You know how digital transformation has lagged in some sectors for, oh, 20 years? No more. The COVID-19 pandemic has jet propelled digital development, and a new analysis by electronic payments company ACI Worldwide shows the big winners and losers in e-commerce.
- Retail, up 209%
- Gaming, up 126%
- Digital downloads, up 26%
- Ticketed entertainment (sports, movies, concerts, and plays), down 99%
- Travel, down 91%
- Online dating, down 5%
These lockdown numbers are particularly dismal given that e-commerce transaction volumes were up 23.5% in April.
There are signs that some companies are struggling. Chargebacks (return of money to customers) were up by 25% in late March, indicating companies’ difficulties in following through on orders. And fraud is up 43%, to 5.3% in April. (In April 2019, it was 3.7%.) So-called click-and-collect purchases, where customers buy online and pickup at a store, have been particularly targeted by fraudsters. The study predicts more “friendly fraud” as consumers plunge into financial instability, and deny receiving goods or claim that the purchaser did not have cardholder approval. It’s a jungle out there. A very busy jungle.