Young People See Cars As Status Symbol Finds Continental Study

Continental Mobility Study

German tier 1 supplier Continental recently commissioned a representative mobility study in August 2024 to understand the perception about young people on mobility needs.

For the Mobility Study 2024, infas was commissioned by Continental in August 2024 to survey a total of around 5,000 people aged 18 and over in Germany, China, France, Japan and the USA about their mobility habits and attitudes to a variety of mobility issues. In each country, the respective sample is representative of the population; for China, it is representative of the urban population. The aim of the Continental Mobility Study, now in its eighth edition since 2011, is to provide an international comparison of people’s attitudes toward current and future developments in mobility and their personal usage habits. The range of topics covered in this year’s study included automated driving, user experience, AI in cars, sustainable mobility concepts, mobility in urban areas, the affordability of mobility and attitudes toward government regulation in the mobility sector.

The key findings found that overall, 84 percent of car owners in Germany, regardless of age, believe that it is important to own a car. For almost 90 percent, having a car is essential for shopping and running other errands. The majority of young people in Germany are particularly enthusiastic about technological advances in cars. They look forward to the benefits self-driving cars will offer in terms of being able to read, play video games or work (51 percent of 25 to 34-year-olds). In addition to autonomous driving, artificial intelligence (AI) in the form of digital voice assistants is very popular with this group. There is a similar level of approval in the four other countries surveyed in the study.

Philipp von Hirschheydt, Executive Board member responsible for the Automotive group sector, Continental, said, “The findings show that the response to new technologies such as automated driving, large displays and AI in cars varies greatly between generations and also between countries. That’s why we aim to provide customised solutions – market-specific, tailor-made and modular.”

The findings of the study also reveal the current status of the trend toward lower-emission mobility worldwide. Particularly striking is that acceptance of fully electric cars remains low.

In Germany, only 3 percent of all car owners have an electric vehicle. However, just over a third of respondents who do not yet own an electric vehicle believe their next car will be fully electric (39 percent, compared with 34 percent in 2022). By contrast, hybrid drives are highly popular across all countries. In Germany (48 percent) and the USA (47 percent), nearly half of respondents who do not own an electric car can imagine their next vehicle being a hybrid with a combustion engine and an electric motor.

In China, that figure rises to almost nine out of 10 respondents (86 percent). This means that hybrid cars could increasingly bridge the gap to e-mobility and give it a renewed boost. With a share of 68 percent, younger people in Germany aged between 25 and 34 are particularly interested in electric cars – also compared with their international peers.

Vehicle as a status symbol 

On the one hand, younger people up to the age of 34 in Germany do not feel that attached to cars. For them, more than for older respondents, it is one of many means of transportation available. On the other hand, generation Y and Z drivers born in the 1990s and later have a clear emotional connection to their cars: for more than half of 18 to 34-year-olds (54 percent) in Germany, cars are regarded as a status symbol – twice the share among respondents aged 45 and over. People aged between 18 and 34, particularly those living in large cities, see cars as a prestige item (67 percent). In small towns and rural areas, the approval rate is around 49 percent. This view of the car is accompanied by growing expectations. Of the 25 to 34-year-olds surveyed, for example, 51 percent believe that cars of the future should not only be a safe means of transportation, but also a place to relax and work.

Tech attracts young people

The study also found that younger people in Germany also had a positive attitude toward highly automated and autonomous driving, with around two-thirds (65 percent) of 18 to 34-year-olds seeing this as a useful development. Among older respondents aged 55 and over, 39 percent share this view. Around two-thirds of younger people up to the age of 34 also believe that state-of-the-art technologies should be mandatory in newly registered cars in order to make traffic even safer – a viewpoint that signals approval of the EU directive requiring certain advanced driver assistance systems in new cars, which has been in force since July 2024.

Another future technology that is particularly popular with younger people is AI assistants in cars. Almost three-quarters of respondents (74 percent) between the ages of 18 and 34 would welcome an AI voice as a service that, like a virtual travel companion, provides useful information about sights and restaurants along the route, finds the nearest gas or charging station, searches for free parking spaces or even compiles personal messages.

“Younger people in particular have changing expectations of cars. These are closely linked to pioneering technologies such as automated driving, which deliver new user experiences. At Continental, we’re already equipping cars with AI. Together with our partner Google Cloud, we have developed a virtual companion for drivers. We are particularly proud to be one of the first automotive suppliers worldwide to integrate Google Cloud applications directly into our vehicle computers,” added Hirschheydt.

