Posted on 01/08/2007 6:15:51 AM PST by Flavius
WASHINGTON (AP) -- Americans have a bias against cars made by U.S. automakers, but an AP-AOL Autos poll found flickers of loyalty that could offer hope for an industry struggling to survive.
The problem for Detroit is changing perceptions that often don't match reality.
hose questioned in the survey said they have more faith in Japanese-made cars than in vehicles produced by Detroit's Big Three. But General Motors Corp., Ford Motor Co. and the Chrysler Group are going back to the future in their uphill effort to again inspire consumer loyalty and regain market share.
What is the American auto industry doing to reclaim its evaporating support?
The industry is returning to the types of autos that gave it a sense of "swagger and attitude in the 1960s," said John Wolkonowicz, an auto industry analyst. Many of those cars will be on display in Detroit over the next two weeks during the North American International Auto Show.
And the mood of U.S. auto industry leaders?
"They're tearing their hair out," said Wolkonowicz, who works at Global Insight, an economic research and consulting company. "It's more of a problem of perception than reality. The problem started in the late 1960s and early 1970s."
Back then, a teenager's first set of wheels probably was something like a 10-year-old American-made car, with all the attendant problems. The replacement might have been a new Japanese compact, a more reliable performer with better gas mileage.
As the Japanese began offering luxury models, that brand loyalty grew stronger. Also, European-made cars became more popular as consumers looked to drive something distinct from their parents' vehicles.
In the poll, 44 percent said Japan makes the best autos, 29 percent said the United States and 15 percent said Germany. Asked what car manufacturer makes the best autos, 25 percent said Toyota, 21 percent said General Motors and 17 percent said Honda.
"The best cars are made in Japan or maybe a BMW from Germany," said Pat Goeglein, 51, who lives near Los Angeles and works in real estate. "Those cars last forever. I have to get economy out of my cars."
While the public perceives that Japan makes the best cars, several poll findings could offer encouragement for U.S. automakers.
--Only 17 percent of current or potential car owners in the poll say they prefer to buy foreign cars. Also, 39 percent said they prefer to buy American cars and 44 percent said it makes no difference.
--Support for buying American cars increases with age, but six in 10 of those 30 or younger said they were open to buying foreign cars or American cars. That suggests they may be receptive to efforts of American automakers to win them over.
--Eighty-five percent of foreign car owners said they were very satisfied with their cars, while eight in 10 owners of American cars were very satisfied.
Auto industry analysts say many people have the perception that cars made overseas are built better than American cars. But the performance of American-made cars is now actually very close to those made in Japan and higher than many cars made in Europe, they said. Foreign cars do have an advantage in resale value, however.
The domestic industry is trying to bring consumers into showrooms to look for something other than trucks, offering traditional cars like the Ford Mustang and introducing muscular new models of the Chevy Malibu and a concept car that could serve as a replacement for the popular Chrysler 300.
For the past decade or so, American automakers have tried to win back car buyers who purchase gas-efficient imports, industry analysts said, but that effort has met with limited success.
American models are getting more gas-efficient, analysts say, and prices for regular gas have dipped from their average $3-per-gallon price last summer.
But the biggest audience for American-made cars and trucks may be the blue-collar population, analysts said.
The poll found that 51 percent of those with a high school education or less preferred American-made motor vehicles, while 31 percent with a college degree felt that way. Younger people and those with less education were also most interested in more traditional or "retro" cars.
The share of autos sold in the U.S. by the Big Three has dropped sharply in recent years. General Motors and Ford have cut their labor force and related costs to be more competitive, and the Chrysler Group of Daimler Chrysler is likely to make similar moves.
George Maglione, an auto industry analyst, said the Big Three's share of the market has dropped from seven in 10 sold in 1998 to just over half sold in 2006.
That dropping share has accelerated as older people, the generation most loyal to American cars, have aged and left the buying market.
That has made it critical that American automakers win over young adults, who are just starting to build their loyalties.
Leticia Bowlin, a 29-year-old mother from Sanford, Fla., said she makes her choice on what car to make based on its ratings and safety features.
"I don't have a preference based on the country," she said.
Features such as side air bags and antilock braking systems were the options people most wanted, while onboard navigation systems interested them the most, according to the telephone poll of 1,004 adults conducted Dec. 19-21. The margin of sampling error was plus or minus 3 percentage points.
Both American and foreign automakers offer such features, so they may not be the key factors in a purchase decision. And there are some willing to buy American just to be patriotic.
