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Social Responsibility Key to Attracting and Retaining Car Buyers in a Troubled Economy
added: 2009-04-26

A car company's reputation for being socially responsible is among the most important considerations for car buyers when determining from which companies they want to buy and which they choose to service their vehicles, according to new research from global market research firm Synovate.

In a presentation to the ATX-Consulting4Drive Executive Business Theater at the SAE World Congress this week, Scott Miller, CEO of Synovate Motoresearch, shared the results of three recent Synovate studies that showed in the US and globally consumers are seeking out companies that they believe are acting in society's greater interest.

Social responsibility and cost of ownership were shown as having the most overall influence on a consumer's commitment to their automotive brand, while social responsibility had the highest influence on consumers' emotional motivation.

Consumers also rated manufacturers' current efforts to bring alternative powertrains to market, showing that Honda and Toyota, not surprisingly, continue to lead the pack, followed much further behind by Ford and GM, Nissan and VW, most of which have improved slightly in this area over the past six months.

While GE is still the only supplier that consumers recognise as bringing alternative fuels to market, perceptions of several suppliers' efforts to do this declined. However, several energy companies, most notably BP, received higher marks from consumers in this area versus the last time the study was conducted, in August 2008.

However, to be seen as socially responsible, companies must do more than offer fuel efficient and environmentally-friendly vehicles. Other product attributes, such as reliability and safety, strongly influence consumer perceptions, as do employee enthusiasm and the company's impact on the economy.

"While auto manufacturers are trying to clean out inventory and boost sales of new products, it is critical for them to understand that consumers are paying attention to their overall business practices and weighing those practices carefully," said Miller. "Consumers are skeptical of almost everything right now: businesses, financial institutions, even the government. They also feel burdened with some of the risk associated with alternative fuel and advanced powertrain technologies including uncertain resale values, perceived concerns about reliability, alternative fuel availability and even the viability of the companies from which they purchase their vehicles. So they are still looking for more information to help them figure out who they can really trust to do business with in the current environment."


Source: PR Newswire

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