The use of cash and other means of payment: how is the way we pay changing?

Abstract

Rationale Digitalisation has made significant headway in recent years, particularly following the outbreak of the COVID-19 pandemic. Against this background, it is important to analyse how consumers’ payment habits are changing at the physical point of sale, online and person-to-person. Takeaways •In 2022, cash is the most commonly used payment method in Spain at the physical point of sale and in person-to-person transactions, but has declined compared with 2019. •The decrease in the use of cash is primarily driven by two factors. First, the growth in online purchases, which limits the opportunity to pay in cash and, second, a shift in consumers’ payment habits, with an increase in the use of digital payment methods in their purchases.