2024 Automotive Industry Highlights

From the normalization of inventory, to a cooling of EV consideration, to the questionable performance of hybrids in 2024 and beyond, our team of J.D. Power experts have been busy tracking and analyzing the rapid evolution of the automotive industry this year. 

For those of us who struggle to remember all that this year entailed, here’s a quick recap of 2024 automotive industry highlights:


New Vehicle Quality

MASS MARKET BRANDS OUTPERFORM PREMIUM | According to reports from new-vehicle owners, mass market brands have a lower combined average problem count than premium brands, which often feature more complicated systems.
Source: 2024 U.S. Initial Quality Study

THIS STINKS | An unexpected 2024 automotive industry highlight was the growing number of reports from new-vehicle owners of unpleasant interior smells. This issue has worsened since 2023, with every brand except Kia and Nissan having an increase in unpleasant interior smell problems.
Source: 2024 U.S. Initial Quality Study

NEW-VEHICLE DESIGN BOUNCES BACK | Owner satisfaction with new-vehicle design and performance rebounded after two years of unprecedented decline, attributed to the work of automakers to launch vehicles that deliver on the features owners want most.
Source: 2024 U.S. Automotive Performance, Execution and Layout Study

AUTOMAKERS MAY NEED A NEW TECH STRATEGY | Vehicle owners are becoming overwhelmed with technology features that don’t solve a problem, don’t work, are difficult to use or are just too limited in functionality—and consumers found many newly launched technologies to be lackluster.
Source: 2024 U.S. Tech Experience Index Study

ARE VEHICLES LESS DEPENDABLE? | Vehicle owners are experiencing lower levels of vehicle dependability after three years of ownership than they did in 2023. The high number of problems owners encounter indicates a decline in long-term vehicle dependability, with increased levels of problems reported for nearly two-thirds of brands.
Source: 2024 U.S. Vehicle Dependability Study

Electric Vehicles

THE GAP IS GONE | Overall, new-vehicle owners remain dissatisfied with BEV quality in 2024 (and with hybrids in 2024). However, the gap between Tesla’s BEV quality and the BEV quality of traditional OEMs closed this year. While Tesla has performed better with new-vehicle owners in the past, the removal of traditional feature controls was not well received by Tesla customers. 
Source: 2024 U.S. Initial Quality Study

DISSATISFIED WITH HYBRIDS IN 2024 | Although they are being pitched as the best of both worlds, overall satisfaction with PHEVs is 669 (on a 1,000-point scale), while mass market BEVs (716) and premium BEVs (738) score much higher.
Source: September 2024 E-Vision Intelligence Report

CHARGING REMAINS A HUGE CONCERN | Lack of Charging Station Availability is the #1 reason new-vehicle shoppers reject EVs—a position it’s held for thirteen consecutive months. The good news? It looks like the industry is on the right track to course-correct! Actual owners of EVs are growing more satisfied with public charging. If this trend continues, their satisfaction should trickle down to boost shopper sentiment.
Source: U.S. Electric Vehicle Consideration Study and 2024 U.S. Electric Vehicle Experience Public Charging Study

Used Vehicles

PRICES ARE TRENDING DOWN | As of November 2024, average used-vehicle retail prices are $28,621, down $294 from a year ago. The decline in used-vehicle values is translating to lower trade-in equity for owners, down $540 from a year ago.
Source: November 2024 Automotive Forecast

LEXUS & HONDA CONTINUE TO HOLD VALUE | For a fourth consecutive year, Lexus and Honda receive the award for best premium brand and mass market brand, respectively.
Source: 2025 U.S. ALG Residual Value Awards


Retail

PURCHASE EXPERIENCE IMPROVES | Customer satisfaction with the vehicle purchase process continues to rise as new-vehicle inventory and pricing improve year over year.
Source: 2024 U.S. Sales Satisfaction Index Study

SERVICE WAIT TIMES ARE A PROBLEM | While customer satisfaction with the dealer service experience rebounded this year, dealers continue to grapple with parts and labor shortages that are fueling longer wait times for appointments.
Source: 2024 U.S. Customer Service Index Study


Websites

LOOKING GOOD | As a positive standout within the 2024 automotive industry highlights, overall satisfaction with car manufacturer websites is the highest it has been in three and a half years thanks to an increase of inventory and incentives.
Source: 2024 U.S. Manufacturer Website Evaluation Study


Automated Vehicles

CONSUMERS LACK CONFIDENCE | The automotive industry is seeing small signs of increased consumer confidence in fully automated, self-driving vehicles, but overall confidence remains low.
Source: 2024 U.S. Mobility Confidence Index Study

ROBOTAXI COVERAGE GROWS | There are now five cities where robotaxi services are available (Dallas, Las Vegas, Los Angeles, Phoenix and San Francisco), which is key, because once consumers actually ride in a robotaxi, they’re having a positive experience.
Source: 2024 U.S. Robotaxi Experience Study


Much remains to be seen in 2025—especially regarding EV incentives and used vehicle supply. But J.D. Power will keep a firm pulse on the market and continue delivering incisive industry intelligence to our clients and the public each step of the way.