How Different Generations Feel About Cashless Payment Systems

Most business owners know they have to consider customer preferences when it comes to things like product design, store hours, and their social media channels. But you may not have considered how your target demographic feels about the payment systems your business offers.

That’s because most businesses choose the payment methods they offer based on convenience. For instance, many companies are choosing cashless commerce because it reduces fraud, is more convenient, and improves overall efficiency.

And this may be a particularly good choice for your business, especially if your store or site sells a high volume of items that cost $10 or less. Particularly when you consider that 55% of transactions under $10 are still done using cash. So, in this scenario, you may not be meeting the expectations of your customers if cash is your primary option.

How Different Age Groups Feel About Cashless Payments

Baby Boomers

52% of Baby Boomers prefer cash back credit cards with store credit cards coming in at a close second. And Baby Boomers are 39% more likely to be concerned about the APR on their card than younger generations.

Generation X

They are also more likely to carry a balance than other generations. Over 67% of Gen Xers have credit card debt. For that reason, more than 20% of Gen X consumers prefer balance transfer cards.


Millennials can often be split into two defining groups: younger millennials and older millennials. Younger millennials are between the ages of 23–30. 41% of younger millennials prefer credit cards to debit cards.

Older millennials fall between the ages of 31–38. They are almost the exact opposite and 40% prefer debit cards to credit cards.

Final Thoughts

Additionally, coupling cashless payment options with loyalty and rewards, you will have a greater chance of appealing to all the generational expectations of your customers and guests. Mobile wallets tied to credit/debit cards allow greater flexibility for all of your customers and can generate a high return through ease of use and repeat business.

Technology Innovation Strategist & Change Manager: Influencing and helping others to reach their full potential through intentional improvement.