Understanding Millennials: How they are affecting Banking

Understanding Millennials: How they affect banks

Millennials is a phrase used to generally describe a person who reached adulthood in the early 21^st century. It covers people born between 1981 and 1996 who are between the ages of 22 and 37 as of today.

Millennials having grown up with an anytime, anywhere mindset to accessing a proliferation of online content and social media, expect the same ease and convenience from their service providers — regardless of the service.

Accustomed to accessing any information they need from a variety of devices while on-the-go, the banking industry became no exception. Millennials are helping to increase demand for mobile banking tools, including apps and new features that improve products and services that already exist, thus Digital banking.

Digital banking is the digitization (or moving online) of all the traditional banking activities and programs that historically were only available to customers when physically inside of a bank branch.

Since Millennials want to bank wherever and whenever they want, digital banking is going to replace the traditional brick-and-mortar banking solution with a technological first-mindset. In short it will reach a time where you will carry your bank or wallet in your phone.

Consumers of all ages are using digital tools to manage their money, but Millennials have embraced digital technologies the fastest, performing more banking tasks than ever on mobile devices. In their quest to make banking as convenient as most other consumer shopping experiences, millennials seek continually improved digital banking solutions, that simplify daily tasks such as bill payments, bank transfers, withdrawals and deposits.

Therefore, traditional financial institutions should push the industry envelope, think outside the box to offer digital banking solutions that keep pace with their online-only competitors.

One of the overdue services is doorstep delivery for physical bank products such as ATMs and Cheque books. If this was implemented together with the marriage of mobile money with digital banking, the banks would never (need to) see their customers again.

“In the past five years, I think I have only been to the bank 2-3 times. And this was to pick my chequebook and get my ATM card…” Anthony, 35.

Want to know how well your financial services are utilized by the current digital growing generation, and the stability use of traditional financial providers contact us.