Gen Z is growing up and becoming an increasingly interesting area for new neo banks and venture capital investors. Monetising these digitally native consumers, however, might prove more challenging.
Targeting teenagers is not a new phenomenon. Back in 2012 GoHenry and Osper in the UK were set up to do exactly this. But in the last few years, it has become more popular as fintech entrepreneurs have started looking for niche areas they can disrupt.
According to fintech research groups, there are nearly 60 neo banks catering to kids and teens around the world in 2021. This list includes existing digital banks expanding their services, like Danish neobank Lunar, which launched accounts for teenagers from 15 to 17 years old last year; as well as those that are only targeting teenagers like Pixpay and Kard in France.