May 26, 2017
Millennials as a whole are more interested in luxury automobiles compared to past generations, which makes the group vital to these brands as the individuals come of age and enter the car buying market.
According to a new report from Infiniti Research, millennials differ greatly compared to their predecessor generations such as baby boomers and Gen X when in comes to car buying. As the younger generation begins to see some relief from the financial woes that has previously driven their decisions, they are likely to be extremely important to luxury automakers.
Millennials and automakers
Previously, financial concern may have influenced millennials' interest in ride sharing, rental and other temporary platforms rather than car ownership.
Audi 8 Google Dash
But the tables are starting to turn, and research is showing they are more interested in buying now more than ever. Now that millennials are coming of age and finding themselves in more stable jobs, car buying is essentially the next step for them.
Jaguar's in-dash application
While millennials are more interested in luxury rather than Gen X and baby boomers, Infiniti notes this might not translate to sales. But it could however drive innovation in terms of features for brands across the board.
Technology and automakers
Automotive brands are continually introducing advanced technology and amenities that appeal to the millennial driver.
Luxury brands will have to compete with all markets to ensure the most high-end product to appeal to these new buyers.
German automaker Audi exemplified this and is appealing to drivers that rely on Android operating systems in a new partnership that embeds Google into its dashboard.
During the Google I/O developer conference on May 17 the automaker showcased the new Audi Q8 sport concept technology platform. The interface will allow users to interact with various Google applications through Audi’s infotainment system, without having to need a smartphone (see more).
Also, British automaker Jaguar built on the disruptiveness of mobility innovation with its own in-car payments system for drivers to seamlessly pay for Shell gasoline.
Oil and gas company Shell worked with Jaguar to bring a cashless system of payment within vehicles. Drivers are able to fill up their Jaguar vehicles, pay within the dashboard of their vehicles and simply drive away (see more).