64% of India's GenY, GenZ questions need to own a car, finds Deloitte survey

Around 64 percent of millennials (Generation Y and Generation Z) in India question the need to own their own vehicle, a survey by Deloitte revealed.

A similar trend was observed in GenX, with 58 percent questioning if they need to own a vehicle in future, an increase from 44 percent in the 2019 survey.

Individuals born from the early 1980s to mid-1990s are classified as Generation Y, or millennials. Those born in the mid-1990s or early 2000s are commonly called Generation Z.

The frequency of Indians using taxi apps at least once a week has lowered to 32 percent in the 2020 report from 47 percent in 2017, the report said. The 2019 report said 26 percent of Indians use taxi apps at least once a week.

57 percent of Indians who participated in the 2020 survey prefer ride-hailing over using their own vehicle, and 74 percent said they prefer ride-hailing to traditional taxis.

Finance Minister Nirmala Sitharaman had in September last year attributed the slump in auto sales to millennials' preference for taxi apps such as Ola and Uber.

Deloitte's 2020 Global Automotive Consumer Study surveyed 35,000 consumers from 20 countries. The study also asked participants about their thoughts on vehicle connectivity and autonomous vehicles.

Also read | Ola-Uber vs buying a car: Here's what works out cheaper

According to the survey, around 80 percent of Indian consumers think that increased vehicle connectivity will be beneficial, while 58 percent believe that autonomous vehicles are not safe.

Although perception about connected vehicular technologies has seen a positive shift, Indians are doubtful about the safety of autonomous vehicles and ability of automakers to get them on road. The percentage of consumers, who agree that autonomous vehicles would not be safe to use, is expected to increase by 10 percent this year, the survey said.

Commenting on the launch of the report, Rajeev Singh, Partner and Automotive leader, Deloitte India said, “While the last year hurt automotive players in short term, the rising sales of internet connected cars and growing interest around BEVs (battery electric) indicate that India's discerning millennials' tech savviness to gain value for money will keep automotive players on their toes. Our consumer survey indicates Indian consumers are open to the idea of investment for advanced vehicular technologies and this trend has improved over the years; one of the key areas for OEMs to focus on.”

69 percent of survey respondents are also worried about the security of their biometric data shared with connected vehicles. India tops the chart amongst nations who are concerned about data protection, the survey added. Only 36 percent of the respondents in Germany and 46 percent in the US felt the need to have increased vehicle connectivity in their vehicles compared to 80 in India.

 

Original Source: https://www.moneycontrol.com/news/india/64-of-indias-geny-genz-questions-need-to-own-a-car-finds-deloitte-survey-4834281.html