In the automotive industry, car companies strive not just to sell their vehicles but also to retain the customers who purchase these vehicles. Customer retention is what would ensure longevity and sustainability for a car brand’s business. This can be measured by finding out whether a vehicle owner buys the same brand when it’s time to let go of his or her current ride.
The market research firm JD Power has just released the results of exactly this survey in the United States. The 2020 US Automotive Brand Loyalty Study is divided into two categories—Luxury and Mass Market—and this year’s leaders are Lexus and Subaru for their respective divisions.
“There are many factors that contribute to brand loyalty, ranging from the experience a customer has when purchasing the vehicle to how driving this vehicle makes them feel,” the press statement quotes Tyson Jominy, JD Power’s vice president of data and analytics, as saying. “Automakers are really focused on customer retention, as evidenced by the payment plans and incentives they’ve offered since the pandemic broke out. Many have gone above and beyond to offer customers financial assistance during a period of economic uncertainty, which does a lot to bolster consumer confidence in their chosen brand.”
The data used in this survey was collected from June 2019 to May 2020.
In the study, Lexus scored 48%, which means 48 out of 100 Lexus owners bought the same brand for their next vehicle. Subaru, meanwhile, got an impressive 60.5%.
In the Luxury category, Lexus was followed by Mercedes-Benz (47.8%) and BMW (45.1%), with Porsche (44.9%) and Audi (43.4%) completing the top five. In the Mass Market category, Subaru led Toyota (60.3%), Honda (58.7%), Ram (57.3%) and Ford (54.3%).
Below are the complete results of the survey: