An Automotive Minute – Vehicle Loyalty with Tom Libby

An Automotive Minute – Vehicle Loyalty with Tom
Libby

While most industry conversations revolve around market share
and new product launches, automotive loyalty is playing a larger
role in providing insight on consumer buying behavior. IHS Markit
has been tracking industry loyalty for 25 years and in 2020 loyalty
rates remain relatively high despite the pandemic.

General Motors, a traditional leader in customer retention,
captured the highest OEM loyalty based on our analysis of 12.4
million retail registrations in 2020 – with a stellar 69 percent
loyalty rate.

At the brand level, Ford was the leader in 2020 – with 63
percent of Ford owners returning to the brand for another Ford
vehicle.

Tesla is establishing itself as the leader in loyalty among
owners looking for another EV. 55 percent of Tesla owners returned
to the brand for their next purchase in 2020.

It’s no secret that OEMs and their marketing partners are paying
closer attention to details such as loyalty metrics as the industry
continues its recovery. Marketers are making conscious efforts to
keep the customers they have, while at the same time, working to
chip away at market share from their competitors.

Posted 11 March 2021 by Tom Libby, Associate Director Loyalty Solutions and Industry Analysis, Automotive

Source: http://ihsmarkit.com/research-analysis/an-automotive-minute–vehicle-loyalty-with-tom-libby.html