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Ad Spend Well Spent, Decline In Reliability, Fisker’s Quality Issues

Author
More Than Cars Media Network
Published
Tue 13 Feb 2024
Episode Link
None

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We’re rolling into Tuesday talking about some impressive ad results for some automakers after the big game. We’re also talking about JD Power’s latest report showing a dip in quality as well as Fisker’s specific quality challenges. 

  • The numbers are in…after the auto industry’s Super Bowl commercial showing VW, Kia, Toyota and BMW ads for their latest EVs drove a notable  surge in online interest, with VW's nostalgic journey capturing the most attention.
    • VW's ad, celebrating 75 years in the U.S., topped search traffic increases on Cars.com, Autotrader, and Kelley Blue Book. The ad that tied the development of VW with the development of America earned the third highest engagement among all advertisers
    • VW accounted for 69 percent of all search activity after the big game, followed by 15 percent for Kia, 10 percent for Toyota and 6 percent for BMW
    • Search for the ID Buzz increased 13x on Kelley Blue Book
    • Both Kia and VW made it into the top 10 list for all Super Bowl ads
    • Brian Moody, executive editor at Autotrader and Kelley Blue Book said, "Volkswagen specifically has woven their vehicles into the tapestry of the American experience...They not only captured that sentiment, but used it to introduce VW and the ID Buzz to an entirely new generation of drivers."
  • The latest J.D. Power study reveals a declining trend in vehicle dependability, as vehicles experience more problems in their first three years.
    • The 2024 study reports an increase in vehicle problems to 190 PP100, with nearly two-thirds of brands showing more issues that previously
    • Infotainment systems are the most problematic area, with connectivity and voice recognition leading in complaints
    • Electric vehicles, including battery electric and plug-in hybrids, report more problems than gas-powered and traditional hybrids
    • Lexus, Toyota, and Porsche lead in dependability rankings, with Toyota vehicles winning the most model-level awards
    • "A deterioration of vehicle dependability is unusual," noted Frank Hanley, J.D. Power's Senior Director of Auto Benchmarking

  • Fisker's all-electric SUV, the Ocean, has been plagued by reports of sudden power loss, braking issues, and other technical problems since its launch, challenging the company's quality assurances and customer service capabilities.
    • Fisker Ocean owners have reported over 100 incidents of sudden power loss, with issues extending to braking problems, glitchy key fobs, and hoods flying open.
    • The National Highway Traffic Safety Administration is investigating the braking issues, which Fisker claims have been resolved through software updates.
    • Despite these challenges, Fisker delivered around 4,900 Oceans in 2023 but faces customer lawsuits and growing complaints about vehicle quality.

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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