Ford and Honda lead the Automotive Industry in Brand Loyalty

We here at Murphy Ford are proud to be able to say that Ford is tied for a first place in . According to the 2010 Customer Retention Study conducted and released by J.D. Power and Associates, 62% of Ford and Honda customers are repeat customers. Both companies have higher retention rates compared to the top performer last year, Mercedes-Benz (48%).

J.D. Power and Associates state in their press release that for Ford, the vehicles responsible for their top retention rates are the Edge, Fusion and F-Series models. The press release also revealed that customers perceive Ford cars as being stylish and fun.

These are important factors, but the employees of Ford and Honda dealerships cannot be discredited. The sales professionals at the dealership are a major contributor as to why customers are brand loyal. According to Sales and Management Training Specialist Joe Verde, 71% of customers stated that the reason they bought their vehicle is because they liked their salesperson. I can not speak for all Ford sales professionals, but I know that at our dealership, our staff does a great job of educating their customers. And being that Ford’s retention rates are the highest, Ford employees collectively must be creating positive brand awareness and promotion.

It is also interesting to note that J.D. Power has found that the industry average retention rate is 48% and Joe Verde states that over 50% of customers “are product loyal and will buy the same product again”.

Below is a chart with J.D. Power and Associates’ findings.