Bernstein's survey shows BYD no.1 EV brand in China, followed by Tesla and VW

Investing.com -- According to Bernstein's 2024 proprietary survey of Chinese car buyers, BYD (SZ:002594 ) has extended its lead as the most recognized electric vehicle (EV) brand in China.

The survey, which gauges consumer sentiment, car-buying intentions, and brand preferences, revealed that BYD was the top brand in unaided recall among respondents, followed by Tesla (NASDAQ:TSLA ) and Volkswagen (ETR:VOWG_p ) (VW).

Bernstein's survey highlights that BYD's brand awareness surged by five percentage points compared to last year.

"This supports our bullish view on BYD, and points to potential for market share gain in the domestic market," said Bernstein.

In contrast, Volkswagen saw a 3-point drop in awareness, signaling potential challenges ahead for the German automaker in the highly competitive Chinese market.

The survey, conducted among 1,548 Chinese consumers across different regions, income levels, and age groups, showed BYD maintained its dominance, while newer entrants like Xiaomi (OTC:XIACF ) also made a strong impression.

Despite being a recent player in the auto industry, Xiaomi ranked ahead of traditional premium brands like Mercedes. On the other hand, Huawei's AITO, another recent market entrant, lagged behind, coming four spots after Li Auto (NASDAQ:LI ).

Bernstein's findings suggest domestic EV brands are seeing increasing loyalty, with 68% of respondents indicating a willingness to repurchase from the same brand, a significant jump from 51% in the previous year.

This trend reflects the growing strength of Chinese EV makers at the expense of Japanese and German brands, which continue to see declines in brand loyalty.

As Bernstein notes, the expanding mindshare of Chinese EV brands, alongside their rising brand loyalty, underscores their growing influence in China's rapidly evolving auto market.

Source: Investing.com