Generational differences drive digital payments preferences
Which channels are consumers using most, and what does this mean for credit unions?
Today’s consumers are faced with more options than ever when making payments or conducting transactions. Gone are the days when physical cash, checks and cards were the only choices available. Now, consumers can decide between one of these or a host of other options, including a credit or debit card (whether physical or issued digitally), contactless card, mobile wallet, wearable, a buy now, pay later program, a person-to-person payment app—the list goes on. But which options are credit union members and other consumers turning to the most, and what does it mean for credit unions?
The findings
For the sixth consecutive year, PSCU set out to gauge payment preferences among credit union members and other financial institution customers, including how they evolved over the past year. According to PSCU’s 2023 Eye on Payments survey, nearly four in 10 respondents (37%) report they want to use a mobile wallet at the point of sale or when paying for something at a retail location. With 43% of credit union members—up from 35% in 2019—reporting they are likely to use a mobile wallet in the next six months to pay for goods and services, this trend seems to be here to stay. In fact, the number of respondents reporting they never use a mobile wallet has decreased from 57% in 2022 to 48% in 2023, underscoring this upward trajectory.
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