Why Americans are more annoyed with their car purchases

People don’t like overpaying

Price was a big part of why. New car prices skyrocketed as a global microchip shortage and other supply-chain problems left automakers unable to build as many cars as Americans wanted to buy.

When dealers know they’ll find another buyer if the current prospect walks away, they don’t discount cars. In October 2021, incentives made up 4.3% of the average new car transaction price. One year later, they made up 2.1%.

The average non-luxury buyer in October paid $690 over sticker price. Luxury buyers continue to pay more than MSRP as well, though prices are trending closer to or below sticker prices in some luxury segments.

Also see: The luxury cars buyers look for most

Risk to long-term reputations

“When dealers charge more than MSRP, particularly with long-term loyal customers, they risk a potential long-term negative effect on customer advocacy and service business,” said Chris Sutton, vice president of automotive retail at J.D. Power.

Overall sales satisfaction, on a 1,000-point scale, stood at 786 in this year’s survey. Buyers who paid under MSRP reported an average of 850. Buyers who paid over reported 757.

Who had the best buying experience? Alfa Romeo customers reported a satisfaction level of 833. Alfa dealers have consistently had the highest inventory in the industry throughout 2022.

Industry stalwarts like Toyota
TM,
-0.77%
and Honda
HMC,
-1.75%,
meanwhile, have frequently found themselves with low inventories in 2022. They finished near the bottom of the index.

Read: The most and least reliable car brands, according to Consumer Reports

J.D. Power Sales Satisfaction Index among premium brands

J.D. Power Sales Satisfaction Index among mass-market brands

This story originally ran on KBB.com.