{"id":531959,"date":"2021-08-27T08:10:01","date_gmt":"2021-08-27T12:10:01","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/brand-loyalty-among-us-auto-consumers-drops-to-six-year-low-according-to-ihs-markit\/"},"modified":"2021-08-27T08:10:01","modified_gmt":"2021-08-27T12:10:01","slug":"brand-loyalty-among-us-auto-consumers-drops-to-six-year-low-according-to-ihs-markit","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/brand-loyalty-among-us-auto-consumers-drops-to-six-year-low-according-to-ihs-markit\/","title":{"rendered":"Brand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit"},"content":{"rendered":"

<\/p>\n

Brand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit<\/b><\/p>\n

SOUTHFIELD, Mich–(BUSINESS WIRE<\/a>)–
\nBrand loyalty among U.S. consumers for new vehicles dropped to a six-year low in June, according to new analysis from IHS Markit (NYSE: INFO). Analysis of new vehicle registration data through June indicates that the overall brand loyalty rate of 51 percent in the U.S. market is the lowest since August 2015. This decline in loyalty is inevitably due, at least in part, to the major declines in dealer inventory stemming from the global microchip shortage.\n<\/p>\n

\nYear over year, IHS Markit new vehicle registration data indicates that brand loyalty in the U.S. fell by 1.7 percentage points (PP) to 51 percent in June (vs. June 2020). This follows a 2.5 PP drop year-over-year in May and a 2.8 PP decline in April. The aggregated three-month brand loyalty in 2021 was 51.6 percent, down from 54 percent a year ago and 54.1 percent two years ago.\n<\/p>\n

\nWhile consumers are changing brands, body style loyalty remains strong, increasing slightly — national overall body style loyalty rose 1.1 percentage points in June (year-over-year) to 55.5 percent.\n<\/p>\n

\nThe three dominant body styles, including sedan, pickup, and sport utility, all experienced loyalty improvements, with sedan up 2.4 percentage points, pickup up half a percentage point, and SUVs up 0.3 percentage points. These three body styles accounted for 90 percent of all new vehicle retail transactions in the first six months of the year.\n<\/p>\n

\n\u201cHouseholds with a pickup in the garage like the concept of a pickup, and therefore will acquire another one,\u201d said Tom Libby, associate director of loyalty and industry analysis at IHS Markit, \u201cBut their likelihood of staying loyal to the brand of their pickup has diminished.\u201d\n<\/p>\n

\nThe propensity of a household with a pickup in the garage to acquire another pickup has risen slightly to 50.8 percent, but the household\u2019s loyalty to the brand of the pickup in the garage has dropped 3 PP to 53.3 percent in the past year. Again, it is likely inventory is playing a role, as the industry has encountered recent lows not experienced in quite some time.\n<\/p>\n

\nThese shifts indicate that there are both risks and opportunities for OEMs and their marketing teams in today\u2019s new vehicle marketplace. \u201cObviously a major risk is that due to lack of inventory, a brand\u2019s existing owners now are more likely to defect to another brand than they have been in quite a while,\u201d said Libby. \u201cOne approach to minimizing defections would be to offer lease extensions to existing lessees. Regarding opportunities, brands can conquest competitors through enticing marketing messages focused on a brand\u2019s or model\u2019s differential advantages.\u201d\n<\/p>\n

IHS Markit Loyalty Methodology<\/b><\/p>\n

\nLoyalty 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. The newly acquired vehicle is either a replacement or an addition to the household fleet.\n<\/p>\n

\nIHS Markit has been tracking automotive loyalty for more than 25 years and is relied upon by major automakers and their marketing partners 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.\n<\/p>\n

About IHS Markit<\/span><\/b>(www.ihsmarkit.com<\/a>)\n<\/p>\n

\nIHS 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\u2019s leading financial institutions. Headquartered in London, IHS Markit is committed to sustainable, profitable growth.\n<\/p>\n

\nAutomotive offerings and expertise at IHS Markit span every major market and the entire automotive value chain\u2014from product planning to marketing, sales and the aftermarket. For additional information, please visit www.ihsmarkit.com\/automotive<\/a> or email automotive@ihsmarkit.com<\/a>.\n<\/p>\n

IHS Markit is a registered trademark of IHS Markit Ltd. and\/or its affiliates. All other company and product names may be trademarks of their respective owners \u00a9 2021 IHS Markit Ltd. All rights reserved.<\/i><\/p>\n

\"\"<\/p>\n

View source version on businesswire.com: <\/span>https:\/\/www.businesswire.com\/news\/home\/20210827005211\/en\/<\/a><\/span><\/p>\n

News Media Contact: <\/strong><\/p>\n

\nMichelle Culver
\n
IHS Markit
\n
+1 248 728 7496
\n
michelle.culver@ihsmarkit.com<\/a><\/p>\n

\nPress Team
\n
IHS Markit
\n
press@ihsmarkit.com <\/a><\/p>\n

KEYWORDS:<\/b> United States North America Michigan<\/p>\n

INDUSTRY KEYWORDS:<\/b> Other Consumer Automotive Consumer General Automotive Other Automotive Performance & Special Interest<\/p>\n

MEDIA:<\/b><\/p>\n\n\n\n\n
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\"Logo\"<\/td>\n<\/tr>\n
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Brand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit SOUTHFIELD, Mich–(BUSINESS WIRE)– Brand loyalty among U.S. consumers for new vehicles dropped to a six-year low in June, according to new analysis from IHS Markit (NYSE: INFO). Analysis of new vehicle registration data through June indicates that the overall brand loyalty rate of 51 percent in the U.S. market is the lowest since August 2015. This decline in loyalty is inevitably due, at least in part, to the major declines in dealer inventory stemming from the global microchip shortage. Year over year, IHS Markit new vehicle registration data indicates that brand loyalty in the U.S. fell by 1.7 percentage points (PP) to 51 percent in June … <\/p>\n

Continue reading “Brand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit”<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-531959","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"\nBrand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/brand-loyalty-among-us-auto-consumers-drops-to-six-year-low-according-to-ihs-markit\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Brand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"Brand Loyalty Among US Auto Consumers Drops to Six-Year Low, According to IHS Markit SOUTHFIELD, Mich–(BUSINESS WIRE)– Brand loyalty among U.S. consumers for new vehicles dropped to a six-year low in June, according to new analysis from IHS Markit (NYSE: INFO). Analysis of new vehicle registration data through June indicates that the overall brand loyalty rate of 51 percent in the U.S. market is the lowest since August 2015. This decline in loyalty is inevitably due, at least in part, to the major declines in dealer inventory stemming from the global microchip shortage. 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