The Danish payment systems and card services company Nets commissioned a survey on the attitude of Nordic millennials (= born between 1980 and 2000) to the use of mobile applications in managing their own finances. 6,000 respondents from Norway, Denmark, Sweden and Finland were interviewed. Half of the respondents were millennials and half were millennials, forming a control group against whom millennials’ responses were mirrored.
Friends before the banks
Millennials relying on most recommendations from family and friends when choosing what new mobile apps they want to download. As many as 47 percent of respondents rely on acquaintances ‘recommendations when downloading new mobile applications, and financial institutions’ recommendations are of little value. Only 29% of the control group download applications based on close recommendations.
Positive reviews in the app store also increased the interest of millennials in the application (24%), while the control group is not interested in positive reviews (4%). Also, the ability to share content and interact with friends through the app inspires millennials to get a new app (38%).
However, if the choice to acquire a financial application has to be made based on who provides it, millennials will rely more on applications from banks or other financial institutions, for example, than those provided by social media players.
Fluency is appreciated
80% of millennials hope to do all the necessary housekeeping with a single, multi-purpose application. With one application that can handle all the stuff you need, Millennials are ready to stand with even more complex operating systems, as long as the user experience remains smooth. Smoothness is one of the key things millennials value in applications.
Asked about the millennials’ aspirations for future mobile payment applications, the responses highlighted the need to collect and store everything you need (eg receipts, warranties, wire transfers) in one application. In the future, therefore, there is a strong demand for simple applications that can do complex things. The PSD2 Payment Services Directive, which will enter into force early next year, is sure to open up new exciting doors for diverse application development.
New payment methods are interesting
Local payments are more attractive to millennials than the control group, which well reflects the tendency of millennials to favor the smoothest user experience possible. All in all, Millennials are 10% more likely to use Local Payments than the control group. Danish Millennials are the most favored by Local Payments, as they use Local Payments 3-4 times more often than other Nordic youth.
The biggest concern with mobile payment at the millennials is running out of phone battery, which worries as many as 54 percent of respondents. This is why most people carry a debit card. Similarly, 54% of young people find card payment more secure than mobile payment.
Nets, who conducted the survey, points out that Nordic and American milleanial ideas on mobile apps and payments differ, but less than expected. In the United States, the views of the Millennials on future payment methods have already been extensively researched, but in the Nordic countries the views of the Millennials on the development of future services have not yet been extensively consulted. However, Nets believes that the trend is changing, and says it has received a lot of useful information from the survey to help develop new payment services.