GM Among Both Most and Least Trusted Firms in U.S.

[Variance]

GM is Among Both Most and Least Trusted Firms in US

By BRADLEY JOHNSON | AUTOMOTIVE NEWS

AutoWeek | Published 02/14/06, 9:02 am et

General Motors is loaded with debt and is the subject of bankruptcy speculation. But give it credit: GM scores tops for trust among U.S. consumers.

There's a downside, though: GM also shows up on the list of companies that Americans trust least.

These are among the findings of the American Demographics 2006 Consumer Perception Survey. The survey was conducted by Synovate for Advertising Age, which, like Automotive News and AutoWeek, is published by Crain Communications Inc.

Last November, the online survey sought the views of more than 6,000 consumers in the United States and western Europe. Here's what they had to say.

For all industries regardless of location, what's the most trustworthy company? The least trustworthy?

The General rules: 9.3 percent of U.S. consumers cited GM as the company to trust among automakers. Ford and Toyota tied as the second most trustworthy companies. Honda followed.

Ford scored first among lower-income households. Toyota came out No. 1 in households with annual incomes of more than $75,000.

Consumers with high school diplomas chose GM as their most trusted company. Those with college or graduate degrees put their trust in Toyota.

The oldest consumers trust Detroit: GM (the favorite of Americans between the ages of 55 and 64) and Ford (first for 65-plus). Honda was the top pick for 25-to-34-year-olds. But 18-to-24-year-olds also ranked GM first, ahead of Honda.

Now the bad news: American consumers' picks for the five least trustworthy companies include GM, Ford and Kia.

Kia's score -- 3.6 percent of U.S. consumers listed it as least trustworthy -- reflects its perception problems. Kia's corporate parent, Hyundai, scored least trustworthy for 1.8 percent of consumers.

Thomas Mularz, senior vice president of Synovate, says these scores may reflect consumers' continued misgivings about Korean cars. "They have a big uphill battle," he says.

Mercedes-Benz is the most-trusted automaker among consumers in western Europe. The least trusted:

Fiat, followed by Kia.

What company's advertising is most believable? What company's advertising is most at odds with its image, reputation or product?

First place in advertising credibility for U.S. consumers was a virtual draw among the world's three largest automakers. GM was listed by 7.0 percent of consumers, Toyota and Ford by 6.9 percent apiece. Honda came in fourth with 4.3 percent.

GM had its highest credibility scores among older consumers and in households with annual income of less than $50,000. Toyota's ads were tops in credibility among younger and wealthier consumers. "Toyota has a very favorable image, especially in the States," Mularz says.

Asked which advertiser was least credible, 7.0 percent of consumers named Ford, followed by GM (5.7 percent), and Kia (3.1 percent).

When do you expect to be driving an alternative-fuel vehicle?

On average, Americans don't expect to switch to gasoline-electric hybrids or other alternative-fuel vehicles until 2025. One of every nine drivers doesn't expect to make the switch in his or her lifetime.

Younger, wealthier, better-educated and West Coast consumers expressed the greatest optimism about alternative-fuel vehicles. Consumers between the ages of 25 and 34 say they expect to switch in 13 years on average. Consumers with household incomes of more than $75,000 expect to switch within 14 years.

How we react

A recent survey asked American consumers to identify the first thing that came to their minds when they thought of automakers. These were among the responses.

General Motors

Positive comments about product (more mentions of "good" than "bad" for vehicles and quality), but many negative views of business (poor management, job cuts, bankruptcy)

Toyota

"Reliable," "quality," "economical" - a clear and consistent image

Link: http://www.autoweek.com/apps/pbcs.dll/arti...1024/LATESTNEWS

[ellives]

So what I took from this is that Toyota is in the position that GM was in 30 years ago. So little time to ruin a great company. Shows you what greed and lack of planning will do.

GM is Among Both Most and Least Trusted Firms in US 

By BRADLEY JOHNSON | AUTOMOTIVE NEWS

AutoWeek | Published 02/14/06, 9:02 am et 

General Motors is loaded with debt and is the subject of bankruptcy speculation. But give it credit: GM scores tops for trust among U.S. consumers.

There's a downside, though: GM also shows up on the list of companies that Americans trust least.

These are among the findings of the American Demographics 2006 Consumer Perception Survey. The survey was conducted by Synovate for Advertising Age, which, like Automotive News and AutoWeek, is published by Crain Communications Inc.

Last November, the online survey sought the views of more than 6,000 consumers in the United States and western Europe. Here's what they had to say. 

For all industries regardless of location, what's the most trustworthy company? The least trustworthy?

The General rules: 9.3 percent of U.S. consumers cited GM as the company to trust among automakers. Ford and Toyota tied as the second most trustworthy companies. Honda followed.

Ford scored first among lower-income households. Toyota came out No. 1 in households with annual incomes of more than $75,000.

Consumers with high school diplomas chose GM as their most trusted company. Those with college or graduate degrees put their trust in Toyota.

The oldest consumers trust Detroit: GM (the favorite of Americans between the ages of 55 and 64) and Ford (first for 65-plus). Honda was the top pick for 25-to-34-year-olds. But 18-to-24-year-olds also ranked GM first, ahead of Honda.

