10:21 am, February 11, 2014
Keeping the costs of taking to the road for the first time as low as possible is in the interests of everyone in the car industry.
That’s according to the SMMT chief executive, Mike Hawes, who has told Car Dealer in an exclusive interview that he’s as worried about teenager’s waning interest in cars as the rest of the industry.
Recently, key automotive leaders have raised concerns about youngsters – dubbed ‘Generation Z’ – and their lack of interest in cars. Those born after 1995 are deemed to be ‘Gen Z’ and forecasters have predicted their lack of interest in cars could cause serious problems for the car industry.
‘Everyone would be concerned if the younger generation isn’t as interested in cars as perhaps we were,’ Hawes told Car Dealer.
‘Certainly I had a poster of cars on the wall as I was growing up, but I’m not sure to what extent younger people of today do that. There’s still a lot interest around in cars – just look at the popularity of programmes like Top Gear – but clearly if you are a younger person the cost of driving is severe.’
Insurance for drivers just starting out can be prohibitive, sometimes costing more than four times the price of the car. Recently ‘black box’ insurance schemes, that track young drivers’ behavior, have brought premiums down – but not by much.
‘Everyone would be concerned if the younger generation isn’t as interested in cars as perhaps we were’ – Mike Hawes, SMMT
Hawes added: ‘In terms of insurance we’re working with the ABI on various ways of bringing costs down, as are car manufacturers – all of which help to lower those barriers for young people to get involved in cars.
‘I think that work will continue and anything we can do to try and encourage interest in the sector will also help because we want to attract young people into this business in the UK – it’s an exciting place to work, there’s a variety of careers and we need to make sure we’ve got a steady influx of young people coming into that too.’
Car manufacturers like Nissan are already thinking about launching cars that will appeal to ‘Gen Z’. The makers’ IDx Freeflow and IDx Nismo concepts were unveiled at last year’s Tokyo motor show and were designed to create interest in cars among young teens.
Nissan’s global product mastermind Andy Palmer said: ‘This is basically a way to look at Gen Z 14 and 15-year-olds and learn how they behave. Why aren’t they interested in cars, and what can we do to change that?’
- Mike Hawes has waded into the pre-registration debate in an exclusive interview with Car Dealer Magazine. Read the full article in the next issue, out on February 17. Car Dealer is also available for FREE on iPad – download the App here.
Read More: Are pre-registrations rife? We ask the car manufacturers
