Gen Z Driving New Wave of Payments and Brand Engagement in Singapore, Says Visa

Gen Zs in Singapore look set to reshape financial habits, digital payments, and brand engagement in the region, according to Visa, the global digital payments giant.

According to a new Visa study, ‘Gen Z Decoded: Their Voices, Your Insights‘, Singapore residents aged between 14 and 27 years old are typically digitally fluent yet financially cautious, embracing seamless digital payments while prioritising financial security and experience-driven spending.

It found that, for nearly half of Singapore’s Gen Zs (47 per cent), attaining financial independence and security ranks as a major life goal – notably higher than the Asia Pacific regional average of 33 per cent. This ambition comes against a backdrop of mounting pressures and challenges: rising costs of living (54 per cent), high levels of stress, anxiety and mental wellness (45 per cent) and uncertainty about the macroeconomic conditions (42 per cent).

Gen Zs in Singapore are deeply rooted in managing their finances, practising mindful spending and tracking their expenses. Based on the study, 34 per cent of Gen Zs save money whenever they can, and close to 40 per cent of them see the importance of saving up for milestone events, including marriage, purchasing a home and others.

To support Singapore’s Gen Zs in achieving their financial aspirations, it is important that they gain financial management knowledge. In terms of banking product ownership, 65 per cent of Gen Zs in Singapore own a debit card, and 32 per cent have a digital bank account. In the next 12 months, 22 per cent of Gen Zs in Singapore would like to own time deposits, and 20 per cent of them want to own a credit card to help them access rewards when they earn and spend.

Gen Z preferences

“Our research indicates that 41 per cent of Gen Z consumers prefer quick and convenient payment methods,” said Adeline Kim, Visa country manager for Singapore & Brunei. “In addition, slightly over half of them choose their payment method based on the rewards offered. At Visa, we recognise the importance of tailoring benefits to meet our cardholders’ needs and preferences. As this new generation of consumers emerges, we are collaborating with partners in music, entertainment, and gaming to engage these digital natives.”

Only 36 per cent of the Gen Z segment are confident in financial management. A higher proportion of them are more familiar with saving money (68 per cent), as opposed to investing their money (30 per cent). Investments of stocks and equities (27 per cent) are the most popular investment tools for Gen Zs, followed by trust funds (16 per cent), and cryptocurrency (14 per cent). This segment is one that is influenced heavily by peers, as 30 per cent of them indicated that they started their investment journey because their circle of friends started doing so.

Visa says that, as Gen Zs continue to redefine new shopping behaviours, businesses must adapt to serve this segment of consumers by offering seamless, experience-driven interactions that align with their expectations. Brands that integrate socially responsible practices with reward-driven payment options will be better positioned to attract and retain this increasingly influential consumer group.

“To cater to this demand for more personalised and seamless experiences, we introduced data tokens that allow cardholders to securely share transaction data with retailers in exchange for tailored offers and rewards. We also launched Click to Pay, making online checkout faster, easier, and more secure without the need to manually enter payment details,” added Kim.

Leveraging social media

Social media has become a dominant force shaping Gen Z’s financial and shopping behaviours, serving as both a discovery tool and a trust validator. While 40 per cent of this generation indicated that they have made a purchase based on seeing an ad on social media, their purchasing decisions are strongly influenced by credibility and authenticity.

Instead of taking brand messaging at face value, 33 per cent of them highlighted that they only trust influencers who are perceived as genuine, underscoring the importance of peer recommendations and social proof.

With 62 per cent spending most of their time on Instagram, 57 per cent on YouTube, and 48 per cent on TikTok, social media platforms serve as key engagement channels where brands can connect with this audience through interactive and visually engaging content.

Beyond advertising, digital communities and entertainment culture significantly influence spending decisions. Among Gen Z gamers, 70 per cent actively spend on in-game purchases, subscriptions, and gaming merchandise, reflecting their deep engagement with virtual experiences. Similarly, 67 per cent purchase music-related merchandise, with 81 per cent making these purchases at live events, reinforcing their preference for experiences over material possessions.

For businesses, connecting with Gen Z requires more than traditional advertising. It demands meaningful interactions, social commerce strategies, and engagement through trusted digital platforms. As this generation continues to integrate social media into their shopping journeys, brands that prioritise community-driven engagement and authenticity will build stronger, more lasting connections.

• Tom joined The Fintech Times in 2022 as part of the operations team; later joining the editorial team as a journalist.

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