Autonomous & AI

The comparison between countries reveals a widespread openness to highly automated and autonomous driving in Asia across all age groups. In China, nine out of 10 respondents (90 percent) view the relevant technologies as a useful development, while in Japan, almost three-quarters (72 percent) share this sentiment. In France (60 percent) and the USA (56 percent), more than half of those surveyed have a positive attitude. In Germany, around one in two respondents (49 percent) feel the same. An AI-powered virtual travel companion is particularly popular in China, where nine out of 10 respondents (91 percent) say they would like to have such a service. In the USA (66 percent) and Japan (63 percent), around two-thirds express this wish, while in France (58 percent) and Germany (57 percent) more than half would be happy to have the technology.

There is broad agreement across all countries on the ideal size of a car display for infotainment content. Most people prefer larger displays, with 90 percent of respondents in China favouring this option.

In Germany (81 percent), France (79 percent) and the USA (80 percent), eight out of 10 respondents would like their navigation, vehicle data and music to be shown on large screens.

In Japan, the figure is more than two-thirds (69 percent). However, preferences differ significantly when it comes to technological details. While the majority of respondents in Japan (79 percent) and more than half in Germany (57 percent) prefer a simpler display on car screens, a slight majority in the USA (58 percent) favour more colours. By contrast, many features are popular in China (69 percent). In Japan (70 percent), the majority prefer a more straightforward digital design, while in Germany, around half feel the same way (55 percent).

There are also differences between countries when it comes to the question of whether a display should be controlled by voice or manually: voice control is particularly popular in Japan (67 percent), more than half are in favour of it in China (59 percent), while the number is significantly lower in Germany (43 percent). In the USA, just over half (55 percent) also prefer to operate a display manually.

Hybrid

The study shows that hybrid drivers in Germany have an above-average interest in all-electric mobility – a strong indication that hybrid cars can play a key role as a bridging technology for the transition to fully electric drives.

For example, 43 percent of respondents who currently use a vehicle with a combined combustion engine and electric motor say that their next car will definitely be an all-electric vehicle. Those who drive a gasoline or diesel vehicle are significantly less open to such a switch (12 and 19 percent respectively). In addition, a clear majority (58 percent) of hybrid drivers would be willing to buy an electric car without a government subsidy.

The data suggests that hybrid vehicles are boosting people’s confidence in e-mobility and may help reduce any reservations about fully electric vehicles. One group with significant future potential for this development is the 48 percent of respondents who do not drive an electric or hybrid car and for whom an all-electric car is not currently an option, but who are considering a hybrid as their next car.

Varying degree in e-cars

The shift to electric mobility is under pressure in Germany, where sales of all-electric cars are faltering. According to the latest figures of the Continental study, electric cars represent a significant share (10 percent) of the overall passenger-car fleet in China, while only 3 percent of respondents in Germany drive an all-electric car and 91 percent a car with a combustion engine (China: 80 percent). There is potential for higher sales of electric cars in Germany, particularly among those aged 18 to 34. In this age group, around two-thirds (64 percent) of respondents believe it is certain or likely that their next car will be fully electric – a trend that gradually diminishes in older generations.

A look at age-dependent attitudes toward electric mobility reveals that, like many other technological developments, e-mobility is more appealing to younger drivers than older ones. They are more willing to forgo subsidies: 50 percent of 25 to 34-year-olds would consider buying an electric car without government assistance. However, the willingness to fully finance an electric vehicle decreases significantly among those aged 45 and older.

EVs and subsidy

The study found that two-thirds of respondents in Germany link the purchase of an electric car to a government subsidy is an expression of their concerns about being unable to finance an electric car on their own. In Germany, 71 percent of respondents worry that mobility will no longer be affordable due to rising energy prices. In the 2022 Mobility Study, 73 percent of people in Germany expressed their concerns about the affordability of mobility.

What’s more, 65 percent of respondents fear that they will not be able to afford an electric car in the near future and 56 percent are worried that driving could soon become too expensive for them. As a result, a clear majority (80 percent) expect policymakers to create the framework conditions to ensure that driving remains affordable. At the same time, they believe driving should be made more sustainable in the most cost-neutral way possible. Almost three-quarters (73 percent) of respondents think that the cost of environmentally friendly cars needs to fall. Regulatory interventions such as a speed limit of 130 kmph on highways are met with acceptance (62 percent), provided they do not lead to price increases. Younger respondents are less price-sensitive. They are much more prepared to pay a premium for environmentally friendly cars, especially if they are completely carbon-neutral in production and operation (40 percent of 18 to 24-year-olds compared with 13 percent of 45 to 54-year-olds).

