South Africa’s year-end trading data points to a decisive shift in how consumers and businesses transact, with digital payments firmly entrenched as the new normal.
Source: Supplied. Norman Nyawo, Head: Merchant Solutions for Business and Commercial Banking at Standard Bank South Africa.
The 2025 festive season delivered record digital transaction volumes, reflecting resilient consumer demand despite ongoing economic pressures. Standard Bank reports double-digit growth in both transaction volumes and values, underpinned by a surge in e-commerce activity across sectors. This momentum signals a strong foundation for sustained digital-payments growth into 2026.
Digital transaction volumes rose by 10.5% year-on-year (YoY) to 74.15 million, while digital transaction value climbed by 10% YoY to R35.62bn underscoring the growing role of digital financial services in supporting business growth and consumer spending during South Africa’s busiest trading period.
The surge in South African digital commerce reached an unprecedented peak, with e-commerce volumes growing by 40% YoY. This rapid acceleration signals a permanent shift in consumer behaviour, as shoppers move away from traditional retail toward mobile-first, digital storefronts.
For merchants, this growth represents a massive opportunity to scale, but it also demands unified platforms that can handle increased transaction volumes across web and social channels without compromising speed or security.
Sector and regional growth highlights:
Top sectors by turnover growth in December 2025:
Grocery stores – up 23% YoY
Food and convenience stores – up 12% YoY
Top regions by turnover growth in December 2025:
Gauteng – up 7% YoY
Western Cape – up 23% YoY
KwaZulu-Natal – up 10.5% YoY
“December’s spend reflects the strength of South Africa’s digital payments ecosystem. Consumers are embracing convenience, retailers are scaling online and integrated platforms, and together we are driving a more connected economy.
"This growth is not just about numbers, it is about trust, innovation, and the future of e-commerce,” said Norman Nyawo, Head: Merchant Solutions for Business and Commercial Banking at Standard Bank South Africa.
Modern commerce infrastructure
Aligned with the economic outlook for the year ahead, the following trends open promising opportunities for South African SMEs, and reflect that digital payments are no longer a supporting function, but the core infrastructure underpinning how modern businesses operate:
Central to operations: Customers expect the flexibility to pay anywhere, in-store, online, or on social platforms. Merchants who make payments easy sell more, check out faster, and lose fewer customers.
Unified systems: The line between online and in-store commerce has disappeared, creating demand for platforms that consolidate all sales channels into one view.
Real-time payments: Traditional next-day settlement is becoming obsolete. With real-time payment rails such as PayShap for Business, merchants now receive funds instantly. This immediate access to cash is a critical advantage for SMEs managing daily expenses and inventory.
Embedded finance and transactional lending: A business's payment history is the new credit score, allowing merchants to access pre-approved loans and offer 'Buy Now, Pay Later' (BNPL) solutions without carrying the lending risk.
Social commerce and in-chat checkout: Payments are moving directly into social and messaging platforms. Secure payment links within WhatsApp, Instagram, and similar channels allow merchants to complete sales where customers already engage.
The arrival of Agentic Commerce: In 2026 "customers" are no longer just humans; they are AI agents. Agentic commerce allows a customer’s personal AI to negotiate, select, and purchase products on their behalf. For merchants, this means optimising not just for human customers, but for AI buyers.
“For businesses to grow, Standard Bank’s SimplyBlu powered by Visa makes it easier. It is more than just a payment tool; it is an all-in-one platform. By consolidating every sale, online, in-person, or mobile. into a single interface, we enable merchants to scale without the friction of managing multiple systems,” adds Nyawo.
As South Africa’s economy continues to evolve; digital payments are no longer just a convenience, they are the foundation of sustainable growth. Standard Bank remains committed to empowering businesses of every size with secure, seamless, and scalable solutions that unlock new opportunities in the digital marketplace.
The surge in festive-season spending is more than a seasonal success; it is a signal of a future where innovation, trust, and financial inclusion drive prosperity for all South Africans in the years ahead.
