Tesla tops brand loyalty ranking

tesla model3
Credit: Tesla

Tesla keeps notching achievements. According to a recent study, the latest is attaining the highest brand loyalty rate. The EV maker shares the top spot with fellow American company Ford.

Tesla’s strong luxury brand loyalty is not a good sign for the rest of the industry – S&P Global Mobility.

The study was carried out by S&P Global Mobility. It measured loyalty by the number of households that repeatedly buy cars from the same brand, meaning they will return to a particular brand.

In the luxury segment, Tesla came first with a 67 percent brand loyalty rate, with Mercedes-Benz coming a distant second at 50.5 percent. BMW came third at 48.8 percent, and Lexus fourth at 47.7 percent. Lincoln was fifth at 47.6 percent, as reported by Automotive News.

The data used for the study covered a year, ending in July.

In the mainstream segment, Ford came first with a loyalty rate of 59.6 percent, while Toyota came second at 57.2 percent. Subaru came third at 55 percent, followed by Chevrolet at 54.9 percent.

Hyundai rounds out the top five with 53.8 percent. Ford recently became the best-selling American brand again, courtesy of its EV models.

S&P Global Mobility pointed out in its report that brand loyalty is being affected by inventory shortages faced by many automakers. When buyers can’t find their preferred brand in stock, they move to another brand.

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Seven percent of Tesla’s buyers were swiped from Mercedes-Benz, Audi, BMW, and Porsche. Obviously, attempts to tarnish Tesla and Elon Musk’s images are not working.