How Consumers are Influencing the Payments Ecosystem: Summary Episode

In today’s episode, key leaders from NMI discuss how Gen Z and Millennials are shaping the payments landscape and what businesses need to do to stay relevant.

First, Tiffany Johnson, Chief Product Officer, explains how these generations influence payment preferences. Millennials, having witnessed the rise of the internet, exhibit diverse payment preferences ranging from cash to digital wallets, prioritizing quality, service, sustainability and convenience. Gen Z, as true digital natives, expects seamless, mobile-first payment experiences and highly values privacy and security. Johnson emphasizes the importance of embedded payments and creating secure, seamless consumer experiences for NMI stakeholders.

Next, Vijay Sondhi, CEO of NMI, explores the evolving payment preferences of these generations, noting that Gen Z primarily uses digital wallets and mobile payments, viewing their phones as extensions of themselves. Both generations are quick to abandon brands with friction-filled payment processes, favoring seamless, secure and convenient methods. Sondhi highlights the potential of biometrics for secure authentication and the transformative role of AI in payments, which could shift focus towards enriching life experiences. He underscores the need for businesses to rapidly adapt, adopt scalable and inclusive payment solutions, and think like Gen Z to remain competitive.

Finally, Kate Hampton, Chief Strategy Officer at NMI, concludes the discussion by emphasizing the importance of omnichannel strategies and payment orchestration in meeting the expectations of Gen Z and Millennial consumers. Omnichannel strategies provide a consistent, connected and seamless shopping experience across multiple channels, including in-person, mobile, online and unattended. Consumers seek to eliminate friction by having various payment options contextually presented at the right time. For merchants, the challenge lies in integrating these payment methods while maintaining their brand’s customer experience. Hampton explains that payment orchestration involves configuring and coordinating complex payment processes to create a smooth and differentiated experience. When done right, payment orchestration is invisible, ensuring effortless payments and enhancing overall customer experience and brand loyalty.

This episode is a summary of three NMI podcast episodes — you can listen to the full episodes here.