Justin Watson, a 25-year old laborer and student from Beaumont, Texas, says he is fiercely loyal to American cars.
"My great-grandfather, grandfather and father fought against these people," he said of countries that are leading competitors of American automakers. "We're killing ourselves by buying their cars. I drive a Dodge truck, and always buy American."
AP Manager of News Surveys Trevor Tompson, AP News Survey Specialist Dennis Junius and business writer Tom Krisher contributed to this report.
Ipsos: http://www.ap-ipsosresults.com
I used to buy Detroit's cars. Not any more. The come up with a neat design and then "cost accounting" gets into the manufacturing processes and they become unusable junk. They cut costs and quality to pay those high labor costs.
I'll gladly pay more for a Toyota...because it's worth the extra money I'm spending up front. I have owned cars from Detroit as recently as two years ago, and will never buy another one. Have fleet vehicles from Detroit now, and they are absolute garbage.
My first Toyota 4Runner has been excellent. 1996...175K on her and still runs strong, no rust in rusty Western NY. Mantainence has been minimal. Consumables like tires (50K) and brakes (70K), 1 exhaust system (145K), oil (every 3K) and gas (24MPG). The interior is worn, but it doesn't squeak, tick or have wind noise.
I liked it so much I bought another one for the wife.
The number of times I have been stranded by my Detriot cars & trucks is too long to list.
Until GM, Ford, and Chrysler, break their unions I won't buy their vehicles.
I know, I own two Toyotas, and my daughter has a Honda...
After driving BMW's for 17 years, I finally broke down and got a new Tundra Ltd in 2003. Now we also have a 2005 Sienna and a 2006 Corolla. All three are trouble-free(knock on wood) and a pleasure to drive.
because I'm 51 and spent 1/2 my life in auto parts/machine shop work and also won the Chevy walk around and am privey
to the trucks details
Happiest day of ownership was when it was stolen and partially stripped. Unhappiest day was when the insurance company would not total it! Second happiest day was when it was stolen a second time! You guessed it, insurance had it repaired! I immediately traded it on a Honda. Never looked at another American car.
Maybe if Olds would take care of some of their crappy assembly, I'd reconsider...oh yeah except for that little thing about the company's demise.
I had a '72 Chevy Blazer, a great vehicle. Also, an '87 K-5 Chevy Blazer that fell apart at 75,000 miles...last GM product I've owned, except for my wife's Saabs, of which 3 were wonderful and one (the first design under GM management) wasn't very good. Her '04 Saab is wonderful, though.
gas hog too
read post 86
If you hire someone to come into your house to do work for over $10,000 and you end up with a bad experience because of that person, would you ever hire them again to do anything for you? Of course not.
Cars are a big high cost item. Once you commit to one, only to find out that it's junk, how can American pride make enough of a difference to reward that company with another purchase? I can't tell you the number of times someone has sneered at me and said "what, American cars aren't good enough for you?"
The big three only need to embrace three things.
QUALITY,VALUE, AND RELIABILITY.
QUALITY: Means just that, no rusting out, no mechanical problems,no "cheap" parts.
VALUE: People will pay for quality and reliability because it offrs good value.
RELIABILITY: Nothing is more bothersome than a mechaical malfunction in the first 10 years. Really well made cars should (and do) hold up for 10 years and 200,000 miles.
My brother and I rented a Taurus in the early 90's at the airport at Ft. Lauderdale. The car broke down driving out of the rental lot. They replaced it with another Taurus which caught on fire while leaving the rental lot (no one hurt, luckily)! The third time we insisted on something other than a Taurus. Of course, as a former Escort owner you'd think my brother would have learned his lesson already.
You couldn't get me into a Ford dealership at gunpoint.
I bought a '97 Windstar with 47K miles. By 83K, I had its 5th tranny put in. They told me they had plastic parts in the tranny that bent under pressure. Luckily, they were all warranty fixes. Traded it in for an '04 Honda Odyssey. No problems in 60K.
I owned only Fords up until that Windstar. Never had one problem with any of the others. Now my wife won't go near a Ford dealer.
Bias? BS, decades of poor prouducts produced by unionized employees and dinosaur management.
I'll take my American made Toyota.
And when their co-workers fail to report for work, show up drunk, sleep on the job or commit crimes they actually do something about it - no "union brotherhood" to worry about.
Fair enough but I would think that any "best" award would have to take reliability into account.
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