Car Advice

Hyundai tops J D Power brand loyalty survey

By Tim Beissmann |

Hyundai has topped the latest J.D. Power survey for customer retention, with almost two thirds of the South Korean brand’s US buyers heading back to the dealership for their next car.

The J.D. Power and Associates 2012 Customer Retention Study – one of the largest measures of automotive brand loyalty in the world – found that Hyundai was the clear leader with a 64 per cent retention rate. The report says the company’s customer loyalty in the US is primarily driven by the Elantra and Sonata (i45 in Australia) models.

Ford and Honda tied for second place with 60 per cent customer retention, with BMW and Kia (both 59 per cent) rounding out the top five.

Jeep was the biggest improver, jumping up 17 percentage points to 51 per cent in the 2012 study.

Unsurprisingly, the now-bankrupt Saab was the lowest ranked brand, with just seven per cent of owners heading back into the Swedish marque’s showrooms. Suzuki (20 per cent), Dodge (21 per cent), Toyota offshoot Scion (24 per cent), and Chrysler (26 per cent) all failed to attract the vast majority of owners back into one of their new vehicles.

According to the survey, one third of new-vehicle buyers switched brands because their previous car maker didn’t offer the type of vehicle they wanted. Other reasons for poor retention rates included high maintenance costs, problems with the previous vehicle, and poor resale value.

J.D. Power and Associates director of automotive product research Raffi Festekjian said car makers needed to do more than expand their model range to retain old customers and attract new ones.

“Manufacturers also need to ensure owners are satisfied with the quality, residual values and ownership costs of their vehicles.

“Hyundai’s increased retention rate is shaped by its expanding model line-up, as well as the fact that perceptions of the brand’s quality and appeal have continued to improve during the past decade,” Festekjian said.

The 2012 Customer Retention Study was based on the responses of 117,000 new-vehicle buyers and lessees.


 
  • Labrys

    Now if only we could get some of the models and equipment levels that Hyundai have in the US in Australia.

    Still congratulations on Hyundai for their continued improvement.

    • idlebrain

      I don’t think Hyundai is the only one who bring the limited model and feature to Australia.

      Australia is like the third world when it’s about buying the car. Less choice and  a lot more expensive

      Do you know BMW 1M cost about 54,000 (AUD,RRP) in South Korea?
      This is not the price in US, it’s the price in South Korea.

      I don’t know how they can justify 36,000 difference.

      • Bazza

        Because even at $99,990 (+ on roads) BMW will find somebody stupid enough to buy it. Where in SK clearly there is nobody stupid enough to pay $100,000 for it.

        The fact Oz is protectionist and bans car imports doesn’t help the situation either.

        • Prxy

          Really? I don’t think they sell Great Walls, Cherries, Ssangyongs or protons in U.S.. So I would say australia is less protectionist..

        • Prxy

          Really? I don’t think they sell Great Walls, Cherries, Ssangyongs or protons in U.S.. So I would say australia is less protectionist..

  • Mr Gaspo

    Huyndai are on a roll and deservedly so. Right now this brand would be my first choice based on value, looks and running costs.

  • filippo

    I’d love to see a similar survey in Australia. Obviously Holden would win by a long margin, probably followed by Toyota. After that is anyone’s guess.

    • Sydlocal

       Depends if they ask the Fleet Managers or not because that is where 75-80% of all Commodores and a fair chunk of Cruzes for example go to. The same could be said for a large number of Toyota sales. If they only asked private buyers, which is where these surveys usually target, it would not be a “gimme” to Holden and would be much harder to tell as well as being way closer than what you are thinking. Just because a particular company sell a lot of cars, it doesn’t always mean they are at the top of surveys like this one.

  • Des

    Watch Kia climb this list too. They are not far behind (5th) and their offerings are getting better and better.

  • Des

    Watch Kia climb this list too. They are not far behind (5th) and their offerings are getting better and better.

  • 440 R/T Charger

    Do they do the same survey on TV too? i always stick with Panasonics

  • Sydlocal

     Not wrong there. Holden have some of the best marketing around.