Hmm...Are people really trading in their cars to Uber or Lyft instead? Surprising new info:
Bottom Line: I've been highly skeptical of widespread reports of those who've mentioned that people would really rather give up the ability to drive their own cars given the opportunity. Several years ago the narrative was that the Millennial generation wasn't as interested in driving a car, owning a home or getting married. My research showed something altogether different however.
I found that people were just as likely to do all of those things as their parents at the point where they're as financial capable as their parents. The reason that Millennials were slower to do those things as they came of age was a product of the Great Recession and the slower career opportunities due to the troubled economy/labor market as they were coming of age. Over the past three years we've seen that as Millennials have successfully moved into career fields, typical family formation has taken place. That includes buying cars, homes and getting married. However - we really might be in the mist of a dynamic shift going forward.
Reuters/Ipsos has been polling on car buying and selling habits. Here were a couple of their most recent findings:
- About 25% of people bought, sold or leased a vehicle within the past year
- About 9% of those who sold a car didn't replace it
It's that second figure that caught my attention. Of the 9% many opted for ride-sharing options instead. That's the big surprise for me. What's more is that going forward they found that 10% intend on doing the same. Are times really starting to change after all? I'll be tracking this going forward.