The Millennials have arrived, and automakers are taking notice, moving to stock car dealerships with vehicles that will appeal to what is swiftly becoming the largest car-buying demographic.
Millennials got off to a slow start for certain American rites of passage to adulthood, such as starting a family, buying a home, and purchasing new cars, as the Great Recession struck when many were just entering the workforce, and it had a lingering effect on their earning power. Combined with a trend of rising college debt, many Millennials’ finances delayed them from taking these typical actions.
Thanks to an economic recovery, Millennials are now starting families and are increasingly purchasing new automobiles, particularly family automobiles. Millennial auto consumers purchased 4.1 million automobiles last year, accounting for about 29 percent of all buyers. By 2020, Millennials are expected to make up about 40 percent of all automobile consumers.
The Millennial generation—born between the early 80s and late 90s—is the largest generation since the Baby Boomers, with about 75 million members. Their preferences will have a huge impact on markets for years to come, just as the Boomers did.
Right now, many Millennials are starting families and are searching for family vehicles. Millennials aren’t searching for the same family vehicles that their parents and grandparents wanted, however. The values of the Millennial generation are very different from their predecessors, and it shows in their consumer choices. Here are a few points about what Millennials are looking for in family cars.
- Good ratings – Millennials are more tech savvy than their elders and are much more likely to use internet reviews and consumer rating services to make decisions about which vehicles to purchase. Many can be seen on the lot checking out reviews on their mobile devices as they shop. Older car buyers still tend to rely more on their previous experiences with a brand or traditional marketing campaigns.
- Not impressed with brand names – Millennials are more practical than their parents and grandparents and are less likely to be impressed with luxury name plates. Having lived through the Great Recession in their early working years, Millennials are more likely to seek a good value than their predecessors. A Millennial shopper is more likely to be impressed with a value brand offering lots of features than a basic luxury vehicle.
- Thinking green – Millennial car shoppers are much more environmentally conscious than preceding generations. They don’t just recycle, they also take the environment into account when making major purchases, including automobiles. Autos that have low emissions or which are hybrids or electric-only are more likely to be successful with this generation.
- Design – Although Millennials are practical, they do like automobiles with a little personality. A clever design or unique appearance goes far in appealing to this generation.
Millennials seeking new or used cars in Bloomington can find just the right family vehicle they’re searching for at Community Cars. Community Cars carries a wide range of Chrysler, Jeep, Dodge, and RAM products, giving Millennial shoppers a big inventory to choose from when seeking a new or pre-owned vehicle. Stop by today for a test drive or to talk to a sales rep to learn more about the dealership’s brands and models.