US consumers ‘prefer digital payment options’
Written by Anthony Strzalek
Consumers in the US prefer to use mobile applications when paying other people as opposed to cash, new research has found.
The US Bank survey discovered that 47 per cent of consumers prefer the use of digital apps to make peer-to-peer payments compared to cash (45 per cent).
Breaking the results down by generations, 49 per cent of Millennials, 44 percent of Generation X and 32 per cent of baby boomers have made digital payments.
The US Bank Cash Behavior Survey also found that consumers aren't carrying much cash with them or using it for payments on a frequent basis. Overall, 50 per cent of survey respondents reported carrying cash less than half of the time.
When they do carry cash, nearly half of consumers surveyed keep less than $20 on hand, and 76 per cent keep less than $50.
Gareth Gaston, executive vice president of omnichannel at US Bank, said: “The incredible consumer response to digital and mobile banking solutions is changing the entire industry and diminishing the historic use of cash. ATM withdrawals and branch visits are slowly declining, while mobile transactions are increasing dramatically year over year.”