In their latest blog post, NYPAY (New York's leading forum for innovators and leaders in payments and mobile commerce) highlights the "digital divide" that persists despite the pandemic-driven shift to online banking services for everyone. In particular, the writers note that "Despite Pandemic, Older Americans Still Daunted by Digital Banking."
The article refers to a study by Phase 5 released in September 2020, entitled, "Impact of COVID-19 on Consumer Financial Services in the US", and draws on a comparison by age group of digital banking activities adopted since the pandemic began. In many cases, the difference in adoption rate is 2 to 3 times less for those aged 55+ versus everyone else. One of the most notable data points shows that nearly half of those aged 55+ do not use a mobile app versus just 14% of younger consumers.
So what does this mean in a world where "staying home" and "social distancing" have forced a change in service options? The article recommends that financial institutions avoid a one-size-fits-all digital solution for their customers, recognizing that an important group of customers may warrant an alternative that meets their needs and their comfort levels.