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What Drives Affluent Client Loyalty & Preferences?

Cracking the Code on Affluent Clients: Trust, Technology, and Opportunity

VIDEO: Financial Services Intelligence Update — January 2025

When it comes to affluent consumers, one thing stands out above all else: trust. It’s not just important—it’s the ultimate differentiator. As wealth transfers between generations and new technologies reshape the industry, JD Power’s latest research offers exclusive insights into how banks and wealth firms can meet—and exceed—the expectations of their most valuable clients.

In the newly released JD Power Affluent Client Trend Report, JD Power combines several benchmark studies to provide valuable insights into the affluent and emerging affluent customer base. Drawing on data from more than 250 financial institutions, we highlight key trends and strategies that can drive loyalty and growth with these valuable customers.

To explore how firms can better serve this critical demographic, JD Power’s Craig Martin, Executive Managing Director at JD Power, joined Miles Tullo, Managing Direct, for a deep dive into the evolving landscape of affluent clients.

Key Insights for Winning Affluent Clients’ Trust and Loyalty in 2025

1. Trust Is Multifaceted: While banks earn high marks on transactional trust—ensuring secure, efficient daily operations—wealth firms excel in building holistic, goals-based relationships.
2. Generational Wealth and Opportunity: Younger consumers represent untapped potential, but firms need tailored strategies to engage this demographic.
3. Technology Meets Strategy: As artificial intelligence and digital tools transform the financial industry, aligning these innovations with human-centric approaches will be essential for success.

Understanding the Affluent Client

Craig Martin explains that affluent clients are not a monolithic group. Their behaviors, preferences, and trust levels vary across age groups and wealth tiers. While Baby Boomers typically have established financial relationships, younger affluent consumers represent a significant growth opportunity for both banks and wealth firms.

“Understanding the affluent consumer requires delving into the nuances of these groups and addressing what truly builds trust. It’s not just about satisfaction—it’s about creating loyal brand advocates,” Martin said.

Trust: The Cornerstone of Client Relationships

Trust emerged as a central theme in the conversation. The report reveals that wealth firms are generally more successful at establishing high trust levels than banks. Affluent clients have different trust expectations depending on whether they interact with a bank or a wealth manager.

“For banks, trust is often linked to transactional reliability—keeping data secure, offering seamless transfers, and maintaining technical soundness,” Martin explained. “For wealth managers, trust goes beyond transactions, requiring a focus on relationship-building and personalized advice.”

A Data-Driven Approach to Growth

The Affluent Client Trend Report offers more than just trends—it provides actionable insights. By analyzing the behaviors of over 10,000 consumers, the report outlines ways firms can:

• Leverage AI and digital tools to personalize services.
• Adapt strategies for generational wealth transfers.
• Prioritize high-value opportunities in a competitive landscape.

Martin emphasized the need for strategic resource allocation: “Firms don’t have unlimited budgets or personnel. The challenge lies in determining how to prioritize investments in technology, people, and processes to meet the evolving needs of affluent clients.”

 When it comes to affluent consumers, trust is more than just a factor—it’s the key to winning their loyalty

Preview the Affluent Client Report 

The JD Power Affluent Client Trend Report is now available for preview. The report offers exclusive insights into the behaviors and expectations of affluent consumers, along with key trends and strategies for driving loyalty and growth. Preview the report today. 

Preview now: Affluent Client Trends Report Preview

Craig Martin is the executive managing director, dedicated to driving positive change in the financial services sector and helping clients achieve superior business outcomes by focusing on their customers. 
Craig’s insights have been featured in numerous publications addressing customer experience and the correlation between customer satisfaction and business success.

Miles Tullo is Managing Director of Financial Services at JD Power. He oversees client engagement with financial services clients in North America. Drawing from extensive experience in payments and lending, Miles brings valuable expertise to clients and contributes regularly to JD Power’s thought leadership initiatives.

How Can Utilities Fend Off Frustration with Sky-High Energy Rates? 

Utilities Intelligence Report
January 2025

It’s been impossible to escape the headlines about stratospheric electricity bills. According to JD Power data, the average residential electric bill increased to $182 per month in 2024, a record high. It’s the latest in a steady incline that has seen prices surge 27% since 2021. Accordingly, the level of customer satisfaction for utility customers has fallen precipitously during that same period.

As utilities bear the brunt of these disgruntled customer bases, they need to find ways to ensure their relationship with their customers is deeper than the cost of their monthly meter reading. Unfortunately, utilities’ communication strategies seem to be focused on the wrong issues, and many continue to miss the mark on what issues truly move the needle on customer satisfaction.

