Strategic Vision: VW Leads Total Value Index, Ford Passes Key Rival
SAN DIEGO -
While Volkswagen led the way among manufacturers in Strategic Vision’s 2010 Total Value Index report, one of the biggest stories within the rankings is that for the first time ever, Ford performed better than Honda.
Eight Volkswagen models (including the VW and Audi brands) were recognized for their Total Value scores in their respective segments, which is the strongest total of any OEM. Moreover, Audi alone had the most recipients on the luxury side with four.
Ford was recognized in five categories, while Honda was represented in four.
“Ford Motor (Co.)’s ranking ahead of American Honda Motor is quite an accomplishment, especially considering that just eight years ago they ranked last among all corporations. Ford Fusion ranked first among the popular midsize cars, and Ford also had class leaders with Lincoln MKT, Flex, F150 and F250/350,” Strategic Vision vice president Christopher Chaney noted.
“It’s certainly not that other manufacturers have completely fallen, it’s that the bar is being raised with the buyer ultimately winning,” he added.
Continuing on, Hyundai was represented in three areas. Two of these were as segment leaders, including the Hyundai Genesis for Near-Luxury Car, the Hyundai Tucson for Small SUV, and one was the Special Total Value Award, which was given to the 2011 Hyundai Sonata.
Its Total Value score at 860 was the strongest ever recorded in the study.
“Typically we do not include ‘early-next-calendar-year’ launch models in our current calendar year studies, but in the case of the 2011 Hyundai Sonata, its performance was so outstanding we created a new ‘Special Total Value Award’ just to recognize a truly superior value accomplishment,” explained Darrel Edwards, founder and chairman of Strategic Vision.
Vice president Alexander Edwards offered his take on the Sonata: “When the data came back on the 2011 Hyundai Sonata, it was so impressive it prompted us to re-examine it several times to be certain.
“The findings were solid with particular superiority among owners ranking value for money, technical innovation, standard equipment, fuel economy and a great warranty all wrapped in vehicle with eye-catching styling,” he added.
Continuing along, General Motors was recognized in two categories, while Chrysler, Mercedes, Toyota, Mini and Subaru each had one of their models recognized.
Explaining the study in more detail, Strategic Vision said it gathered the data from 111,212 consumers who bought a new model between September 2009 and June 2010.
The report essentially summarizes what the company discovered through more than 442 data points. Officials explained that they start determining Total Value by looking at what consumers say. For example, statements involving things like expected reliability, expected fuel economy, price paid, expected resale value and innovation, among others.
“Total Value then incorporates the importance of the variables that make up the ownership experience, and it is here that Strategic Vision finds ‘True Value’ — the worth of the attribute weighed against the costs,” officials noted’
As the gap between automakers decrease in terms of reliability, durability and fuel economy, the more apt consumers will become to pay more attention to short-term desires. In other words, as Strategic Vision put it, consumers will stress, “What will you provide for me today?”
Although officials point to Honda, Nissan, GM, Chrysler and Toyota as makers of “valued products,” they stress the importance of these brands needing to recognize “where consumers want to go” and doing something about it.
“Manufacturers must increasingly be more open and honest with themselves. This is a difficult economy,” the company noted.
“Times are hard and people are working harder than ever. Increasingly, shoppers will define value as more than the listed residual or resale value numbers, and include, ‘What am I getting now that I have spent tens of thousands of my hard-earned dollars?’” officials added. “It’s an interesting challenge for product planners and marketers, but the payoff can be more sales and loyalty.”
Strategic Vision provided the following chart to summarize the results:
Special Total Value Award
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2011 Hyundai Sonata
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860
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Small Car
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Honda Civic Hybrid / Civic Coupe
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814/812
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Small Multi-Function
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Volkswagen Golf
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790
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Medium Car
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Ford Fusion
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802
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Medium Multi-Function
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Subaru Outback
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760
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Larger Car
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Volkswagen CC
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806
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Near-Luxury Car
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Hyundai Genesis
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852
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Luxury Car
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Audi A8
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821
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Luxury Multi-Function
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Lincoln MKT
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815
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Small Specialty ($28,000)
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MINI Cooper Hatchback
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817
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Premium Coupe (>$28,000)
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Audi TT Coupe
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816
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Mid-Specialty Car
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Honda Accord Coupe
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781
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Convertible ($30,000)
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Saturn Sky / Volkswagen New Beetle Convertible
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817/814
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Convertible (>$30,000)
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Audi A5 Cabriolet
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820
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Minivan
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Volkswagen Routan / Honda Odyssey
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748/746
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Small SUV
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Hyundai Tuscon
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800
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Medium SUV
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Toyota 4Runner
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762
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Medium Crossover
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Ford Flex
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786
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Large SUV
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GMC Yukon
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747
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Near Luxury SUV
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Mercedes GLK
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799
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Luxury SUV
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Audi Q7
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798
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Standard Pickup
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Honda Ridgeline
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732
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Full-Size Pickup
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Dodge Ram 1500 / Ford F150
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767/766
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Heavy Duty Pickup
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Ford F-250/350
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698
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