Paycheck-to-paycheck pain is forcing us all to get our spending under control — and to disconnect a bit.
Literally.
And stay off the roads. And electric scooters. We also greet Uber and Lyft drivers a little less often.
In the latest ConnectedEconomy™ report, “Paycheck to Paycheck Consumers Digitally Disengage”, more than 2,700 consumers told PYMNTS that the financial pinch caused by inflation was enough to cause them to use travel-related apps and platforms less often. .
This cuts across all use cases, from carpooling to micro-mobility, so much so that 16 million fewer people used these apps in June than in April. That means paycheck-to-paycheck consumers are logging into these apps 11% less than they were earlier this year to get where they want to go.
The declines contrast sharply with usage seen among consumers who don’t live paycheck to paycheck, where the use of these apps to park, hail rides or buy train tickets is up. .
Inflation plays no small role here – after all, when it’s harder to cover the most basic expenses, it becomes harder to cover the ancillary expenses.
The work-from-home economy could naturally lead to a slight slowdown in, for example, the purchase of train or bus tickets. But the chart above shows that the steepest drop came in the scooter and bike rental app segments.
You could say that in transport, these options are among the most discretionary (and perhaps people choose to walk instead).
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NEW PYMNTS SURVEY FINDS 3 IN 4 CONSUMERS HAVING HIGH DEMAND FOR SUPER APPS
About: Results from PYMNTS’ new study, “The Super App Shift: How Consumers Want To Save, Shop And Spend In The Connected Economy,” a collaboration with PayPal, analyzed responses from 9,904 consumers in Australia, Germany, UK and USA. and showed strong demand for one super multi-functional app rather than using dozens of individual apps.