Prices Continue to Climb                                         

In light of record high prices, it shouldn’t come as much of a surprise that just 31% of electric utilities have either improved their customer satisfaction or held steady; the rest have all declined.

The slump in satisfaction clearly correlates with the gradual rise in prices. The industry average for customer satisfaction has declined consistently since prices began to rise. Average customer satisfaction was as high as 751 (on a 1,000-point scale) as recently as 2020. In 2024, that number dipped to 708. 

The Communication Conundrum

For utilities to stave off the negative effects of rate increases, they need to create avenues for open dialogue, particularly around key, hot-button issues that are proven differentiators.

For example, customers in California must to grapple with planned power grid shutoffs to conserve energy. And in a world that is increasingly polarized about energy consumption and conservation issues, it would be logical to assume that hearing more about utility sustainability initiatives would not improve customer attitudes. But surprisingly, customers who are aware of their utility’s efforts to use clean energy had a customer satisfaction score of 780, compared with 682 for those who were unaware (on a 1,000-point scale). 

That doesn’t mean that utilities can quell angry customer concerns with investment in green initiatives. But it does illustrate the need for utilities to learn what issues they need to put at the center of their communication plan.

For example, customers clearly recalled messaging on paperless billing, but it is not increasing their overall satisfaction. Meanwhile, when customers can recall utility messaging on corporate citizenship or environmental issues, they do show an ability to make inroads on satisfaction, even more so than emergency preparedness alerts. The problem is that there is limited recall on these issues.

Strategies that Work

Many utilities need to get rate hikes cleared by their customers, which makes communication around these issues vital to their operations. Utilities need to foster strong bonds that will keep customers on board with their plans.

Those that can effectively walk the line with their customers between energy chaperone and engaged partner will meet far less resistance to their rate hikes and will create better bonds in their community that will come in handy, whether that’s in the face of the next rate increase or in the aftermath of natural disaster. The key is to effectively message the right points.

Find out More

This Utilities Intelligence Report is based on responses from U.S. Electric Residential utility customers nationwide and was fielded from January through November 2024. It was authored by Mark Spalinger, director of utilities intelligence at JD Power. Please contact us at the numbers below to connect with Mr. Spalinger or to learn more about the underlying research.

 

Media Contacts

Brian Jaklitsch; East Coast; 631-584-2200; [email protected]

Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]

 

Utilities Outlook 2025

Utilities Intelligence Report
January 2025

                                                

The nation’s electric, gas and water utilities are at a crossroads. Environmental conditions and catastrophes are forcing stakeholders to face a reckoning about what a sustainable future looks like. But with utility customers already bearing a heavier rate burden, finding a way to get customer buy-in for costly, sweeping initiatives seems too wide of a gap to bridge. 

Utilities find themselves grappling with tough questions. What do customers truly value in their relationship with their respective utilities? Which programs can move the needle on customer satisfaction? Can they find a way to not only move themselves into the future, but ensure their customers are willing to come along for the ride?

JD Power has been tracking customer sentiment with all aspects of utility service and delivery for the past two decades, evaluating everything from customer satisfaction with the price, reliability and service of local utilities to opinions on sustainability and clean-air initiatives. Based on those accumulated insights, below are JD Power predictions for the biggest trends to watch in the year ahead.

Sky High Prices Paint Utilities into a Corner

With customers facing surging prices— the average residential electric bill, for example, increased to a record-high $182 per month in 2024, according to JD Power data—the industry average for customer satisfaction has declined consistently. Average customer satisfaction was as high as 751 (on a 1,000-point scale) as recently as 2020. In 2024, that number dipped to 708.

That doesn’t necessarily mean that utilities are destined to a fate of poor customer relationships. While higher rates certainly put utilities at a disadvantage, some are starting to decipher which issues can move the needle on customer satisfaction. For example, customers have strong recall about paperless billing, but this program does very little to improve customer satisfaction rates. Meanwhile, when utilities explain reasons behind a rate hike or how they’re investing in alternative energy initiatives, customers are more likely to be satisfied with their utility. The problem is that few customers recall utility communication on these issues, which suggests they may be focused on the wrong things. 

In 2025, more utilities will look for a way to balance those scales and build deeper relationships that foster trust and loyalty. Those that do can buck the trend with customer satisfaction.

