The Bridge Millennial and Gas: Mobile Payments a Priority
Much has been made of the millennial in recent years, mainly because right now the millennial is pretty much at peak earnings and peak disposable income, and will be for the next few years. The millennial is also causing consternation—and change—at the retail level. Gas stations aren’t unaffected here, and the millennial—particularly what’s been called the “Bridge Millennial”—is fundamentally changing things at the gas pump.
The Bridge Millennial, notes a report from PYMNTS, is between 30 and 40 years old, which about covers the waterfront for outer-limit suggestions of where millennials stop being millennials and start being Gen Xers instead. Bridge Millennials also have college degrees, are employed, and are commonly earning higher salaries than other consumers. Since they spend roughly $2,225 annually on retail purchases—about $300 more than other millennials and $830 more than baby boomers—paying attention to their interests is especially important.
Mobile is key for the Bridge Millennial, as these shoppers routinely pull mobile devices to look for cheap gas. Moreover, 66 percent will use those same devices to pay, and 64 percent use them to order other products. Since 64 percent buy gas at least once a week, and 12 percent buy daily, it’s clear that they’re a market force to be reckoned with.
Since 70 percent of respondents in the PYMNTS study consider it either “extremely” or “very” important to pay for gas at the pump with an app, yet only six percent have actually done it, there seems to be a major disconnect between stores and customers.
Customers want to pay at the pump, but because so few have actually done it, the most likely reason why is because such service isn’t available. Bringing in mobile payments at the pump would be likely a great step forward, and one that brings in plenty of millennial customers as well. They want to pay by this method. If they’re actually allowed to, then it’s a safe bet they’ll bring that business with them.
The millennial—bridge or otherwise—is fundamentally changing the face of retail. A much greater focus on mobile is perhaps the biggest such change, though there are a host of others. Gas stations, and other retailers, must take this into account lest they fall behind the changing demand.