Sustainable tyres

Sustainability is an important concern for people with cars is also demonstrated by their attitude to tyres. According to the study, almost eight out of 10 drivers in Germany (84 percent) who also value tyre recycling consider it important that their tyres contain an increasing share of environmentally friendly materials. When purchasing tyres, younger people (61 percent of 25 to 34-year-olds) are more concerned than older people about what happens to the tyres at the end of their service life.

Furthermore, 44 percent of car owners in Germany would be willing to pay a premium for tyres made from a higher share of renewable and sustainable materials. Here again, this willingness is most pronounced among 25 to 34-year-olds (65 percent).

Audi Q3

German luxury car brand Audi India has launched the all-new Audi Q3 compact luxury SUV at an introductory price of INR 5.19 million ex-showroom. The vehicle is locally assembled at the Skoda Auto Volkswagen India (SAVWIPL) plant in Chhatrapati Sambhajinagar.

The Audi Q3 is powered by a 2.0-litre TFSI petrol engine delivering 150 kW of power and 320 Nm of torque, paired with quattro all-wheel drive. The setup accelerates from zero to 100 km/h in 7.1 seconds. Exterior design features Digital Matrix LED headlights containing 25,600 micro-LEDs with four selectable daytime-running-light signatures, 18-inch aero alloy wheels, a panoramic sunroof and illuminated rear Audi rings.

On the inside, the cabin incorporates a digital stage panoramic display featuring a 30.22 cm Audi virtual cockpit, a 32.51 cm MMI touch screen, a head-up display, and a 12-speaker SONOS sound system with a 420-watt output. Safety features include nine airbags, adaptive cruise control, front emergency brake assist and park assist plus.

Viktoria Kaufmann-Reiger, Senior Director of Sales Overseas at Audi AG, said, "Today, is such an important day for Audi India and I am happy to be a part of this occasion. The launch of the all-new Audi Q3 is an important milestone and it became even more special due to our new AUDI AG Board Member for Sales and Marketing Mr. Martin Sander joining us here in India. His presence underscores not just the importance of this brand-new model but also India’s growing importance as an emerging market for AUDI AG. India's luxury landscape is evolving, and we will continue to offer products, technologies and experiences that reflect the aspirations of our customers and the distinctive character of our brand. Customer ambitions are growing, and so are their expectations, and at Audi we want to be well positioned to grow alongside them."

Piyush Arora, MD and CEO, SAVWIPL, said, "The launch of the all-new Audi Q3 marks an important milestone for Audi India and reflects our commitment to meeting the evolving expectations of the next generation of luxury customers. Like its predecessor, the new Q3 is being produced here in India, at our state-of-the-art Chhatrapati Sambhajinagar facility. This is a strong demonstration of the capabilities we have built within SAVWIPL, reinforcing that India plays a dual role for us, not only as a major growth market, but as a key manufacturing and engineering hub."

Balbir Singh Dhillon, Brand Director, Audi India, said, "The Audi Q3 has long been an important gateway to the Audi brand in India, and we are delighted to introduce its most progressive iteration yet. The all-new Audi Q3 combines the confidence of quattro, strong performance and everyday versatility with a significantly more intuitive technological experience and a host of thoughtful comfort and safety features. Its local assembly is another important step in our commitment to the Indian market. We are confident that its distinctive character, advanced technology and effortless usability will resonate strongly with customers seeking a modern compact luxury SUV."

The compact SUV is offered in five exterior paint options and two interior themes. Audi India supports the launch with ownership options, including roadside assistance up to 15 years alongside service and extended warranty programs up to 10 years.

Maruti Suzuki True Value Reaches 25-Year Milestone With 6.5 Million Pre-Owned Vehicle Sales

Maruti Suzuki True Value

Maruti Suzuki India, the country’s largest passenger vehicle manufacturer, has completed 25 years of operations for its pre-owned vehicle retail network – Maruti Suzuki True Value, recording cumulative sales of 6.5 million pre-owned cars since its establishment in 2001.

