Bankruptcy or talk of it may hurt sales of General Motors Corp. and Chrysler LLC products, a recent consumer survey says.
In BIGresearch's survey of customer intentions and actions, Chevrolet, Dodge and ill-fated Pontiac brands took hits in so-called Consumer Equity Share.
That's calculated by subtracting the average percentage of those considering a brand as a first or second choice, from the current percentage of ownership of the same brand.
Chevrolet lost 5.7 points, compared with last year, and Dodge dropped into the negative. Given the announcement of Pontiac's impending demise, the research firm says it's no surprise its equity share fell.
On the other hand, Ford Motor Co.'s Ford brand showed a positive Consumer Equity Share for April and edged out the competition for the top spot among consumers considering a new vehicle in the next six months.
“The uncertain futures for Chrysler and GM appear to have affected those consumers planning to buy a new car, with consideration down for these auto makers' nameplates,” says Pam Goodfellow, a senior analyst at BIGresearch.
“Ford, however, has accepted no government money, didn't go bankrupt and seems to be a more solid choice for consumers, as their consumer equity share has increased year-over-year,” she says.