27% of UK ‘Zoomers’ interesting in banking with Apple Pay

Marqeta, a card issuing platform, has released a report highlighting the financial needs and concerns of those aged 12–23 in the UK, known as Generation Z or “Zoomers”(in a nod to the “Boomers” generation). The report, Generation Z: Their payments are our future, indicated that, despite being highly tech-aware and digitally savvy, Gen Z still lean heavily toward traditional financial services options. 

Almost 9 out of 10 (87%) Zoomers say they currently bank with traditional providers, such as HSBC and NatWest. However, many are also interested in the prospect of banking with Big Tech, hinting at a future where Big Tech and financial services will become synonymous. Key report findings include:

  • In the future, Zoomers say they would be most interested in banking with PayPal (44%), Apple (27%), Amazon (27%) and Google (22%).
  • Just 12% report using challenger banks like Monzo and Revolut in some capacity: with 4% saying they use them explicitly, and 8% saying they bank with both traditional providers and challenger banks.
  • More than one in five (22%) say that an easier way to pay through social media would be a key feature in selecting a financial services provider.
  • Eighty percent of Zoomers still use cash weekly, suggesting that they are not yet ready to forego their physical wallets.
  • More than half (54%) say offers and incentives would make financial services more attractive; other popular features include convenience and speed (34%) and better prices (31%).

“Gen Z’s interest in banking with the likes of PayPal, Apple, Amazon, and Google suggests that, to stand a chance, the financial sector must become more like the tech industry over the coming years,” explains Niels Pedersen, Senior Lecturer at Manchester Metropolitan University and author of Financial Technology: Case Studies in Fintech Innovation. “However, digital-first does not mean digital-only. A healthy balance between traditional and digital services must be struck for this generation – as the research shows. It’s vital for providers to build features and services that reflect these unique preferences and demands, particularly as 70% of the trendsetting Zoomer generation say they influence their families’ purchasing decisions.”

Dennis Sellers
the authorDennis Sellers
Dennis Sellers is the editor/publisher of Apple World Today. He’s been an “Apple journalist” since 1995 (starting with the first big Apple news site, MacCentral). He loves to read, run, play sports, and watch movies.