The pre-owned vehicle network currently operates 662 retail outlets spanning 338 cities across India. True Value's operational model includes digital integration, vehicle evaluation frameworks, certification processes and warranty coverage policies for used cars.

The platform also provides financing options through the Maruti Suzuki Smart Finance digital portal, connecting buyers with public and private sector banks and non-banking financial companies.

Interestingly, the company observed an increase in first-time vehicle buyers and younger demographic groups within its pre-owned sales network as organised used-car retail and structured financing options continue to expand across urban and regional markets in India.

Partho Banerjee, Senior Executive Officer of Marketing and Sales, Maruti Suzuki India, said, "For 25 years, Maruti Suzuki True Value has worked towards making pre-owned car ownership more trusted, transparent and accessible for customers. Over its quarter-of-a-century journey, True Value has constantly reimagined itself to not just evolve with the times, but also to give customers exactly what they want. True Value has been designed as a comprehensive pre-owned car ecosystem serving buyers and sellers through 662 outlets across 338 cities. With pre-owned car ownership striking a new chord with aspirational customers, the share of young first-time buyers are constantly increasing amongst True Value customers. As we celebrate this momentous milestone, we remain committed to making personal mobility accessible and aspirational through assured quality, transparent processes and technology-enabled customer experiences."

Lexus India

Japanese luxury car brand Lexus India has inaugurated its new Guest Experience Centre in Surat, expanding its retail presence in Gujarat following a recent opening in Ahmedabad.

The facility is operated by Lexus Bharat, a joint venture between Kirloskar Systems, Toyota Tsusho India and Japan's Toyota Tsusho Corporation. The location features a vehicle showroom and an operational Lexus Service Point for aftersales maintenance. The inauguration ceremony was led by Lexus Bharat Managing Director Sreenivas Chivikula and Lexus India Executive Vice President Ryosuke Tawara.

Hikaru Ikeuchi, President, Lexus India, said, "India's luxury automotive market is evolving rapidly, with guests increasingly seeking distinctive products, meaningful experiences and brands that align with their values. At Lexus, our vision is to bring the Lexus experience closer to guests across the country. The inauguration of Surat Guest Experience Centre marks an important milestone for Lexus India. As the second GEC in Gujarat, following the recent inauguration of Ahmedabad GEC, the Surat outlet further strengthens our presence in this vibrant and growing luxury market. Known for its entrepreneurial spirit and legacy of craftsmanship, Surat's pursuit of quality and excellence resonates strongly with Lexus. We are delighted to welcome guests into a space that reflects our dedication to innovation, exceptional hospitality and Omotenashi. Through this new Guest Experience Centre, we look forward to building deeper connections with our guests while delivering the unique luxury experience that defines Lexus."

Sreenivas Chivikula added: "The inauguration of our Guest Experience Centre at Surat marks an exciting new chapter for Lexus in India. Lexus Bharat is committed to supporting Lexus India's efforts to deliver exceptional guest experiences. As we enter new markets, our focus remains on delivering world-class luxury retail standards and personalised guest experiences that embody Lexus' unique experience."

The Surat facility increases Lexus India's retail network to nine Guest Experience Centres across major metropolitan markets, including Mumbai, New Delhi, Bengaluru, Chennai, Hyderabad, Chandigarh, Kochi and Ahmedabad, supported nationwide by 19 Lexus Service Point locations. Ownership programs include an eight-year or 200,000-kilometre warranty covering the vehicle and hybrid battery system, alongside five-year roadside assistance packages.

Maruti Suzuki Brezza Crosses 1.5 Million Cumulative Sales Milestone

Maruti Suzuki Brezza

Maruti Suzuki India, the country’s largest passenger vehicle manufacturer, has attained a new sales milestone of 1.5 million units for its popular compact SUV – the Brezza.

The achievement follows the launch of the updated Brezza model, which has accumulated over 100,000 customer bookings.

The Brezza range includes multiple powertrain options, featuring the K15C petrol engine, a turbocharged Boosterjet variant and S-CNG technology. The S-CNG variant incorporates an underbody fuel-tank packaging layout to preserve boot compartment capacity. Safety specifications for the updated model include a 5-star rating under the Bharat NCAP testing protocol.

The company said that customer demand indicates that 56 percent of buyers evaluate the Brezza prior to starting their vehicle purchase process.

The milestone reinforces the model's position within Maruti Suzuki's SUV portfolio as production and sales volumes continue across domestic dealerships.