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Buyers resent low inventories, prices over MSRP, study says

Vehicle inventory low, vehicle transaction prices high, customers fretting … welcome, J.D. Power, to the era of supply and demand. In a recently published survey from one of the auto industryÂ’s top analytical firms, findings show that customers' satisfaction with vehicle purchases in the United States this year has dipped for the first time in 10 years. The 2022 U.S. Sales Satisfaction Index (SSI) Study found that overall sales satisfaction has dropped to 786 (on a 1,000-point scale) from 789 in 2021. In that year, higher than expected trade-in values softened the effect of new vehicle price increases. But in 2022, on top of trade-in prices shrinking, many dealers elected to charge more than the ManufacturerÂ’s Suggested Retail Price, a factor that did not sit well with buyers. “When dealers charge more than MSRP, particularly with long-term loyal customers, they risk a potential long-term negative effect on customer advocacy and service business," said Chris Sutton, vice president of automotive retail at J.D. Power. Satisfaction among buyers who paid more than sticker price is 757, while satisfaction among those who paid the sticker price or less is 850, the Power report said. The lack of dealership inventory was also a customer irritant, J.D. Power found, a point that automakers and their dealers may want to consider. Many have maintained, or considered maintaining, a smaller inventory in the wake of the pandemic, keeping costs down and driving more customers toward factory orders. Regarding those consumers shopping for electric vehicles, the survey said that more than a third of them “failed to get instruction on EV charging before they left the dealership, which notably affects satisfaction.” Said Sutton, “Salespeople donÂ’t need to show gas-powered vehicle buyers how to fill their tank, but they do need to show EV buyers how to charge their vehicle.” There are positives to the Power conclusions, however, especially for Alfa Romeo dealers. The Italian brand ranked highest in customer satisfaction among premium brands with a score of 833, with Porsche a very close second (831) and Lexus (819) third. Alfa is on something of a roll these days, with its compact Tonale crossover due for release in the spring, and a new sports car in the works. Meanwhile, in PowerÂ’s “mainstream brand”” segment, Buick ranked first with a score of 825, followed by Dodge (816) and Subaru (804), all performing higher than the industry average.

Dear America, you don't need as much power as you think

I recently won a 0-20-mph drag race against a Chevrolet Volt. A day later I smoked a Tesla Model 3. “Um OK,” youÂ’re thinking, “that canÂ’t be that hard.” Well, except that the vehicle I was piloting featured a hybrid powertrain of a Bosch electric motor and 40-year-old human legs. ThatÂ’s right, I out accelerated automobiles on a bicycle. On another occasion, I found myself driving behind my wife in her 2023 Kia Niro EV. The specs say it accelerates from zero to 60 mph in 7.8 seconds, a time thatÂ’s six-tenths off the pace of KiaÂ’s rear-motor-only EV6, a vehicle IÂ’ve repeatedly read being described as “slow.” The Niro, therefore, must be extra-slow. And yet, as she turned left onto a highway onramp, she rocketed forward leaving me in a Mercedes-AMG C43 and every other car in the left turn lane in the distance. I share these anecdotes not to boast about my cycling ability, nor my wife having a lead foot. No no. IÂ’m crap and she really doesnÂ’t. Instead, I want to point out that most drivers accelerate very slowly. The notion of “bigger is better” will forever be engrained in the American psyche, but when it comes to horsepower largesse, todayÂ’s cars hilariously exceed both the expectations and driving habits of most drivers. Most car buyers just donÂ’t have a frame of reference when it comes to equating 0-60 times, output figures and the actual feeling of acceleration.   Eat my dust, Mr Volt! Now, we in the automotive-reviewing media absolutely share some of this blame. We like accelerating quickly and cars that accelerate quicker are bound to reap more positive reviews. At the very least, weÂ’re obligated to point out when a carÂ’s acceleration is slower than a certain competitor's or the segmentÂ’s average. However, just because Car A is slower than Car B doesnÂ’t make Car A slow. It makes it slower. For example, the dual-motor EV6 may be 2 full seconds quicker from 0-60 than the rear-motor model ­– a relatively massive difference – but barring a back-to-back drive or a wealth of comparative knowledge, itÂ’s laughable to think that the average driver could possibly deem the rear-motor version “slow.” Because it isnÂ’t. The near-universal use of turbocharging, the popularity of all-wheel-drive and increased proliferation of electric motors has resulted in this rapid drop in 0-60 times thatÂ’s outpacing customer expectations and driving habits.

The Chinese experiment | 2017 Buick Envision First Drive

The 2017 Buick Envision is a very good five-passenger crossover. The "but" you should anticipate will come in good time. First it's worth understanding why it exists at all. Out of the ashes of GM's bankruptcy a few flowers blossomed and the carmaker is doing exceptionally well, certainly far better than Chrysler has done in the wake of its free fall into Chapter 11. But of all the surprises at GM's turnaround, Buick surely ranks highest, without question the least likely player to thrive if you only study the North American market. Look farther than our shores, to China, however, and you won't be shocked. Note that the Envision, which has been on sale in China for a year and a half, will reach about 200,000 units this year; the entire Buick portfolio in the US only totaled 223,000 cars in 2015. Not only is China Buick's primary market, but what it makes there, like the Envision, is intended for a different sort of buyer. Here, we'd call it a compact crossover. In China the Envision is a relatively large car, and the buyer there is far more likely to use it as a tall limo, or at the very least, as a big-time status statement. That buyer is also very likely to be in his or her mid-30s – the average Buick buyer in the US is getting younger, but, at 58, is hardly a millennial. Still, Americans who buy the Envision will benefit from all of this China focus. Huge effort went into its development since the target competitor in China is the Audi Q5, according to Rick Spina, Executive Chief Engineer for the Envision. Spina explained that Buick went to the trouble and expense of isolating the entire chassis from engine, suspension, and driveline vibration and sound penetration. "If you look at non-luxury models like Ford Escape, Honda CR-V, nothing's isolated, everything is hard-bolted to the body, and so all that vibration goes into the frame." Spina says that even though you'd guess the China-built Envision shares the general parts bin of the Chevy Cruze and Equinox, it's almost entirely unique. "It's kind of an orphan," he says, because GM couldn't afford to invest in the ride tuning Buick had to have to compete with Audi in China for a volume Chevy product, so nothing from Chevy (for now) is on this platform. And although it would have made sense to have Cadillac or GMC share it, Cadillac's XT5 and GMC's Acadia were already on a different development cycle. Besides, he's pretty proud that the Envision was developed strictly for Buick.