Report: Gen Z Consumers Twice as Likely to Make Online Mobile Payment
Feb. 29, 2016
A new report confirms the likelihood of using a mobile device to make a payment grows as consumers get younger. In the U.S., consumers in the 18-to-24 year old age group—known as Generation Z—are twice as likely to make a mobile payment as the total adult population, according to a report by research firm GfK. Fifty-three percent of those youngest consumers told researchers they have made a payment in the last six months on a mobile device while using the Internet compared to 37 percent of Gen Y (ages 25 to 34), 27 percent of Gen X (ages 35 to 49) and 14 percent of Baby Boomers (ages 50 to 68).
“Many consumers today do not understand the value proposition offered by mobile payments,” said Tim Spenny, vice president at GfK and a member of its Financial Services team. “This creates an opportunity for the industry to develop its own narrative around why people should use mobile devices to pay for their purchases—with security, speed, and ease of use top among the reasons. In 2016, we see mobile payments gaining traction through the addition of benefits such as rewards, discounts, and coupons that are integrated into phone payment systems.”
The report also found Gen Z Americans to be just as worried about their personal information but, at the same time, more optimistic about the security of mobile payments than older consumers.