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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.

2021 Lexus ES adds AWD and Black Line Special Edition to lineup

Toyota engineered a Camry with all-wheel drive, so transferring it over to the Lexus only makes sense. The 2021 Lexus ES 250 AWD debuts today, adding all-wheel power to the ES for the first time. Lexus teased the possibility of an all-wheel-drive model at this generation’s launch, but it hasnÂ’t been officially announced until now. Just like the newly-available Camry AWD, this one is exclusively paired with a four-cylinder engine. Besides the Hybrid model, the ES was only offered with a naturally aspirated V6. Now the 2.5-liter four-cylinder migrates to the Lexus with 203 horsepower and 182 pound-feet of torque. ItÂ’s a shame that Lexus hasnÂ’t paired the all-wheel-drive system with the more powerful V6, but it was a task and a half to re-work the Camry with this system already.  You can read all about the engineering behind it in our Camry AWD First Drive. The Lexus uses the same “Dynamic Torque Control” system thatÂ’s found in the Camry to dole out the power rearward. ItÂ’s scanning for front wheel slippage, driver steering input and throttle input, then sending up to 50 percent of the power rearward when needed. The “Torque Control” part of it is not true torque vectoring, but ToyotaÂ’s system can pinch the brakes of the inner wheel when cornering to create the sensation of torque vectoring. Lexus says the ES 250 AWD has the same legroom, trunk room, ride comfort, cabin quietness and vehicle agility as any other Lexus ES. The Camry AWD has its rear seats raised by 10 mm, but thatÂ’s not the case for the ES, as Lexus claims it has the same rear hip point as the front-wheel-drive car. ThereÂ’s a small benefit in fuel economy dropping down to the slower four-cylinder, as the 250 AWD gets 28 mpg combined, whereas the 350 returns 26 mpg combined. If you want more performance, Lexus is making an F Sport version of the ES 250 AWD. 2021 Lexus ES 350 Black Line Special Edition View 8 Photos The 2021 Lexus ES 350 Black Line Special Edition also debuts today. ItÂ’s a limited-run ES based on the F Sport model that essentially amounts to a fancy appearance package. Lexus adds black F Sport wheels with black lug nuts, a black rear lip spoiler and blacked-out side mirrors. There are three exterior colors to choose from: Ultrasonic Blue Mica 2.0, Obsidian and Ultra White. Pictured in the gallery above is the Blue Mica and Ultra White. We like the blue. You also get a two-tone interior, mixing Obsidian and Ultra White with gray stitching.

J.D. Power customer survey of dealers counts Cadillac, Buick as big winners

Cadillac and Buick have taken the trophies in J.D. Power's latest Customer Service Index Study examining satisfaction with dealer service. Surveying more than 90,000 owners and lessees of 2009-2013 model-year cars, the study found that those with pre-paid maintenance packages were ten percent more likely to buy their next car from the same brand.
Dealer satisfaction scores have improved overall, Cadillac nabbed the luxury segment ahead of Audi and Lexus, taking the crown that Lexus held last year. Buick keeps the mass-market dealer satisfaction win in the family, finishing ahead of Volkswagen and last year's winner GMC. The study also found that service department use of tablets increased customer satisfaction, as did "best practices" like "providing helpful advice." Who knew?
You can find details on those and more findings in the press release below.