A recent article in The Atlantic discussed the growing concern of automakers caused by dismal sales figures within the Gen-Y demographic. Apparently, young people are shying away from the responsibility (and financial burden) of purchasing a new car. According to CNW research, ‘adults between the ages of 21 and 34 buy just 27% of all new vehicles sold in America, a far cry from the 38% in 1985.’ So what’s the deal with America’s youngest working cohort? Why don’t they want a set of brand new wheels to show off to their friends?
Tag Archives: "Gen-Y"
A rather interesting, and recent Forbes article laid out some of the issues plaguing big retailers when it comes to Gen-Y spending. Yet one of the reasons why Gen-Y is considered a “toxic target market” really caught my eye. Gen-Y has become a generation of tight spenders due to the recession and massive amounts of debt they incur before they hit 30. As stated in this study, Gen-Y carries around an average of $45,000 in debt. Yes you read that correctly: $45,000. This same study also mentions that number could reach up to $78,000 by the time Gen-Y reaches 28-29. Couple this with the 48%-50% unemployment rate for Gen-Y and you have a recipe for and economic disaster, but we knew that already didn’t we? When the collapse of 2008 occurred, some assumed it would take a few years to begin seeing the ripple effects.