Generation Z: Building Mobile Banking for a Generation in Transition

The stars are aligning to put Generation Z’s primary banking relationships more in play than ever before. A Javelin Strategy & Research survey in April shows that the dominance of huge FIs has faded in the past two years, and the generation remains at high risk of switching primary FIs. Gen Zers are sending a multitude of signals that the fight for their relationships and loyalty must be waged in mobile banking. Nonetheless, many Gen Zers are underwhelmed with their primary FIs’ mobile banking capabilities, are turning increasingly to third-party financial apps, and are more pessimistic about their long-term financial outlooks. 

To attract and satisfy Gen Zers, key priorities include speedy account opening, automated switching of direct deposits, ongoing onboarding, prominent and intuitive functional centers, proactive financial fitness features, integrated financial literacy, an increased focus on deputizing customers in the fight against fraud, and help-me-do-it experiences when consumers shop for suitable financial products. 

Key questions discussed in this report:

• Why is Gen Z more in play now than ever before? 
• Why is mobile banking key to satisfying Gen Zers, and what pitfalls should FIs avoid? 
• What strategic tenets should FIs bear in mind as they pursue Gen Zers?

Companies Mentioned: 

Credit Karma, Navy Federal Credit Union, NerdWallet