GM Financial led overall manufacturer loyalty among captive lenders in 2017, the lender said Monday. Among captives, GM Financial reported the highest retention rate of customers who leased or financed a vehicle.
Returning lessees of GM vehicles leased a new GM vehicle at a rate of 81 percent last year, while vehicle owners who financed their purchase through GM Financial remained loyal to GM vehicles at a rate of 68.1 percent, according to GM Financial.
GM Financial says this is the second year it's topped IHS Markit's ranking. The captive had the highest manufacturer loyalty rate for returning lessees in the 2016 calendar year when 79.2 percent of current lease customers remained in a GM vehicle. Vehicle owners financing through GM Financial remained with the automaker at a rate of 67.3 percent.
IHS Markit validated the claim for GM Financial at the lender's request, as the topic is not one the research firm publicly reports on but would not elaborate to Automotive News on the standing of other lenders due to conflicts of client relationships.
GM Financial CEO Dan Berce credited the company's success with return customers to the automaker's loyal customer base. This is the third consecutive year that GM finished as the top automaker in IHS Markit's Automotive Loyalty Awards.
"There's no question that the base for GM Financial achieving high loyalty rates is what our parent company does," Berce said. Forty-five percent of GM's U.S. sales in the second quarter were financed through GM Financial, the company said last week, as its captive reported retail loan and lease originations of $12.3 billion.
Loan originations totaled $6 billion for the quarter, up 13 percent from the year earlier. Lease originations slid 7.4 percent to $6.2 billion.