SOUTHFIELD, Mich.--(BUSINESS WIRE)--IHS Markit (NYSE: INFO) today announced the results of its annual Automotive Loyalty Awards program, which recognizes OEMs and brands for their leadership in customer retention. General Motors Corporation retained its position as the leader in automotive manufacturer loyalty. The awards, now in their 24th year, are given annually and are the industry’s only fact-based awards of their kind.
IHS Markit named winners across 15 categories, including General Motors for the top award, Overall Loyalty to Manufacturer, with a loyalty rate of 68.9 percent, and Ford brand for Overall Loyalty to Make, with a loyalty rate of 62.3 percent.
Automotive manufacturers and brands were recognized for superior customer retention and conquest efforts during the 2019 calendar year. IHS Markit analysis found that, in 2019, with approximately 17.5 million new vehicle registrations during the calendar year, 54.6 percent of customers returned to market to purchase or lease another new vehicle from the same make they already owned.
“We’re proud to honor the achievements of the OEMs, brands and dealer networks as they succeed in winning back customers,” said Joe LaFeir, senior vice president and general manager, automotive, at IHS Markit. “This competitive environment requires strategic efforts and great products, and it’s clear these initiatives have been a key focus for this year’s winners.”
2019 marks the seventh consecutive year of an industry loyalty rate over 50 percent. This is the result of the overall efforts that brands across that industry have invested in owner retention strategies.
Whether or not increased loyalty rates can be maintained in this current environment is yet to be seen and may pose a challenge to the industry. An analysis of loyalty rates during and following the recession that occurred in 2008-2009 revealed a significant drop in the brand loyalty rate in the quarter immediately following the recession (-4.1 percentage points). As such, brands will need to prioritize owner retention strategies and messaging as quickly as possible to prevent a recurrence of the trend as we head into the recovery phase that will follow once the COVID-19 situation begins to resolve.
Brand and Model Level Winners Honored for Segment and Ethnic Loyalty
Ford achieved the highest loyalty rate of all makes during 2019, winning the Overall Loyalty to Make award for the 2019 calendar year.
IHS Markit recognized Toyota for highest Ethnic Loyalty to Make among all ethnic groups combined, as it led in loyalty among all three ethnic groups – African American, Hispanic and Asian.
Lincoln topped the Overall Loyalty to Dealer category, as more Lincoln owners returned to a Lincoln dealer for another Lincoln than any other brand during the 2019 calendar year.
Tesla was recognized for Highest Conquest Percentage during the 2019 calendar year.
IHS Markit also recognized 10 segment winners for their efforts to bring customers back for another vehicle of the same make and model in the 2019 calendar year.
A complete list of 2019 calendar year award winners follows:
OVERALL LOYALTY AWARDS |
WINNER |
|
Overall Loyalty to Manufacturer |
General Motors |
|
Overall Loyalty to Make |
Ford |
|
Ethnic Market Loyalty to Make |
Toyota |
|
Overall Loyalty to Dealer |
Lincoln |
|
Highest Conquest Percentage |
Tesla |
|
|
|
|
SEGMENT MODEL LOYALTY AWARDS |
WINNER |
|
Car |
Honda Civic |
|
CUV |
Chevrolet Equinox |
|
Luxury Car |
Lexus ES |
|
Luxury CUV |
Lexus RX |
|
Luxury Sport Car |
Porsche 911 |
|
Luxury SUV |
Land Rover Range Rover |
|
Pickup |
Ram 1500, 2500, 3500 |
|
Sport Car |
Ford Mustang |
|
SUV |
Jeep Grand Cherokee |
|
Van |
Chrysler Pacifica |
IHS Markit Methodology
Loyalty is determined when a household that owns a new vehicle returns to market and purchases or leases another new vehicle of the same make, model or manufacturer. This year’s awards are based on an analysis of nearly 17.5 million new vehicle registrations during the 2019 calendar year.
IHS Markit analyzes loyalty throughout the year and regularly works with its customers to effectively manage owner loyalty and conquest efforts through in-depth research and analysis of automotive shopping behaviors, related market influencers and conquest and retention strategies.
About IHS Markit (www.ihsmarkit.com)
IHS Markit (NYSE: INFO) is a world leader in critical information, analytics and solutions for the major industries and markets that drive economies worldwide. The company delivers next-generation information, analytics and solutions to customers in business, finance and government, improving their operational efficiency and providing deep insights that lead to well-informed, confident decisions. IHS Markit has more than 50,000 business and government customers, including 80 percent of the Fortune Global 500 and the world’s leading financial institutions. Headquartered in London, IHS Markit is committed to sustainable, profitable growth.
Automotive offerings and expertise at IHS Markit span every major market and the entire automotive value chain—from product planning to marketing, sales and the aftermarket. For additional information, please visit www.ihsmarkit.com/automotive or email automotive@ihsmarkit.com.
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