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J.D. Power and Associates Reports: Mercedes-Benz Ranks Highest in Automotive Initial Quality in South Africa


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Mercedes-Benz Plant Ranks Highest in Initial Quality among Manufacturing Plants in South Africa

JOHANNESBURG, South Africa, Nov. 13 -- For the first time since the inception of the study in 2004, Mercedes-Benz ranks highest in initial quality among passenger vehicle nameplates in South Africa, according to the J.D. Power and Associates 2008 South Africa Initial Quality Study(SM) (IQS) released today.

The study is a customer-driven measure of problems experienced during the first three to seven months of ownership, and examines 228 individual problem symptoms across nine factors: vehicle exterior; the driving experience; features/controls/displays; audio/entertainment/navigation; seats; heating, ventilation and air conditioning (HVAC); vehicle interior; engine/transmission; and other problems. All problems are identified as the number reported per 100 vehicles (PP100), with lower scores indicating fewer problems and therefore better quality.

With 164 PP100, Mercedes-Benz ranks highest among passenger vehicle nameplates. Honda (165 PP100) follows Mercedes-Benz in the rankings. Rounding out the top five are Audi (175 PP100), BMW (193 PP100) and Kia (194 PP100).

In addition, the Mercedes-Benz East London assembly plant that produces the Mercedes-Benz C-Class ranks highest among South Africa plants in initial quality for a second consecutive year. Vehicle assembly plants are ranked based solely on the number of defects and malfunctions in vehicles produced at the plant. Furthermore, the Mercedes-Benz A-Class ranks highest in initial quality in the upper small car segment with 97 PP100 -- the fewest problems of any model in the 2008 study.

"Mercedes-Benz's continued attention to detail has enabled it to pass its competitors and rise to the top rank in 2008," said Brian Walters, vice president of J.D. Power and Associates Europe, Middle East and Africa operations. "The continued industry leading performance of the Mercedes-Benz East London plant is particularly remarkable considering that the plant was retooled in 2007 to produce left-hand drive vehicles for export to the United States and other markets. Maintaining high levels of quality in the face of major changes to a production line requires a concerted effort by the local workforce and supplier base."

The study finds that the number of quality problems experienced has a direct impact on customer advocacy. Among customers who experience one or no problems, 82 percent say that they "definitely would" recommend their vehicle to a friend, relative or colleague. Among customers who report two or more problems, the recommendation rate declines to 58 percent. Similar advocacy patterns exist in other markets where J.D. Power and Associates conducts the Initial Quality Study.

"Customer advocacy rates are an important indicator of a brand's health," said Walters. "High advocacy rates can fuel a brand's sales, particularly in tough economic times, as many customers rely heavily on recommendations when selecting a new product or service."

2008 IQS Ranking Highlights

Among pickup truck nameplates, Toyota (200 PP100) ranks highest for a third consecutive year. Opel (207 PP100) and Isuzu (262 PP100) follow in the pickup truck nameplate rankings.

Toyota receives four model awards in 2008, more than any other manufacturer. Toyota models ranking highest in their respective segments are the Corolla Verso (compact MPV); Hilux single cab (one-ton single cab pickup) and Hilux double cab (one-ton double cab pickup); and Yaris (which ties with the Honda Jazz in the lower small car segment). The Hilux single cab and Hilux double cab pickups each rank highest in their respective segments for a third consecutive year.

The Honda Jazz, (in a tie with the Toyota Yaris) ranks highest in the lower small car segment for a fifth consecutive year. Other repeat award recipients include the Kia Picanto (which ranks highest in the lower compact car second for a second consecutive year) and the Opel Corsa Utility (ranking highest in the compact pickup segment for a fourth consecutive year).

Other models that receive awards include the Mercedes-Benz A-Class (upper small car), Audi A4 (medium car) and Subaru Forester (compact SUV).

Following the Mercedes-Benz East London assembly plant in the plant rankings are the BMW Rosslyn plant and the Toyota Prospecton plant.

J.D. Power and Associates is recognised across the globe as the leading independent authority on consumer-reported quality in the automotive industry. The company's primary role is to help automotive manufacturers further improve their product quality and service levels through a better understanding of consumers. J.D. Power and Associates also provides its study results to consumers for use as a reference point when purchasing a new vehicle.