Customer Support for Sustainability Will Surge                                                    

As new sustainability regulations begin to take hold, sustainability and businesses’ effect on the climate are under increased scrutiny from not just regulators but investors, public authorities and customers. And with more than 83% of U.S. electric customers now served by a utility with a carbon reduction target, many utilities describe their sustainability strategy as their business strategy. 

Since 2020, JD Power has been measuring the level of residential and business customer support for these sustainability goals. The metric includes awareness of the goal, customer engagement with the plan, and advocacy for the local electric utility’s clean energy plans. Since the inception of the J. D. Power Sustainability Index, no electric utility has secured a rating of 50 or more on the index’s 100-point scale. 

As utilities increase their communication and customers learn more about the goals and initiatives, it is possible that one (or more) of the leading utilities reaches or surpasses the 50-point threshold. For utilities with urgent goals, such as net-zero by 2030, this would be positive news as they move towards meeting their clean energy goals. The final step is securing the level of customer support required to achieve these plans.

Responsibility Reigns Supreme

Ask the average customer how appealing it is to do business with their utility. Odds are, it won’t be an outpouring of love and praise. Utilities do boast strong trust scores, high marks for service and reliable brand identities, but they significantly lag on establishing strong reputations of being customer or community focused and lag on perceptions of being environmental stewards. In fact, when asked about their respective utility in the JD Power 2025 U.S. Brand Appeal Study customers gave utilities a 4.39 rating (on a 7-point scale) when asked if the utility supports causes they care about. When it came to reliability, however, the average rating was a more respectable 5.18. 

Because of this reputational lag, many utilities have started to re-brand around value propositions that go beyond the table stakes traits of service and trust. More and more, utilities are likely to expand their perceptions to include the programs, offerings and efforts they have developed to align their images around the expectations of their customers and communities they serve. 

Gas Goes Digital

Customer satisfaction for residential gas declined significantly in 2024. Residential gas utilities saw their overall satisfaction drop 11 points, with lagging scores on digital experience serving as a major driver of the decline. In fact, 33% of digital customers had a problem accessing their utility’s digital services.

This performance makes digital experience a clear point of emphasis for these utilities in the coming year, as many will turn to next generation artificial intelligence and other tools to help anticipate customer needs and allow them to respond through digital channels to resolve service issues faster and more easily.

Communication Will Unlock Satisfaction

In 2025, utilities will revisit the importance of customer experience and reinvest in customer experience as residential satisfaction levels continue to decline. 

With increasing competition from alternative energy providers, increasing customer expectations and growing frustration over service reliability and communication, utilities will realize that maintaining a satisfied customer base requires a more customer-centric approach. To address these concerns, utilities will shift focus toward improving customer support by improving their omnichannel communication solutions, such as more personalized features on mobile apps, AI-driven chatbots and improved text alerts (e.g., outage and billing). These tools will help create smoother, more responsive interactions and ensure customers can easily resolve issues without long wait times or frustrations.

Additionally, utilities will focus on more targeted and personalized communications. To deliver on that promise, utilities will make investments in data analytics and enhanced ways to communicate about service reliability, billing and payment and program offerings. In 2025, utility companies will leverage advanced data-driven platforms to predict customer needs, detect issues earlier, and provide customers with real-time updates about outages, estimated restoration times and service changes. By offering customers more visibility into their energy usage and offering personalized recommendations, utilities can empower customers to make better decisions about consumption. This transparency not only builds trust but also gives customers greater control over their energy bills and usage patterns, addressing concerns around pricing and unexpected spikes in energy costs.

As a result of this reinvestment in customer experience, companies will foster deeper connections with customers by aligning their operations with customer needs. These efforts will help utilities build stronger customer loyalty, increase satisfaction and position themselves as leaders in a rapidly evolving energy landscape.

Find Out More

This Utilities Intelligence Report is based on data and insights gathered across all JD Power Utilities Intelligence studies conducted during the course of 2024. It was authored by Andrew Heath, vice president, utilities and TMT intelligence; Chris Oberle, managing director; Maureen Russolo, senior director; and Mark Spalinger, director of utilities intelligence at JD Power.

Please contact us at the numbers below to connect with the team or to learn more about the underlying research.

 

Media Contacts

Brian Jaklitsch; East Coast; 631-584-2200; [email protected]

Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]

With Financial Health Stuck in Neutral, Customers Turn to New Strategies

A new year has arrived, but the same financial malaise persists. Inflation ticked up in December 2024 and the Consumer Price Index saw a 2.9% year-over-year increase, which is keeping bank customers in the United States on their heels.

