Gen Z Wallet Use Rises 23% as Older Shoppers Catch Up

The global shift toward mobile wallets is often described as a Generation Z movement.

However, the PYMNTS Intelligence report “Pocket Revolution: How Mobile Wallets Are Changing Payments Worldwide” showed that digital wallet use has become ageless, and it cuts income levels.

Adoption that once centered on young, urban and high-income users now spans older consumers, rural residents and low-income groups. Mobile-first payments are moving from convenience to necessity.

The report surveyed more than 216,000 consumers in 11 countries representing half of global GDP. It found that mobile wallets account for 35% of online and 21% of in-store purchases, up 5.2 and 10.9 percentage points since 2022.

Rather than replacing debit or credit cards, mobile wallets are changing the form factor of payments. Consumers are storing and authenticating familiar cards on their phones instead of swiping them at the register.

The data revealed that the wallet revolution is driven more by behavior than technology.

Aging into digital. Gen Z consumers led mobile wallet use, with a 23% increase in in-store transactions since 2022. But adoption among millennials, Generation X and even baby boomers is climbing quickly. In markets such as Japan, Singapore and the United Kingdom, older consumers are turning to mobile wallets as biometric security and real-time settlement become standard. Mobile-first payments are now “increasingly age-agnostic,” suggesting that habit, not hardware, determines who pays by phone.

Equal access. Income is no longer a reliable predictor of digital payment behavior. Low-income consumers have increased their in-store wallet use more than higher earners since 2022. Analysts described mobile wallets as essential, low-cost tools for daily spending rather than premium conveniences. For merchants, this shift means digital payment options are now expected, even for small purchases.

Gender and geography. Men were more likely than women to use mobile wallets, at 39% versus 34%, but that gap is narrowing. Interest in mobile banking and super apps has made payments more inclusive. Geography was also less of a barrier. Consumers in smaller towns and rural areas adopted wallets at nearly the same pace as city dwellers. Acceptance networks and connectivity have caught up with demand.

Much of the attention focused on the high adoption rates in Japan and Singapore, where 35% of in-store purchases now use mobile wallets. The deeper story is that consumers everywhere are converging on similar payment habits. Generational and income lines that once defined digital access are fading. Shoppers from São Paulo to Singapore are choosing the same tools for speed, security and simplicity.

Other findings in the report showed that the mobile wallet movement is more about how people pay than what they use. Local wallets such as Brazil’s Pix and the Netherlands’ iDEAL are outperforming global rivals because they fit existing consumer behaviors and trust frameworks. Across all markets, consumers are 50% more likely to use a wallet online than in stores, suggesting that in-person retail still has room to grow.

Taken together, the findings suggest that the digital payments revolution is not driven by any single age group or income level. It reflects a universal preference for convenience and control, a sign that the next phase of innovation will be shaped by everyone who pays, not just those who grew up digital.