Since its launch in the United States in 1987, the IQS has become a quality standard used by virtually every automotive manufacturer around the world. In addition to South Africa, J.D. Power and Associates conducts vehicle quality research in many other markets, including China, France, Germany, India, Indonesia, Japan, Malaysia, Philippines, Russia, Taiwan, Thailand, the United Kingdom and the United States. Each year, more than one million new-vehicle buyers around the world receive a J.D. Power and Associates IQS survey.

The 2008 South Africa Initial Quality Study is based on a representative sample of more than 9,300 new-vehicle owners who purchased their vehicles between December 2007 and April 2008. The study was funded entirely by J.D. Power and Associates as part of its global research programs, in co-operation with the Road Traffic Management Corporation (RTMC), and includes a section of questions to assist the Corporation and the Department of Transport (DOT) in measuring the performance of its vehicle and drivers licensing programme.

  Initial Quality Nameplate Ranking-Passenger Vehicles
  Problems per 100 Vehicles
  (Lower score reflects better quality performance)
  Mercedes-Benz                        164
  Honda                                165
  Audi                                 175
  BMW                                  193
  Kia                                  194
  Toyota                               199
  Mazda                                217
  Land Rover                           222
  Hyundai                              232
  Renault                              241
  Passenger Vehicle Segment Average    245
  Daihatsu                             252
  Chevrolet                            255
  Ford                                 265
  Nissan                               289
  Peugeot                              303
  Volkswagen                           307
  Opel                                 325

  NOTE:  The passenger vehicle segment includes car and SUV models only.
  Included in the study, but not ranked due to small sample size are:
  Cadillac, Chana, Citroen, Dodge, Fiat, Geely, Great Wall Motors, HUMMER,
  Jaguar, Jeep, Lexus, Mahindra, MINI, Mitsubishi, Porsche, Seat, Soyat,
  Subaru, Tata and Volvo.

  Initial Quality Nameplate Ranking-Pickup Trucks
  Problems per 100 Vehicles
  (Lower score reflects better quality performance)
  Toyota                         200
  Opel                           207
  Isuzu                          262
  Pickup Truck Segment Average   333
  Ford                           346
  Nissan                         367
  Great Wall Motors              524

  NOTE: The pickup truck segment includes compact pickup truck and one-ton
  pickup truck (single and double cab) models only.
  Included in the study, but not ranked due to small sample size are: BAW,
  Chana, FAW Meiya, Fiat, GONOW, Hyundai, Kia, Mahindra, Mazda, Mitsubishi,
  Proton, Soyat and Tata.

  Top Vehicles per Segment in Initial Quality
  (Lower score reflects better quality performance)
  Problems per 100 Vehicles

  Lower Compact Car
  Kia Picanto                 199
  Chevrolet Spark             221
  Hyundai Atoz                227

  Lower Small Car
  Honda Jazz (tie)            129
  Toyota Yaris (tie)          129
  Mazda 2                     180

  Upper Small Car
  Mercedes-Benz A-Class        97
  BMW 1 Series                156
  Honda Civic Sedan           164

  Medium Car
  Audi A4                     157
  Mercedes-Benz C-Class       173

  Compact MPV
  Toyota Corolla Verso        246

  Compact SUV
  Subaru Forester             182
  Honda CR-V                  189
  Nissan X-Trail              190

  Compact Pickup
  Opel Corsa Utility          207

  One-Ton Single Cab Pickup
  Toyota Hilux Single Cab     203
  Isuzu KB Single Cab (new)   222

  One-Ton Double Cab Pickup
  Toyota Hilux Double Cab     201
  Isuzu KB Double Cab (new)   287
  Mazda BT-50 Double Cab      299

  About J.D. Power and Associates

Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, training and customer satisfaction. The company's quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

Founded in 1888, The McGraw-Hill Companies is a leading global information services provider meeting worldwide needs in the financial services, education and business information markets through leading brands such as Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2007 were $6.8 billion. Additional information is available at http://www.mcgraw-hill.com/.