Gen Z Isn’t Different. They’re Digital by Default.

By the 1920s, cars and telephones had changed how people connected. Young adults could travel on their own and make plans without meeting in person. It felt revolutionary to their parents, but they were still doing what people had always done. They met friends, went on dates and built social lives.

In the 1950s, televisions replaced radios as the centerpiece of family life. Teenagers watched music shows instead of playing records. Families tuned in to programs instead of listening to broadcasts. The behavior was the same. The way they did it was new.

In the 1990s, email and the early internet made communicating and shopping more efficient. People sent messages instead of letters. They shopped on websites instead of in catalogs and read news online instead of in newspapers. The activities hadn’t changed. The tools had.

Today smartphones, connected devices, digital payments and social media make those the everyday digital for a generation that has never owned a checkbook or heard a dial tone. Gen Z[¹] texts instead of calling, streams instead of buying DVDs and shops on apps instead of going to malls.

PYMNTS Intelligence data shows Gen Z logs 425 digital activity days a month, more than any other generation. But strip away the tech, and their goals seem almost old-fashioned.  Build credit. Save money. Stay healthy. Shop smart. Earn income.

What makes them look different is that they use digital tools to do it all.

Not Different, Just Digital

Generational stereotypes are nothing new. Every generation, and the media that writes about them, believes using new tools makes them different. Gen X was cynical. Millennials were job-hoppers. Gen Z are disruptors. The reality is much more mundane. They just came of age when digital experiences became better than analog for almost every one of their daily activities.

So, Gen Z isn’t redefining what it means to grow up, work, spend and save. They are simply the first generation to grow up in and live in a world where digital tools were already the default way to do it all.

Mobile banking is faster than standing in line at a bank to open an account. Tapping a phone is easier than fumbling for cash. Venmo is a verb for sending money to friends. When it’s time to watch a movie, it’s easier and more convenient to open Netflix because it is on-demand and accessible 24/7/365. Amazon is more efficient than driving to six stores to find what you need, with fingers crossed that your size, color and brand are in stock.

The Siren Song of Online

Gen Z buys groceries and shops on Amazon at three times the rate of their parents and grandparents.  They shop on mobile devices twice as often. They buy prepared meals twice as often as boomers. These are efficiency hacks for people with irregular schedules, small spaces and limited time.

They also buy based on influencer recommendations more than older consumers. Fourteen percent say they often do so, versus 1% of boomers. But they’re not blindly following trends. They are seeking expertise in new places. A gaming influencer reviewing headphones is both entertainer and subject matter expert. Trust is built on credibility, not just personality.

The same logic applies to Apple Pay, grocery apps and digital wallets. Gen Z uses them because they are faster, cheaper and more convenient.

The Credit Score Generation

Gen Z understands the power of credit. They’ve watched credit scores shape everything from car loans to job offers. So, they use credit with intent.

PYMNTS Intelligence finds Gen Z is nearly three times more likely to use credit-builder products than older consumers. Not because they love FinTech apps but because traditional banks no longer offer starter tools that work for them. Secured cards require cash they don’t have. Co-signers aren’t always an option. Store cards can become high-interest-rate traps.

Instead, they use modern tools: credit monitoring apps, debit-linked credit builders, and yes, credit cards. Thirty-two percent of Gen Zers say they use credit cards to build their score, compared to 17% of older adults.

They also use BNPL 44% more than the average. But adoption doesn’t equal addiction. Their rate of not using the assortment of pay-later options, including credit cards, is nearly identical to everyone else’s. Gen Z likes flexible repayment terms. Who doesn’t?

The Savings Generation

Gen Z learned financial caution watching the 2008 crisis play out during their childhood. They came of age as financial literacy became mainstream. They learned about money from YouTube and social media. And they treat saving as non-negotiable.

According to PYMNTS Intelligence, Gen Z saves 36% of their income, ten points more than older generations. But they don’t just stick it in a checking account. They diversify. Some of it goes to digital wallets. Some into high-yield savings. Some into crypto.

