Car brand loyalty in the Philippines: Pros & Cons

Oct 08, 2018 | Same topic: Best advice for car buyers
Car brand loyalty is important but it has its pros and cons that should weighed smartly.

Filipino car buyers are notoriously loyal to specific car brands which severely limits or clouds better judgement. This article will point out whether it’s good or bad.

I. Car brand loyalty in the Philippines

Selling cars in the Philippines is easy and hard at the same time because Filipinos are complex customers to deal with. A condition where the pros and cons of car brand loyalty come into play, for better or for worse.

Research revealed some details that shed on the brand-conscious of Filipinos. Shifting to other brands is less likely to happen with the tendency of car buyers to buy from established brands, despite a proven performance from new players. Which shows that car brand loyalty is based on personal preference than objective reasoning. This is the opposite to empirical and actual tests on safety and other road conditions, in which car models are subjected to.

top car brands philippines

Filipino car buyers are notoriously loyal to specific car brands which severely limits or clouds better judgement

Another peculiar occurrence is that Filipino car buyers are willing to pay a higher price for premium models but prefer to wait until actual experience proves otherwise. Pinoy car buyers value second-hand opinions or word of mouth that is subjective and not based on actual verified results. But, it does work for many car buyers who are considering a new car. There’s a good case for illustrating that Filipino car buyers are savvy but must do more research before actual decisions.

Here are some ideas that has stuck to Filipino car buyers, associated with their preferred car brand.

#1. Sub-compact cars and other car categories are more fuel efficient.

#2. Their preferred car brand has a rigid chassis than the least desired car brand.

#3. The engine of the preferred car brand is more powerful.

#4. Spare parts of some models are too expensive when compared to popular choices.

#5. Resale value of some car brands is more than others.

Some ideas may have validity, but with more controlled tests many of these notions may prove unfounded. Car brand loyalty is good, but other options do exist too.

II. Is car brand loyalty a self-defeating condition?

It can be argued that personal experience is more important than reviews, tests, or studies that thresh out everything about car performance. The answer is yes or no because car brand loyalty will force the carmaker to keep quality up, to keep their customers loyal.

If it’s no, other car brands will not be given a chance to prove how better their cars are. The essence of car brand loyalty is developing a good product that car buyers will get. Although, it really falls on the inclination of car buyers though. The pros and cons of loyalty to car brands are complex and need to be answered with clarity.

Car brand loyalty is a dual-edged sword which can make or unmake all players in the automobile market.

popular car brands in the philippines

Established brands have the best overall features that trump lesser known car brands

For some reasons, brand loyalty could be self-defeating for Filipino car buyers.

1. Established brands have the best overall features that trump lesser known car brands.

2. Some car brands charge more for their equipment when other new players have much more to offer, with better safety add-ons!

3. Alternative car brands cost less but are as reliable, compared to costlier options.

4. Features that are omitted in branded cars, will usually installed with some improvements.

5. Better performance with higher horsepower, torque, over other branded cars. Look at sub-compacts marketed by known brands, which are underpowered.

All the information presented in this primer by Philkotse.com is not absolute but should considered, if it fits anyone’s opinion well.

III. The Pros of car brand loyalty

Car brand loyalty exists because established car brands have strived to satisfy their customers, and have proven their worth. Knowing the pros and cons of loyalty to car brands does have its advantages though.

1. These established car brands have earned the trust of Filipino car buyers, over the years. There’s a good chance that the car driven is the same one, that our parents drove years ago.

2. Established car brands have perfected their technology to make better and safer cars for everyone to drive.

3. These brands know what their customers need and have something for everyone. Model line-ups are complete and have something for everybody.

4. Trusted car brand is reliable and efficient cars that are safe and performance oriented cars.

5. A trusted car brand has mastered the art of auto-making with drivers in mind, not the opposite.

auto brands philippines

Car brand loyalty exists because established car brands have strived to satisfy their customers, and have proven their worth

IV. The Cons of car brand loyalty

Not all car brands have all positives but have some negative to deal with too. Some negatives to consider before committing to full-on car brand loyalty.

1. Alternative car brands like Chinese cars have a lot to lose by selling lemons. New players can only win new customers if they can equal or better the competition. Filipino car buyers, who are brand conscious will lose out in the end.

2. To ignore what new players offer Filipino car buyers is short-sighted and with lower price points, it could be a win. Not all branded cars are worth it when compared to the actual specifications.

3. Only a few branded cars have the best safety rating, as opposed to all branded cars. The cars of new players need to satisfy safety requirements more than branded cars or have unsafe cars that are rolling coffins. More or less new players try to get a good safety rating that should be better or as good as branded cars.

chinese cars

Chinese cars have a lot to lose by selling lemons

4. It is a misconception that reverse engineered cars (copycats) are lesser than branded cars. These copycat cars are called inferior, by reverse engineering the weak spot of the template car is corrected. Sometimes the copycats can do better than the template branded car.

5. Trusted car brands can breeze through without trying, but alternative car brands need more effort to convince new and old buyers. Taking the effort to pack in good specifications, comfort features, and a good price point makes alternative car brands a good option, that shouldn’t be ignored. Branded cars have established prices or a bit costlier, but “alternative car brands” have lower prices and packed to be better overall options.

V. Are major car brands giving our money’s worth?

This question really depends on the pros and cons of car brand loyalty with Filipino drivers which can be a bit complex. We’ve established to things that sums up what most Filipino car buyers prefer about top established car brands.

  1. A trusted brand is always preferred.
  2. Word of mouth is considered valid, just like other reliable sources about car performance.

Going over the pros and cons that should be considered whether brand loyalty benefits Filipino car buyers are important. Brand loyalty is good, but to limit choices in a small spectrum is not beneficial. With more car makers coming in and offering more options that are good options, it is a chance to get better price points and features.

Source: Norjan Ismail Abbas