Digitally informed, socially validated: Why the Generation Z customer journey needs to be rethought
Generation Z is transforming the automotive market. As the first generation of true digital natives, they have grown up with smartphones, social media, and digital services. Consequently, they navigate the online world with ease—even when buying a car. But anyone who believes that young buyers want exclusively digital processes and are willing to forego in-person guidance is missing the mark.
The latest DAT Report 2026 paints a more nuanced picture: Generation Z’s customer journey is shaped by digital technology, but it is by no means purely digital. It is hybrid.
Conclusion: The future of car buying is hybrid
Generation Z clearly shows where the market is headed.
Digitalization does not replace people; rather, it creates opportunities for personalized advice at the most critical moments.
For the automotive retail sector and the financial service providers operating in this environment, this means that processes must become faster, smarter, and more seamless. Those who combine digital efficiency with trust not only create better customer experiences but also significantly shorten the time-to-car.
With our digital solutions, we support financial service providers, as enablers of the automotive retail industry, in meeting precisely these expectations: seamless processes, automated decisions, and fast financing approvals for a customer journey that meets the needs of the next generation of buyers.
Are you looking not just for a software vendor, but for a partner who understands your business, thinks proactively about your processes, and truly drives digital transformation? Then we’re the right partner for you.
Sources: https://www.dat.de/news/generation-z-im-fokus-ihre-sicht-auf-auto-und-kaufprozess/
Being online is a given; trust remains crucial
The numbers speak for themselves:
- 93% of used-car buyers under 30 get their information from online sales platforms.
- 58% use search engines.
- 41% include social media, forums, or blogs in their research.
Digital information sources are thus the starting point for nearly every purchasing decision.
At the same time, however, the report also shows that personal recommendations continue to play a major role. 73% of young buyers discuss their purchase decision with family or friends—even more frequently than the average for all buyers.
The customer journey, therefore, does not end with the smartphone; it is reinforced by one’s personal circle.
Retailers are losing their role as the primary source of information
In contrast, the declining importance of traditional points of contact is striking.
Only 16% of people under 30 turn to dealers or repair shops for information. Among all buyers, this figure is nearly twice as high.
However, this does not mean that dealers are losing relevance. Their role is changing. And along with them, financing partners must adapt to new requirements—by offering a customer experience that makes buying a car (almost) as easy as placing an order on Amazon.
In the past, the sales process often began with the first visit to a dealership. Today, the first contact with the desired car usually takes place digitally. Prospective buyers expect comprehensive information, transparent offers, and the ability to conveniently start the process online right from the start. This is especially true for financing, which is often a deciding factor given the rising prices of new vehicles.
Generation Z is ready for digital shopping
Their openness to digital purchasing processes is particularly exciting.
Many young buyers can imagine handling the entire used-car purchase, from selecting a vehicle to financing and payment, entirely online; it just needs to be legally sound.
Their expectations are clear:
- Information must be available at all times.
- Decisions should be made quickly.
- Changes in communication channels are perceived as unnecessary hurdles.
This isn’t about completely replacing personal contact. Rather, customers expect to be able to decide for themselves when to use digital self-service options and when they want personal advice.
Speed is becoming a competitive factor
The more digital the customer journey, the higher the expectations for process speed.
Long processing times, having to enter the same data multiple times, or communication gaps between the dealership and its financing partner—whether a leasing company or a bank—can quickly lead to abandoned purchases.
For young buyers in particular, it is not just the vehicle itself that determines whether a purchase is made, but the entire user experience.
Those who can receive a financing decision within a few minutes and complete the purchase with virtually no wait time gain a real competitive advantage.
What does this mean for leasing companies and banks as financial service providers, and for the automotive industry?
The DAT Report makes it clear: Digital visibility alone is no longer enough.
Successful providers offer an end-to-end process that extends beyond the company’s boundaries and combines
- digital information and transaction options,
- automated and rapid credit decisions,
- seamless processes without media breaks,
- and personalized advice exactly where it adds value.
The challenge lies in intelligently linking all touchpoints along the customer journey—across channels, flexibly, and with the ability to complete transactions at any time.
Digitalization means more than just online forms
If you want to meet the expectations of Generation Z, you have to consistently think about processes from the customer’s perspective.
This includes, for example,
- digital onboarding and financing workflows,
- automated creditworthiness assessments and loan decisions,
- integrated communication between retailers and financing partners (and the customer),
- fast, real-time feedback,
- a consistent user experience across all channels—not just omni-channel, but cross-channel.
Only when information, financing, and the purchasing process are seamlessly integrated can the speed and simplicity that young customers expect today be achieved.
