Gen Z, the first true digital natives, are rewriting the rules of urban mobility. Unlike previous generations for whom car ownership was a rite of passage and a status symbol, Gen Z approaches transportation with a pragmatic, digital-first, and environmentally conscious mindset. Their preferences are not only influencing the types of mobility services that thrive in cities but are also compelling automakers, city planners, and mobility providers to rethink their strategies for the future.
For Gen Z, the car is no longer the default means of getting from A to B. Instead, it is just one option among many. This shift is driven by several factors:
The result is a marked decline in car-as-status-symbol thinking. In the UK, for example, the number of young adults with driver’s licenses has dropped by 40% since the 1990s. Instead, Gen Z is fueling the rise of usership—favoring access over ownership, and flexibility over permanence.
Gen Z’s digital fluency and demand for seamless experiences are accelerating the development of integrated mobility platforms. These platforms consolidate multiple modes of transport—public transit, ride-hailing, car sharing, e-scooters, bikes—into a single, app-based ecosystem. The appeal is clear: frictionless, on-demand access to the right mode for every journey, all managed from a smartphone.
Innovative providers are responding. For example, platforms like SIXT offer a unified experience where users can rent a car, hail a ride, or grab a scooter—all within one app. Automakers are investing in or partnering with such platforms, recognizing that the future of mobility is multimodal and service-driven. The goal is to create holistic solutions that meet Gen Z’s expectations for convenience, personalization, and sustainability.
For previous generations, owning a car was a symbol of independence and success. For Gen Z, the value proposition has shifted. Experiences, technology, and sustainability now compete for their attention and investment. Many would rather spend on travel, education, or the latest tech than on a depreciating asset like a car.
This cultural shift is reflected in the market. Automakers are seeing declining interest in traditional ownership among younger consumers, especially in urban areas. Instead, flexible models—subscriptions, car sharing, and pay-per-use services—are gaining traction. Even electric vehicles, while environmentally appealing, face barriers among Gen Z due to cost and infrastructure challenges, particularly in cities and rural areas.
To engage Gen Z, automakers and mobility providers must adapt in several key ways:
Automakers need to move beyond selling cars to orchestrating mobility ecosystems. This means integrating their offerings with public transit, micro-mobility, and third-party services, and delivering them through seamless digital platforms. The winners will be those who can provide a frictionless, personalized, and sustainable mobility experience.
Gen Z expects their mobility solutions to be as connected and intuitive as their smartphones. Features like real-time updates, predictive maintenance, usage-based insurance, and in-vehicle personalization are becoming table stakes. Automakers must invest in telematics, over-the-air updates, and data-driven services to stay relevant.
Sustainability is non-negotiable for Gen Z. Providers must demonstrate genuine commitment to reducing emissions, supporting clean energy, and enabling eco-friendly travel choices. This includes not only offering electric and low-emission vehicles but also supporting infrastructure and transparent supply chains.
While urban Gen Zers may eschew car ownership, those in rural or suburban areas still need reliable personal transport. However, even these consumers will expect digital, connected, and flexible experiences. Providers must tailor their offerings to different geographies while maintaining a consistent, high-quality digital experience.
Gen Z is open to sharing data for value—such as insurance discounts or personalized services—but demands transparency and control. Providers must prioritize data privacy, clear communication, and ethical use of customer information to build trust and loyalty.
Gen Z’s approach to mobility is a harbinger of broader societal shifts. As this cohort comes of age, their preferences will shape the future of urban transportation—driving a move from ownership to usership, from standalone vehicles to integrated ecosystems, and from status-driven consumption to experience- and sustainability-driven choices.
For automakers, city planners, and mobility providers, the message is clear: adapt to the digital, flexible, and eco-conscious expectations of Gen Z, or risk being left behind. The future of urban mobility is being written by digital natives—and it’s a future where choice, convenience, and conscience go hand in hand.