For the first time, Lexus is the Luxury Automotive Brand of the Year, according to The Harris Poll 2016 EquiTrend Study. The 28th annual study awards the strongest brands in nearly 100 categories across the media, travel, financial, automotive, entertainment, retail, restaurants and household industries, based on consumer response. Toyota has been named the Full Line Automotive Brand of the Year for the second consecutive year.
Measuring brands’ health over time, the EquiTrend Brand Equity Index is comprised of three factors – familiarity, quality and purchase consideration – that result in a brand equity rating for each brand. Brands ranking highest in equity receive the Harris Poll EquiTrend “Brand of the Year” award for their respective categories. This year, more than 97,000 U.S. consumers assessed more than 3,800 brands (including 36 automotive brands), across nearly 500 categories.
Lexus shows the largest equity increase (8 percent since 2014) among all automotive brands measured, and demonstrates one of the largest equity increases across all brands assessed, which is significant given the tendency for equity to resist rapid movement.
“Overall, automotive brand equity is relatively low, falling behind the media, retail, travel and restaurant industries,” said Joan Sinopoli, vice president of brand solutions at Nielsen, which owns the Harris Poll. “Within the auto category, however, some brands, like Lexus, are delivering exceptional customer experiences with a reputation for dependability, while parent brand Toyota, maintains its focus on dependability at a fair price. Thus Toyota brands, while always high-performing, this year are set somewhat apart from the rest.”
This year’s Harris Poll study marks the second consecutive year Toyota has secured the Full Line Automotive Brand of the Year title. Toyota also held the top spot in 2011.
The 2016 Harris Poll EquiTrend Luxury Automotive Brands of the Year
Source: The Harris Poll EquiTrend Study
- Lexus
- Porsche
- Acura
- Mercedes-Benz
- BMW
- Tesla
- Cadillac
Other Luxury Automotive Brands in study ranked below category average (alphabetically): Audi, Infiniti, Jaguar, Land Rover, Lincoln and Volvo.
The 2016 Harris Poll EquiTrend Full Line Automotive Brands of the Year
Source: The Harris Poll EquiTrend Study
- Toyota
- Honda
- Ford
- GMC
- Chevrolet
- Nissan
- Subaru
Other Full Line Automotive brands in study ranked below category average (alphabetically): Buick, Chrysler, Dodge, Fiat, Hyundai, Jeep, Kia, Mazda, MINI Cooper, Mitsubishi, Ram, Scion and Volkswagen.
Younger Consumers Love Luxury Cars
Harris Poll’s study shows that while luxury autos have the highest brand equity across all generations, millennials and Generation Z1 show it to a greater degree. In addition, younger consumers show a greater connection, or emotional bond, with luxury auto brands — 31 percent of millennials and 27 percent of Generation Z consumers.
“Cars are fundamentally an aspirational purchase,” said Sinopoli. “While our research shows that all generations show a strong connection to luxury vehicles, it is most evident among younger consumers. Millennials may not have the means to buy cars as early as they’d like, but the idea that millennials don’t like cars just isn’t substantiated.”
Younger Consumers More Likely to Consider Alternative Vehicles; Tesla on Top
The Harris Poll study shows that younger consumers — millennials and Generation Z — also are more likely to consider alternative vehicles, such as Tesla, Chevy Volt, Nissan Leaf, as well as Smart. Brands perceived as having a positive environmental impact are more likely to have brand equity momentum, or be considered “on the way up.” Tesla is leading auto brands in brand equity momentum, considered “on the way up” across all age segments, with the perception strongest among millennials.
“Tesla checks off a lot of boxes for millennials – not only is it environmentally responsible, but it’s luxury, it’s an unparalleled connected experience, and it’s just plain cool,” said Sinopoli.
“While we won’t know the impact of Tesla’s self-driving mode crisis on the brand’s equity for some time, how consumers view Tesla’s response and handling of the investigation will be a major factor. However, our experience shows that it takes considerable events to undo consumers’ positive sentiment toward brands, like Tesla, with such a strong following.”
The Harris Poll research shows that while Tesla has been the top “on the way up” auto brand for the past three years, the rest of the fuel-efficient market is in transition, with as many consumers perceiving Smart, Fiat and Nissan Leaf to be “on the way up” as “on the way down.” Meanwhile, Volkswagen, impacted by the emissions testing scandal, is at the top of the list of auto brands considered “on the way down.”
The complete list of Harris Poll EquiTrend Brands of the Year can be found here.