It’s no secret that generational differences exist in almost all aspects of life, including payment behaviors. A recent survey conducted by ACI Worldwide (ACI Speedpay Pulse report) broke down the generational differences in bill payments. Understanding the preferences and behaviors of each generation can help you better cater to your customers. Keep reading to learn how different generations of consumers prefer to pay bills!
When it comes to paying bills, Baby Boomers tend to be less stressed and more comfortable with the process. Consumers who are currently between the ages of 59 and 77 are known as Baby Boomers or Boomers. Studies have also shown that Boomers prefer to pay with credit cards and checks more than younger individuals. A common behavior amongst Boomers is writing sensitive information, like passwords, down on paper. We do not recommend this as a way to keep track of sensitive information!
Studies show that Generation X has the most bills to pay, but they’re the least likely to pay them on time. Consumers who are currently between the ages of 43 and 58 are part of Generation X and are also called Baby Busters. Baby Busters lack the tech savviness of younger generations and are more likely to experience identity theft. With a large amount of bills to keep up with, it’s easy to lose track of them!
New payment methods excite Millennials the most compared to other generations. Consumers who are currently between the ages of 27 and 42 are known as Millennials and are part of Generation Y. Millennials grew up with Paypal, Venmo, and other digital payment methods, causing them to be less patient with processing speeds. Because of this, Millennials are more likely to pay extra for faster processing speeds and prefer digital payments overall.
The youngest generation also happens to be the most stressed when it comes to paying bills. Consumers who are currently between the ages of 11 to 26 are part of Generation Z and are also called Zoomers. A common thread amongst Zoomers is being anxious about whether they’ll be able to pay their bills on time or at all. Surprisingly enough, studies have shown that many Zoomers enjoy in-person payments, especially for big purchases they might have questions about.
There are some key distinctions in how different generations of consumers prefer to pay bills, but you should also consider how growth impacts this. Changing from one stage of life to another can greatly affect your economic behaviors. Understanding the expectations of each generation can help you be a better business owner. If you or your customers are unhappy with your current payment processing system, contact us. We’re happy to help with much-needed efficiencies in your business!
Source: https://www.aciworldwide.com/blog/age-matters-generational-preferences-in-bill-payments
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