Gen Z is driving a significant shift toward AI agent-powered car buying and maintenance, according to recent research.
Salesforce reported that three-in-four (74 per cent) of Gen Zers expressed interest in AI agents that can tell them the best time to buy based on price fluctuations, deals, or incentives.
“As the first generation of digital natives become first-time car buyers and lessees, expectations for personalized, digital-first technology — and concerns over prices, existing buying and leasing processes — are poised to disrupt the industry,” the report said.
For automotive CIOs and leaders, understanding and acting on these generational changes is crucial for developing successful customer engagement and product development strategies. It added.
Car buying
Gen Z is more likely than older generations to use AI to research cars and find the best deals. Four out of five (79 per cent) Gen Zers want AI to find and recommend the best car for their needs, compared to 58 per cent of baby boomers.
Additionally, 68 per cent of Gen Zers and 71 per cent of millennials want AI agents to suggest the best financing options, compared to 53 per cent of baby boomers. Three-quarters (74 per cent) of Gen Zers want AI agents to tell them the best time to buy, based on price fluctuations and sales, compared to fifty-three per cent of baby boomers.
Maintenance
Younger generations are also more open to AI-powered maintenance solutions, such as predictive diagnostics and automated scheduling. Two-thirds (67 per cent) of Gen Zers want agents to automatically schedule service appointments for them, compared to 39 per cent of baby boomers.
This desire to lean on technology first may stem from Gen Zers having a harder time finding a car that suits them and knowing the best time to buy it, the Salesforce report said. Almost 40 per cent of Gen Zers say they’d delay or cancel buying a car due to difficulties choosing the right vehicle, compared to only 21 per cent of baby boomers. Thirty-seven per cent of Gen Zers say they’d delay or cancel buying a car because they’re unsure of the right time to buy amid price fluctuations, compared to 27 per cent of baby boomers.
However, Gen Z is more trusting of AI than older generations. Seven in 10 (71 per cent) of Gen Zers believe AI agents will make car maintenance easier, compared to fewer than half (49 per cent) of baby boomers.
Non-AI innovations
Gen Z is also leading in knowledge about non-AI innovations with 69 per cent of Gen Zers familiar with the term “connected car,” compared to 39 per cent of baby boomers. Another 71 per cent of Gen Zers are familiar with the term “software-defined vehicles,” compared to a quarter of baby boomers. Almost a quarter (72 per cent) of Gen Zers have heard of “mobility” or “mobility-as-a-service,” compared to just 18 per cent of baby boomers.
Gen Zers are nearly twice as likely as baby boomers to want to use innovative payment options, such as subscription payment plans. Compared to only 21 per cent of baby boomers, 40 per cent of Gen Zers prefer subscription pricing for advanced driver personalizations like adaptive cruise control settings based on driving habits, personalized head-up display or customized sensitivity levels for safety features.
