It likely comes as no surprise to hear that COVID-19 has dramatically changed shopper preferences and behavior. But just how much change has occurred, and what does this mean for retailers and other businesses looking to better serve their customers?

With the goal of examining attitudes and behaviors around shopping, payments, and gifts, Blackhawk Network surveyed thousands of consumers across the globe for its 2020 Multinational BrandedPay™ report. The report contains both the results of research conducted before the peak impact of the pandemic and supplemental data gathered during the phased re-openings.

To talk more about the emerging trends in consumer behavior identified by the report, PaymentsJournal sat down with Theresa McEndree, VP of Marketing at Blackhawk Network and Ted Iacobuzio, VP and Managing Director of Research at Mercator Advisory Group.

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Digital wallet adoption is surging

One of the most noteworthy findings of the BrandedPay™ report is that 88% of surveyed shoppers in eight markets reported using a digital wallet of some kind. While the payments industry has been attempting to drive adoption for years, COVID-19 has served as a major catalyst for consumers to incorporate digital wallets into their lives.

A number of factors contribute to the recent uptick in digital wallet adoption. “People have been forced to shift their behavior both from a security and accessibility standpoint, as well as a feeling of safety,” explained McEndree. Consumers like the thought of using their own device in a contactless setting to avoid potential exposure to the virus, which has led them to “really cross the chasm, so to speak, to adoption,” she added. 

Iacobuzio agreed, adding that “consumers have discovered that mobile wallets are an exceptionally safe, convenient, and instantaneous way to pay, and COVID-19 has given them the extra shove they needed to move into that territory.”

Consumer usage of digital wallets varies by market

Of course,