J.D. Power and Associates Reports:Appeal of Newly Launched Models Improves Dramatically in 2009

Volkswagen Receives Four Segment-Level Awards; Ford, Honda, Mercedes-Benz and Nissan Receive Two Each
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DETROIT, July 16, 2009 /PRNewswire/ – The automotive industry achieved a three-year high in appeal for new and redesigned models, according to the J.D. Power and Associates 2009 Automotive Performance, Execution and Layout (APEAL) Study(SM) released today. Seven of these models have received segment-level awards.

In 2009, the APEAL score for all-new and redesigned models averages 790 on a 1,000-point scale–11 points higher than in 2008 and 15 points higher than the 2009 score for carryover models. In addition, seven all-new and redesigned models rank highest in their respective segments, including the Dodge Challenger, Ford F-150 (in a tie), Ford Flex, Hyundai Genesis, Nissan Maxima, Volkswagen CC and Volkswagen Tiguan.

“Most automakers are on track in terms of designing new models that are highly appealing,” said David Sargent, vice president of automotive research at J.D. Power and Associates. “The greater challenge for manufacturers lies in creating models that launch with both strong appeal and high quality, which ultimately lead to improved sales through greater customer loyalty and advocacy.”

Throughout the years, vehicle models achieving high APEAL scores have been shown to benefit from faster sales, less need for cash incentives and higher profit margins on each vehicle sold.

The average APEAL score for all models in 2009 has improved considerably to 779 from 770 in 2008, driven primarily by increased owner satisfaction with fuel economy. This higher satisfaction comes from three main sources. First, fuel prices have decreased significantly during the past year, which has reduced owner concerns about gas mileage. Second, owners are switching to more fuel-efficient vehicles–in 2009, more than one-half of all vehicles included in the study are powered by four-cylinder engines, compared with just 39 percent in 2008. Third, automakers are designing models to be more fuel efficient than their predecessors.

“Although lower fuel prices and the switch to smaller vehicles have undoubtedly helped, there are also many individual vehicles that have made strong improvements in fuel economy ratings,” said Sargent. “For example, the Ford F-150, Cadillac Escalade, Volkswagen Jetta and redesigned Dodge Ram have all made major strides in owner satisfaction with fuel economy through the introduction of more efficient powertrains.”

In 2009, domestic brands comprise the four most-improved nameplates. Dodge posts the largest improvement, followed by Pontiac, Buick and Cadillac, respectively. In addition, the three most-improved models are from domestic manufacturers, including the Dodge Ram, Buick Lucerne and Ford F-150.

“Consumers have a great array of appealing vehicles to choose from by both domestic and import brands,” said Sargent.

The overall gap in APEAL scores between domestic and import models has narrowed considerably during the past several years and is just five index points in 2009, compared with 15 points in 2008 and 27 points in 2007. Among premium models, import nameplates retain a slight edge, while among non-premium models, domestic brands have a similar edge.

APEAL Model-Level and Nameplate Rankings

Volkswagen captures four segment-level awards–more than any other vehicle nameplate in 2009–for the CC, GTI, Passat and Tiguan. Ford, Honda, Mercedes-Benz and Nissan each garner two awards. Ford receives model-level awards for the F-150 (in a tie) and Flex. Honda models receiving awards are the Odyssey (for a fifth consecutive year) and Ridgeline (for a fifth consecutive year). Mercedes-Benz earns awards for the S-Class (for a third consecutive year) and SLK-Class. The S-Class achieves the highest APEAL score of any model in the industry. Nissan receives awards for the Armada and Maxima.

Also receiving awards are the Chevrolet Avalanche (for a second consecutive year), in a tie; Dodge Challenger, Hyundai Genesis, MINI Cooper (for a second consecutive year); Porsche Cayenne (for a second consecutive year); and smart fortwo. The Ford F-150 and Honda Ridgeline are the only two models to rank highest in their respective segments in both the 2009 APEAL Study and 2009 Initial Quality Study (IQS) released in June.

Porsche is the highest-ranking nameplate in APEAL for a fifth consecutive year.

The APEAL Study examines how gratifying a new vehicle is to own and drive, based on owner evaluations of more than 90 vehicle attributes. The 2009 APEAL Study is based on responses gathered between February and May 2009 from more than 80,900 purchasers and lessees of new 2009 model-year cars and trucks who were surveyed after the first 90 days of ownership. The APEAL Study complements the recently released J.D. Power and Associates Initial Quality Study(SM) (IQS), which focuses on problems experienced by owners during the first 90 days of ownership.