According to JD Power data, 31% of customers are financially healthy[1], a rate that has largely remained unchanged since the summer. As a result, customers are trying to decipher new ways to get a handle on their finances, with many turning to banks in the hopes of a more holistic view of their finances. Part of that search includes an increased interest in open banking, which is the practice of banks securely exchanging financial information with other financial institutions or third parties, such as financial advice apps, digital payment processors and other service providers. 

Financial Health Remains Unchanged                                                 

The number of customers who are financially healthy remained the same in December at 31%, while 44% of bank customers fall into the vulnerable category.

The number of bank customers who say the cost of goods is increasing faster than their income also remained steady at 65%. Vulnerable customers saw a slight decrease to 74%, while healthy customers actually rose slightly to 51% from 49%.

 

A Holistic View

As customers continue to grapple with a tenuous financial landscape, many are expressing a bigger interest in seeing a complete picture of their finances in one place. One way to accomplish that is through more comprehensive financial aggregator tools. Overall, 41% of bank customers say it is extremely important for a bank’s mobile app to show the balances of their external accounts, up from 32% from May.

That interest has grown across all financial health segments, with stressed customers seeing the biggest jump in interest since the question was last asked in May 2024. Even older customers (40 and older) saw an increase of 9 percentage points.

 

Open for Business

The desire for more complete financial tools is indicative of an overall customer trend toward open banking. While historically, only customers and their banks have had access to their financial data, open banking is now enabling the development of new financial services products and offerings. By creating an easier flow of information from the bank to third parties, customers are finding improved ways to manage their money, make payments, and gain access to credit. With the practice gaining popularity with customers, the onus now shifts to banks to meet customers where they are and support better experiences—even when their customers are working with third parties.

Overall, more than one-third (36%) of banking customers are aware of open banking, with overextended (54%) and younger (53%) customers most familiar with the practice.

There is also a strong relationship between open banking and financial aggregator tools. For example, customers who are aware of open banking are more likely to use financial aggregator tools and understand the value of these tools.

 

A Better Understanding

With many customers still stuck in the same financial predicaments for the better part of two years, many seem to have a genuine interest in new ways to get a handle on their finances, and a willingness to try new solutions. For banks, that means they’ll have to be receptive to customer desires and tailor their products to those needs. 

Open banking and better financial aggregator tools allow customers to glean complete insights into their finances and that is a vital component of understanding how to take the next step. Banks that can provide this intelligence stand ready to benefit from a more informed and, eventually, more financially healthy customer base.

Find out More

This Banking and Payments Intelligence Report is based on responses from 4,000 retail bank customers nationwide and was fielded in December 2024. It was authored by Jennifer White, senior director of banking and payments intelligence at JD Power. Please contact us at the numbers below to connect with Ms. White or to learn more about the underlying research.

Media Contacts

Brian Jaklitsch; East Coast; 631-584-2200; [email protected]

Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]

 

[1] JD Power measures the financial health of any consumer as a metric combining their spending/savings ratio, creditworthiness, and safety net items like insurance coverage. Consumers are placed on a continuum from healthy to vulnerable.

Automotive Insights from JD Power Research

In an era of record-high vehicle prices and extended ownership periods, the decision-making process for purchasing a vehicle is more complex than ever. To explore strategies for standing out in this competitive landscape, Frank Hanley, senior director of auto benchmarking at JD Power, shared his perspective on empowering shoppers to make informed decisions, the importance of highlighting dependability and driving EV adoption. These insights can help to inform or shape automotive marketing strategies in 2025. 

Why Access to Unbiased Information is Critical for Today’s Consumer 

Today’s automotive shoppers face overwhelming choices, making unbiased and reliable information more valuable than ever. 

While vehicle shoppers can access countless online reviews and editor ratings, these sources often fail to capture the full picture, relying on feedback from a small, unrepresentative sample of consumers. 

JD Power’s approach is different: 

• We collect data from more than 6 million consumers annually, delivering insights grounded in real-world experiences.
• The research behind our rankings is independently funded and based on feedback from a large, representative sample of verified customers—not testers, editors, or so-called experts.
• We identify areas of satisfaction and common problems, helping consumers make better-informed decisions. 

This unbiased data empowers shoppers to make their choices with confidence and select a vehicle that genuinely aligns with their needs and expectations. 

