Dodge Magnum Scores Highest with Millennials on Used Car Market, Says Edmunds.com
SANTA MONICA, Calif. — September 9, 2015 — Dodge Magnum has a higher rate of Millennial buyers than any other vehicle on the used car market, according to a new analysis released today by car shopping destination Edmunds.com. The analysis further found that there is an array of unlikely, out-of-production models - like the Magnum, Chrysler Pacifica and Pontiac Aztek - that are finding new life on the pre-owned market with a younger crowd of buyers.
According to Edmunds' findings, 27.6 percent of all used Magnums sold in the U.S. were bought by Millennial shoppers (age 18-34) in the first six months of 2015, outpacing any other vehicle on the used car market, and far exceeding the overall used car industry average of 16.8 percent. The vehicle's pull with young buyers is not just isolated to this year: based on Edmunds' research, the Magnum is poised to claim the top Millennial share for the third year in a row. Chrysler Pacifica is next on the list, with 27.3 percent of all used sales this year registered to Millennials.
Top 10 Used Cars, by Share of Sales to Millennials
|Rank||Used Car Model||Share of Model's Sales to Millennials|
Source: Edmunds.com Analysis of Polk Registration Data
* — vehicle no longer in production
Both Magnum and Pacifica have a distinct characteristic in common, aside from being larger crossover vehicles: they are no longer in production. In fact, Edmunds found that six of the ten used models with the highest rates of Millennial buyers are no longer produced by automakers. But while these vehicles no longer roll off assembly lines, Edmunds analysts say that they offer young used car buyers almost unparalleled value.
"Millennials are more practical used car shoppers than we might otherwise credit them," said Edmunds.com Analyst Jeremy Acevedo. "They may not go into the shopping process targeting these lesser-known vehicles, but when they see how their price tags stack up against other, better-known vehicles, they suddenly become a lot more attractive. When it comes to used cars, value and utility appear to trump just about anything else for many Millennial buyers."
Other insights and storylines revealed by Edmunds' research into Millennial used car shopping habits include:
Millennial Parents Turn to Used — Edmunds' research found that the largest penetration of Millennial buyers can be found in the used passenger van segment (including minivans), where the demographic made up about 20 percent of all purchases this year. By comparison, Millennials made up 17.3 percent of all used sedan purchases and 15.8 percent of all used coupe purchases. The used minivans with the largest shares of Millennial buyers this year are Volkswagen Routan (24.6 percent), Nissan Quest (23.9 percent), and Honda Odyssey (23.6 percent).
Rise of the Aztek — Once regarded by Edmunds as one of the ugliest car of all time, the Pontiac Aztek has enjoyed a renaissance of sorts with Millennials in the secondhand market. In 2010, the Aztek had the highest rate of Millennial used car buyers, with exactly one-third of all used Aztek sales falling into the hands of shoppers age 18-34. The vehicle has since maintained a top-ten Millennial share in four of the last five years. Edmunds suspects that the "Breaking Bad Effect" has at least some hand in the vehicle's sustained popularity with young buyers.
Geographic Influences — Millennial used car preferences vary from state to state, and even city to city, according to used car registration data from January to June. The Magnum, for example, claims the highest Millennial share in Midwest cities like Detroit (43.5 percent) and Chicago (28.8 percent), while Millennials make up the largest share of used Saturn Outlook sales in Dallas (37 percent) and Atlanta (36.9 percent). The Pontiac Torrent, meanwhile, boasts the highest Millennial share in Houston (34 percent) and Phoenix (33.3 percent).
Edmunds.com's research into Millennial used car buying habits was based on used car registration data provided by Polk. Data for 2015 includes all used car registrations recorded through the first six months of the year. Data from 2010 to 2014 is based on registrations recorded over the course of each full year. The universe of vehicles evaluated by Edmunds includes used cars and trucks that are ten years old or younger.
More insights and analysis into car shopping trends and behaviors can be found in Edmunds' Industry Center at http://www.edmunds.com/industry-center/.
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