Mobile First, Security Always: Millennials Reshape Payment Landscape, PXP Survey Reveals
By Lauren Hinton · 9 June 2025
Millennials are increasingly turning to mobile wallets, especially those equipped with multi-currency features for their international transactions, while simultaneously prioritising security above all other factors, according to a new study by PXP, leading omnichannel tech platform.
The study reveals that 64% of millennials – those born between 1981 and 1996 value digital wallets, especially for international travel, and 40% consider security their top priority when choosing payment methods. This generation is balancing traditional payment solutions with emerging technologies as they shape an increasingly complex payment ecosystem.
However, mobile wallets are becoming increasingly popular, with 20% of younger millennials using mobile wallets like Apple Pay daily, though many millennials still rely on more traditional payment methods for everyday spending. The research shows variation in payment preferences based on context – from everyday essentials to high-value purchases. For example, debit cards remain the most popular choice for everyday shopping, with 40% of millennials using them as their primary payment method in grocery stores, while 24% opt for credit cards for high-ticket online purchases.
Cash remains in use for certain transactions, with 20% of millennials preferring to pay with cash when dining out, often for splitting bills in group settings. Online shopping continues to dominate, with 80% of millennials conducting the majority of their shopping online. When it comes to travel and accommodation, 38% of millennials use debit cards for hotel bookings, while 26% prefer credit cards to access rewards, insurance, or cashback benefits.
“Millennials want payment options that match their mobile-first lifestyles without compromising on security,” said Kamran Hedjri, Group CEO for PXP. “Our research shows they expect payment systems that deliver both innovation and trust, regardless of whether they're shopping at home or abroad.”
PXP’s study, conducted in conjunction with leading polling firm Censuswide, surveyed over 2,000 consumers in the UK and US to discover their payment preferences, priorities and frustrations.
Other insights on millennials from the study reveal:
- 38% of millennials are attracted to retailers offering exclusive discounts for specific payment methods
- 35% of millennials prefer brands that offer personalised shopping experiences, suggesting that customisation influences their loyalty
- 28% of millennials say they are drawn to payment methods that offer rewards or cashback, showing that incentives can play a role in shaping payment preferences
- 36% cite hidden fees as their biggest frustration when making payments
Companies in this story: PXP Financial
People in this story: Kamran Hedjri