One of five urban Romanians use their cards to pay for purchases worth less than RON 10 (EUR 2.2), according to a MasterCard study on card usage in Romania. The most common card payments are of little value, three-quarters of the respondents saying that they usually use the card for purchases of up to RON 75 (some EUR 17).

"This trend is encouraging, underlining a change of mentality in the local market: the drive from cash to electronic payments is gaining traction amongst Romanian consumers, given that 85% of those surveyed indicate they pay by card for the everyday purchases," reads a MasterCard statement.

Moreover, four of five Romanians prefer cards because that way they avoid carrying cash, whereas 67% of the respondents appreciate the simplicity and ease of paying by card.

The number of those who made daily payments by card was 45% higher in December 2015 compared to March last year. According to MasterCard, the result underpins an encouraging evolution in the market, supported by the growth in the number of cardholders, which reached 95% of adults living in the urban areas of Romania and are internet users.

Moreover, contactless payments have become more popular in Romania. Between March and December 2015, the percentage of people doing contactless payments increased by 160%. In December 2015, four out of ten respondents were familiar with contactless payments, confirming the growth in popularity of this payment solution.

Only 12% of respondents said they didn't know how or weren't used to paying by card. As such, the low levels of card penetration in the local market can be largely attributed to the poor acceptance infrastructure, with 41% of the respondents naming this reason above all others, when asked to single out a reason for not paying by card.

The study also analyzed the Romanian consumers’ perception toward paying by card online, highlighting that most of the respondents are fully aware of the benefits that derive from e-shopping. For 57% of respondents, the accessibility of online shopping represents the main advantage, as they can make payments whenever and from wherever they want. On the other hand, data security and e-merchant trust, although in a slight drop, are still the main causes of concerns for Romanian card users when purchasing online.

The study is based on Omnibus studies, conducted by local research company iSense Solutions for MasterCard, in March and December 2015, in the urban environment, among internet users aged over 18.

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Irina Popescu, irina.popescu@romania-insider.com