Misc
Brand Loyalty is Declining for Most Luxury Automakers
Brand Loyalty is Declining for Most Luxury Automakers
New research conducted by S&P Global Mobility has found that brand loyalty—measured as the percentage of buyers that go back to the same brand for their next vehicle—is falling across the luxury segment.
In this infographic, we’ve visualized the results of this research, which spans from January 2020 to April 2022.
Brand Loyalty Losers
The following brands have all experienced a drop in brand loyalty over the time period.
For additional context, we’ve also included each brand’s score in the J.D. Power 2022 Initial Quality Study. This is measured based on the number of problems experienced per 100 vehicles (PP100) in the first 90 days of ownership.
Brand | Percentage Point Change in Brand Loyalty | PP100 |
---|---|---|
🇬🇧 Land Rover | -9.2 | 193 |
🇩🇪 Porsche | -8.5 | 200 |
🇺🇸 Lincoln | -7.9 | 167 |
🇩🇪 Audi | -7.3 | 239 |
🇩🇪 Mercedes-Benz | -7.0 | 189 |
🇮🇹 Alfa Romeo | -6.6 | 211 |
🇺🇸 Cadillac | -6.4 | 163 |
🇸🇪 Volvo | -5.3 | 256 |
🇯🇵 Infiniti | -5.2 | 204 |
🇬🇧 Jaguar | -5.1 | 210 |
🇯🇵 Lexus | -4.8 | 157 |
Luxury average | -4.5 | 199 |
🇯🇵 Acura | -2.7 | 192 |
🇩🇪 BMW | -2.3 | 165 |
Land Rover experienced the biggest drop in loyalty, despite a better than average PP100 rating. One potential reason is timing—the brand’s premier model, the Range Rover, has been in its fourth generation since 2012. The SUV has become relatively dated, though a new fifth generation was recently revealed for the 2022 model year.
Two Volkswagen Group brands, Audi and Porsche, also fared poorly in terms of loyalty. This is somewhat surprising, as both brands offer a portfolio of both gasoline and electric models. Many competitors, such as Acura, Lexus, and Maserati, have yet to release an EV.
Brand Loyalty Winners
Three brands have managed to buck the trend, as shown below.
Brand | Percentage Point Change in Brand Loyalty | PP100 |
---|---|---|
Luxury average | -4.5 | 199 |
🇺🇸 Tesla | +4.0 | 226 |
🇮🇹 Maserati | +4.3 | 255 |
🇰🇷 Genesis | +8.5 | 156 |
We can draw parallels between Tesla and Apple, in that both have incredibly loyal followers.
For instance, between March 2021 to April 2022, 62% of buyers/households who returned to market and previously owned a Model 3 purchased a new Tesla. That’s an impressive statistic, especially when we consider Tesla’s history of build quality issues.
Maserati appears to be in the same boat. The Italian automaker has strengthened its brand loyalty by 4.3 percentage points, despite having the luxury segment’s worst PP100. Perhaps build quality matters less than we think.
Another Factor to Consider
Ongoing supply chain issues could also be contributing to wide-spread declines in loyalty. Rather than waiting several months (or in the case of EVs, years), buyers may switch to a different brand that has cars in stock.
We are still monitoring it week to week, but up to now basically worldwide, we had no issues running production.
– Joerg Burzer, Mercedes-Benz
Many automakers have reported that their supply issues are diminishing, though new economic challenges have risen. For example, surging inflation has pushed the price of a new car to record highs. Combined with rising interest rates (cost of borrowing), this could negatively impact the demand for new cars.
Demographics
Mapped: Population Growth by Region (1900-2050F)
In this visualization, we map the populations of major regions at three different points in time: 1900, 2000, and 2050 (forecasted).
Mapping Population Growth by Region
This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.
In fewer than 50 years, the world population has doubled in size, jumping from 4 to 8 billion.
In this visualization, we map the populations of major regions at three different points in time: 1900, 2000, and 2050 (forecasted). Figures come from Our World in Data as of March 2023, using the United Nations medium-fertility scenario.
Population by Continent (1900-2050F)
Asia was the biggest driver of global population growth over the course of the 20th century. In fact, the continent’s population grew by 2.8 billion people from 1900 to 2000, compared to just 680 million from the second on our list, Africa.
Region | 1900 | 2000 | 2050F |
---|---|---|---|
Asia | 931,021,418 | 3,735,089,775 | 5,291,555,919 |
Africa | 138,752,199 | 818,952,374 | 2,485,135,689 |
Europe | 406,610,221 | 727,917,165 | 704,398,730 |
North America | 104,231,973 | 486,364,446 | 679,488,449 |
South America | 41,330,704 | 349,634,344 | 491,078,697 |
Oceania | 5,936,615 | 31,223,133 | 57,834,753 |
World 🌐 | 1,627,883,130 | 6,149,181,237 | 9,709,492,237 |
China was the main source of Asia’s population expansion, though its population growth has slowed in recent years. That’s why in 2023, India surpassed China to become the world’s most populous country.
Southeast Asian countries like the Philippines and Indonesia have also been big drivers of Asia’s population boom to this point.
The Future: Africa to Hit 2.5 Billion by 2050
Under the UN’s medium-fertility scenario (all countries converge at a birthrate of 1.85 children per woman by 2050), Africa will solidify its place as the world’s second most populous region.
Three countries—Nigeria, Ethiopia, and Egypt—will account for roughly 30% of that 2.5 billion population figure.
Meanwhile, both North America and South America are expected to see a slowdown in population growth, while Europe is the only region that will shrink by 2050.
A century ago, Europe’s population was close to 30% of the world total. Today, that figure stands at less than 10%.
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