Jeep Nameplate Has Average Retention Rate
Date 2006/12/7 8:07:24 | Topic: Sales
|The annual J.D. Power and Associates 2006 Customer Retention Study was recently released and the Jeep nameplate finished in the middle of the pack with a 40.5% retention rate. This means that 40.5% of Jeep owners who purchased a new vehicle bought a new Jeep.|
The list was topped by Toyota, Lexus, and Honda - each with a retention rate of over 60%. The bottom of the list had Pontiac, Mazda, and Isuzu. The Pontiac and Mazda retention rates were just under 30% while the Isuzu retention rate was less than 5%.
Here's a quick quote from the press release:
Now in its fourth year, the study measures the percentage of new-vehicle buyers and lessees who replace a previously purchased new vehicle with another from the same nameplate. As a whole, the industry registers a slight decline in customer retention, falling to 47.9 percent, from 49.6 percent in 2005.
The study finds that of more than one-half of the brands included in the rankings have shown some decline in retention rates since the study's inception in 2003.
"Declining customer loyalty results from considerable improvements in quality combined with a plethora of choices for consumers," said Neal Oddes, director of product research and analysis at J.D. Power and Associates. "In some instances, new models, such as those in the rapidly growing crossover segment, can have a significant impact on customer retention for a brand."