Report: Compact Car Owners Remain Rather Loyal
Nov. 14, 2019—A recent Edmunds report revealed that instead of jumping on the SUV bandwagon, 42 percent of Cruze and Focus owners are choosing to stay in the passenger car segment. Analysts say losing these shoppers to the competition could hurt General Motors and Ford in the long run because the compact car segment is the largest passenger car segment (accounting for 9.1 percent of vehicle sales through September of this year) and compact car owners are among the most brand-loyal.
So far this year, 23 percent of Cruze owners and 31 percent of Focus owners who traded in their car for another car bought from a competitor.
The brand loyalty of former Cruze and Focus owners has been steadily declining in the last three years. The percentage of Focus owners trading in their vehicle and buying another Ford has declined from 40 percent in 2016 to 33 percent through September of this year.
Many former Cruze and Focus owners are going into direct competitive equivalents such as the Honda Civic and Toyota Corolla, but other brands are proving attractive, as well.