
Note: net intent is obtained by subtracting the % of consumers expecting to reduce shopping frequency from the % of those expecting to increase
Survey: based on a survey of 1,484 US consumers aged 18+, conducted during March 30 – April 5, 2020; question asked: “And where do you expect you’ll buy these categories?
Tell us if you will shop in the following places more, about the same, or less in the next two weeks.“
Source: McKinsey, April 2020

13. 5%
9%
5%
9%
5%
6%
5%
5%
7%
8%
8%
6%
7%
9%
20%
10%
10%
15%
16%
17%
17%
18%
18%
18%
18%
18%
19%
19%
21%
21%
0% 10% 20% 30%
Videoconferencing for professional use
Telemedicine for mental healthcare
Virtual/video chat for personal use
Watching online gaming
Wellness apps
Playing online gaming
Online streaming
Remote learning for myself
Remote learning for my children
Telemedicine for physical healthcare
Digital workout
TikTok
Online personal training/fitness
Grocery delivery
Restaurant delivery
Using more
Just started
using
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21% of adults in India made more online restaurant delivery orders and
20% just started doing so due to the outbreak, as of early April 2020.
India: Digital Activities Done Since the Covid-19 Outbreak, by Using More and Just Started Using, in % of
Adults, 3-6 April 2020
in % of Adults
Survey: based on a survey of 601 individuals in India aged 18+, conducted during 3-6 April 2020; question asked: “Have you used or done any of the following since the
coronavirus or COVID-19 started? If yes, which best describes when you have done or used each of these items?”
Source: McKinsey, April 2020

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