J.D. Power: Customers Prefer AI-Based Technologies, Yet Automakers Might Lack Optimal Advanced Tech Strategy

Are vehicle owners feeling overwhelmed by technology features that fail to address real issues, are difficult to use, or have limited functionality? The J.D. Power 2024 U.S. Tech Experience Index (TXI) Study, released today, suggests that this may indeed be the case. While some advanced vehicle technologies receive praise from owners, others fall short.

New AI-based technologies, such as smart climate control, have quickly gained popularity among users. However, technologies like facial recognition, fingerprint readers, and interior gesture controls have not fared as well. These features often attempt to solve non-existent problems, leading to dissatisfaction. For example, owners report issues with interior gesture controls, noting 43.4 problems per 100 vehicles, with 21% of users citing a lack of functionality. This perceived lack of value means these technologies may not justify the significant investment automakers have made in developing them.

To address these concerns, J.D. Power has introduced a return on investment (ROI) analysis within the TXI findings. This analysis uses advanced data science to categorize technologies into three groups: must-have, nice-to-have, and not necessary. This classification helps automakers better align their technology strategies with customer expectations.

“A robust advanced tech strategy is essential for all vehicle manufacturers,” said Kathleen Rizk, senior director of user experience benchmarking and technology at J.D. Power. “While many technologies meet customer needs, this year’s study reveals that some are seen as either useless or annoying. Our ROI analysis helps carmakers identify which technologies warrant the most attention and manage rising vehicle costs more effectively.”

Key findings from the 2024 study include:

  • Preference for Hands-On Tech: Despite the growing presence of advanced driver assistance systems (ADAS), many drivers remain skeptical of their value. While features addressing specific concerns, such as visual blind spots, are appreciated, others, like active driving assistance, receive lower ratings due to perceived ineffectiveness. Hands-on versions of this tech score low in perceived usefulness (7.61 on a 10-point scale), and the hands-free variant does not significantly improve the experience (7.98), as it does not address a recognized problem.
  • Passenger Screens Underwhelming: Automakers are introducing more vehicles with passenger display screens, but owners often view these as “not necessary.” Many criticize the usability of these screens, and the complexity they add to the vehicle’s delivery process. Given that only 10% of vehicles have daily front-seat passengers, this technology’s value is questionable.
  • Tesla’s Tech Edge Diminishing: Tesla has traditionally been praised for its technology, but as its customer base grows beyond early adopters, satisfaction with some features, like direct driver monitoring (7.65), is declining.

Top-Ranking Brands:

  • Genesis leads overall and among premium brands for innovation for the fourth consecutive year, with a score of 584. Lexus (535) and BMW (528) follow in the premium segment.
  • Hyundai tops the mass market brands for innovation for the fifth consecutive year, scoring 518. Kia (499) and GMC (439) are second and third, respectively.

Advanced Technology Award Recipients:

  • Convenience Award: Toyota Sequoia for camera rear-view mirror technology. The premium segment does not have a winner in this category.
  • Emerging Automation Award: Genesis GV70 for front cross traffic warning (premium) and Kia Carnival for the same technology (mass market).
  • Energy and Sustainability Award: BMW iX for one-pedal driving (premium). The mass market segment does not have a winner in this category.
  • Infotainment and Connectivity Award: BMW X6 for phone-based digital key (premium) and Hyundai Santa Fe for the same feature (mass market).

The 2024 U.S. Tech Experience Index (TXI) Study is based on responses from 81,926 owners of new 2024 model-year vehicles surveyed 90 days after ownership. The study was conducted from July 2023 to May 2024, covering vehicles registered from April 2023 to February 2024.

For more details, visit J.D. Power’s TXI Study and view the press release.

Source Link:

Newsletter Updates

Enter your email address below and subscribe to our newsletter