J.D. Power and Associates Reports: Gas Mileage Concerns Influence SUV Shoppers - aftermarketNews

J.D. Power and Associates Reports: Gas Mileage Concerns Influence SUV Shoppers

Concerns about gas mileage continue to influence new-vehicle shopping, particularly among consumers who consider purchasing SUVs, according to the 2004 J.D. Power and Associates Escaped Shopper Study. The study, which examines the reasons new-vehicle shoppers consider but reject a vehicle finds that approximately 15 percent of new-vehicle buyers reject a model due to its gas mileage.

WESTLAKE VILLAGE, Calif. — Concerns about gas mileage continue to influence new-vehicle shopping, particularly among consumers who consider purchasing SUVs, according to the 2004 J.D. Power and Associates Escaped Shopper Study.

The study, which examines the reasons new-vehicle shoppers consider but reject a vehicle finds that approximately 15 percent of new-vehicle buyers reject a model due to its gas mileage. The concern about gas mileage is particularly influential among those who seriously consider a full-size SUV model, with 22 percent rejecting a particular model due to gas mileage concerns. The study found that nearly 40 percent of those shoppers who reject a full-size SUV due to gas mileage ultimately purchase a midsize SUV instead, while nearly 20 percent purchase another model in the segment.

“As long as gas prices remain high, gas mileage will continue to be an important factor that buyers consider when shopping for a new vehicle,” said Scot Eisenfelder, vice president of the retail automotive practice at J.D. Power and Associates. “However, SUVs are still a popular choice among buyers. While SUV shoppers keep gas mileage in mind, a large proportion of them still buy another SUV, albeit a smaller one, when the one they first considered didn’t meet their standards for fuel efficiency.”

There is evidence that the extended incentive wars are shaping customer expectations, as an increasing number of shoppers reject models because they do not have sufficient rebates. Approximately 18 percent of shoppers reject a model due to insufficient rebates — up 2 percent over 2003. Domestic models are rejected more frequently than import models based on insufficient rebates (20 percent vs. 17 percent, respectively), despite higher average rebates offered by domestic brands.

“While shoppers are always keen on a good deal, manufacturers with the most attractive incentive offers are often still rejected based on a perception of inadequate rebate or finance incentives,” said Eisenfelder. “Many shoppers who reject one brand because it lacks incentives end up buying another brand that traditionally doesn’t offer substantial rebates. This is a good example of how product attributes, which are typically highly important to shoppers, can outweigh financial incentives.”

The average number of vehicles seriously considered per shopper declined slightly in 2004, in part driven by an increase in the proportion of “passionate buyers” — those who say they fell in love with the model and didn’t seriously consider another vehicle — from 21 percent in 2003 to nearly 25 percent of buyers in 2004. A major driver of the increase in “passionate buyers” can be attributed to a record number of model launches, with 28 new model introductions included in the 2004 study.

“With an increase in new-model launches over the next few years, it will become increasingly difficult for older models to gain a place on the shopping list,” said Eisenfelder.

The 2004 Escaped Shopper Study is based on responses from 28,719 new-vehicle owners.

_______________________________________

Click here to view the rest of today’s headlines.

You May Also Like

Epicor Unveils Digital Cataloging, Future Plans

The new catalogs use Epicor-validated, ACES-compliant data and an “Intelligent Search” feature to find the right part quickly.

Epicor digital catalog

Epicor introduced two cloud-based versions of its digital cataloging tool-- Epicor Catalog for Automotive-- at the 2023 AAPEX Show that will be available for parts distributors and service/'repair dealers in the US and Canada come February.

The new, standalone catalogs include Epicor-validated, ACES-compliant data and a new “Intelligent Search” feature that enables users to quickly find the right parts for virtually any vehicle repair, the company said. In addition, all part and application content in the catalog for its Mexico customers is in Spanish, enabling users to save time and eliminate lookup errors.

Epicor Launches Automotive B2B eCommerce Platform

The Epicor Commerce for Automotive platform features multi-seller support and parts lookups for distributors and their customers.

Epicor commerce for Automotive
Marelli Launches Fuel System for Hydrogen Propulsion Systems

Marelli will present a variety of new technology at the CTI Symposium in Germany, Dec. 5-6.

The Automotive Aftermarket’s Role in a Circular Economy 

Take a deep dive into the factors driving the automotive aftermarket toward a more circular economy.

Circular economy
AI in the Aftermarket: Endless Applications Yet Hurdles Remain

The automotive aftermarket is delving into AI and ways it can help businesses be more productive and effective.

Other Posts

Intellias to Showcase HMI, ADAS and More at CES 2024

The company also will unveil the next generation of its IntelliKit, a portable fully-integrated digital cockpit.

Anyline Partners with Treads to Simplify Car Ownership

Anyline has partnered with Treads, an AI-driven car management subscription service, to enhance analytics for car owners.

Anyline Trends partnership
Unifying Your Parts Technology to Eliminate Channel Conflict

Harmonizing various channels in your eCommerce strategy through unified technology helps build an agile business model.

ecommerce channel conflict auto parts suppliers
Opus IVS Achieves 100+ Patents Pending

The company will demonstrate its patented technologies at the 2023 SEMA Show.