Gen Z turns to social media for car buying advice

China's post-1995 generation is emerging as a powerful force in the country's auto market, and they're turning to social media—not dealerships—for guidance on what to buy, according to a J.D. Power report released on Tuesday.

The report finds that platforms like Douyin and Xiaohongshu now dominate the Gen Z purchase journey, replacing word-of-mouth recommendations and official brand channels with influencer content and short videos.

Gen Z is the least likely age group to engage with corporate websites or traditional advertising, the study found, and far more likely to trust peer reviews and user-generated posts.

This generational shift is forcing automakers to rethink not just how they sell cars, but also what they build.

Gen Z buyers now account for 26 percent of all new energy vehicle customers in China, helping push NEV penetration past the 50 percent mark.

While they typically spend less than the market average, their preferences are increasingly driving product and marketing decisions.

"Gen Z is highly cost-conscious but not cost-driven," the report said, adding that they want vehicles that reflect their identity and values.

The findings show that design appeal, driving dynamics and cutting-edge features rank as the top purchase drivers.

But those same attributes are also the main reasons for "defection", or when buyers walk away before completing a purchase.

Complaints often center on vague steering, excessive cabin noise, or underwhelming braking—issues that highlight Gen Z's sensitivity to performance fundamentals.

Gen Z buyers are especially sensitive to details like roofline contours, panoramic sunroofs and wheel designs—features that create visual impact and help communicate individuality.

Transparency and efficiency in the buying process are also make-or-break factors, said the report.

Delayed responses or undisclosed fees erode trust, with satisfaction dropping sharply in such cases. That puts pressure on legacy dealerships to overhaul how they handle digital inquiries and customer service.