Millennials hold the key to vehicle gift giving

They might not always appear on the driveway wrapped in a giant bow, but gifted cars — either to a loved one or one’s self — are a big deal.

And millennials, it turns out, are the demographic most likely to be doing the gifting.

According to eBay Motors’ just-released Holiday Automotive Gifting Survey, millennials were more likely than baby boomers or Gen X-ers to be planning to give a car as a Christmas gift this year. Millennials also were the most likely to self-gift; of those who reported having gifted a vehicle in the last year, 58 percent said the car they had purchased was for themselves.

It was a finding that surprised Jay Hanson, who is vice president of North America, hard goods at eBay Motors.

“You would think that Gen-Xers or baby boomers might have more relational opportunity to gift somebody a car,” he told Auto Remarketing, “but it was the millennials who were proving to be the most generous.

“It makes me think I need to up my game with my Christmas list,” quipped Hanson, himself a member of Generation X.

General results

Thirty percent of survey respondents said they had purchased a vehicle as a gift for themselves (47 percent) or someone else (53 percent) in celebration, or in recognition of, a major life milestone or for the holidays within the last year.

And 31 percent said they had received a vehicle as a gift.

Among those who had purchased a vehicle as a gift, college graduations and 16th birthdays tied for the most common occasions, followed by high school graduations. Celebrating Christmas tied with “other” celebrations as the third-most common reason.

Nearly half of all respondents paid for the gifted vehicle through financing, and the majority purchased at a dealership. And a majority of respondents purchased a vehicle as a gift bought new as opposed to used (56 percent versus 44 percent). That being said, millennials were the most likely to gift a used vehicle.

Happy holidays

Eight percent of respondents said they planned to surprise someone with a car for Christmas this year, with millennials — one in 10 — leading the pack.

When asked what vehicle they are considering, Ford was the most popular across all three generations, especially among millennials. The Ford Focus ranked as the second-most-considered vehicle model among all respondents. By vehicle models, Toyota Camry received the highest popularity, followed by Ford Focus, Honda Civic and Nissan Rogue.

The most favorite automaker differed across the generations: Ford is the most considered brand among millennials, while Nissan and Toyota are the most considered brands for Gen-Xers and Baby Boomers, respectively.

Fun facts

The survey turned up some quirky data, too.

“I was fascinated by the pop culture data that we got out of it,” Hanson said, “such as the holiday songs people most wanted to hear in their vehicles, starting with Mariah Carey’s ‘All I Want for Christmas is You.’ And I’m happy to see that my own favorite came in at No. 2: ‘Have Yourself a Merry Little Christmas.’ So that was interesting to see.”

When it comes to pop culture vehicles that folks want for Christmas, the Aston Martin Vanquish from “James Bond: Die Another Day” was the most wanted among all respondents.

As for the most-coveted fantasy vehicle, that distinction goes to the Batmobile.

Parts and accessories also make popular Christmas gifts, with 43 percent of respondents saying they’ve purchased them for themselves or someone else.

As for stocking stuffers, gas cards were the resounding winner with three quarters (75 percent) of all respondents indicating they wanted to receive one.

And about that giant bow? Seventeen percent of respondents who purchased a vehicle for someone else did indeed spring for the classic giftwrap.

Surprise!

When it comes to surprising a loved one with a car, respondents shared their stories, including:

• “Told her I needed her to help me pick up a car for a friend and after she drove it a while I asked if she likes it. When she said she loved it I told her it was for her.” – A male baby boomer who purchased a blue Hyundai Veloster 2014 for his child for college graduation
   
• “Told him to come look at my new truck, as we were looking at it is told him I was kidding that it was really his and happy birthday and gave him the keys.” – A male Gen-Xer who purchased a blue Chevy Silverado 1990 for his little brother as his 16th birthday gift.
   
• “Had her close her eyes as we walked outside. Pressed panic button on remote and asked her to open eyes” – A male Gen-Xer who purchased a red Mercedes C240 2009 for his wife as a Christmas gift.

Others shared anecdotes of receiving a surprise vehicle:

• “My husband called me and told me I had to pick him up because his car was being serviced.  When I got there someone from the dealership told me to come in because my husbanded needed help.  When I went in he was standing next to a car with a ribbon on it.” – A female Baby Boomer who received a vehicle as a Christmas gift
   
• “I asked for a car during my senior year of high school but never got one. Then after I graduated I was at work and when I was getting ready to go home I got picked up in my new car by my mom and a couple of my friends.” – A male millennial who received a vehicle as a high school graduation gift
   
• “He sat in our neighbor’s garage then on Christmas morning he asked me to come have a cup of coffee with him outside and there it was a brand's Mazda rx8 or 9 I can't remember…it had a big red bow on it!!” – A female Gen-Xer who received a vehicle as a Christmas gift.

No regrets

Buyer’s remorse does not appear to be a big factor in vehicle gifting, with only 4 percent of givers reporting they regretted their decision. Vehicle defects and too-high monthly payments led the reasons.

One respondent who has purchased a Plymouth Voyager for his wife for Christmas told him she was upset that she wasn’t with him when she bought it — that she had no say.

When it comes to vehicle gifting, one should treat it like any other gift: “You do want to make sure that it’s something that connects with them directly and that they’ll appreciate,” Hanson said.