Offbeat

Gen Y is Now Buying More Cars Than Gen X

But Baby Boomers still buy the most (for now at least).

Despite all of the difficulties brought on by the economic crisis, young people in the US are still managing to buy new cars. In fact, a new study from J.D. Power has just revealed that, for the first time, Generation Y, those born between 1977 and 1994, have bought more new cars than Generation X, or those born from 1965 and 1976. The data shows that Gen Y, also known as Millennials, accounted for 26 percent of new vehicle sales so far this year.

By comparison, Gen X bought 24 percent of new cars in this same period. However, Baby Boomers, those born between 1946 and 1964, still remain the largest group of new car buyers in the US. So far this year, they’ve accounted for 38 percent of new car sales. What should also be noted is that Boomers are beginning to approach their 70s, which means that the sales trend will likely slow down. For example, last year Boomers accounted for 40 percent of new vehicle sales. They were followed by Gen X at 24 percent and Gen Y at 23 percent. This is actually a good sign for those who believe young people today aren’t so interested in cars.

Analysts think the reason why Millennials were late bloomers to buying new cars was mainly due to economic factors brought on by the recession. Gen Y now appears to be recovering and "their ability and desire to acquire new vehicles is increasing."

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