Lower prices and more choices made consumers a bit happier about the new vehicle purchasing process, say the experts at J.D. Power & Associates. The 2024 U.S. Sales Satisfaction Index Study revealed a small increase in the results.
Consumers told J.D. Power they had a better customer service experience while buying new vehicles in 2024 than they did last year.
J.D. Power’s 2024 U.S. Sales Satisfaction Index Study revealed that customer satisfaction with the vehicle purchase process improved year over year. The overall score came in at 801 on an 1,000-point scale whereas last year it was 793.
“In 2023, improvements in new-vehicle inventory and pricing moved customer satisfaction in an upward trajectory from the lows of 2022, and that’s apparent again this year,” said Stewart Stropp, vice president of automotive retail at J.D. Power, in a statement.
“It marks a return to form. As shoppers see a wider variety of vehicles to choose from, pricing becomes more competitive across the market. But this year’s study shows satisfaction with other parts of the sales experience has not improved nearly as much. Plenty of opportunity remains to optimize the path to purchase.”
Top performers
The study is broken down into two categories: premium and mass market. Porsche earned the top spot for the premium brand with a score of 851. It was the second straight year it earned top marks in the category.
It was followed by Infiniti with a score of 840 and Jaguar (838) came in third place for the segment. Among mass market brands, Mini finished first with a score of 829. It was followed by Buick at 827 and Subaru with a score of 825.
Porsche captured the top overall score in this year Sales Satisfaction Index with an 851.
In the segment awards, Porsche captured top honors for the Premium Car and SUV segments — each for the second consecutive year. Nissan won the Mass Market Car segment honor with Buick taking the award for Mass Market SUV/Minivan. GMC, another General Motors brand, took home the prize for Mass Market Truck.
What improved
What makes buyers happy isn’t exactly rocket science, but breaking down the specifics of what was better and what still needs work can provide valuable insights to automakers and dealers. One area of improvement was lower pricing, more importantly fewer buyers are paying above sticker.
With replenished inventory, buyers are rarely paying more than the suggested retail price for vehicles. Among mass market buyers, only 8% paid more than MSRP — an appreciable decrease from 15% a year ago. Among premium vehicle buyers, only 6% paid more than MSRP, down from 10% in 2023, Power officials noted.
Also, the study showed that when the process is good, it’s great; however, if the buying experience is lacking in a few areas, it has a major impact on the overall event — and it shows up in scores.
Buick took the award for Mass Market SUV/Minivan while GMC did the same with Mass Market Truck.
While 57% of buyers say nine or 10 of the top 10 KPIs were met during their sales experience, 43% say eight or fewer were met, resulting in substantially different levels of satisfaction. When nine or 10 KPIs are met, Buyer Index satisfaction averages 917.
When seven or eight KPIs are met, the average drops to 827 — fully 90 points lower. Ensuring all KPIs are completed is key to optimal satisfaction. Top KPIs include sales consultants completely understanding customer needs; vehicle condition upon delivery; and personnel effectively using technology.
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EVs are a struggle
Electric vehicle sales aren’t running at the rate they once were, and there are several reasons for it. Some include high prices and the unpredictability of the public charging network. However, the new study showed there are additional issues as well.
The gap between internal combustion engine vehicle (ICE) and electric vehicle buyer satisfaction is getting smaller; however, EV buyers are still notably less satisfied. Buyer Index satisfaction among mass market ICE vehicle buyers is 857 but drops to 822 among mass market EV buyers — the same hods true for buyers of premium vehicles.
Furthermore, both mass market and premium BEV buyers continue to be less satisfied with dealer staff knowledge and expertise. Tesla buyers, in particular, have markedly lower satisfaction with the effectiveness of the vehicle features explanation, Power officials noted.
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