ANN ARBOR, Mich. -

For the second straight year the auto industry is seeing improvements in customer satisfaction, and the data experts say dealers are the front line when it comes to shaping those consumer perceptions.

The American Customer Satisfaction Index, released this morning, offers details on why incentives are out, quality is in, and on who makes the grade with buyers.

Customer satisfaction with the automobile and light-vehicle industry is up 1.2 percent over last year, at a score of 84 on a 100-point scale. That number matches the industry’s all-time high score from 2009.

What’s different about the scores is that the 2009 number represented an era of aggressive dealer incentives and the government’s “Cash for Clunkers” program, meant to help revive the recession-strapped industry.

This year’s 84 industry average is based on improved vehicle quality, researchers said.

“In 2009, the industry was buying a bit of its customer satisfaction, so to speak, and that was hard to sustain,” David VanAmburg, managing director of ACSI, told Auto Remarketing in advance of the index release.

“Now consumers seem to be saying that vehicles are a little more durable, reliable and appealing," he continued. "The increase is not in leaps and bounds, but marks the ability of manufacturers to make a range of vehicles with a range of options to reach a wide interest. There’s definitely been some real improvement.”

VanAmburg said those services remain the critical component of overall economic recovery; researchers carefully study the auto industry as well.

“Improving (auto) satisfaction and sales is certainly a positive for the economy,” he said. “Consumers are looking for a better quality experience and better value, from businesses of all types.

“One of the biggest challenges is that the best way to improve the consumer experience involves more labor, more touchpoints and technology, and that costs companies a great deal in investment. It’s a catch-22, but the happier we are, the more we spend.”

The ACSI index reports increases in customer satisfaction scores in about 60 percent of brands compared to 2011, including four of seven Asian nameplates, two of three European OEMs and six of nine American brands.

Among these, domestics show the greatest improvement in the scoring, but continue to trail import brands overall. Ford holds the lead among American automakers with a score of 86, followed by General Motors at 84 and Chrysler with 81.

“(Domestics) are closing the gap, but it’s challenging,” VanAmburg notes. “Chrysler saw a significant gain in the index, but it still lags behind Ford and GM, and that’s a distant third. But, it’s less distant than it was a year ago.

“Quality remains the issue. U.S. automakers played the incentive games for several years to make up for what consumers perceived as an inferior quality experience. If we look at the last three or four years, the U.S.-foreign relationship is much better than it was a decade ago," he noted.

While Ford and GM show a mixture of gains and declines across their divisions, each of the Chrysler brands move forward in 2012: the company’s Dodge and Chrysler brands rose 3 percent to 81 and 78, respectively, while Jeep rose 5 percent to an all-time high score of 83.

Chrysler, which is seeing year-to-date sales up 28 percent, outpaced Ford and GM’s growth of 5 percent and 3 percent, respectively. However, among Chrysler’s three brands, none meets or exceeds the industry average for customer satisfaction.

Also at the low end of the industry list are Mazda and Kia, with scores of 82.

The Dealer Experience; Brand Rankings

Auto Remarketing asked VanAmburg how the dealership experience is linked to customers’ perception of a brand.

“When we measure the quality of the customer service experience, it’s very much reflective of the dealer experience, more so than the manufacturer experience,” he said. “Dealerships are the front line, and most likely to shape the perception of purchase, and after purchase, of service.”

Breaking it down, the data shows that luxury brands lead the rankings in customer satisfaction.

Lincoln leads the industry in customer satisfaction, with a score of 90. VanAmburg explained, however, that the number likely reflects a loyal but dwindling customer base.

“When a brand shrinks, its customer satisfaction seems to improve,” he said. “Often there are fewer customers purchasing but the least satisfied defect to another brand, so you see a higher score. Their sales have been down for a couple of years but their satisfaction is up.”

Following Lincoln in the rankings is Toyota, with a score of 89, up 2 percent from its industry-leading score of last year.

Also gaining by 2 percent was GM’s Buick, with a score of 87. Cadillac dropped by 1 percent to a score of 86, creating a tie with BMW as that company rebounded by 4 percent from a year ago; during the same period it also achieved its second-best-ever operating profit.

An exception to the luxury brand rule is Subaru, with a score of 87. ACSI reports that this Japanese automaker rejoins the list this year after increasing its market share, and beat its historic measures by 4 points or more.

VanAmburg said, “Subaru is rated by consumers as the highest quality nameplate among non-luxury brands. Given the value proposition, to reasonably match prices across nameplates, what differentiates them the most is quality.”

Also interesting in the customer satisfaction index, he said, are the results of numerous recalls over the past year on index performance. Though some brands have seen increased sales, their satisfaction scores have dropped.

The ACSI loss for Toyota, for example, cost the brand its number one title from 2011, while Honda’s downturn places it below average for the first time in ACSI history, researchers said.

“It’s an interesting phenomenon, particularly if you focus on Toyota and Honda,” VanAmburg said. “Both have more recalls, and a dip in satisfaction. These align very obviously; the number of recalls equates to more quality problems. Our study shows that recalls are starting to have a significant impact on customer satisfaction.

“That sales are up doesn’t fit. It’s a rebounding of these two Japanese automakers, but it’s a separate issue. Detroit dominated sales briefly last year, but that was a supply issue following the tsunami and earthquake. Now Toyota and Honda have recovered from that, and we’re seeing a return to the normal picture of their market share," he added.

Automakers hovering at or within one point of the industry average score of 84 include, Hyundai, Mercedes-Benz, Toyota and Volkswagen. Those just below average are Ford, Honda, Jeep and Nissan.

GM’s Chevrolet rose 2 percent to match the average at 84.

On a 100-point scale, with the average customer satisfaction score for the auto industry at 84, the American Customer Satisfaction Index rankings are as follows:

Lincoln, score of 90
Lexus, 89
Buick and Subaru, both 87
BMW and Cadillac  both 86
Hyundai, Mercedes-Benz , Toyota and Volkswagen, all 85
Chevrolet, 84
Ford, Honda, Jeep and Nissan, all 83
Kia and Mazda, both 82
Dodge, 81
GMC, 80
Chrysler, 78

Beyond the automotive industry, the ACSI index showed overall customer satisfaction nationally at 75.9 on a 100-point scale, exactly where it stood at the start of 2012, and as far back as two years ago.

While that number won’t help revive consumer spending or the sluggish economy at large, researchers said the index indicates the U.S. economy is less likely to slip back into recession.