The Importance of Promoting Long-Term Dependability 

Consumers are keeping vehicles longer than ever—on average, 12 years or more¹— beyond the typical 3-year/36,000-mile warranty period. Unsurprisingly, expected reliability has become the top reason buyers choose one model over another. ² The JD Power 2024 U.S. Vehicle Dependability Study highlights this growing customer focus on dependability, underscoring the fact that not all vehicles age equally. 

• While some brands see a reduction in problems from 90 days of ownership to three years by as much as 6%, others experience as high as a 48% increase in problems during this period.
• The average rate of increase in problems from 90 days to three years is 17% for the industry. 

Marketers promoting makes and models with strong dependability have powerful messaging opportunities that meet the expectations of modern car buyers. 

Rethinking EV Marketing to Drive Adoption 

As electric vehicles (EVs) gain momentum, marketers face unique challenges in connecting with consumers. Current marketing often emphasizes aspects of the EV experience, like advanced technological features, that don’t resonate as well with first-time EV buyers. 

To maximize resonance, EV marketing should focus on: 

• Convenience: Highlight the benefits of home charging and reduced trips to refuel.
• Performance: Emphasize the smooth, powerful driving experience of electric engines.
• Range: Consumers might be promised a 350-mile range on a single charge, but real-world conditions—such as driving style, HVAC use and temperature—can have a significant effect on their overall range. Be transparent about range variability due to factors like driving style and weather to build trust.

By addressing shopper pain points and focusing on practical benefits, automakers can accelerate EV adoption while aligning with shoppers’ needs. 

Final Thoughts 

As the automotive market evolves, understanding shifting shopper expectations is essential for standing out in 2025.

1. Empower consumers with reliable information: When featuring third-party information in marketing, ensure that it comes from a credible, independent source.
2. Highlight vehicle dependability: Emphasize vehicle reliability in marketing and advertising, recognizing that consumers are keeping their vehicles for longer periods.
3. Focus on EV benefits: Emphasize key aspects of the EV experience including convenient home charging, realistic range, and the high-performance driving experience. 

By leveraging these data-driven insights, marketers can better connect with today’s automotive customers and stand out in a highly competitive market.  

Learn more about these automotive awards:

U.S. Vehicle Dependability Study^SM

U.S. Electric Vehicle Experience (EVX) Ownership Study^SM

U.S. Customer Service Index (CSI)^SM

U.S. Electric Vehicle Experience (EVX) Home Charging Study^SM

 

¹JD Power 2024 U.S. Vehicle Dependability Study^SM

²JD Power 2024 U.S. Sales Satisfaction Index (SSI) Study^SM 

 

Public EV Charging Experience Continues to Languish as Federal Funds Expected to be Paused, Reduced or Eliminated

E-Vision Intelligence Report
February 2025

Key Findings

• One in Five (20%) Drivers Unable to Charge Vehicles at Public Charging Stations: In the fourth quarter of 2024, 20% of EV drivers who visited public charging stations were unable to charge their vehicles due to a range of issues from station outages and equipment malfunctions to long wait times and payment failures. The charge failure rate is up from 19% in Q3 2024 and 18% in Q4 2023.
• Public Charging Remains Top Barrier to EV Adoption: The top three barriers to EV consideration among active vehicle shoppers are lack of charging station availability (51%); time required to charge (49%); and limited driving distance per charge (47%). 
• Tesla Owner Customer Satisfaction Strained by Expanded Access to Superchargers: The Tesla Supercharger network has consistently been the top performing network in the DC fast charging segment of the JD Power U.S. Electric Vehicle Experience (EVX) Public Charging Study, and that trend continues through Q4 2024 when the Supercharger network improved 27 points to 701 (on a 1,000-point scale) in overall satisfaction. Tesla owners, however, have been less satisfied with the expanded access of other brands to the Supercharger network. Overall satisfaction with DC fast charging among Tesla owners declined 2 points in 2024.

Executive Summary

The Trump administration announced plans to suspend the U.S. Department of Transportation’s (DOT) National Electric Vehicle Infrastructure (NEVI) program, earlier this month. The initiative, which allocated approximately $5 billion in state funding to support the development of public charging stations, had a goal to build a nationwide network of EV charging stations every 50 miles. How will a possible end to the NEVI program affect the everyday public charging experience of EV owners, and could it deter future EV purchases?

This E-Vision Intelligence Report dives into key data points trending in each monthly JD Power EV Index update, along with other data points gathered from JD Power studies and pulse surveys, to offer a data-driven consumer perspective on the public charging customer experience.

