A recommendation by friends or family members is the main reason consumers cite for adopting a new person-to-person payment solution, according to survey results commissioned by Early Warning Services and released today. This reason was cited by 66 percent of boomers and Gen-Xers and 68 percent of millennials. However, for boomers, 70 percent said that having the service offered through their financial institution was an influencer, compared to just 49 percent of Gen-Xers and 35 percent of millennials.
“Trust is at the heart of the consumer payment relationship,” said Ravi Loganathan, head of business intelligence at Early Warning, the network operator for the bank-backed P2P solution Zelle. “Our research showed that new segments of consumers engaged in a P2P payment for the first time because it was offered from their known and trusted mobile banking environment or it came recommended by friends, family or peers.”
P2P payments are becoming increasingly popular in all generational segments, the survey found, with a majority of baby boomers having used an online or mobile person-to-person solution. Fifty-one percent of boomers reported using P2P payments, while 69 percent of Generation X and 75 percent of millennials said the same. Of people who do use P2P, 8 percent use it daily and an additional 37 percent use it at least weekly.
