Monday 3 September 2012

Honda is best, M&M gets better

JD Power survey shows more consumers opt for small cars with higher specification

Honda has ranked highest in customer satisfaction in new-vehicle experience in India this year, according to a survey. The Japanese automaker makes a comeback to the number one slot after a decade at a time when it has forayed into the volumes small car market with the Brio. The last time it was number one was way back in 2001.

Honda scored 835 points while Hyundai Motor was second with 829 points in the study followed by Maruti Suzuki with 824 points while Mahindra & Mahindra has come across as the most improved car brand, according to customers, thanks to its premium offering in XUV500. The largest SUV maker scored 17 points higher at 820 compared with 2011, according to a survey by JD Power Asia Pacific.

Tata Motors was ranked last with 800 points even though the overall vehicle satisfaction across the industry’s car brands came down by two points compared with last year, at an industry average of 820 points.

“In terms of overall brand image, Honda has been one of the most elite brands in the Indian car market. The key factor, which has driven the brand’s performance, is the fact that its customers have been getting a certain level of experience, even at a time when its vehicles were in short supply,” said Mohit Arora, executive director at JD Power Asia Pacific.

Honda Siel Cars India’s sales nearly doubled to 24,462 units during April to July compared with 12,526 units during the year-ago period largely owing to its small car Brio. The automaker faced production blues last year due to natural disasters in Japan and Thailand that crippled its component suppliers operations.

Seven of the 12 car brands improved year-over-year while new-vehicle sales experience performance of others such as Ford, GM and Nissan remained below average industry standards.

“Improved performance on explanations (to customers) during vehicle delivery contributes to Mahindra’s ability to provide a satisfying customer buying experience,” Arora said. Mahindra & Mahindra has been grappling with high waiting periods for the XUV500 SUV since its launch late last year.

The study also noted that an overall increase in average household income compared with last year led to consumer preferences drifting towards better styling and features making them opt for higher specification variants of small cars.

JD Power’s sales satisfaction index (SSI) was based on responses from 7,382 new vehicle owners who purchased cars between September 2011 and April 2012.

Another survey released on Friday by TNS Automotive, a global consultancy firm, ranked Honda City and Hyundai Verna highest in the mid-size sedan segment and the Honda Accord highest in the entry-luxury car segment in customer sales satisfaction at the dealers end. Maruti Suzuki ranked the highest in all compact car segments with the Alto, Wagon R, Swift and Dzire

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