GM, Hyundai Score Big Says Strategic Vision

SAN DIEGO--May 2, 20044, 2004--General Motors is starting to deliver on its promise of better products, according to the people who buy them. The auto giant led in 11 of 19 segments (five ties) on Strategic Vision's 2004 Total Quality Index(TM) (TQI), the San Diego-based research firm announced today.

Among GM brands, Chevrolet led with four wins (1 a tie), followed by Cadillac (3 wins; 1 a tie), Saturn (tied in 2 segments) and Buick (tied in 1 segment). "GM has been saying for some time that it's improving its products," says Strategic Vision vice president Daniel Gorrell, "so they should be proud that many of their buyers agree. The challenge will be to continue this momentum and regain the trust, and then the hearts and minds of the U.S. car and truck buyer."

TQI, the premier measure of new vehicle owner satisfaction, assesses new buyers' responses to the complete ownership experience, including buying, owning and driving their new vehicles. The calculations also include the emotional response to that experience.

In addition to the Santa Fe's repeat win in the small SUV segment, Hyundai's Elantra and Sonata were co-leaders in their segments. Nissan Motors also had three wins (2 were ties), two for Infiniti and one for Nissan. The other domestic manufacturers each had two wins, as did Honda (with one for each a tie). The Lexus 430 was Toyota's only top scorer.

Infiniti and Mercedes Benz were the highest scoring brands, while Cadillac continued in second place, tying with Jaguar and Lexus. Mitsubishi and Dodge were the most improved brands. "The real challenge for GM and other brands who are turning their products around," says Gorrell, "is to convince potential buyers, particularly entrenched Toyota and Honda owners, to take a look."

Buyers rated the following vehicles tops in their segments: (closely ranked scores, if the differences are not statistically significant, are considered ties)

Small Car         Hyundai Elantra / Saturn Ion(a) (tie)     867 / 867

Compact Car       Chevrolet Malibu / Hyundai Sonata (tie)   883 / 882

Mid-Size Car      Acura TSX                                       888

Larger Car        Buick LeSabre / Chrysler Concorde (tie)   851 / 851

Small Coupe less  Mini Cooper(a)                                  903
 than $25,000

Small Coupe       Chevrolet Corvette                              905
 greater than
 $25,000

Mid-Size Coupe    Chevrolet Monte Carlo                           885

Near-Luxury Car   Infiniti G35(a)/ Cadillac De Ville (tie)  900 / 899

Luxury Car        Lexus LS 430                                    922

Convertible       Cadillac XLR                                    928
 (greater than
 $30,000)

Minivan           Mercury Monterey / Honda Odyssey(a) (tie) 863 / 861

Small SUV         Hyundai Santa Fe(a)                             868

Mid-Size SUV      Nissan Murano / Saturn Vue (tie)          876 / 876

Large SUV         Ford Excursion(a)                               885

Near-Luxury SUV   Infiniti FX                                     912

Luxury SUV        Cadillac Escalade                               899

Compact Pickup    Dodge Dakota                                    834

Large Pickup      Chevrolet Avalanche 1500(a)                     888

Heavy Duty Pickup Chevrolet Silverado 2500/3500                   863


                  (a) 2003 Total Quality Award(TM) winner

The highest scoring model was the Cadillac XLR. Buyers loved its power, style, craftsmanship and handling, and found it well above the segment in innovation and quietness. It delivered a strong sense of esteem in being fun to drive, exciting and making its owners proud. The convertible made owners feel a sense of individuality and refinement in a finished, sophisticated vehicle.

Korean manufacturer Hyundai gained ten points for the brand. Even in segments it didn't win, it scored in the top five. "Hyundai's ascent," says Gorrell, "is nothing short of amazing. We measure their products against the best in the business, and they score well. People are no longer buying their vehicles just for price or warranty."

Volkswagen kept its place as the top-scoring full-line corporation, followed by Nissan, Honda and General Motors, which ranked above Toyota. "General Motors is the really big story for 2004," continues Gorrell. "Just to turn, let alone turn around such a giant is a major victory."

Data came from more than 39,290 buyers who bought 2004 models in October and November of 2003. "Their responses go into complex calculations that mirror the way people really respond to the vehicle ownership experience," says Dr. Darrel Edwards, Strategic Vision president and founder. "Accurate measures of customers' reactions have to include the emotions generated by the experience."

"Completely understanding new car buyers, especially their emotions that drive decisions, will be increasingly important," says Edwards. "Too much capacity and fewer defects are making the playing field increasingly crowded with less to differentiate the players. Those who can deliver the most positive emotional experience and go beyond that to delight their customers are going to be the winners."

This is the tenth year Strategic Vision has calculated the Total Quality Index(TM), with the first release in 1995. It also releases a Total Value Index(TM) and a Total Delight Index(TM) that calculate different facets of buyers' new vehicle ownership experience.

The research firm, founded in 1986, studies consumer and constituent decision-making on a variety of topics in diverse industries. Clients include most auto manufacturers, Coca-Cola, American Airlines, and Procter and Gamble, among many.