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US: five car brands that have low brand loyalty

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US: five car brands that have low brand loyalty

Just a few years after the latest economic crisis, the US auto industry looks brighter than ever – with sales of new cars rising each and every month. But competition on the market is stiffer than ever.

So, the numerous brands battle for the consumer’s rising interest, but the sheer number of opportunities – as well as the fact that every carmaker touts many attributes, not just one (eg. reliability) like in the past, has managed to deeply erode loyalty. The sentiment is especially absent when it comes to younger buyers, who tend to skimp from brand to brand in search of the better purchase.

As opposed to some who searched to see the brands with the best position when it comes to loyalty, USA Today took data from Kelley Blue Book and found out who fares the worst in the department.

5. Scion: 25.79% second-time buyers – there are numerous issues with this Japanese offspring of Toyota. The automaker is very new, and after the initial “wow” factor, the company hasn’t brought to customers’ attention anything new, except for the FR-S.

4. Jaguar: 25.45% second-time buyers – a British automaker that has great vehicle quality and long-term reliability. The problem is the luxury manufacturer commands a premium over its main rivals – and with the likes of Audi, BMW and Mercedes-Benz there’s no room for error.

3. Dodge: 22.88% second-time buyers – the US brand fairs well today in terms of sales, especially with image boosting introductions like the Charger and Challenger 707-hp Hellcats. But the brands definitely lacks a lot in terms of both initial quality and longer-term dependability.

2. Chrysler: 22.72% second-time buyers – Chrysler Group LLC should do some staff meetings once they see these figures. It has even fewer repeat buyers than sister brand Dodge. The sales are strong, but the model line-up is definitely not, with some models too close to the other brands.

1. Mitsubishi: 21.77% second-time buyers – there’s no single explanation here, but they all add to the wider picture. Sales are low, model line-up is small, dealer network is scarce and the quality doesn’t live up to its Japanese heritage. What more can we say?

by Aurel Niculescu (my Google+) - Wednesday, August 20th, 2014 - filed under Industry, News. Image credit: .
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