World's Worst Brand: Volkswagen Subsidiary Labeled as Such
In the latest J.D. Power 2025 Initial Quality Study (IQS), Asian car brands have made a significant impact, outperforming Volkswagen (VW) and its subsidiaries, including Audi and Porsche. The market research firm conducted a study on the satisfaction of American new car buyers and lessees, focusing on the initial quality of new cars within the first 100 days.
The results showed a clear outcome, with Lexus, a Japanese premium brand belonging to Toyota's subsidiary, taking the top spot in the ranking. Toyota itself placed better than VW in the study, while Honda also outperformed the German automaker.
Audi, a subsidiary of VW, came in last place in the study, with 269 problems per 100 vehicles. This was significantly higher than the industry average of 192 problems per 100 vehicles. The higher number of problems could be attributed to design, manufacturing, or technology integration issues, particularly in the infotainment category, which was the most problematic overall in the study.
The infotainment system issues, including touchscreens and non-audio features like climate controls, could have been particularly challenging for brands like Audi, known for their advanced infotainment systems. Furthermore, the complexity and technology found in modern vehicles, especially those from premium brands like Audi, may increase the likelihood of problems due to the integration of multiple features into a single system.
In contrast, Lexus, Toyota, and Honda generally performed better in the study, with Lexus ranking highest overall with a low score of 166 problems per 100 vehicles. Toyota and Honda, while not specifically mentioned among the top performers in the study, tend to emphasise simplicity and reliability, which may contribute to their generally better performance in such studies.
The competition from the Asian region is strong for VW, with Asian brands overtaking the German automaker in the study. VW itself does not make it into the top ranks, taking the fourth place from the back. However, the company has a lot to fight for on huge markets like China.
Interested individuals can take advantage of free test drives offered by Kia and other manufacturers. Kia is offering a free test drive for their electric crossover, the EV6 GT-line, which includes features such as a highway assistant, premium relaxation seats, and 325 hp.
[1] Chip.de, (2025). J.D. Power Survey: Lexus Tops Initial Quality Study. [online] Available at: https://www.chip.de/news/jd-power-studie-lexus-erste-stelle-in-der-qualitaetsstudie-11585056.html
[2] J.D. Power (2025). 2025 U.S. Initial Quality Study (IQS) Results. [online] Available at: https://www.jdpower.com/business/press-releases/2025-us-initial-quality-study-iq
[3] J.D. Power (2025). 2025 U.S. Initial Quality Study (IQS) Full Report. [online] Available at: https://www.jdpower.com/business/press-releases/2025-us-initial-quality-study-iq-full-report
The strong presence of Asian car brands, like Lexus and Toyota, in the automotive industry, as demonstrated by the J.D. Power 2025 Initial Quality Study (IQS), has led to a significant shift, outperforming established players such as Volkswagen (VW) and its subsidiaries Audi and Porsche. This study, focusing on the satisfaction of American new car buyers and lessees, revealed that the industry average for initial quality issues within the first 100 days was 192 problems per 100 vehicles, while Audi faced 269 problems, indicating a need for improvement in design, manufacturing, or technology integration, particularly in the infotainment category. On the other hand, finance plays a crucial role in the transportation sector, as evidenced by the free test drives offered by manufacturers like Kia, providing an opportunity for interested individuals to evaluate premium features such as those in their electric crossover, the EV6 GT-line.