Exterior styling top reason for avoiding a model, study finds

(December 15, 2010) WESTLAKE VILLAGE, Calif.  — While reliability concerns for some brands have increased from 2009, many domestic and Korean brands — including Ford, GMC, Hyundai, Kia and Ram — have been successful in improving customer perceptions of reliability in 2010, according to the J.D. Power and Associates 2010 Avoider Study, which was released on Tuesday.

Other brands like Audi, Scion and Smart also improved notably in avoidance rates due to reliability perceptions. This marks the second consecutive year that Ford and Audi have been among the brands that have shown the most improvement in reliability perception in the industry.

The study, now in its eighth year, examines the reasons consumers fail to consider — or avoid — particular models when shopping for a new vehicle.

Exterior styling is the most frequently mentioned reason for avoiding a model, which is cited by 35 percent of new-vehicle owners. Rounding out the top five reasons for avoiding a particular model are that the model costs too much; poor perceptions of reliability; dislike of interior styling; and bad reputation of the manufacturer.

The 2010 study finds a shift in importance among the top reasons for avoiding competitive models from 2009. Having a bad prior experience or having a poor perception of a manufacturer’s reputation has increased in importance from 2009, while concerns regarding the future of certain brands have lessened.

“Perceptions about reliability are slow to change, and some brands have a negative consumer perception that is at odds with reality,” said Kerri Wise, director of automotive research at J.D. Power and Associates. “However, brands are getting the word out about their actual reliability performance and are slowly but steadily changing perceptions.”

“Recent safety recalls have clearly caused some consumers to be hesitant in considering certain brands,” said Wise. “In contrast, consumer concerns about the staying power of some domestic brands have been alleviated — following a swift move through bankruptcy proceedings — and due to the beginnings of a recovery in the automotive market.”


New models such as the Cadillac SRX, left, and the Kia Sorento get higher consideration

The study finds that some redesigned models have much higher consideration rates than the previous-generation models they replaced. Among redesigned models, the Cadillac SRX, Ford Taurus and Kia Sorento have notably higher consideration rates, compared to their predecessors, as well as higher consideration rates than their respective segment averages.

“A new-model launch or redesign is a manufacturer’s best opportunity to change the perceptions of the past,” said Wise. “While most redesigned models have higher consideration than the previous-generation models, some models are far surpassing their predecessors, and in the process, are attracting many additional customers to the brand.”

Amongst premium brands, concerns over maintenance costs also play a major role.  This is despite a number of premium brands providing free maintenance as a part of the initial purchase price.