Among 33 auto brands sold in the US, Hyundai has the highest customer loyalty–which JP Power calls “retention rate”
One in three new-vehicle owners who switched brands say their previous brand didn’t make the type of vehicle they wanted, indicating that striking the right combination of model offerings and vehicle appeal is critical to retaining customers, according to the J.D. Power and Associates 2012 Customer Retention Study released today. Now in its ninth year, the study measures the rate at which automotive brands retain their existing customers and examines the reasons why customers remain loyal. Customer retention is critical to a brand’s market success, particularly during the current period of market recovery, in which each new-vehicle sale is vital. In addition to customer retention, the study also measures the rate at which each automotive brand captures customers from its competitors, known as conquesting.
The average retention rate across all brands was 49%.
Hyundai, which has enjoyed remarkably large sales growth in the last three year, had a retention rate of 60% .Ford’s (NYSE: F) was 60% as was Honda’s (NYSE: HMC)
At the bottom of the list was defunct car brand Saab with a 7% retention rate followed by Suzuki, and Dodge
Measurement method data: The 2012 Customer Retention Study is based on responses from 117,001 new-vehicle buyers and lessees, of which 73,733 replaced a vehicle that was previously acquired new. The study was fielded between February and May 2011 and August and September 2011.
Top Gaining Stocks
Top Losing Stocks