Fresh Auto Consumer Loyalty Perspective
Retention picture changes across power trains, demographics and auto segments, study finds

Industrywide, 38% of auto consumers changing power trains stayed loyal to their previous brands.
Pexels/Brett Jordan
When U.S. auto consumers are in the market for a different power train than their current models, they’re more likely to switch brands for the change-up.
In fact, loyalty to power train type is significantly greater than brand loyalty, S&P Global Mobility says it found. Of households shopping for a new vehicle, 74% stick with the same power trains they’ve had, compared to 51% who stay with the same auto brands.
But consumers switching power trains tend to shop around: 62% of households doing so switched brands at the same time, according to S&P Mobility’s research. The automotive data provider observed the phenomenon among both households switching from gas-powered to alternative-fuel power trains and vice versa.
The pattern presents challenges and opportunities for auto dealers, the challenge of keeping customers in the fold, and the opportunity of winning over a competing brand’s loyalists. S&P says households tend to return to the auto market every 3½ years.
Of those, about half switch brands, it said. But among the three out of four who keep the same power train, 56% stay with the same auto brand they bought from the last time.
The research also found differences among consumer demographic groups and auto market segment.
Between July 2024 and this past June, more Asian households switched both brand and power train than those that changed brands but stuck with the same power trains, S&P said, while just 27% of black households that jumped to new brands also switched power trains.
Meanwhile, a similarly low 26% of luxury auto consumers changing power trains stayed loyal to their previous brands, compared to 38% industrywide and 41% for mainstream brands.
S&P advises auto brands to target their marketing to households open to power train switch-ups in an effort that can at the same time reveal those loyal to their current power trains and brands.
“The more granular your targeting, the more effective your strategy will be,” the report says.
Originally posted on F&I and Showroom
More Industry

Kia Closes Out Summer With a Bang
Its U.S. subsidiary broke multiple records in August, in part due to a surge of demand for hybrids models.
Read More →
Indiana Dealership Changes Hands
A 30-year-old Ford dealership in Indiana has a new owner and will soon be undergoing renovations to meet manufacturer requirements.
Read More →
Texas Dealership No Longer in the Family
The Ford store, a longtime cornerstone of the Houston market, is now part of one of the fastest-growing U.S. auto groups.
Read More →
Genesis Grows California Presence
The Cardinale Automotive Group opened its third Genesis rooftop in the Golden State, Genesis of San Bruno, a stand-alone dealership serving the San Francisco Bay Area.
Read More →
August Auto Sales a Mixed Bag
An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.
Read More →
EV Market Humming Along
July sales show steady growth as the segment stabilizes from last year’s artificial surge following pullback of federal support.
Read More →
Auto Loan Delinquency Rates Stabilize
Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.
Read More →
EV Sales Recover in Q2
The EV sales roller coaster continues as numbers show improvement, but industry experts predict a year-over-year third-quarter decline and fourth-quarter jump.
Read More →
The Cheapest Hybrids to Fuel
The powertrain is increasing in popularity, in no small part due to its fuel economy. A new report lists the most efficient hybrids on the market.
Read More →
Hybrids and SUVs Gaining Ground
The most recent Kelley Blue Book Brand Watch found that only two nonluxury brands increased in shopper consideration, buoyed by their hybrid and SUV offerings.
Read More →