The data: Banks may be segmenting Gen Z and millennial consumers incorrectly, according to a Deloitte study summarized in the Wall Street Journal. The study argues that the differences between Gen Zers and millennials are often better explained by life stage than age.

Digging into the data: Data on bank switching, app use, and data sharing are close for these demographics.

The study reports that Gen Zers and millennials are at similar risk of switching banks (26.6% and 22.5%, respectively); use payment apps at high rates across generations (82% and 88%, respectively, followed closely by gen Xers at 81%). And Gen Zers and millennials are far more likely than Gen Xers or baby boomers to be comfortable sharing their personal data with financial institutions or apps (67% and 70%, respectively).

Gen Zers and millennials are nearly equivalent by these measures, but the products and services they need from their bank are tied to their stage in life. That varies based on more than birth date.

Implications for banks: Gen Zers and millennials have similar banking behaviors, meaning banks can reach them through the same channels. But their individual circumstances are not the same.

According to our report Future-Proofing Banking Through Customer-Centric Journeys, consumers’ financial needs are triggered by life events: They want guidance during moments like going to college, buying a car or house, or planning for retirement.Banks are neither convenient nor relevant when they wait for customers to seek them out at those moments. Banks should identify life stage moments and educate, advise, and guide customers based on immediate financial needs no matter their demographic group.