Vehicle manufacturing quality in India significantly improved over past 5 years: JD Power study

In what can be seen as an affirmation of improving vehicle manufacturing quality from Indian automakers, the latest JD Power Initial Quality Study (IQS) for Indian vehicles has revealed that new-vehicle quality in India has improved significantly over the past five years. This is specifically in areas pertaining to defects and malfunctions.

A big winner is Hyundai Motor India which has seen three of its cars – the Eon, i10 and Elite i20/Active – bag the highest rating in the IQS. The Eon ranks highest in the entry compact segment with 78 PP100; the i10 ranks highest in the compact segment with 83 PP100, and the debutant Elite i20/ Active ranks highest in the premium compact segment with 61 PP100.

Honda and Toyota each receive two model-level awards. The Honda Brio tops the upper compact segment with 41 PP100, and the Honda City rules the midsize segment with 68 PP100. The Toyota Etios ranks highest in the entry midsize segment with 82 PP100, and the Toyota Innova ranks highest in the MUV/ MPV segment with 44 PP100. The Ford EcoSport ranks highest in the SUV segment with 75 PP100.

The IQS is based on evaluations from 8,438 vehicle owners who purchased a new vehicle between November 2014 and July 2015. The study, which was fielded from May 2015 to September 2015 in 30 cities across India, includes 69 vehicle models from 17 makes.

The study, now in its 19th year, measures problems owners experience with their new vehicle during the first two to six months of ownership and examines more than 200 problem symptoms covering eight vehicle categories (listed in order of frequency of reported problems): engine and transmission; HVAC; driving experience; vehicle exterior; features, controls and displays; vehicle interior; seats; and audio, entertainment and navigation. All problems are summarised as the number of problems per 100 vehicles (PP100), with a lower PP100 score indicating a lower incidence of problems and higher initial quality.

The industry averages 96 PP100 in 2015, which is 22 PP100 fewer than in 2011. Problems related to defects/ malfunctions account for 52 of the total PP100, a 26 PP100 decline since 2011. Design-related problems, such as features difficult to use and excessive fuel consumption, are at 36 PP100 in 2015, down marginally from 38 PP100 in 2011.

Commenting on the study, Mohit Arora, executive director, JD Power, Singapore, said, “The industry overall has made significant strides in improving the quality of vehicles, dramatically reducing defects and malfunctions. This clearly demonstrates the manufacturing capabilities of the automakers in India.”

Arora noted that reliability, styling and quality are among the top purchase decision factors when selecting a vehicle, and problems experienced in the first six months of ownership can affect repurchase behavior. “These early problems can set the tone for the entire ownership period and still have an effect years later when consumers replace their vehicle,” Arora said. “Therefore, it would be prudent for automakers to focus on quality, specifically reducing design-related problems, to deliver a best-in-class vehicle ownership experience and improve customer loyalty and advocacy.”