From August to September 2019 we surveyed and analyzed consumer sentiments regarding finance and digital banking within the Generation Z (Gen Z) demographic, which is today’s youngest demographic of consumers. Our survey collected 105 anonymous responses in total, all of whom were UK residents in the Gen Z age range (those born in the mid 90s to the early 2000s).
The media frequently reminds us that this new generation is always connected, having been ‘born social’ and raised in the era of the internet. However, our results show that there is certainly more work to be done in terms of finance education and the marketing of products and services to this age demographic.
OUR KEY FINDINGS:
- Challenger banks have yet to catch on: The dominant current account providers among this age group are actually incumbent banks
- The bank of ‘Mum and Dad’ rules: most respondents bank with their parents’ choice of provider
- Parental guidance is also high: mum and dad are the most popular source of money advice for respondents
- Males believe they know more about finance: on a scale of 1-10, males rated their knowledge of finance over 1-point higher than the female respondents
- Generation Z are a generation of savers: the bulk of respondents use traditional savings vehicles such as ISAs and premium bonds
- Strong branding leaves a mark with Gen Z but it doesn’t necessarily make them customers: while Monzo and Tesco Bank were the most well-known digital players, they were not popular choices of bank amongst those surveyed.
OUR TOP THREE RECOMMENDATIONS FOR BANKS TODAY:
1. Capitalize on parental decision-making
2. Find new ways to educate and empower younger consumers about finance
3. Develop and test products and incentives that resonate with your customers’ worlds.
REASONS TO DOWNLOAD THIS REPORT:
1. Understand which are the most popular banks amongst our Gen Z sample group and their tenure as customers
2. Discover why Gen Z respondents chose their current account
3. Read which digital banks Generation Z are familiar with today
4. Study which elements of digital banking products are of most value to Gen Z
5. Find out the most popular ways young consumers are learning about finance and how they are saving today
6. See which kinds of hires banks should consider to build products and services that resonate with new financial services consumers
7. Gain access to the data behind Gen Z decision-making.