Decades of feel-good corporate outreach and a hug-worthy relationships with buyers didn’t stop potential customers and veedub diehards from fleeing Volkswagen after the diesel stink bomb went off in Wolfsburg.
Like a husband of 50 years caught cheating with his wife’s sister, the intentional deception behind the diesel emissions scandal shattered the hard-earned trust between the company and its consumers. Thanks to that, Volkswagen’s sales trajectory now mimics that of a very leaky submarine.
Could Volkswagen have managed the scandal better, and can the company rebuild that lost trust?
According to the consumer opinion-tracking Reputation Institute, the answers to those questions are “you bet” and “yeah … it’s gonna take a loooong time.” (Read More…)
Quick question: what was the number one factor in your most recent new vehicle purchase? Was it styling? Performance? Features? Financing? Price? Comfort? Practicality? Or that old stalwart, quality? If you answered in the affirmative to that last suggestion, you’re part of a shrinking bloc. There were a lot of winners in the 2014 auto sales race, but quality wasn’t one of them.
Honda, Ford and Toyota all have one thing in common as far as Kelley Blue Book knows: All three inspire brand loyalty among over half of its customer base. Alas, nine other brands wish they could be just as inspirational.
The Great Recession has given us so much since it began five years ago with the fall of Lehman Brothers and Washington Mutual, from underwater mortgages and high unemployment, to bailouts of the financial and automotive manufacturing sectors and credit freezes.
Regarding the last item, a byproduct from said freeze will flood automakers with the potential to retain and steal customers when more and more leases draw to completion in the next year.
TTAC Commentator Jimal writes:
Sajeev and Steve,
I have one of those quandaries that most adults will go through sooner or later in life and I figured I would tap into you and the B&B for suggestions. My father passed away recently after a long illness and I’m helping my mother with settling his estate; cleaning up finances, etc. Among the things my father left behind were his 2005 Buick LeSabre, which my mother hates, and her cherished 1996 4-door Chevy Blazer. (Read More…)