Dead on Arrival

While overall customer satisfaction with the DC fast charging network has improved slightly through the fourth quarter of 2024, rising to 650 from 643, and satisfaction with Level 2 public charging has held steady (602), the number of failed attempts at charging is on the rise. Nationwide, across both DC fast charging and Level 2 charging networks, 20% of EV owners were unable to charge their vehicles when they arrived at a public charging station. The most common reasons for being unable to charge were charger out of service (62%); no charger available/too long to wait (18%); charger would not accept payment (11%); cable/connector damaged (9%); and chargers were blocked by non-charging vehicles (7%).

This 20% failure rate represents a single percentage point increase from Q3 2024 and a 2-percentage-point increase from Q4 2023. 

Public Charging Experience Scares Prospective Buyers

While JD Power research consistently finds that home charging remains one of the most satisfying aspects of the EV ownership experience and many EV owners do the bulk of their charging at home, perceived flaws in the public charging network are still a major deterrent to prospective EV buyers. Through January 2025, the top three reasons among 20 possible options for rejecting an EV are lack of charging station availability (51%); time required to charge (49%); and limited driving distance per charge (47%). 

Until manufacturers, charge point operators, utilities and other EV stakeholders address these lingering concerns, negative public perception of the public charging network will continue to be a headwind to EV adoption.

Expanded Supercharger Access is Great, Unless You Own a Tesla

Tesla has historically delivered a consistently positive public charging experience through its proprietary Supercharger network. In 2022, Tesla made the decision to open its network up to non-Tesla EVs, and by the end of 2024, nearly every major brand selling EVs in the United States had signed on to offer Supercharger access for their vehicles. 

That’s been a good thing for non-Tesla drivers. The Supercharger network continues to lead the DC fast charging segment in customer satisfaction, with its average overall satisfaction score rising 27 points to 701 in Q4 2024. The Supercharger network gets high marks for ease of payment, ease of finding location and availability of chargers.

Among Tesla owners, however, overall satisfaction with the Supercharger network declines 2 points in 2024, falling to 736 from the year prior. Tesla was the only brand in the study that did not see overall improvement in customer satisfaction with the DC fast charging experience in 2024.

Methodology 

This JD Power E-Vision Intelligence Report is based on data and insights from the JD Power EV Index, the JD Power EV Retail Share Forecast, the JD Power 2024 U.S. Electric Vehicle Experience (EVX) Ownership Study, the JD Power 2023 U.S. Electric Vehicle Experience (EVX) Public Charging Study and the JD Power U.S. Electric Vehicle Consideration (EVC) Study. The JD Power EV Index is an analytics tool to benchmark the growing EV market in the United States. It tracks millions of data points aggregated into six categories—interest, availability, adoption, affordability, infrastructure and experience—to evaluate the progress to parity of EVs with gas-powered vehicles in the U.S. Each month, the JD Power electric vehicle practice will analyze these data points, and others to spotlight emerging trends and important shifts in consumer sentiment that are helping to define the fast-moving EV marketplace. 

Find out More

This report was authored by Elizabeth Krear, vice president, electric vehicle practice, and Brent Gruber, executive director, electric vehicle practice. The JD Power E-Vision initiative is a company-wide program focused on maximizing JD Power industry-leading EV data, analytics, insights and solutions. Please contact us at the numbers below to connect with the authors or to learn more about the underlying research.

Media Contacts

Shane Smith; East Coast; 424-903-3665; [email protected]

Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]

After a Modest Gain in Financial Health, Customer Attention Turns to Security of their Credit and Debit Cards

While the inflation rate climbed above economists’ expectations in January, the overall outlook for bank customers in the United States offers some modest optimism.

According to JD Power data, 34% of customers are financially healthy,[1] the highest rate in more than a year. While the improvement isn’t a massive leap by any means, it is an encouraging metric following the holiday season.

As some customers begin to find their financial footing, concerns persist about anything that could potentially set them back, particularly the risk of credit or debit card fraud. And for almost half of customers, debit card fraud casts a bigger shadow than unauthorized credit card purchases.

Financial Health Gets a Slight Boost                                                      

The number of customers who are financially healthy rose to 34% in January, while 41% of bank customers were in the vulnerable category. Both numbers reflect 13-month bests in their respective categories, albeit a modest improvement.

 

 

The percentage of bank customers who say the cost of goods is increasing faster than their income rose to 66%. Vulnerable customers saw an increase to 78% and over extended customers saw an increase to 59%, perhaps an indication that the improvements in financial health will not be long-lasting.

