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).

Skoda Auto India Expands Network With New Hyderabad Facility

Skoda Auto India - Hyderabad

Skoda Auto India has inaugurated a new sales facility in Raidurgam, Hyderabad, in partnership with Mody India Cars. The move strengthens the brand’s presence in Telangana, a key market for its growth strategy in India.

The new facility covers 3,200 sqft and is designed according to Skoda’s global ‘Modern Solid’ design philosophy, with space to display four vehicles. With this addition, Skoda now operates 15 customer touchpoints in the twin cities of Hyderabad and Secunderabad and a total of 19 touchpoints across Telangana, including Karimnagar, Nizamabad and Warangal.

With this, Skoda’s network has now expanded to over 330 touchpoints across 182 cities, up from 120 outlets in 2021. This growth follows a record-breaking Q1 2026, where the company sold 20,028 units, a 17 percent increase YoY, driven largely by the success of the Kylaq sub-compact SUV.

Ashish Gupta, Brand Director, Skoda Auto India, said, “With the inauguration of this new sales facility in Hyderabad, we continue to strengthen Skoda Auto India’s presence across Telangana. This city is a key market for us, and with over 15 Customer Touchpoints now operational, we are bringing our complete product range closer to customers while ensuring they experience the highest standards of service and care. Telangana remains a vital pillar of our growth in India, and with the Kylaq, new Kushaq, Kodiaq and Slavia, we are confident of growing the Skoda brand in this important market.”

Nihar Mody, Dealer Principal, Mody India Cars, said, “We are delighted to partner with Skoda Auto India and bring the brand’s premium experience closer to customers in Hyderabad. This new facility is designed to deliver a premium customer experience, from display to delivery. Our commitment is to provide the customers of this city with the very best of Skoda Auto’s product range and ownership journey.”

The expansion aligns with the company's ‘Skoda Super Care’ initiative, which provides a standard 4-year warranty and roadside assistance to enhance the long-term ownership experience.

Tata Motors Launches Nexon Pure+ PS With Panoramic Sunroof At INR 959,000

Tata Nexon

Tata Motors Passenger Vehicles (TMPV) has expanded its popular compact SUV offering the Nexon with the Pure+ PS variant at INR 959,000 (ex-showroom, Delhi). This introduction makes the Nexon the first vehicle in India to offer a panoramic sunroof at a price point below INR 1 million. The launch coincides with the milestone of one million Nexon units on Indian roads.

The Pure+ PS variant is available across multiple powertrain options, including a 1.2-litre turbocharged petrol engine, Twin Cylinder iCNG and a diesel engine, with both manual (MT) and automated manual (AMT) transmissions. The Nexon remains the only SUV in India to offer petrol, diesel, CNG and electric powertrains.

The tech-loaded Nexon Pure+ PS variant gets a voice-assisted panoramic sunroof, a 26.03-cm Harman infotainment system with wireless Android Auto and Apple CarPlay. It features a 6-speaker sound system and HD rear-view camera, auto LED headlamps & rain-sensing wipers, and cruise control and electric ORVMs with auto-fold functionality

Vivek Srivatsa, Chief Commercial Officer, Tata Passenger Electric Mobility, said, “As India’s #1 selling car in H2FY26 and India’s #1 SUV in FY26, the Nexon continues to remain as the preferred choice for customers across the country. With a 1 million+ strong family, Nexon has always stood for offering a superior all round package to its buyers at every price point. The introduction of the Pure+ PS variant with India’s first panoramic sunroof under INR 1 million further strengthens its proposition.”

Hyundai Motor India Targets Record INR 75 Billion Investment, 2 New SUV Nameplates In FY2027

Hyundai India

Hyundai Motor India, one of the leading passenger vehicle manufacturers, has announced its highest-ever CAPEX of INR 75 billion — its highest ever —to fund a product offensive and manufacturing upgrades in FY2027.

The company also plans to introduce two brand new SUVs, including a localised electric SUV in the compact segment and an ICE SUV in the mass market segment. Interestingly, the South Korean automotive major has forecasted a 8-10 percent growth in sales across domestic and export markets for FY2027.

In FY2026, Hyundai Motor India saw its profit after tax decline by 4 percent to INR 54,315 million, as against INR 56,402 million a year ago. The revenue came at INR 707,633 million, up 2 percent, as against INR 691,929 million, EBITDA at INR 85,985 million, as against INR 89,538 million a year ago.

