Tesla has the highest customer retention rate in the industry, says new study
According to a new study by US-based S&P Global, Tesla has the highest customer retention rate compared to any other carmaker.
As per the study, car buyers can be classified into three categories: Super Loyalists, Loyalists & Nomads. As the name suggests, Super Loyalists are customers who repeatedly buy from the same brand, while Loyalists have a history of repeating brands. Nomads, on the other hand, are customers who have no loyalty and are more likely to switch brands each time they are in the market for a new car.
Now, according to the data, 80% of Tesla owners are Nomads. However, this isn't too surprising, considering that Tesla is a relatively new company. Having said that, what's interesting is a subset of Nomads called "One and done" - referring to customers who own a brand once and leave. While the industry's "One and done" rate stands at 58%, Tesla's stands at just 39%, indicating that around 60% of the brand's customers will replace their existing vehicle with another Tesla.
S&P Global Mobility's Associate Director of Consulting, Erin Gomez, stated that apart from creating new products in various segments, carmakers are also finding other ways to increase loyalty in the Nomads segment. She added that by understanding the loyalty makeup of their customers and where Nomads are going, automakers can take a more targeted approach to retain them.
S&P Global's study reports that Tesla dominates the loyalty metrics in the Nomad segment. A previous study also reported that Tesla topped the list of having the most satisfied customers in the auto industry.
Source: Teslarati Link to Team-BHP news