Digital Wallets Will be the Norm for Generation Z

While millennials came of age when smartphones were first introduced in the mid-aughts, their younger counterparts in Generation Z had smartphones as early as elementary school. It’s no surprise that they’re using smartphones for everything — including their wallets.

The number of consumers using digital wallet services like Apple Pay and Venmo is growing. According to Juniper Research, users will rise to 2.1 billion by next year — a 30 percent growth from the 1.6 billion consumers reported in 2017.

"Do I think cash is dead? No," Peter Caparso, Checkout.com's president of North America, says to Retail Dive. "Do I think it’ll be greatly diminished? Yes. Until 2007, after the invention of the phone in 1876, you were tethered to a five-foot semi-circle to talk. Now this younger generation, they’re used to the convenience and the portability of the phone, and that's translating to the retail arena."

Another pertinent trait about Generation Z: They enjoy experiences. And not just concerts or movies, but even trips to the bank — which they do more often than Baby Boomers. This is promising news for pool and spa retailers, yet it also means retailers need to adapt with payment methods this new generation prefers.

Learn more about Generation Z in this article on Retail Dive.