Generation Z shops for cars about like older generations, even though they grew up buying things … [+] online, according to Cars.com research.
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The auto industry should quit worrying that younger generations aren’t interested in driving and car ownership – something that gave the car industry nightmares when Gen X, now in their 40s and 50s, were said to be slower than their Baby Boomer parents, to get drivers licenses and take out auto loans.
It turns out Generations X, Y and Z may have postponed car ownership and auto loans due to economic ups and downs, but they’re still plenty interested. The latest evidence is a recent, cross-generational survey of more than 4,000 customers of the Cars.com online auto shopping site.
“The most surprising thing I found was, you would think Gen Z would want to do everything online, but they truly want to go to a dealership for their first car-buying experience,” said Amie Lindaas, director of research and insights for Cars Commerce, in a phone interview. Cars Commerce is a Chicago-based technology company. Cars.com is its flagship product.
Generation Z, also known as Zoomers, are the youngest generation old enough to get a license and buy a car.
“They have always been connected,” said Jennifer Newman, Cars.com editor-in-chief, in the same phone interview.
Gen Z survey respondents were born between 1997 and 2012, making them 18 to 27 years old now, according to Cars Commerce. Gen Y, also called Millennials, are the next-older generation, born 1981 to 1996, now aged 28 to 43; Gen X, 1965 to 1980, aged 44 to 58. They follow the huge Baby Boomer generation, born 1946 to 1964, and now aged 59 to 78.
Despite being the car-buying generation with the most online-connected upbringing, Zoomers tend to purchase their vehicles pretty much like older generations – in person, at a dealership, after doing a lot of research online, according to the survey.
“They rely on the dealer to be a mentor, to do a little hand-holding,” Lindaas said. “They’re probably not jaded by the experience.”
Other Gen Z survey results are as one would expect, for the youngest, least experienced, car-buying cohort.
They’re slightly more interested in sedans than other generations, but that’s probably because for many import brands, sedans are their entry-level model.
They spend more time researching than other generations, but that’s also to be expected, due to lack of experience.
Gen Z shoppers are also more likely to consider a wider variety of brands than older generations. That makes sense since they haven’t developed brand loyalty through experience. According to the survey report, “Gen-Z is undecided and isn’t loyal to any specific car brand.”
