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Brands that dont handle customer complaints well, continue to suffer

By Gary Guthrie of ConsumerAffairs
August 21, 2024

Photo

Its a baby step, but at least driver satisfaction with the automobile industry is going in the right direction. The love that customers give the industry movedonly 1%, but its now sitting pretty with a score of 80 out of a hundred.

According to the American Customer Satisfaction Index (ACSI) Automobile Study 2024, satisfaction with both the mass-market (79) and luxury (81) segments is the same from the year before, but its the smaller brands that make up the all others measure that really did a number on their peers by climbing 7% to 81.

Still, the consumers surveyed indicated that they expect more than a score of 80 from the automakers.

Despite automotive sales showing strong growth in 2023, many consumers remain cautious about making major purchases like new vehicles, says Forrest Morgeson, associate professor of Marketing at Michigan State University and director of Research emeritus at the ACSI.

Inflation poses challenges and there are real concerns over new vehicles becoming outdated quicker because of how fast technology evolves," Morgeson said. "Plus, factors like economic uncertainty and range anxiety around electric vehicles contribute to this hesitation.

Move over, Toyota

The mass-market vehicle market is highly competitive, especially at the top. With Subaru moving up 1% and Toyota down 1%, the two are now in a dead heat for first place with an ACSI score of 83.

The high marks are almost a mirror image of what those two have scored in sales over the last year or so. Subaru reported having 22 consecutive months of month-over-month sales growth through May 2023, and Toyota reported sales growth of 14.3% on a volume basis for the first half of 2024.

Where the difference comes into play is that Subaru continues to rely on its reputation for safety and dependability, as opposed to Toyota which stays focused on quality, while leaning into hybrid vehicles.

Toyota has faced some complaint handling challenges, too, as exhibited by Vanessa's, of Scott La.,review on ConsumerAffairs. I've been loyal to Toyota for over 10 years and was looking into buying another one this year but they truly just lost my business from the terrible service standards.

Continuing the countdown in the mass-market category, Honda is third, up 1% to 82, followed by Mazda (up 1% to 81), Buick (up 1% to 80), and Kia (up 4% to 80). Ford (up 3% to 79), Volkswagen (up 4% to 78), and Ram (up 4% to 77) all post strong ACSI gains as well.

Whats going on Dodge and Chrysler, though? Stellantis, which makes those brands,occupies the four lowest positions of the segment, with Dodge slipping 1% to an ACSI score of 74 and last-place Chrysler idle at 71.

If youve got the money, heres whos hot

For luxury nameplates, scores are generally strong, at 80 or higher, despite no improvement in the customer experience. Quality of mobile apps (86), driving performance (85), and reliability of mobile apps (85) are the leading factors, while interiors (82), warranties (82) and gas mileage (82) come in last.

Like the mass market category, the luxury segment also shows a two-way tie for first place between Mercedes-Benz (up 4%) and Tesla (no change) at 83.

Hybrid vehicles are especially popular among Mercedes-Benz customers. Meanwhile, Teslas pricing strategy may be getting some help from its perception of value, and its hard work on complaint handling appears to offset some customer concerns in other areas over the past year.

In third place, its last years co-leader, Lexus. That brand slips 1% to 82 and is now tied with Cadillac for second place. Then, Audi, steady at 80, followed by BMW (down 1%) and Lincoln at 79 apiece. Acura sits in last place after tumbling 3% to an ACSI score of 77.

Hybrid, gas, or electric who wins?

ACSI data based on fuel source type show hybrid drivers (82) are more content than gasoline drivers (80) and electric vehicle drivers (77).

Plus, hybrid vehicles have the highest average customer satisfaction for both the mass-market and luxury segments possibly because those owners get the best of both worlds: hybrids provide greater fuel efficiency than traditional gas-powered vehicles and also address customer concerns about travel distance with pure electric vehicles.

The surge in hybrid vehicle sales over the past year is a clear indication that consumers are seeking a balance between environmental consciousness and practical needs, saidMorgeson.

Hybrid owners are telling us they feel theyre doing something positive for the environment while still maintaining the flexibility and convenience they require. As automakers continue to invest in hybrid technology, we expect this trend to continue."



Photo Credit: Consumer Affairs News Department Images


Posted: 2024-08-21 11:22:37

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DIY Video: Plain Yard To Classic Garden #Gardening #tips #greathomeideas

Plain Yard To Classic Garden #Gardening #tips #greathomeideas
Play Video: Plain Yard To Classic Garden #Gardening #tips #greathomeideas


Plain Yard To Classic Garden #Gardening #tips #greathomeideas --- Welcome to Great Home Ideas, your destination for DIY fixes, home makeovers and amazing ways to bring your garden to life. Each week, we’ll be sharing fascinating stories, fresh projects and expert advice to help you transform your space and make your dream home a reality. Whether you’re up for a full on reno or just like to watch other people bring their visions to life, subscribe for inspiration, tips, and easy-to-follow DIY projects. ▶ Subscribe: https://bit.ly/3hxN7d5

Published: 1st May 2025 08:00:23   By: Great Home Ideas

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