We’ve recently seen data proving that owning a vehicle is just not on the top of young people’s wish lists. Besides cyberspace placing them exactly where they need to be without driving and environmental concerns, the mere financial strain steers them away from wanting to make the purchase.
In London, Peugeot is including drivers 21 and up into its Just Add Fuel incentive program. Just Add Fuel allows drivers to purchase a brand new Peugeot by covering all the major motoring costs in one single fixed monthly payment. Previously only available to those drivers aged 25 and above, Peugeot has extended the age range so that anyone over the age of 21 can now take advantage of the program.
According to the Federal Highway Administration, in 2008, 46.3% of potential drivers 19 years old and younger had drivers’ licenses, compared with 64.4% in 1998. And according to research firm Gartner, 46% of drivers aged 18 to 24 said they would choose internet access over owning a car.
Additionally, the latest TGI intel indicates that young driver car ownership dropped 12 per cent between 2010 and 2011 and with a break in the increasing cost of motoring seeming unlikely, this figure is set to drop even further, according to an article on AutoChannel.com.
The all-inclusive package through Peugeot provides comprehensive motor insurance, road tax, vehicle servicing, roadside assistance and warranty all in a three-year finance package with one single monthly payment.
Monthly payments are determined by three factors: the vehicle chosen, the postcode of where the owner lives and the age of the youngest named driver.
In a somewhat similar attempt to attract youth to dealerships, General Motors announced in March its plans to team up with MTVScratch to help market to the younger population, reinventing some vehicles to appeal to the generation who seems to care less about vehicle ownership.
Between Peugeot and GM, what other manufacturers are putting this concern on their radar? And what's down the pike as far as incentives for Millennials go?