Young People Are Changing the Way Payments Are Made - Insights for What’s Ahead

The US has lagged behind a number of European and Asian countries in digital payments adoption, but a recent survey by The Conference Board of 2,000 multicultural consumers in the US shows a significant evolution in the payments landscape is well underway. [...] In the last five years, as bank lending standards have tightened, more small businesses have turned to credit cards, which have grown to account for 29 percent of the credit products they use, up from 27 percent in 2017, according to data from the Federal Reserve’s Small Business Credit Survey. [...] Across all races, younger consumers have embraced this trend the most, with 39 percent reporting steady P2P use over the last six months, 2 Young People Are Changing the Way Payments Are Made ConferenceBoard.org while 39 percent say they have increased their use of the payment method, as shown in the figure below. [...] Fifteen percent of all retail sales in the US go to non-store retailers, such as the big e-commerce players, and their share of the total has grown steadily since 2015, rising above that of general merchandise stores in late 2018. [...] Popular in the years before credit cards entered the market, some of the biggest names in retail are now terminating their layaway programs in favor of BNPL 3 Young People Are Changing the Way Payments Are Made ConferenceBoard.org offers.