2023 North American PaymentsInsights: U.S.: Generational Consumer Payment Trends

Payments is a wide topic that can be explored in many ways. Analyzing trends in payments adoption and usage through a generational lens allows for a more targeted approach, especially when trying to understand the customer of tomorrow. 

Gen Z has historically been a generation of debit card users, but this year a higher number of Gen Z said they had used a credit card in the past year, surpassing debit card usage. There are several reasons for this, including a tighter economic environment, inflationary pressures, and a strained household budget; pushing more consumers towards credit products. For in-store purchases, debit still prevails over credit for Gen Z as a preferred method of payment, however, credit is most preferred online. 

Older generations continued to be the top users of credit cards, as well as checks–sticking to tried and true methods of payment–while younger generations continue to be tech-forward–using the latest in digital payments technologies. Among these new ways to pay, digital wallets are an especially popular method of payment for this generation who have grown up with smartphones and mobile apps. PayPal continues to be the top digital wallet and person-to-person payment method, mostly driven by younger generations who are using it in the online context. Other payment methods such as Buy Now, Pay Later, in-store apps, and cryptocurrency payments also tend to skew towards the younger generation. 

Highlights of the research report include:

• Payment Methods & Usage
• Credit Cards
• Debit Cards
• P2P Payments
• Digital Wallets
• Real-Time Payments