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J.D. Power Finds Automakers Improving Initial Quality Scores

Honda, Ford, General Motors, Toyota score big




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June 10, 2008

More automotive news ...

Simply put, cars are getting better. Consumers purchasing a 2008 model stand a better chance of getting a higher quality automobile, according to the J.D. Power and Associates 2008 Initial Quality Study.

The survey found that initial quality in the auto industry has improved significantly in 2008, with substantial gains demonstrated by nearly three-fourths of the 36 ranked nameplates.

Overall quality improved to 118 problems per 100 vehicles (PP100) in 2008, compared with 125 in 2007.

"Due to some strong new-vehicle launches, in addition to a continued reduction in the level of defects and malfunctions, overall quality improves by 6 percent in 2008, compared with 2007," said David Sargent, vice president of automotive research at J.D. Power and Associates.

The gain, said Sargent, "is driven not only by strong advances from many of the high-volume brands such as Chevrolet, Ford and Toyota, but also by very significant improvements by many other automakers."

The J.D. Power report said the improvement shows that automakers listening closely to the voice of the customer, and are integrating that feedback to design, engineer and manufacture better-quality vehicles.

The Initial Quality Study serves as the industry benchmark for new-vehicle quality measured at 90 days of ownership. It is used extensively by vehicle manufacturers worldwide to help them design and build better vehicles and by consumers to help them in their vehicle purchase decisions.

The study found that 86 percent of the overall improvement is due to advances in eliminating defects and malfunctions. Minimizing design problems remains a major challenge for the industry, particularly since new technology, such as navigation and entertainment devices, is becoming increasingly common in today's new vehicles.

"As consumer demand for new and more advanced wireless communication, navigation and audio technology continues to grow, manufacturers face challenges related to how well these systems are integrated into their vehicles," said Sargent. "Since hands-free communication for drivers will become a mandate in more and more areas throughout the U.S., this will need to be an area of continued focus for automakers."

With rising fuel prices, the study also finds that new-vehicle sales patterns in 2008 have shifted away from the largest models and toward smaller models.

2008 IQS Ranking Highlights:

• Honda models capture three segment awards -- more than any other nameplate in the 2008 study -- for the Civic, CR-V and Fit.

• Garnering two segment awards each are: Chevrolet (Malibu and Silverado LD); Dodge (Dakota and Durango); Infiniti (EX-Series and M-Series); Lexus (LS and RX); and Mercedes-Benz (CLK-Class and E-Class).

• The Porsche 911 has the fewest quality problems in the industry, with just 67 problems per 100 vehicles.

• Also receiving segment awards are the Ford E-Series, Lincoln Navigator, Mazda MX-5 Miata, Pontiac Grand Prix Sedan and Toyota Sequoia.



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