With Gen Z being the generation that spends the most time on social media, where a flashy luxurious lifestyle is put on a pedestal, it's no surprise they have a penchant for luxury cars too.
What is surprising is how many had a luxury car as their first car. According to a recent survey by Heritage Car Insurance, Gen Z is by far the generation that is most likely to have a first car that is ‘luxurious’. No longer are first cars old bangers that we pray will start!
With almost 1 in 6 Gen Zers having a BMW as a first car, the make is the most popular first car amongst Gen Z. Furthermore, 1 in 12 said they has an Audi for their first ever vehicle. According to a recent report by CDK Global, Gen Z buyers are more likely to buy luxury cars than any other generation, with 39% saying that the vehicle they bought was a luxury model.
Members of Gen Z are more likely to buy a luxury car than any other generation, with BMWs topping their shopping list.
TOP 5 GEN Z FIRST CARS:
- BMW – 14%
- Ford – 12%
- Vauxhall – 8%
- Audi – 8%
- Volkswagen – 7%
What does the future of motoring look like?
With 2030 drawing a line in the sand for new petrol and diesel car production, will the car owners of the future be able to afford the hybrid and electric vehicles currently in production and concept?
And will an environmentally conscious generation of first-time drivers be able to weigh up that cost against the option of driving an older combustion-engined car, that might still be clean air zone exempt and cheaper to acquire?
Andy McDonald, Underwriting Manager at Heritage Car Insurance, comments: “Young new drivers now are favouring more prestige brands like BMW and Audi, though Ford continues to hold its own as a solid choice.”
“We’re seeing a growing young crowd of classic car enthusiasts too, who won’t want to see those older models fall by the wayside.”
“At the moment, first-time drivers aged 18-24 vastly favour second-hand cars over new. If electric or hybrid vehicles are going to be the first cars of choice (or necessity), then there will need to be a decent second-hand supply to make this viable.”
“Plus, there is the ongoing challenge of the cost of car insurance for new or young drivers. Insuring electric vehicles is still an area insurers and brokers are adapting into, and it remains to be seen whether this will become more affordable over time.”
Read more of our Leadership articles here