Find more detailed findings on new-vehicle APEAL performance as well as model photos and specs by reading an article and reviewing APEAL ratings at JDPower.com.

  2009 APEAL Nameplate Ranking
  (Based on a 1,000-point scale)
  Porsche                            869
  Jaguar                             859
  Cadillac                           852
  Audi                               846
  BMW                                844
  Mercedes-Benz                      841
  Lexus                              837
  Infiniti                           828
  Land Rover                         822
  Lincoln                            820
  Acura                              818
  MINI                               817
  Volkswagen                         807
  Buick                              801
  Volvo                              793
  Ford                               785
  Dodge                              784
  GMC                                784
  Saturn                             779
  Industry Average                   779
  Honda                              778
  Mazda                              778
  HUMMER                             773
  Scion                              772
  Pontiac                            769
  Nissan                             768
  Mitsubishi                         767
  Smart                              767
  Chevrolet                          764
  Hyundai                            763
  Mercury                            763
  Chrysler                           757
  Toyota                             756
  SAAB                               754
  Kia                                748
  Subaru                             738
  Jeep                               727
  Suzuki                             715

  Top Three Models per Segment
  Car Segments
  Sub-Compact Car
  Highest Ranked: smart fortwo
  Scion xD
  Honda Fit

  Compact Car
  Highest Ranked: MINI Cooper
  Volkswagen Jetta
  Mitsubishi Lancer

  Compact Sporty Car*
  Highest Ranked: Volkswagen GTI

  Compact Premium Sporty Car*
  Highest Ranked: Mercedes-Benz SLK-Class
  Nissan Z

  Entry Premium Vehicle
  Highest Ranked: Volkswagen CC
  Cadillac CTS
  Audi A4/5

  Midsize Sporty Car*
  Highest Ranked: Dodge Challenger

  Midsize Premium Car
  Highest Ranked: Hyundai Genesis
  Jaguar XF
  BMW 5 Series

  Large Premium Car*
  Highest Ranked: Mercedes-Benz S-Class
  Lexus LS

  Midsize Car
  Highest Ranked: Volkswagen Passat
  Mazda 6
  Honda Accord

  Large Car
  Highest Ranked: Nissan Maxima
  Pontiac G8
  Toyota Avalon

NOTE: For a segment award to be issued, there must be at least three models with sufficient sample that comprise 80 percent of market sales within an award segment. There were only two premium sporty models with sufficient sample size, thus no premium sporty awards have been presented.

  *No other model in this segment performs above the segment average.

  Top Three Models per Segment
  Truck / Multi-Activity Vehicle (MAV) Segments
  Compact MAV
  Highest Ranked: Volkswagen Tiguan
  Saturn VUE
  Mazda CX-7

  Midsize MAV
  Highest Ranked: Ford Flex
  Buick Enclave
  Toyota Venza

  Large MAV
  Highest Ranked: Nissan Armada
  Chevrolet Suburban
  GMC Yukon

  Midsize Premium MAV
  Highest Ranked: Porsche Cayenne
  BMW X5
  Mercedes-Benz M-Class

  Large Pickup
  Highest Ranked: Chevrolet Avalanche (tie); Ford F-150 (tie); Dodge Ram Pickup

  Midsize Pickup
  Highest Ranked: Honda Ridgeline
  HUMMER H3T
  Toyota Tacoma

  Minivan
  Highest Ranked: Honda Odyssey
  Volkswagen Routan
  Toyota Sienna

NOTE: For a segment award to be issued, there must be at least three models with sufficient sample that comprise 80 percent of market sales within an award segment. There were three large premium MAV models with sufficient sample, but they comprised less than 80 percent of market sales for the segment. There were no large van models with sufficient sample size. As such, no large premium MAV or large van awards have been presented.

About J.D. Power and Associates

Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

Founded in 1888, The McGraw-Hill Companies (NYSE:MHP) is a leading global information services provider meeting worldwide needs in the financial services, education and business information markets through leading brands such as Standard & Poor’s, McGraw-Hill Education, BusinessWeek and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2008 were $6.4 billion. Additional information is available at http://www.mcgraw-hill.com/.

J.D. Power and Associates Media Relations Contacts:
John Tews; Troy, Mich.; (248) 312-4119;
Syvetril Perryman; Westlake Village, Calif.; (805) 418-8103;

Source: J.D. Power and Associates

CONTACT: J.D. Power and Associates Media Relations, John Tews; Troy,
Mich., +1-248-312-4119, media.relations@jdpa.com, or Syvetril Perryman,
Westlake Village, Calif., +1-805-418-8103; media.relations@jdpa.com

Web Site: http://www.jdpower.com

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