Brand loyalty slipping amid shifting conditions

Brand loyalty among vehicle buyers has slipped below 50 per cent as tariffs and changing market conditions reshape shopping behaviour in the United States, a new survey found.

According to the J.D. Power 2025 U.S. Automotive Brand Loyalty Study, while volatility has weakened loyalty overall, brands with strong reputations, such as Toyota and Honda, continue to hold their ground.

“Brand loyalty matters to vehicle buyers because it’s often associated with higher residual values, making vehicles from trusted brands a more financially sound choice over time,” said Tyson Jominy, senior vice president of data and analytics at J.D. Power.

He noted that loyalty tends to drop when buyers switch segments and that factors such as model availability, product age and aggressive incentives have pushed loyalty back to 49 per cent from 51 per cent last year.

Ford ranks highest among truck brands for the fourth consecutive year with a 66.6 per cent loyalty rate, the highest in the study, followed by Toyota at 61.2 per cent. Toyota also leads mass market car brands at 62 per cent, with Honda second at 55.5 per cent. Honda tops mass market SUVs at 62 per cent, ahead of Subaru at 60.6 per cent.

In the premium category, Porsche leads car brands for the fourth year in a row with 58.2 per cent loyalty, followed by Mercedes-Benz at 49.7 per cent. Lexus ranks highest among premium SUVs at 57.4 per cent, with BMW close behind at 54 per cent.

The study, now in its seventh year, measures whether owners purchase the same brand after trading in an existing vehicle at a new-vehicle franchise dealer. It covers five segments: Premium car, premium SUV, mass market car, mass market SUV and truck.

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