On Fleet Age and Long-term Quality

I came across a story on the Interweb recently that I found interesting - though you might not think that this story would be the sort of thing to gladden the hearts of we warriors of the automobile world.

What it says is, cars are staying on the road longer than they have in the past. As a result, the median age for passenger cars in the U.S. is at a high point – 9.2 years. The same thing is also happening with trucks, according to the study, which found that the median age for light trucks in 2007 increased by 4.4 percent to 7.1 years.

This interesting information is found in what’s called a vehicle population report, released mid-February by R. L. Polk & Co., a premier provider of automotive information and marketing solutions.

The study, which you can read for yourself by clicking here, found that for last year, the percentage of the car population 11 years of age and older was 41.3 percent, compared to 40.9 percent in 2006. For light trucks, this percentage was 29.5 percent in 2007 and 29.2 percent in 2006.

This is of particular interest to us because of what surveys tell us about our own cars and trucks. What they tell us is that the considerable pains we take to build long-term quality and reliability into our cars and trucks pay off.

And it also is of interest to us because it bolsters a contention that we have long held. Our contention is that initial quality reports – measurement of owner satisfaction immediately after taking delivery of a new vehicle – aren’t nearly as important as reports that measure long-term owner satisfaction – those taken after three years, or more, of ownership.

That’s an area in which Toyota products get high marks indeed.

In fact, in one of the most respected of owner-loyalty studies, the J.D. Power annual customer retention study, Toyota and Lexus rank first and second.

The study showed that in 2007, 64.6% of Toyota's buyers traded their current Toyota for a new one. The Lexus customer-retention rate was 63%. The two brands have topped the J.D. Power customer-retention survey every year since 2004, though in 2005 the order was swapped, with Lexus on top, followed by Toyota.

The industry’s customer-retention average is listed as just 49%.

We posted a piece about this on Dec. 18. To read it, click here.

As we said then in that post, "Surveys such as the J.D. Power Vehicle Dependability Study consistently rate our products at the top of their categories in terms of long-term quality and reliability. That’s important, because for us, the bottom line is not just 90 days of trouble-free ownership, which is what some surveys track. Rather, it’s how the owners feel when it becomes trade-in time, after several years with their vehicle. These two measurements – long-term quality and owner loyalty - are the truest tests of quality. And our customers continue to give us high marks."

So as the fleet ages, it’s clear that one of our primary values – that of making sure that our cars and trucks are reliable, and that they’ll hold up over the long term, continues to translate into value for our customers.

This reliability/quality value is one we hold especially dear. And it’s a value we continue to pursue.

- Irv Miller, Group Vice President, Corporate Communications

Comments

[ron long]

amen to the longterm Quality aspect. everyone iknow including myself, hear the stories and personal memories of those who had toyotas for HONDREDS OF THOUSAND MILES...thats what its all about..

[John Barnhart]

The color selection on the 2009 Corolla's is very limited. The selection could use light blue and light green that would still show some color while reflecting heat from the sun. My wife and I would like to purchase a corolla this fall but we would like a better color selection.
John Barnhart
Cedar Crest, New Mexico