where implementation of at least 15 processes is able to derive positive impact on overall purchase satisfaction.
“The price of luxury vehicles is significantly higher than the price of mass market vehicles, and customers expect luxury brands to provide a truly differentiated experience to enhance the value of ownership of these vehicles,” said Mohit Arora, executive director J.D. Power Asia Pacific. “The current network does not provide enough differentiation from the mass market brands to be able to reinforce the premium image of luxury brands.”
The study also finds key differences in new-vehicle shopping behavior between the luxury and mass market segments. Key drivers of luxury-vehicle purchases are overall vehicle performance and safety, while drivers of mass market-vehicle purchases are brand reputation and reliability.
Luxury-vehicle buyers are also likely to use the Internet during their shopping process, with 34 per cent going online to search for vehicle features and specifications, compared with 28 per cent of mass market-vehicle buyers. More than two-thirds (68%) of luxury buyers have two or more vehicles in their household. Additionally, 93 per cent of luxury-vehicle buyers opt to finance their purchase, compared with 72 per cent of mass market-vehicle buyers.
“Purchasing a luxury vehicle is an expression of achieving the pinnacle of social progress in India,” said Arora. “With more than two-thirds of luxury-vehicle buyers having previous buying experiences with other vehicles, automakers need to personalize the entire purchase experience based on individual buyer expectations in order to truly delight these new-vehicle shoppers.”
The 2013 SSI Study for the luxury brands was based on responses from 253 new-vehicle owners, who purchased their vehicle between September 2012 and April 2013. The study was fielded from March to July 2013.