 

 

Security of Cards

Almost half (49%) of customers say that banks offer the same level of security protection for both their debit and credit cards. This rate is highest among healthy (56%) and stressed (52%) customers.

 

 

When asked which type of fraud is easier to resolve—debit or credit card—nearly half (47%) of customers said their credit card was easier to manage. Whether that perception is true or not, it does chart a course for banks and/or card issuers that are looking to bolster confidence in their security. More messaging may be needed about the security of their debit cards and issue resolutions if/when those instances of debit card fraud occur.

 

 

Safe and Sound

Whether customers’ financial health builds on this past month’s incremental gains or not, credit and debit cards play a big overall role in the overall picture. And with banks and issuers hoping to build confidence in the security of their products, more communication is needed around the safety of debit cards.

Customers need to feel secure to store card information, especially those who could have their financial situation go from bad to worse with even a minor incidence of fraud. Communicating that banks and issuers prioritize the same support around any incidence of fraud will undoubtedly boost utilization of debit cards, which may lead to better budgeting and customers paying lower interest rates. Time will tell if banks can effectively deliver this message.

 

Find out More

This Banking and Payments Intelligence Report is based on responses from 4,000 retail bank customers nationwide and was fielded in January 2025. It was authored by Jennifer White, senior director of banking and payments intelligence at JD Power. Please contact us at the numbers below to connect with Ms. White or to learn more about the underlying research.

 

Media Contacts

Brian Jaklitsch; East Coast; 631-584-2200; [email protected]

Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]

 

[1] JD Power measures the financial health of any consumer as a metric combining their spending/savings ratio, creditworthiness, and safety net items like insurance coverage. Consumers are placed on a continuum from healthy to vulnerable.

How Flexible Repayment Plans Are Shaping the BNPL Market 

 

The Buy Now Pay Later (BNPL) market continues its rapid expansion, solidifying its position as a preferred payment method for many consumers. In the latest JD Power Buy Now Pay Later Satisfaction Study, findings reveal not only an increase in BNPL usage but also critical insights into why consumers are turning to these payment solutions. This month, JD Power’s Miles Tullo sat down with Sean Gelles, Senior Director, Payments Intelligence,  to discuss the study’s key takeaways. 

BNPL is Surging 

One of the most striking findings from the study is the significant year-over-year growth in the percentage of consumers using BNPL usage.  BNPL was the payment method that grew the most in terms of the percentage of consumers saying they used it.  Usage was particularly strong during the holiday shopping season, with Gen Z shoppers leading the charge. “It was really surprising to see just how much BNPL surged—especially among younger consumers,” said Gelles. 

Why Consumers Choose BNPL 

While the primary appeal of BNPL remains its ability to defer payments, the study highlights another crucial factor: repayment terms. Consumers report that they appreciate the structured and predictable nature of BNPL repayment plans. 

“When we look at credit cards, deferred payment is an option there as well,” Gelles explained. “But interestingly, ‘repayment terms are reasonable’ doesn’t even rank in the top 10 reasons why people use credit cards. That tells us BNPL is filling an important gap in the market.” 

Defining the BNPL Market 

The Buy Now Pay Later Satisfaction Study examined both fintech-based BNPL providers—such as Klarna, Afterpay, and Affirm—and card-based installment plans from major credit card issuers. While fintech players have popularized BNPL at checkout, traditional financial institutions have entered the space by offering fixed payment plans that allow consumers to convert credit card purchases into structured installment payments. 

The Fintech Challenge: Building Long-Term Trust 

One of the key differentiators in satisfaction levels appears to be the longevity of the customer relationship. Traditional financial institutions have a built-in trust advantage, as their customers are often long-term credit card users. 

“The biggest advantage for card-based BNPL plans is their longstanding brand relationship with customers,” Gelles noted. “Many users of these plans have been with their banks or card issuers for years, which fosters greater trust and satisfaction.”

In contrast, many fintech BNPL users are either first-time or relatively new customers, making it harder for these brands to achieve high satisfaction scores. However, the study shows that customer satisfaction increases the longer consumers use a BNPL provider, indicating that fintech firms are making progress in building loyalty. 

What’s Next for BNPL? 

As BNPL continues to grow, both fintech and traditional financial institutions will need to refine their strategies to capture and retain consumers. The study’s findings suggest that trust and repayment flexibility will remain key differentiators in driving long-term satisfaction. 

