The ‘Great Wealth Transfer’ and how gen Z brand promiscuity will reshape loyalty

By Adam Reader, Global Head of Go-To-Market, M+C Saatchi Consulting

This article was first published in The Drum

For generations, brand loyalty in industries like banking, healthcare, and even politics was often treated as a family heirloom – passed down from parents to children with little question. The bank your parents trusted became your bank. The political party your family supported earned your vote. And the healthcare provider your parents relied on handled your care.

Today, this dynamic is shifting. Two powerful forces – the Great Wealth Transfer and gen Z’s declining loyalty to traditional brands – are converging to reshape these legacy-driven industries. With the former, more than $68tn in wealth is being passed from baby boomers to younger generations, with financial institutions at the heart of this historic transition. At the same time, gen Z, with their brand-agnostic behaviour and values-driven mindset, is emerging as a significant market force.

The result of these twin trends? Legacy brands can no longer rely on inherited loyalty. They must actively earn the trust of a new, more discerning generation. Financial institutions, healthcare providers, and other legacy industries are grappling with both the challenge – and the opportunity – of earning loyalty amid this generational shift. Here are four big bets for how loyalty is evolving and what it will take for brands to capture the allegiance of this next generation.

1. Bridging the financial literacy gap

The Great Wealth Transfer is exposing a significant readiness problem. Nearly half of wealthy families lack basic estate plans, according to Bank of America Private Bank. And a survey by Citizens Bank found that 72% of Americans feel unprepared to handle a significant inheritance.

Gen Z faces a double challenge: they are both financially cautious and undereducated in long-term financial planning. This lack of preparedness poses a threat to wealth preservation and an opportunity for financial institutions to step in.

Banks and financial advisors have an opportunity to focus on educational experiences to earn trust and loyalty from younger generations. Expect more gamified tools, interactive workshops, and accessible resources aimed at building financial literacy. Wealth managers will also play a key role in facilitating cross-generational conversations, fostering trust not just with inheritors but with their parents, too.

2. The rise of fintech and personalised banking

Gen Z’s expectations for financial services differ starkly from their predecessors’. They demand digital-first solutions, transparency, and personalisation – qualities that many legacy institutions struggle to provide.

Open banking is transforming the financial ecosystem, allowing third-party providers to offer tailored solutions that empower consumers. Fintech brands are already capitalising on this shift, designing platforms that offer custom experiences, gamification, and loyalty programs built for a values-driven generation.

Traditional banks will need to continue innovating to compete with fintech disruptors. Capturing the hearts and wallets of Gen Z requires embracing hyper-personalisation, using data to create bespoke banking experiences. Gamified savings challenges, rewards tied to social impact, and real-time financial health insights are becoming table stakes for generating loyalty.

3. Grassroots influence: A shift toward authentic connections

Historically, younger generations turned to parents or advertising for financial guidance. Gen Z, however, increasingly looks to social media for lessons on investing and money management.

But there’s a catch: they’re also increasingly skeptical of influencers, with nearly half of Gen Z describing paid partnerships as “insincere” or “annoying.” Instead, they gravitate toward lo-fi recommendations from peers, niche communities, or unpolished testimonials.

To succeed in this environment, brands must deliver more human-centered experiences. Financial institutions are leaning into one-to-one connections through micro-communities, independent advisors, and unfiltered content. Social media strategies that prioritise inclusive storytelling over glossy campaigns will help brands build lasting relationships.

4. Ethical finance as a loyalty driver

Gen Z’s values-driven mindset is reshaping industries, and finance is no exception. This generation expects brands to align with their ethical priorities.

As a result, Environmental, Social, and Governance (ESG) investing has become more than a trend; it is increasingly seen as a requirement. Institutions that ignore this shift risk alienating a generation that sees money as a tool for change.

Ethical finance offerings are becoming a core strategy for capturing loyalty. Banks are highlighting ESG-focused funds and providing transparent reporting on the impact of investments. Younger generations are more likely to reward institutions that demonstrate a genuine commitment to responsible investing.

A generational inheritance

The convergence of the Great Wealth Transfer and gen Z’s brand promiscuity signals the end of an era where loyalty could simply be inherited. Loyalty must now be earned – through personalisation, transparency, and a deep understanding of the unique needs across the generations involved in this historic shift.

The institutions that will succeed in this evolving landscape are those that proactively build trust across generations. This will require a delicate balance: crafting connected approaches that foster dialogue, align values, and ensure a seamless transfer of financial relationships.

By successfully bridging these generational divides, brands can turn this moment of change into an opportunity to build a new future of loyalty.