It has been said that, without risk, there is no reward. Nowhere is this truer than in the global auto industry. For automakers, the risk of introducing new vehicle technologies—despite the potential problems—is well worth the investment. According to the recently released JD Power 2022 U.S. Tech Experience Index (TXI) Study, while new-vehicle technology is risky in terms of customer satisfaction, it is absolutely vital for retaining existing customers and gaining new ones.
Photo: Liz Kim
"JD Power transactional data shows that getting the right mix of technology features owners want is important to perception, profits, and sales," said Kathleen Rizk, senior director of user experience benchmarking and technology at JD Power. "When owners get the technology features they really want—and which meet their user-experience expectations—the results are positive, and those owners tell their friends about the experience."
The TXI Study, which focuses on advanced vehicle technology as it first comes to market, complements the annual Initial Quality Study (IQS) and the Automotive Performance, Execution and Layout (APEAL) Study. The TXI Study combines the level of adoption of new technologies for each brand with excellence in execution. The execution measurement examines how much owners like the technologies and how many problems they experience while using them. JD Power tracks these issues using the company's established problems per 100 vehicles (PP100) metric, in which a lower PP100 score indicates better quality.
According to the 2022 TXI Study, the advanced technology on vehicles often results in a significant rise in problems experienced. Of the advanced technologies included in this year’s study, 46 percent had at least one problem with a PP100 score higher than the most problematic attribute included in the 2022 IQS. Some even exceeded it several times over.
Despite this, advanced technology doesn't always lead to more problems. According to the study, some automakers are much more adept at implementing a particular technology. For instance, the PP100 scores for rear-seat reminder technology range from 1.9 to 26.2 PP100. This shows that automakers can, in fact, introduce new vehicle technologies without compromising overall customer satisfaction.
Despite the inherent risks in launching a new vehicle technology that might not perform well or live up to consumer expectations, pulling back on innovation for fear of failure is a mistake for automakers. According to JD Power, when automakers effectively execute a new technology in a vehicle, it positively influences an owner's decision to purchase another car, truck, or SUV equipped with that same technology.
"Innovation is non-negotiable," Rizk said. "The fact that the average PP100 for a technology is high should not discourage automakers from innovating, as there is often a wide range of total problems experienced for a technology across the brands. This means that some are innovating more flawlessly for a particular tech, while others struggle with their execution."
Key findings of the study include:
Several auto brands score well in the 2022 TXI Study. Genesis ranks highest in the study and among premium brands with an Innovation Index score of 643 (on a 1,000-point scale). Cadillac (584) ranks second, while Mercedes-Benz (539) ranks third. Among mass-market brands, Hyundai (534) ranks highest, with sister brand Kia (495) ranking second. There's a three-way tie for third, with Buick, GMC, and Subaru each achieving an index score of 482.
Similar to other JD Power studies, Tesla is not officially ranked in the 2022 TXI Study. Unlike other manufacturers, Tesla doesn't share with JD Power owner information in 15 states. However, JD Power gives the electric vehicle (EV) manufacturer an unofficial score based on survey responses from verified Tesla owners in the other 35 states. That said, the automaker performs well in the study, with an Innovation Index score of 681.
The TXI Study analyzes 35 automotive technologies, divided into four categories:
Only technologies classified as advanced are award eligible. JD Power issues awards for the top-performing brands in each category.
Individual model highlights are as follows:
The 2022 U.S. Tech Experience Index (TXI) Study is based on responses from 84,165 owners of new 2022 model-year vehicles whom JD Power surveyed after 90 days of ownership. The company fielded the study from February through May 2022.
JD Power is the source of information for this article. It was accurate on August 25, 2022, but it may have changed since that date.
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