While it lost a slight bit of ground in terms of brand consideration among all luxury makes recently, Lincoln also posted the second-largest jump in brand loyalty last summer, a good sign for the luxury brand’s ability to retain its existing customers. However, new data from S&P Global Mobility suggests that Lincoln is among the least likely brands to seduce what it calls “Nomad” buyers, who are people that purchase one brand vehicle only to switch to another when it’s time to find a new one.
As Ford Authority reported yesterday, Ford buyers are among the least likely to become Nomads in the first place, showing strong brand loyalty to that make time and time again. This is notable because over the past 12 months ending June 2022, a total of 58 percent of Nomads left their brand – the highest such percentage in 10 years. This means that there is quite a bit of opportunity out there for brands like Lincoln to take advantage of customers looking to make a switch.
Regardless, it seems as if only Buick, GMC, and Cadillac did a worse job at attracting Nomads to the brand than Lincoln, as it pertains to this particular study. Interestingly, more than half of these Nomads have made the practice of switching brands a habit, and continue to do so each time the return to the market. This is one of the lesser talked about factors of conquests – it’s obviously desirable to attract owners of other branded vehicles to one’s brand, but if they don’t stick around after that, can they really be considered a conquest?
“Loyalists have an average 13-point advantage on a brand’s loyalty rate than Nomads,” said Erin Gomez, associate director of consulting for S&P Global Mobility. “Brands that fail to transform Nomads into Loyalists not only lose out on the immediate sale to the Nomad, but also the future loyalty benefit they could have provided as Loyalists.”
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Comments
I would consider myself a “nomad” buyer and would gladly consider a Lincoln…if it wasn’t for the fact that any Lincoln dealer in my area is a minimum one hour drive away. Would love a Corsair, but not worth the hassle/drive for servicing.
I disagree with this article pointing the finger at the customers that switched to other brands frequently. This former customer finds fault at the manufacturer. In the past I was a faithful Oldsmobile buyer…discontinued. Had to find another brand. Then bought Pontiacs…discontinued. Then Mercury..discontinued. Eventually settled on a luxury sedan with good mpg due to hybrid system. Thought allot of vehicles and dealership, a Lincoln MKZ hybrid. Bought every other year, ordering fully loaded MKZ hybrid from same dealer. That was loyalty! Then Ford/Lincoln pulled rug out and discontinued only offering boxy truck-like worst mpg than what I had. So once again forced to look elsewhere. Bought another luxury sedan hybrid truly getting 44mpg, better than any Lincoln currently offers. Don’t label customers switching because manufacturers forces us to select whatever they build. Lincoln produces MKZ replacement but only in China. Guarantee I’d be continuing buying Lincoln MKZ replacement …Zephyr!! Not available in USA so I had to look elsewhere because of Lincoln’s decision!!!!
I’ve been a lifelong GM customer (latest Buick Enclave CXL). October 2021 took delivery on a new Lincoln Corsair GT (PHEV). First Ford product ever. Very satisfied. Will try another Lincoln model in a year or two.
I started out in 1975 with a ’65 Studebaker Daytona. Ran it for 5 years until she just rusted out. Then got a ’71 Olds Cutless and an ’80 Monte Carlo. Stuck with GM until 2010 when I got my first Lincoln, a restored ’66 Continental left by my father. Ended up giving it to my cousin when I bought a new MKZ. Have been a Lincoln guy since. Just wish they’d still make sedans. Love my 2015 MKS!
The article is just discussing the habits of nomad buyers. It isn’t pointing a finger or blaming them for anything. If anything, the article is pointing a finger at Lincoln for failing to work harder to attract these customers given that Ford owners are least likely to be nomads. The automakers are simply following market trends with their offerings. They aren’t going to keep offering a hybrid sedan because a handful of loyal customers buy one every other year. While those customers are loyal, they don’t generate a lot of revenue for them when the broad market isn’t also purchasing that vehicle. So they either appeal to the loyal customers and lose money, or try to appeal to the broader market and maximize sales.
I’ve owned Plymouth, Dodge, VW, Pontiac (x2) , Ford (x2), Chevy (x4) , Hyundai…basically whatever vehicle best suits my needs at the time I am ready to buy. Next vehicle will be the same. Whatever best meets my needs. I’m not loyal to any one brand when it comes to cars. None of the automakers have ever demonstrated loyalty to me or tried to keep me as a customer. Dealers don’t even do that anymore. They sell you a car, and then try to soak every last cent out of you in the service department with needless upsells.
I will say this is a lot of millennial bla bla bla…. Lincoln advertising has been nominal and confusing at best…. the associative messaging is all over the place. Nomad customers are better defined as the next person coming through the door which is soon to disappear altogether with online buying only. Pricing competitiveness needs to prevail in an industry racked by price manipulations..
Bought 2 Lincolns for 2022,both are comfortable good looking, greatdriving vehicles and didn’t have to pay MSRP either. Would buy again when these get a few years on them.