In Car Buying, Baby Boomers Surpass the Young

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Aug. 29 (Bloomberg) -- The 55- to 64-year-old age group, the oldest of the boomers, has become the cohort most likely to buy a new car, according to a recent study by the University of Michigan’s Transportation Research Institute. Keith Naughton and Jason Harper report on Bloomberg Television's "Taking Stock." (Source: Bloomberg)

Keith joins us from detroit and jason is right next to me here in new york.

What kind of baby boomer are we talking about here?

We are talking about the oldest of the baby boomers, 55- 64-year-old are the group most likely to buy a car.

Four years earlier it was a much younger group in their 30's and early 40's. that sounds like an interesting trend.

Everybody has been creating cars to hit generation y, the millennial's. are they wrong in doing that echo carmakers are spending billions targeting the children of boomers.

In the recession, they lost money, so they are continuing their working years longer and buying cars longer.

Boomers just define themselves by the cars they drive.

They are far more passionate about cars than the younger group.

I have an old truck.

There are a lot of cool and expensive cars.

That is interesting that the baby boomers are out there doing a lot of buying.

They have the old cars that they coveted that now they are able to buy as well.

They can buy the mustang shelby that they always wanted.

The cars are not necessarily inexpensive.

Absolutely not.

These are cars people have been coveting for their entire life.

What are automakers doing to deal with this trend?

Toyota, honda, ford, what are they doing?

Instead of just developing all these gen y cars, they are now developing cars directed at boomers.

Ford redesigned its escape suv and made it more car like, a little softer.

That is really a boomer magnet.

They are now developing cars for this aging demographic.

I think it is a little overblown, this idea that kids don't like cars.

I know a lot of kids who love cars.

I get e-mails from kids, i meet them on the street.

Kids are more into consumer electronics then 30 years ago, but they still like cars.

I think the idea that they don't like cars is overblown.

I think they want to see more consumer electronics in our cars.

That is an interesting point.

10 years from now be automakers might be caught in a funny position because they have been targeting the older crowd rather than the future consumer.

I think what drives our perception is the fact that young people are not getting drivers licenses at the rate they used to.

76% of 18-20 five-year-olds have their drivers license, while in 19 93 it was 25%. they seem more passionate about their favorite mobile device, it tends to be an iphone more than a car these days.

Automakers want to capture people early.

If you always wanted a mercedes, you will end up buying wine in your 40's or 50's. -- end of buying one.

Teams covet cool cars.

Are we going to see the automakers shifting gears dramatically?

I would not say dramatically.

The old detroit axiom that you can sell an old man a young man's car but not the other way around still holes.

-- still holds.

What are you going to be driving and you are older?

I think the camaro, you think of and 18-year-old driving a camaro sports car.

Keith, what will you be driving 10 years from now?

I would like to drive that camaro that jason is talking about.

That sounds pretty cool to me.

I hope to still be driving

This text has been automatically generated. It may not be 100% accurate.

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