Survey: 42 Percent of 18-44 Drivers Are Streaming

With nearly 2.7 billion smartphones in the hands of global consumers today, and more than 5.5 billion projected by 2018, it’s no surprise that consumers are increasingly more aware of and opportunistic about them integrating seamlessly in their vehicles, according to recent research from IHS Automotive, a global provider of critical information and insight to the automotive industry.

A new report, Apps in the Car 2015, includes highlights from a recent consumer study conducted by IHS Automotive. More than 4,000 vehicle owners intent on purchasing a new vehicle within the next 36 months were surveyed, representing four key automotive markets – the U.S., China, Germany and the United Kingdom.

Click to Enlarge

Broadcast radio remains the biggest source of music for drivers — it has with a 30 point lead on satellite radio, according to IHS Automotive. IHS says FM/AM remains the No. 1 way people listen to music with 74% of people indicating that they listen to broadcast radio while driving, versus 64% for CDs and 44% for satellite radio.

Colin Bird

Among 25 to 34 year olds, two-thirds selected FM/AM as one of their top music sources in the car. And among 18 to 24 year olds it fell to half. Digital radio is big factor as IHS says 42% of drivers aged 18 to 44 say they listen to streaming radio when they’re driving. In a nod toward a generational shift, that figure is half as big among 45 to 54 year olds. “Millennials are much more likely to own a smartphone and that influences their audio listening habits and what their desires are,” IHS Automotive senior analyst Colin Bird told InsideRadio. IHS data shows among people who don’t own a smartphone, 87% pick FM/AM as a top in-car music source. Among those that do have one, it falls to 71%.

Nearly 45 percent of respondents agree that they would use in-vehicle apps if they helped enhance the driving experience, with 35 percent of them reporting they’d be most willing to use them if they were similar to those on their smartphone.  The top five categories that consumers identified as a favorite for use in their vehicles are, in order: navigation (53 percent), weather (40 percent), music (38 percent), news (33 percent) and social networking (29 percent).

Least likely to be mentioned as favorites for use in the vehicle include apps for points of interest/local, books, health and fitness, business/productivity, education and podcasts, with less than 15 percent use rates among respondents.