Family and friends may be hiding a holiday secret from you.
In a blow to well-intentioned gift givers, a new survey of 2,010 American adults found that what many recipients really want is digital cash (money transferred via Venmo and other peer-to-peer methods) allowing them to buy what they desire, and avoiding fake delight over an unwanted present.
Dollars over department store knick-knacks, Wells Fargo Product Management Director Steve Selfridge said in a press release about the bank’s survey.
“Many consider it to be a convenient gift option and takes the guesswork out of gift giving,” Selfridge said. “People appreciate receiving a digital cash gift so they can spend the money on something they want, or even need. And, the study found that 36% appreciate digital cash because they actually do not like most of the physical gifts they receive. This is an easy way to make your friends and family happy this holiday season.”
Some 65 percent of consumers, in fact, like the idea of getting digital cash for the freedom it provides, Wells Fargo found.
But the general preference for digital cash is more nuanced than you think. Generational lines mark clear distinctions between those who are comfortable giving and receiving this way.
Wells Fargo found that 32 percent of Gen Z, and 28 percent of Millennials, prefer to give digital cash, while just 11 percent of Gen X and 7 percent of baby boomers are comfortable with it.
Younger generations are also happier to receive digital cash: some 45 percent of Gen Z and 42 percent of millennials, compared to 27 percent of Gen X and 10 percent of boomers.
The generational Jekyll-and-Hyde approach to cash gifts may be based on fears about what message that money sends.
Many consumers - 49 percent - feel “weird” asking for cash. Some 57 percent are concerned that giving cash is “impersonal” and gives the impression “they didn’t put any effort into the gift” or “they don’t care,” Wells Fargo found.
Torn over giving cash? While giving and receiving money is becoming more accepted - albeit slowly and awkwardly - 56 percent of consumers prefer getting gift cards, and 55 percent still prefer physical gifts.
