Revolut app, the global financial super app, conducted a study in collaboration with research firm Dynata to delve into the relationship different age groups have with banks and money in the country.
Apps and digital tools have revolutionized the way people manage their money, and this is evident among different generations in Italy.
Summary
Apps and the digital world have changed banking and the way money is managed: the Revolut study
The study, conducted in July 2023 on a representative sample of 1,000 Italians aged 18 and older, uncovered some interesting results.
One trend that stands out is the number of bank accounts held by different generations. While 57% of Italians have only one bank account, Millennials lead the way with 32% having two accounts and 6% juggling between three and five.
Interestingly, the younger Generation Z is more inclined to a mobile-first approach when it comes to banking.
One in three Italians (33%) prefer banking via smartphone over traditional branches.
They find mobile banking more flexible (22%) and gives them more control over their finances (11%).
In fact, nearly half of Generation Z (47%) opt for mobile banking, while only 20% of those over 65 prefer it.
Traditional bank branches are losing favor, with only 12% of Generation Z preferring them.
The growing popularity of banking via smartphones among the younger generation is due to their ease of use, accessibility, and affordability.
Apps and new digital tools are not solely adopted by the younger generation
The availability of banking apps, such as the one offered by Revolut app, allows users to manage their finances anytime, anywhere, eliminating the need to physically go to a branch.
Interestingly, the study revealed that apps and digital tools are not only embraced by technology-savvy GenZs and Millennials.
About 41% of Boomers, aged 55-64, use these digital tools to keep track of their spending.
This suggests an intergenerational information exchange, in which younger people influence the spending habits of their peers.
What does the Revolut app offer?
Revolut’s app offers its users budgeting and analytics features that provide real-time updates on spending, weekly analysis for a better understanding of spending habits, and the ability to set limits to stick to a budget.
The convenience and control offered by these tools make them popular with various age groups.
Another interesting finding concerns the willingness of different generations to switch banks for better interest rates.
About 63% of Millennials and 64% of GenX would consider switching banks for this reason. In contrast, only 46% of those over 65 share the same sentiment.
Keeping track of expenses unites any generation for better financial management
The reluctance of older generations may be due to the perceived stress of changing banks.
However, despite the differences between generations, there is a consensus that keeping track of expenses is critical for better financial management.
About 77% of Italians believe that tracking expenses helps them manage their finances effectively.
This belief is most evident among younger generations, with more than 45% of GenZ and Millennials using apps and digital tools to keep track of their spending.
Revolut’s offerings, including Visa and Mastercard cards for online, offline and contactless payments, currency exchange at competitive rates, and the ability to easily split expenses among friends, have been immensely popular among all age groups.
Overall, the study highlights the changing banking and money management landscape in Italy.
Although traditional banks still play a crucial role, the rise of smartphone banking and digital tools has reshaped the way people manage their finances, with younger generations leading the way toward a more mobile-first approach.
With financial super apps like Revolut offering accessible and convenient features, the future of banking in Italy is indeed heading toward a digital-first era.
