I recently read an excellent Financial Brand (FB) article where the author highlights how Gen Z is rapidly redefining what a “primary banking relationship” actually means. It is well researched and, in many ways, confirms what I have been writing about for years. Yet, it stops just short of the real issue, which is that Gen Z is not confusing banking, we are. Let’s start with the obvious. Gen Z is no longer some future segment we can plan for at some point “down the road.” They are collectively opening millions of new accounts every year and are about to participate in an $85 trillion wealth transfer. That is not a “nice to have” market. That is your future deposit base. And yet, many community banks still treat Gen Z as an afterthought. Or worse, assume they will eventually behave like their parents and grandparents. I think they won’t. One of the more important findings in the FB article is that Gen Z, despite being fully digital, actively seeks human guidance when making important financial decisions. Let that sink in for a moment. We have spent the better part of a decade trying to move customers out of the branch and into self-service channels. Meanwhile, Gen Z is telling us very clearly: “I want great digital tools at a time and place of my choosing … but I also want a human when it matters.” This is not contradictory. It is contextual. Younger customers want: 1) Mobile for speed, 2) People for wisdom. The problem is not that banks lack one or the other. The problem is that we have not designed how to make the two work together. Most digital experiences operate in isolation. Most branch experiences feel disconnected from anything digital. And the transition between the two is, at best, clunky. That is not omnichannel; that is fragmentation. The author of the article correctly points out that branches are not going away, but their purpose is changing. I would go one step further. The branch did not survive because transactions returned. The branch survived because advice still matters. And yet, what do most bank branches still look like? Teller lines. Static but empty desks. Forms. Silent. Empty queues. That is a 1995 banking model trying to serve a 2026 customer. Gen Z is not coming into the branch to deposit checks or open accounts. If they are, it likely means your digital strategy has a problem. They are coming in because: 1) They are confused, 2) They are making a big decision, 3) They want reassurance, 4) They want someone to explain things in a manner suitable to their understanding. The author of the article highlights that while many Gen Z customers seek advice in the branch, less than half actually receive meaningful guidance. That is not a demand problem, it is a delivery failure. Even more telling, when advice is delivered, 76% act on it. Think about that conversion rate for a moment. You could spend thousands on digital marketing campaigns chasing clicks. Or you could train your branch staff to provide meaningful financial guidance and achieve dramatically better outcomes. This is why I have consistently advocated for transforming the retail branch from a transaction center into an engagement hub. Not a place customers have to go, but rather a place they want to go. Another key takeaway from the article is Gen Z’s lack of loyalty and high level of provider fragmentation. They use multiple banks and have multiple digital wallets and apps. Many bankers might see this as a loyalty problem. It is not; it is a behavior problem. Gen Z does not wake up thinking about their primary checking account. They think: Where is the easiest place to pay someone? Which app makes this fastest? Which platform helps me understand what I am doing? They will use five different providers if each one solves a specific problem. That is not disloyalty; that is optimization. If you want to attract and keep these customers, you must earn your place in their daily financial behavior. This means: 1) Seamless payments, 2) Intuitive mobile experience, 3) Context-aware alerts and 4) Easy access to real people when needed. And of course, you must tell your story better. Because trust for Gen Z is not built on longevity, it is built on alignment. They care about values, transparency, and whether you actually do what you say you do. This is great since community banks should easily win here, but only if we communicate it effectively. One of the most underappreciated data points in the article is that more than a third of Gen Z finds financial matters confusing or overwhelming. This is not a weakness; it is an opportunity. Financial wisdom must be: accessible, relevant, delivered in the format they consume and reinforced through real interactions. This is where the branch, digital channels, and even emerging tools like AI must work together. Many Gen Zs are learning about money from TikTok influencers, which should raise your attention. There is a need for banks to provide financial wisdom, not just financial products, and this is exactly where community banks can differentiate. Imagine this: A Gen Z customer receives an alert about spending behavior. They receive a short, engaging explanation of what it means. They are prompted to schedule a conversation. They walk into a branch designed for engagement, not transactions (or alternatively, they initiate a video consultation on their mobile device). They subsequently engage with someone who actually understands their situation and who can provide contextual and relevant help, even wisdom. That is how you build a relationship. The author of the article concludes by stating that primary relationships are no longer secured by proximity or product breadth, but by consistent guidance and seamless experience. I wholeheartedly agree, but I would sharpen the question specific to community banks. Are you intentionally designing your institution to attract and keep young millennials and Gen Zs? Or are you just hoping they will eventually show up? If you are a community bank executive reading this, here is my straightforward advice. First, make attracting and retaining young millennials and Gen Zs a core strategic initiative, not a side project or a marketing campaign. A core initiative with top-down commitment. Second, rethink your branch. Not cosmetically, but functionally. Shift from transactions to engagement. Train your staff to provide guidance, not just process requests. Third, commit to delivering financial wisdom. Not once, not occasionally. Continuously, across every channel. Finally, connect all of this together. Digital, branch, and advisory must operate as a single experience. Because Gen Z is not going to wait for you to figure this out. They are already deciding who deserves their business. And more importantly, who doesn’t. If you are not sure where to start, start by asking a simple question: “If I were (14 years old / 18 years old / 24 years old), would I bank with us?” If the answer is anything other than an immediate and confident yes, then you have work to do. And the time to start… is now. Resources https://thefinancialbrand.com/news/gen-z-banking/gen-z-redefining-primary-banking-relationships-196771 ChatGPT was used in researching this article.