Comscore Uncovers the Impact of COVID-19 on Small Business Credit Card Applications
Using insights from the Comscore Small Business Credit Card Benchmarker, which leverages panel data to produce granular and actionable insights to understand emerging trends in the industry landscape,
Key findings include:
- After growth throughout 2019, small business credit card shopping began to decline in Q1 2020 as the COVID-19 pandemic took hold and small businesses focused on relief through small business loans.
- Submitted small business credit card applications declined during the peak of the pandemic. Q1 2020 saw a 6% year-over-year decline in submitted applications and Q2 saw a 41% year-over-year decline.
- Small business credit card issuers pulled back on paid marketing tactics such as affiliate sites and paid search in Q2 2020. Affiliate sites accounted for 8% of referred applications in Q2 2020, down from 15-20% from the prior year; paid search accounted for 7% of referrals in Q2 2020, down from 55% in the prior quarter. The decrease in marketing, however, did not correlate with a decrease in overall search activity: search referred applications experienced a slight uptick to 26% of total submissions compared to only 22% of submissions in Q1 2020.
- Searches for small business loans outpaced searches for small business credit cards in March and April of 2020 as COVID-19 relief and support were top priorities. Starting in
June 2020, however, searches for small business credit cards began to increase slightly, signaling small businesses' renewed interest going into the second half of the year.
To read the full findings of this research, download the "The COVID-19 Impact on Small Business Credit Card Applications in 2020" whitepaper. To learn more about how
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Neil Ripley, Comscore, Inc., (646) 746-0579, firstname.lastname@example.org