Auto Nameplate Loyalty Holds in Tough Times

Automotive brand loyalty, despite market volatility and consumer affordability woes, actually improved over the past year.

A JD Power study of trade-in data from new-vehicle transactions shows a 1% gain in loyalty across brands to 50% and four of the five highest-ranking brands scored around 60%.

The market watcher credits brands that largely absorbed trade tariff and other costs rather than passing them onto buyers.

“In many ways, this was a year of avoided chaos,” said Senior Vice President of OEM Customer Success Tyson Jominy. “Many of the leading brands import top-selling models, and if tariff costs were passed through to consumers, loyalty could have suffered.”

JD Power pointed out that few brands ever hit a 60% loyalty rate, making this year’s high rankers more remarkable given today’s market conditions.

“… some segments are closing in on pickup truck loyalty levels, a sector well-known for its exceptional loyalty,” Jominy said.

Pickup leader Ford in fact posted the highest loyalty score in the study with its highest rate among truck brands for the fifth straight year at 66%.

Other brands garnering high loyalty scores are:

• Porsche in the premium car segment for the fifth consecutive year with 61% loyalty, followed by BMW at 49%
• Lexus in the premium SUV segment for the third straight year at 59%, also followed by BMW at 56%
• Toyota in mass-market cars for the fifth straight year at about 65%, trailed by Honda at about 58%
• Toyota also topping mass-market SUVs at about 64%, followed again by Honda at 63%
• Toyota following Ford in pickups at 62% loyalty