By the numbers: automotive loyalty and owner age
In my last post, I discussed the importance of retaining young vehicle buyers. In this blog, I thought I would share some 2011 calendar year-end findings regarding owner loyalty and age.
The chart below shows the distribution of owners returning to market based on age.
Owners between the ages of 35-64 account for more than 70% of all return to market activity. Yet as seen in the graph below, less than 50% (46.6%) of these owners are loyal to their given brand.
It is clear from the graph above that customer loyalty increases with age, making it all the more important to focus on customer engagement early in the ownership lifecycle as these efforts pay dividends when owners return to market for their next vehicle purchase.
So who is winning the battle when it comes to retaining owners by age when they return to market? Ford. Not only does Ford have the highest rate of brand loyalty in the industry, Ford is also No. 1 in retaining owners within all age categories. A breakdown of the top three in each age category can be seen in the table below:
*Minimum of 200 repurchase events.
Posted 28 March 2012
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