South Korea's e-commerce credit card payments exceed 100 trillion won for the first time

Due to the spread of Corona 19, non-face-to-face online transactions have become more frequent . Last year, the amount of credit card payments in Korean e-commerce exceeded 100 trillion won for the first time.

The Bank of Korea announced that the amount of personal credit card payments for e-commerce and mail order in South Korea last year was 116.3251 trillion won , an increase of 24.6% from the previous year .

This is the first time that the statistics have exceeded 100 trillion won since the Bank of Korea began compiling data on annual payments for e-commerce and mail-order credit cards in December 2009 .

In terms of months, it exceeded the monthly benchmark of 10 trillion won for the first time in September last year (10.2943 trillion won), and exceeded 11 trillion won in December last year (11.4122 trillion won).

A relevant official of the Bank of Korea said : " In recent years , as online shopping transactions have become more convenient through the Internet and mobile communications, personal credit card settlements have increased in the field of e-commerce and communication sales. "

In particular , the amount of personal credit card payments for e-commerce and mail order reached 51.67 trillion won in 2016 , with an annual growth rate of 25.01%. In 2017 , it reached 64.5959 trillion won , with an annual growth rate of 25.02% . This is an increase of more than 10 trillion won every year .

However, due to the long period of travel being banned last year , consumption at duty-free shops suffered a direct blow . Credit card payments at duty-free shops last year were 555.4 billion won, down 74.7% from the previous year , the largest drop in history. As a result, the payment amount growth rate last year was slightly less than 25% , at only 24.6%.

In 2020, a year plagued by the COVID-19 pandemic, the e-commerce market may be one of the few exceptions that has bucked the trend. South Korea's e-commerce sales last year were US$144.1 billion, an increase of 19.5% over the previous year , ranking fifth in the world .

With the increase in online consumption, South Korea's credit card payment, which has this large market, will also show a trend of increasing online settlement amounts and gradually decreasing offline settlement amounts for a long time .

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