Kiosk Solutions Issue 18 - Page 39

opinion There’s no denying the millennial generation, considered to be those born between 1981 and 1996, have been raised in a highly digital and media- saturated world. With the 15-year age gap though, even millennials claim there are personality differences between the younger and older members of this group of people. One thing is for sure, most companies have realised the importance of this generation and are trying to find ways to connect with them by creating interactions that resonate and potentially transform into customer loyalty. This remains true for companies in the retail and financial institution sectors who have invested heavily in the digital world; they aimed to try and attract this segment, thinking that it was the best route to secure the business of this very profitable generation and remain competitive in the market. Making assumptions Current industry trends have triggered retailers and financial institutions to make critical assumptions that have deceived them and are leading them to a path that’s not as profitable as they believe. One assumption is that millennials only use digital payments, but this simply isn’t true. A research study conducted by the European Central Bank has determined that they have on average between €40-50 in their wallets. This is still below the average of €65 carried by older generations, but the point is that they hold a larger amount of cash to hand than most believe. Another surprising statistic ECB found is that almost 80% of millennials’ transactions are done in cash, which is higher than the European average of 78.8%. A final interesting piece of information from an Experian study is that millennials own fewer credit cards than other generations. On average they possess 2.52 cards, while Generation X possess 3.22 and Baby Boomers have 3.53 on average. Taking these interesting findings into consideration, it’s now safe to state millennials carry more cash than originally assumed and they have fewer credit cards in their wallets that they also use less frequently. These statistical findings are intriguing, but many will ask why do millennials use cash and have fewer credit cards when all I am hearing is KIOSK solutions 39