Now the bad news: American consumers' picks for the five least trustworthy companies include GM, Ford and Kia.

Kia's score -- 3.6 percent of U.S. consumers listed it as least trustworthy -- reflects its perception problems. Kia's corporate parent, Hyundai, scored least trustworthy for 1.8 percent of consumers.

Thomas Mularz, senior vice president of Synovate, says these scores may reflect consumers' continued misgivings about Korean cars. "They have a big uphill battle," he says.

Mercedes-Benz is the most-trusted automaker among consumers in western Europe. The least trusted:

Fiat, followed by Kia.

What company's advertising is most believable? What company's advertising is most at odds with its image, reputation or product?

First place in advertising credibility for U.S. consumers was a virtual draw among the world's three largest automakers. GM was listed by 7.0 percent of consumers, Toyota and Ford by 6.9 percent apiece. Honda came in fourth with 4.3 percent.

GM had its highest credibility scores among older consumers and in households with annual income of less than $50,000. Toyota's ads were tops in credibility among younger and wealthier consumers. "Toyota has a very favorable image, especially in the States," Mularz says.

Asked which advertiser was least credible, 7.0 percent of consumers named Ford, followed by GM (5.7 percent), and Kia (3.1 percent).

When do you expect to be driving an alternative-fuel vehicle?

On average, Americans don't expect to switch to gasoline-electric hybrids or other alternative-fuel vehicles until 2025. One of every nine drivers doesn't expect to make the switch in his or her lifetime.

Younger, wealthier, better-educated and West Coast consumers expressed the greatest optimism about alternative-fuel vehicles. Consumers between the ages of 25 and 34 say they expect to switch in 13 years on average. Consumers with household incomes of more than $75,000 expect to switch within 14 years.

How we react

A recent survey asked American consumers to identify the first thing that came to their minds when they thought of automakers. These were among the responses.

General Motors

Positive comments about product (more mentions of "good" than "bad" for vehicles and quality), but many negative views of business (poor management, job cuts, bankruptcy)

Toyota

"Reliable," "quality," "economical" - a clear and consistent image

Link: http://www.autoweek.com/apps/pbcs.dll/arti...1024/LATESTNEWS

[thegriffon]

What I get from this is that the scores aren't high enough to have any meaning at all.

[haypops]

What I get from this is that the scores aren't high enough to have any meaning at all.

That is a good point. Most surveys make small doffrences seem significant when they really aren't. By the way I participated in this survey!

[ellives]

I think you can read into it more than that. It's clear older Americans understand what a failure of GM or Ford would do. It's also clear the more affluent Americans tend towards the "safe" choice and/or the one returning resale value. It *was* interesting the 18 to 24 year olds picked GM. Maybe there's hope yet?

What I get from this is that the scores aren't high enough to have any meaning at all.

[FUTURE_OF_GM]

Toyota came out No. 1 in households with annual incomes of more than $75,000.

This is VERY significant... These are the people who CONTROL.

They CONTROL public opinion through the media, teaching and image. And they CONTROL assets of businesses, groups and themselves.

This, to me, is a HUGE reason why Toyota is successful and 'better' than GM.

Ford scored first among lower-income households.

Possibly why P.A.G. isn't doing as well as hoped?

Those with college or graduate degrees put their trust in Toyota.

Once again... See my above comment. And this will only get worse as the percentage of our population getting degrees is exploding. These people have FAR more influence on each other and others than most know IMO... It also emphasizes the "undereducated domestic driver" stereotype.

But 18-to-24-year-olds also ranked GM first, ahead of Honda.

WOW!! I am VERY surprised....

It does seem like, in my age group that GM DOES have a pretty good reputation. The problem is that they just don't make either 1) affordable vehicles or 2) affordable vehicles that are APPEALING. Honda also has a cult following and Toyota seems to be the DEFAULT choice for people who ARE NOT car people.

Now the bad news: American consumers' picks for the five least trustworthy companies include GM, Ford

And you can thank the anti-Detroit media...

WAIT< before you say "Get over it FOG" Think about this: Where is Chrysler?!?!?! NOT THERE, so it CERTAINLY isn't a "Big 3" general image problem. Chrysler has been 'excused' by the media now because of their outsourced ownership.

The bankruptcy stories CERTAINLY are not helping this either.

Toyota's ads were tops in credibility among younger and wealthier consumers. "Toyota has a very favorable image, especially in the States," Mularz says.

Younger, wealthier... You're looking at the future my friends...

7.0 percent of consumers named Ford, followed by GM (5.7 percent),

4 years of FIRE SALE ADVERTISING every 4 months can get you this.

Younger, wealthier, better-educated and West Coast consumers expressed the greatest optimism about alternative-fuel vehicles.

READ: Toyota's target set.

Positive comments about product (more mentions of "good" than "bad" for vehicles and quality), but many negative views of business (poor management, job cuts, bankruptcy)

Exactly---thank you media!

Now that the product is good, the media has turned to EDITORIALS on the business side to slam GM. Of course, it ould help if GM had made the CORRECT business moves in the first place.

"Reliable," "quality," "economical" - a clear and consistent image

Or, what happens when you get everyone in the media chnting the same thing...

***I think this is a very cool study with some very OBVIOUS results and very POSITIVE results for GM and Ford.