Gaining insight into Millennials' tech and financial habits
Editor’s note: Lilah Raynor is CEO and founder of Logica Research.
As Gen Z captures headlines for their digital-first habits and rapidly changing consumer preferences, it’s easy to forget that Millennials – now between 28 and 43 years old – remain a powerhouse generation in the market. Having matured alongside the rise of digital technology, Millennials are both tech-savvy and financially impactful, representing substantial spending power ($2.5 trillion USD annually). Digitally, they are highly adaptable and reliant on tech solutions, which strongly influences how they make decisions, interact, shop and more.
Millennials also claim the largest share of smartphone users in the U.S., totaling 71.3 million in 2024, according to eMarketer. They rely on their phones for just about everything, from mobile banking and shopping, to accessing social media. And they are paying for goods and services and participating in other financial transactions more than any other generation.
While Gen Z may be the shiny new generation of focus, Millennials have already established their role as tech-forward consumers who prioritize convenience, flexibility and control, especially when it comes to their financial lives. Their behaviors continue to shape the future of finance and technology, making them an essential demographic for brands to understand.
Millennials’ evolving habits shape the future of financial tech
The most recent Logica Future of Money Study (registration required) included insights into Millennials’ adoption and utilization of financial tech, offering a glimpse into what this generation’s financial future might look like. They’re leading the charge in arenas like mobile payments, digital financial planning and flexible finance options like buy now, pay later (BNPL).
The study shows that 59% of people overall use their phone or mobile device for in-person payments, but this figure jumps to 79% among Millennials. The speed and accessibility of digital wallets are major factors in this trend, and we see Millennials even pulling ahead of our youngest digital darlings (Gen Z) as well as the older generations in this category. Study respondents cited faster checkout (65%), payment without physical cards (55%) and easy access to cards and payment methods in one place (52%) as key reasons they prefer digital wallets.
Beyond digital wallets, Millennials also lead in the use of digital payment apps, with the Future of Money Study showing high usage of PayPal (87%), Cash App (79%), Venmo (62%) and Zelle (43%). They adopt BNPL technologies more than others, with 35% of Millennials using these installment payment services compared to 26% of the general population. This widespread adoption of mobile payments through digital wallets and payment apps among Millennials is a critical trend for brands and businesses to consider when designing payment options and customer experiences.
As noted in The Financial Brand: “For Millennials, the digital banking experience is not just a convenience; it's the primary factor in defining their main financial institution.” Banks that adopt technology to deliver real-time financial advice, budgeting apps and easy access to financial education can build stronger, more lasting relationships with Millennial customers. This approach not only aids Millennials in achieving financial stability but also helps financial institutions differentiate themselves in a competitive market.
Millennials turn to tech for financial security and control
Millennials aren’t just using tech for everyday banking relationships and payments – they’re also relying on digital tools to streamline and secure their overall finances. According to Money Coach, technology can help Millennials manage finances by using budgeting apps, automating savings, controlling online spending and safeguarding financial data. Our study supports these findings, with 70% of Americans reporting that technology like financial apps, platforms and websites make it easier for them to manage their money. This preference for tech-driven financial planning means brands that offer intuitive, automated and secure solutions can create value and will be well-positioned to meet consumer needs – especially those of Millennials.
Our data shows that Millennials are increasingly reliant on online banking options, such as personal loans from online-only lenders and other financial management activities. Additionally, they’re turning to social media – on their phones of course – for financial insights, brand engagement and discovering new services. We discovered that 51% of both Millennials and Gen Z find social media helps them learn about money management, compared to only 37% of Gen X and 15% of Boomers. And, according to Retail Customer Experience, Millennials are the biggest spenders online. High engagement with social media and preference for online shopping means creating strong, authentic presences on these platforms is essential to increase relevance and align with spending habits.
Beyond finance: Leveraging Millennial insights for broader digital experiences
What does the tech-forward mind-set of Millennials mean for financial brands and for all the other industries and brands who serve them? It is a clear directive: this generation not only adopts digital-first solutions but increasingly expects seamless, intuitive experiences tailored to their lifestyle.
To effectively connect with Millennials, brands must prioritize tools and services that offer convenience, personalization and mobile accessibility, meeting them where they are – online and on their devices. By aligning with these preferences, brands can create stronger, more relevant relationships with a generation that values innovation, flexibility and control in all aspects of their financial journey.
Millennials’ adaptive, tech-forward mind-set isn’t just a consumer trend; it’s a road map for future engagement across sectors, setting a powerful example that even the digital natives of Gen Z are poised to follow.