Despite a dip in profit after tax in FY2026 and commodity price pressures that impacted Q4 margins by 120 basis points, the leadership has issued a margin guidance of 11-14 percent for FY2027. Hyundai Motor India management noted that approximately half of the Q4 margin impact was a one-off occurrence. To counter unstable commodity costs, a calibrated price increase is scheduled for May 2026.

Tarun Garg, MD & CEO, Hyundai Motor India, said, “FY2026 was a year where we demonstrated our ability to effectively navigate a challenging environment. Looking ahead to FY2027, we have started the year on a strong footing. We expect this positive momentum to continue, backed by new product launches in high-demand segments.”

He further expressed confidence in a domestic volume growth target of 8-10 percent for the coming year. This outlook is supported by a strong start in April 2026, which saw domestic volumes grow by 17 percent.

The company expects that shifting the production of the Venue to the Pune plant will allow the Chennai facility to maximise capacity utilisation for these upcoming launches.

The CAPEX roadmap allocates nearly half of the funds to new product development, with 30 percent dedicated to plant infrastructure. This includes the Phase 2 expansion of the Pune facility and the modernisation of the Chennai plant. By FY2027, the Pune plant is expected to reach a capacity of 250,000 units, contributing to a group-wide goal of 1.14 million units by 2030.

The upcoming dedicated, localised electric vehicle in the compact SUV category, marking a significant step towards increasing its EV penetration, which stood at 2 percent in FY2026.

Furthermore, Hyundai Motor India is positioning itself as a primary global export hub for Hyundai Motor Company. The company’s target of 8-10 percent growth in export volumes, specifically leveraging its status as the exclusive global manufacturer for the Exter SUV. Future plans include the introduction of Left-Hand Drive (LHD) variants of the Exter and Verna for international markets.

The company also confirmed its commitment to meeting CAFE 3 standards through a diversified powertrain mix, including its CNG portfolio, which reached a record 18 percent contribution in the final quarter of FY2026.

Hyundai Motor India Celebrates 30 Years Of Operations

Hyundai India

Hyundai Motor India (HMIL), one of the leading passenger vehicle manufacturers, has marked its 30th Foundation Day today.

Established on 6 May 1996, the South Korean automaker has sold 13.5 million units to date, which includes 9.6 million vehicles sold in India and 3.9 million units exported to 150 countries.

Since its inception, Hyundai Motor India has invested around INR 4,070 billion in its Indian operations. The company has outlined a plan to invest an additional INR 4,500 billion between FY2026 and FY2030. This investment will focus on manufacturing, electrification and the introduction of 26 products and variants by 2030.

Tarun Garg, MD & CEO, Hyundai Motor India, said, "Hyundai Motor India’s 30-year journey is defined by trust earned over time and the pride of our teams delivering consistently for customers across India. It is also marked by Progress - our collective contribution to advancing the mobility journey of India. We are proud to have served over 13.5 million customers since inception - including 9.6 million+ in India and 3.9 million+ exported to 150 countries across the globe - a testament to India’s role at the heart of Hyundai’s global success. As we celebrate this milestone, we look ahead with youthful energy and unwavering commitment, shaping mobility for India and the world. Guided by our global vision of Progress for Humanity, we remain deeply connected to India’s aspirations, driving innovation, sustainability and shared prosperity for generations to come."

The automaker operates manufacturing facilities in Chennai, Tamil Nadu and Talegaon, Pune, with a combined capacity to produce around 994,000 units per annum, with plans to reach 1.07 million units per annum by 2028. Hyundai Motor India is currently the largest cumulative exporter of passenger vehicles from India.

In India, the automaker has established a robust sales network of 1,500 outlets across 1,100 cities, covering 78 percent of the country’s districts. The service network includes 1,675 touchpoints and 162 mobile service vans. It employs 50,000 professionals across its dealerships. Digital systems are used for 91 percent of repair orders and 632 workshops offer live streaming of vehicle services.

Hyundai Motor India has achieved the RE100 benchmark, with all offices and plants powered by renewable energy. At the Chennai plant, 80 percent of water requirements are met through rainwater harvesting and recycling. The facility also maintains zero liquid discharge.

Through the Hyundai Motor India Foundation, the company has invested over INR 8.03 billion in social initiatives since 2014. These programmes include the planting of 1.29 million trees and the support of 2,300 schools. The company provides 15,000 to 18,000 direct jobs and supports approximately 350,000 to 450,000 indirect roles through its suppliers and partners.