CONSUMER INSIGHTS Absa Merchant Spend Analytics Report : May 2025 Absa | Corporate and Investment Banking > Insights and Events > Absa Merchant Spend Analytics Report: May 2025 SHARE Consumers display price-sensitivity despite card spending and transaction volumes rebounding. After a dip in April, card spending experiences a slight uptick in May, but restraint defines consumer behaviour. While this growth is a welcome sign, it’s important to note that the 2% month-on-month increase remains below the current inflation rate, suggesting that spending power is still facing headwinds. A notable entry into the top 10 core categories for the first time was the category of Government, which replaced Tourism. This shift is strongly linked to heightened card spending in the Electric, Gas, Sanitary and Water Utilities sub-category. A spending shift like this stems from both the seasonal effects influenced by colder weather and Eskom’s annual tariff adjustments implemented in April. Other notable entries include transport, education and gambling. This turnaround reflects the impact of seasonal trends, and rising electricity costs – all shaping South Africa’s evolving economic landscape. Importantly, May also coincided with South Africa’s national Savings Month, further underscoring the importance of responsible budget management and financial planning during times of economic strain. Key insights Your browser does not support the video tag. An analysis of the year-to-date figures reveals that growth has slowed compared to the same period last year (April YTD 2024 vs. April YTD 2025). Other noteworthy key takeaways include the continued outperformance of credit cards over debit cards in terms of usage, despite a clear slowdown. A plateau in popular online spending also indicates a normalisation in growth, rather than a decline in interest. Download latest Absa Merchant Spend Analytics Report Access latest Press Release https://www.cib.absa.africa/wp-content/uploads/2020/07/file_example_MP3_700KB.mp3 Related Articles CONSUMER INSIGHTS Absa Merchant Spend Analytics Report: April 2025 The Merchant Spend Analytics Report for April 2025 noted a surprising decline in card transaction data for the month. In the wake of a robust performance in March, the month-to-month figures showed a 5% decline in card spending and a 7% decrease in transaction volume. Read more CONSUMER INSIGHTS Absa Merchant Spend Analytics Report: Q1 2025 The first quarter for 2025 revealed resilient card spending with remarkable month-to-month recoveries. While growth moderated on a year-to-date basis, consumer sentiment remained strong and stable. Read more CONSUMER INSIGHTS Absa’s Merchant Spend Analytics: February 2025 Absa spend insights report reveals major consumer spending patterns in the face of economic transitions. Report highlights stabilising spending trends, digital commence growth, and the township economy's evolution. Read more
