There has been plenty of doomsday prophecies surrounding the automotive industry in the last year, based largely upon the assumption that younger drivers are less willing to support it or simply cannot afford to. Stupid, right? Not really. While the direness of the situation is often exaggerated, plenty of evidence exists to underscore the impending troubles of the new car market. Whether it’s because those in their salad days don’t care as much about cars as their elders or simply have less disposable income (hint: it’s the second one), real change is coming for OEMs.
Younger shoppers are noticeably more likely to purchase used vehicles than their more venerable contemporaries are, but “young” is a relative term — especially in this instance. According to a recent study, 53.7 percent of prospective buyers under forty plan on getting a used car the next time they need wheels. For those over forty, that number is 49.7 percent. As you’d expect older people to buy more new cars, this much of a disparity at mid-life is significant.
Latest Car ReviewsRead more
Latest Product ReviewsRead more
- Cprescott The cost of these golf carts will be the deciding factor
- Golden2husky Cash for clunkers was a horrible waste of resources. "Car dealers are asset rich and cash poor. Cash flow is something we look at every single day in a car dealership," she continued. "What if that $200,000 the government owes me is the same time I have a big payroll, and I have floorplan to pay off and, oh, it's tax time? All of a sudden, the dealer is in a cash crunch."Oh, my heart is just breaking for them...and with all that ADM, they can go screw themselves...they should have a line of credit. Use it.
- Sgeffe How much of a current draw is one of those digital plates?
- Ajla I had a chance to drive a few Toyota/Lexus products the last two weeks. The turbo-4 is basically charmless. I don't see much reason to go for it over the over the 2.5L or a HSD hybrid. Maybe if you live at higher elevation?The "HybridMax" is interesting. The stronger rear motor gives it more of a RWD feel. It isn't a sporty powertrain but was reasonably smooth and powerful.
- MaintenanceCosts A fair deal would be a single tier with at least a 33% raise for everyone over the life of the contract to make up for recent inflation and quite a few below-inflation years.Retiree health benefits and pensions are ridiculous, could legitimately bankrupt the automakers (unlike the raise), and shouldn't be in the deal.I'd really like to see the union accept a bit less cash and go after the 32-hour workweek harder. I think all of our society would be better on a four-day-a-week schedule, with little if any loss of output - business after business has found that people are more productive with four-day schedules, and almost everyone who tries it keeps it.