Luxury Brands Stumble in U.K. Dependability Study

LONDON – Technology-laden premium cars come in second to simple volume vehicles in the U.K.’s latest reliability survey.

The J.D. Power 2016 U.K. Vehicle Dependability Study has revealed Volkswagen Group’s Skoda value brand as having the most dependable vehicles for the second year running.

The consumer survey found technology issues in executive-level cars gave buyers the biggest headaches. Five of the top 10 problems in the industry are related to technology in the audio/communication/entertainment/navigation category. The most often reported problem in that infotainment sector involves pairing/connectivity issues with Bluetooth mobile phones and devices.

Such issues largely were to blame for Land Rover recording the worst dependability figures, followed by Audi in third, BMW in fourth and Mercedes-Benz in fifth. Only Renault’s Dacia budget brand was among the premiums at the bottom of the rankings, judged the second most unreliable marque.

The study, now in its second year, measures problems experienced during the past 12 months by original owners of vehicles in the U.K. after 12-36 months of ownership.

It examines 177 problem symptoms across eight categories: engine and transmission; vehicle exterior; driving experience; features/controls/displays; audio/communication/entertainment/navigation; seats; heating, ventilation and cooling; and vehicle interior.

Overall dependability is determined by the number of problems experienced per 100 vehicles, with a lower score reflecting higher quality.

Volume brands average a score of 99, compared with the premium brand average of 161 – a difference of 62 problems per 100 vehicles.

“Customers in the U.K. expect their vehicle to be problem-free, not only in the first 90 days, but also during the first three years of ownership,” says Axel Sprenger, senior director-European automotive operations at J.D. Power. “When owners experience even a single problem with their vehicle, this can be the initiation of losing confidence in the vehicle and the brand.”

Among owners who experience no defect problems with their vehicle, 46% say they “definitely will” purchase/lease the same make again and 66% say they “definitely will” recommend the make/model to others.

In contrast, among owners who experience one or more defect problems with their vehicle, 38% say they “definitely will” purchase/lease the same make again and 55% “definitely will” recommend the make/model to others.

Similarly, among owners who experience no design problems with their vehicle, 45% say they “definitely will” purchase/lease the same make again and 64% “definitely will” recommend the make/model to others. Intended loyalty and advocacy drop to 38% and 53%, respectively, among owners who experience one or more design-related problems with their vehicle.

“There is a direct correlation between the number of problems customers experience with their vehicle and the decisions they make when the time comes to purchase or lease their next car,” Sprenger says. “While a small drop in actual loyalty may not sound like much, with the average price of a new vehicle in the U.K. at approximately £22,000 ($29,000), a percentage point drop in share can mean millions of pounds in lost revenue to an automaker.”

The 2016 U.K. Vehicle Dependability Study was based on responses from more than 13,000 owners of ʼ13-ʼ15 vehicles and it was conducted Feb.-April 2016.