Gen Z Leads Shift To AI Agent-Powered Car Buying And Maintenance, Prefer Subscription, Personalisation

With Gen Z, the first generation of digital natives, purchasing and renting cars for the first time, expectations for personalised, digital-first technologies, as well as worries about costs and current leasing and purchasing processes, are set to upend the industry.

Gen Z is leading a shift towards AI agent-powered car buying and maintenance, according to recent Salesforce research, with 74% stating they’d like AI agents to tell them the best time to buy based on price fluctuations, deals, or incentives.

Automotive CIOs and leaders must understand and respond to these generational trends to create effective consumer engagement and product development strategies. 

According to research, Gen Z is more likely than older generations to use AI to research cars and find the best deals. Around 79% of Gen Z users want AI agents to find and recommend the best car for their needs, compared to 58% of baby boomers.

Compared to 53% of baby boomers, 68% of Gen Z users and 71% of millennials want AI agents to recommend the best vehicle financing solutions.

Younger generations also welcome AI-powered maintenance solutions, such as predictive diagnostics and automated scheduling, and 67% of Gen Z users want agents to automatically schedule service appointments for them, compared to 39% of baby boomers.

Gen Z have a desire to lean on technology first, which may be because they are having trouble locating a car that fits them and figuring out when to buy it.

Around 39% of Gen Z users say they’d delay or cancel buying a car due to difficulties choosing the right vehicle, compared to only 21% of baby boomers. Additionally, 37% of Gen Z 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% of baby boomers.

Gen Z is more trusting of AI than older generations, with ​​71% believing AI agents will make car maintenance easier, compared to 49% of baby boomers. 

Gen Z is also leading in knowledge about non-AI innovations. While only 39% of baby boomers are familiar with the term “connected car,” 69% of Gen Z are aware of it. Younger generations are also increasingly interested in connected features. 

Software-defined vehicles is a term known by 71% of Gen Z, compared to 25% of baby boomers. Around 72% of Gen Z have heard of mobility, or mobility-as-a-service, compared to just 18% of baby boomers.

Gen Z users are also nearly twice as likely than baby boomers to want to use innovative payment options, such as subscription payment plans. Compared to only 21% of baby boomers, 40% of Gen Z prefer subscription pricing for advanced driver personalisations like adaptive cruise control settings based on driving habits, personalised head-up display, or customised sensitivity levels for safety features.