Low spending growth in 2024 shows consumers still adjusting to inflation and post-Covid economy

Consumer spending through Core Retail merchants (excluding Hospitality) in Worldline NZ’s payments network reached $36.30B in the full year of 2024, which is up +0.8% on 2023, adjusted for merchants moving to or from the Worldline payments network.

Also, while the number of transactions in 2024 increased the average transaction size declined by - 0.6% (adjusted) to $50.35.

Worldline NZ’s Chief Sales Officer, Bruce Proffit says the low spending growth confirms how tough the retail environment was for Kiwi merchants in 2024.

“While consumers may have made more transactions through retailers in Worldline NZ’s payments network than the previous year, the annual underlying spending growth – that is, the actual increase in dollars spent – was the lowest we’ve seen in the last five years,” says Proffit.

Proffit notes that the average transaction value recorded through Worldline’s network also declined in 2023, which was likely due to a combination of merchant discounting and fewer consumer purchases of high-value products.

“If we look back at 2020, that was clearly a tough year both for consumers and retailers with the onset of Covid, which led to a drop in the number of transactions made through Worldline NZ’s network that year. However, prices also increased sharply in 2020, which meant the dollars spent back then did increase,” says Proffit.

“Last year, the key driver was less money spent, with the likely key factor being the ongoing adjustment of budgets to the inflationary period that emerged in 2020.”

Figure 1: All Cards NZ annual underlying* spending growth through Worldline in 2024 for Core Retail merchants (* Underlying excludes large clients moving to or from Worldline)

“The budget pressure is more evident in the Hospitality sector where the average transaction value declined in 2024,” says Proffit.

Consumer spending through Hospitality merchants in Worldline NZ’s payments network reached $11.39B in the full year of 2024, which is down -2.7% on 2023, adjusted for merchants moving to or from the Worldline payments network.

Turning to last month, consumer spending processed through all non-food Core Retail merchants (Core Retail excluding Hospitality, Food and Liquor) in Worldline NZ’s payments network in December 2024 reached $3.82B, which was down -0.7% on December 2023.

“Figures for the month confirm the pattern previously reported for pre-Christmas spending. That is, the traditional end-of-year spending spree did occur but was not enough to push spending above year-ago levels in the major cities.”

Annual declines occurred in Auckland/Northland (-2.0%), Wellington (-2.0%) and Canterbury (- 0.4%), although the largest decline was in the smaller Marlborough region (-2.2%).

Annual spending growth did occur in some regions, with the highest rates seen in West Coast (+4.2%) and Whanganui (+3.4%).

Figure 2: All Cards NZ underlying* spending through Worldline in December 2024 for core retail excluding hospitality merchants around (* Underlying excludes large clients moving to or from Worldline)

Note to editors:

These figures reflect general market trends and should not be taken as a proxy for Worldline‘s market share or company earnings. The figures primarily reflect transactions undertaken within stores but also include some ecommerce transactions. The figures exclude transactions through Worldline undertaken by merchants outside the Core Retail sector (as defined by Statistics NZ).

For more information, contact:

Brendan Boughen
T 027 839 6044
E brendan.boughen.external@worldline.com

About Worldline New Zealand

We are New Zealand's leading payments innovator. We design, build and deliver payment solutions that help Kiwi business succeed. Whether you’re looking for in store, online or mobile payment solutions or powerful business insights, Worldline is here to help with technology backed by experience. www.worldline.co.nz

About Worldline

Worldline [Euronext: WLN] helps businesses of all shapes and sizes to accelerate their growth journey – quickly, simply, and securely. With advanced payments technology, local expertise and solutions customised for hundreds of markets and industries, Worldline powers the growth of over one million businesses around the world. Worldline generated a 4.6 billion euros revenue in 2023. worldline.com

Worldline’s corporate purpose (“raison d’être”) is to design and operate leading digital payment and transactional solutions that enable sustainable economic growth and reinforce trust and security in our societies. Worldline makes them environmentally friendly, widely accessible, and supports social transformation.

Press Contact

Hélène Carlander
T +33 7 72 25 96 04
E helene.carlander@worldline.com