Study: What's Driving Generational Purchasing Preferences?

Despite some disparaging typecasting to the contrary, Millennials do know how to drive and aren’t a population of unmitigated phone-addicted car haters.

People under forty even have purchasing preferences associated with automotive ownership. However, some stereotypes ring especially true when compared to their nearest generational counterpart: Generation X.

Autolist recently conducted a representative survey of the two age-groups during the final quarter of 2016. Based on feedback from 3,383 vehicle owners nationwide, the study highlights key differences between the groups and shows why many automakers are scrambling to diversify their companies to better prepare themselves for the changing consumer winds.

Xers tend to be slightly more practical, conservative, and hold onto their vehicles longer. Millennials are, on average, more interested in newer cars and technology and less interested in price, brand loyalty, or longevity. Roughly two-thirds said they couldn’t see owning a car for more than seven years, while over 41 percent of Generation X was fine with with the concept.

When asked about the primary factors in considering their next vehicle, Millennials turned out to be five percent more likely to be concerned about the environmental impacts associated with car ownership — an issue that their older peers minimize through the longer-term ownership of more economical cars.

As for who is buying what, there’s plenty of overlap between groups. The Toyota Camry and Corolla were both extremely popular with both demographics. However, the most popular car for Millennials turned out to be the Honda Civic, while the Accord was most favored by Xers. Generation X also has a penchant for minivans — the Chrysler Town and Country and Honda Odyssey both made it into their top ten.

Younger buyers also had a slightly stronger preference for American iron. The Chevrolet Cruze and Ford Focus ranked high on their list, while Cadillac’s CTS was the luxury sedan of choice. Gen X went with the yuppie-friendly BMW 3 Series.

In the world of trucks, Ford’s F-150 remains is a big hit with nearly everyone, but surveyed Millennials actually like the Chevrolet Silverado 1500 slightly more. The Ford Mustang maintains its universal appeal for those interested in a more lively drive.