The environment and fin-tech: the rise of Generation Z.

Destined to make up 40% of the world’s consumers by late 2020, who are the new demographic?

Sometimes called ‘zoomers’ but more frequently referred to as ‘Gen Z’, those born between 1997 and 2012 are already starting to shape the future of finance technology and consumer trends.

Perhaps best known for their e-lifestyles, Generation Z are now coming of age and are starting to make choices about their personal financial security. According to Cassandra, Gen Zers aren’t buying into sharing masses of personal data online, with 55% saying they’d rather be anonymous than vocal, and 76% saying they think other people share too much.

What does Generation Z care about?

Gen Zers aren’t just incognito, they’re also in-search of financial security, with 89% financially planning ahead and 64% actively researching or talking to others about financial planning. Gen Zers also love to think through short-term financial decisions. A poll by Ravereview shows that 72% of Gen Zers believe cost is the most important factor when making a purchase, and whilst shopping, 47% of Gen Zers will use their phones or ask others to compare prices.

But, it’s not possible to talk about Gen Zers without mentioning their environmental anguish. In Forbes’ list of 11 topics Gen Zers are passionate about, 10 are directly or indirectly linked to ethical consumption and sustainability.

This raises the question as to what sort of apps and software will become commonplace for ethically minded and price-wary Gen Z shoppers, who will seek to make purchasing decisions based on value for money, whilst also weighing up the impact of their purchases on the environment.

Which Apps will thrive?

With an increasing number of consumers financially conscious and keen to use their personal freedoms to plan ahead, it’s hardly surprising that fin-tech apps and bank startups like Monzo and Freetrade have all taken off in the last 24 months. Technology fluent Gen Zers want a financially secure future and fin-tech moves the world of ISAs, crypto, stocks and shares into their pockets.

A lot of ground has already been made by start-up banks to personalise finance and make it Gen Z friendly. However, space still remains in the market for the combination of fin-tech and corporate social responsibility. Software and hardware increasingly feeds us data and scores our lifestyles, perhaps Gen Z will lead the way in popularising social media friendly ‘personal impact scores’ or ‘ethical finance points’.

The marriage of financial shrewdness and ethical consumption by Generation Z raises interesting questions about the future of consumption. Here at Koin Rewards,we use digital currency to reward responsible shopping, creating a next-gen rewards system that isn’t just at one brand or shop, but all of them together. The future for Generation Z and ethically driven fin-tech is exciting, and we aim to be an integral part of that future.