The Future of Payments - Welcome Gen Z

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We will be taking a look at the top 10 trends in payments, and how these could impact the industry and you. Today we start with the first trend, and it encompasses everyone born between 1995 and 2012. If you haven't already guessed, our first example is the Gen Z generation.

Right behind the Millennials are another group of consumers, and if you are a retailer, you should be paying attention to them. This group is collectively known as Gen Z, and by 2020 they will make up 40 percent of all US consumers. But what makes this generation unique?

Gen Z Are Digital

While Gen Z members are just teens and young adults today, they are the future for the payment industry.   The main difference in this group as compared to the previous generations is a technological one. Just imagine people that have never seen a world without Google, Apple, Amazon, or even Facebook. This is Gen Z.

Gen Z members are digital by default. They are both empowered and driven by their mobile devices. If they had to choose between their smartphones and television, friends, or money, they would take the smartphone. That is how ingrained they are in technology.

Gen Z Is Mobile First

Gen Z members are drawn to mobile apps. When compared to Baby Boomers, they are over four times more likely to use the apps on their smart devices. Gen Z wants their mobile wallet to make the decisions for them if at all possible. An intelligent digital wallet using our mBeaconPay solution would be ideal for these smart consumers.

Gen Z will be the first group to permanently exchange the leather wallet for the mobile digital one. This should illustrate the dependence they will have on digital payment methods. This is why technology like our mBeaconSAM, with its ability to enable existing payment terminals to accept app-driven mobile wallet payments, is crucial to meeting the needs of these consumers. 

Gen Z Buying Is Driven By Instant Transactions

When it comes to purchases, Gen Z is motivated by instant transactions. When they see something for purchase, they are more apt to buy immediately. They don't plan ahead for most purchases, so if this window of opportunity is missed, the process of selling to them will have to start over from the beginning at the next opportunity.

In-store proximity marketing capability will help to capture that potential sale moment for the Gen Z member. Our mBeaconSAM enables proximity marketing and is a natural fit for these mobile first, instant buying consumers.  

Gen Z Will Have Powerful Buying Influence

The smart and savvy Gen Z members will have tremendous sway in the buying habits of the other groups. Being so immersed in technology, Baby Boomers, Gen X, and in time even Millennials will look to Gen Z for advice on products and services. Gen Alpha, those born after 2012, will look up to Gen Z for guidance as they embrace their technology.

The importance of being ready for the next generation of buyers cannot be overstated. Smart digital embracing consumers will use whatever system is in place for them and ignore those that are not ready. Contact us today to see how we can help you be prepared for the next generation of active consumers.