College-bound consumers born between 1982 and 2000 like using the Web to access financial services, according to Celent Communications' "The Millennnials, Financial Services and the Web" report.


These consumers will be the next mass affluent group. The report's authors suggest that offering them financial services through their preferred delivery channels now will establish their loyalty, and pay off as the group's wealth grows.



The group also used debit cards more frequently than other payment methods — and for lower dollar values — than did older consumers.

Dan Schatt of Celent said, "GenM is the first generation to grow up online and to grow up without the need for a landline phone. Given the ubiquity of mobile handset adoption and Internet usage among college students, banks that want to tap into this demographic will have to invest heavily in the mobile and Web channels, the number one preferred way for this segment to communicate and obtain information about financial providers."

Young consumers' preference for accessing financial services online was also detailed in an American Bankers Association/Ipsos-Reid study. That July 2006 study stated that a third of 18-to-34-year-olds used online banking, which was a much higher rate than other age groups.