To Gen Z, diversification isn’t a hedge. It’s a habit. They saw Bitcoin go from internet joke to institutional asset. They understand volatility, but they also understand access. Digital platforms give them tools that previous generations needed wealth managers to use.

Side Hustles as an Income Strategy

More than half of Gen Z has a side hustle. Not because they’re broke, but because they’re strategic. The top reason cited: funding purchases or experiences. Not paying rent.

They also aren’t chasing status through overwork. They’re building financial flexibility. Selling vintage on Depop or ThredUp, driving for Uber, tutoring online. They’re doing what platforms made possible: monetizing skills and time on demand.

Financial advisors say this is income diversification. Gen Z calls it Tuesday.

Healthcare as Routine Maintenance

Gen Z approaches health like they do finance: digitally, routinely and proactively.

They log 63 digital health activity days per month, according to PYMNTS Intelligence. That’s 46% higher than the average. They use mental health apps, telehealth and online pharmacies — not because they’re fragile but because they treat mental and physical health like oil changes. And because they are accessible. Regular maintenance, not just emergency response.

They expect healthcare to work like eCommerce. Transparent pricing. Easy booking. That’s why 32% report payment friction in healthcare, almost double the rate of boomers. Surprise bills and paper invoices are system failures, not the status quo.

The Access Generation

Gen Z is less likely to own cars. They work from home slightly less than Millennials. They live with parents longer and rent more often. But that doesn’t mean they’ve rejected ownership.

Seventy-four percent plan to own homes, the highest of any generation, and mostly because they don’t own a home yet. But they’ll use modern tools to get there. They’ll share rides instead of owning cars. Use Airbnb instead of expensive hotels. Tap co-buying platforms to pool resources with friends or family. Live at home longer to save money and pay down student loan debt.

Ownership isn’t dead. For Gen Z, it just has a longer runway.

Everyone Else Is Catching Up

According to the PYMNTS Intelligence global study of 62,541 consumers in 11 countries, digital activity has surged for everyone since 2024. Boomers added 18 digital days per month. Gen X added 40. Overall digital engagement jumped by 35 days. Gen Z? Their usage actually dipped 7%. But that’s not regression. That’s saturation, and everyone else is catching up.

Mobile banking is now a must-have, not a novelty. Meal delivery is a weeknight staple, not a pandemic quirk. Telehealth is the default for sniffles and check-ins. Everyone from Boomers to Gen X is now using the tools that Gen Z adopted first.

And that’s the point.

The story of Gen Z is not about generational preference. It is about access. They had smartphones before they had bank accounts. They had streaming services instead of cable. They grew up in a world where every task had a digital shortcut. Older generations used analog tools because that is what they had. Gen Z uses digital tools for the same reason.

Their behaviors are now everybody’s.

Digital Is the New Normal

The companies winning with Gen Z didn’t build Gen Z-only strategies. They built better digital ones. Transparent. Frictionless. Mobile-native. And now, those same platforms serve every generation.

Retailers built apps that work for Gen Z, and suddenly boomers stopped clipping coupons. Banks created tap-to-pay cards, and suddenly Gen X ditched the ATM to get cash for checkout. Health providers started offering virtual visits, and millennials booked more checkups.

The ripple effects of Gen Z’s digital defaults are now shaping how every generation shops, spends, saves and lives.

That doesn’t make them  different. They are just first to make digital the norm. And to show everyone else what normal will look like tomorrow.

¹ PYMNTS Intelligence uses the following birth years and age ranges for generational cohorts: baby boomers: born in 1964 or earlier and turning age 61 or older in 2025; Generation X: born between 1965 and 1980 and turning 45–60; millennials: born between 1981 and 1996 and turning 29–44; bridge millennials: born between 1978 and 1988 and turning 37–47; zillennials: born between 1991 and 1999 and turning 26–34; and Generation Z: born in 1997 or later and turning 28 or younger.

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