With continued advancements in digital payments and shifting consumer preferences, the BNPL landscape is poised for even greater transformation in the years ahead. 

You can read the latest BNPL press release to learn more key findings and see how each brand ranks for overall customer satisfaction. 

Read the JD Power 2025 U.S. Buy Now Pay Later Press Release 

Buying a car is a big deal, and for most people, it’s right up there with buying a home in terms of importance. If you’re in the market for a 3-year-old vehicle, you’re likely hoping to find something reliable, well-maintained, and worth every penny. But with so many options, how do you cut through the noise and pick a dependable brand or model?

We’re here to help.

Why 3-Year-Old Cars Are a Smart Choice

Three years is a sweet spot for car shopping. Many vehicles coming off leases are just three years old, which means they’ve usually been well-maintained, have relatively low miles, and often come with advanced features that were cutting-edge not too long ago. Plus, the depreciation hit has already been taken, so you’re getting more car for less money.

But even at three years old, not all cars age equally. That’s where a little research goes a long way.

What Makes a Car Reliable?

Reliability is all about how well a car holds up over time, and one of the best ways to measure that is by asking people who actually own the vehicle about problems they’ve encountered with their vehicle. Every year, JD Power self-funds independent surveys of original owners of 3-year-old models. They tell us about the problems they’ve had—big or small— in 184 specific areas across 9 vehicle system categories.

The results are boiled down into a simple score: the average number of problems reported per 100 vehicles (PP100). Lower scores mean fewer problems and, you guessed it, better reliability.

This isn’t guesswork or sponsored content—it’s objective, owner-driven data that gives you a clear picture of how different makes and models hold up over time.

The Most Reliable 3-Year-Old Vehicles

The results of the JD Power U.S. Vehicle Dependability Study, now in its 36th year, are based on feedback from 34,175 original owners of 2022 model-year vehicles after three years of ownership. Based on the 2025 research, these are the brands and models with the fewest average problems per 100 vehicles in their pre-designated categories – the most dependable makes and models. 

Vehicle Dependability Award Winners for 2025:

Overall

• Lexus – Overall Nameplate
• Buick – Overall Mass Market Nameplate
• Toyota Avalon – Overall Model

Cars

• BMW 3 Series – Compact Premium Car
• Toyota Camry – Midsize Car
• Toyota Corolla – Compact Car 
• Chevrolet Corvette – Premium Sporty Car

SUVs

• Cadillac XT6 – Upper Midsize Premium SUV
• Chevrolet Tahoe – Large SUV
• GMC Acadia – Upper Midsize SUV
• Mercedes-Benz GLC – Compact Premium SUV
• Nissan Kicks – Small SUV
• Nissan Murano – Midsize SUV
• Lexus GX – Midsize Premium SUV
• Toyota RAV4 – Compact SUV

Trucks

• Chevrolet Silverado – Large Light Duty Pickup
• Chevrolet Silverado HD – Large Heavy Duty Pickup
• Toyota Tacoma – Midsize Pickup

Minivans

• Toyota Sienna – Minivan

Whether you’re looking for a dependable family SUV, a reliable compact car, or a hardworking truck, these models have been put to the test by their owners.

What to Check Before You Buy

Buying a used car can feel a little nerve-wracking, but it doesn’t have to be. Keep these key areas in mind when you’re shopping for a 3-year-old vehicle:

• Technology: Test out all the gadgets—infotainment systems, navigation, Bluetooth, and backup cameras. Technology is great… when it works.
• Comfort and Interior: Make sure the seats adjust properly, the upholstery isn’t torn, and the climate controls work as they should.
• Engine and Transmission: If something feels off when driving, have a mechanic check it out. Weird noises or rough shifting could spell trouble.
• Exterior and Tires: Look for signs of damage or uneven tire wear—it could mean the car was in an accident or has alignment issues.
• Features and Controls: Play around with buttons, knobs, and touchscreens to ensure everything’s in working order.

Remember: A professional inspection is always a good idea. Spending a little upfront can save you from big headaches later.

Useful Tips for Smart Shopping

Do Your Homework

Don’t just trust the seller’s pitch. Look up unbiased reliability ratings (like ours) and get the vehicle checked out by a trustworthy professional. The more you know, the better equipped you’ll be to spot a great deal—or a red flag.

Certified Pre-Owned (CPO) Is Worth Considering

Certified pre-owned vehicles are thoroughly inspected and often come with a warranty. They cost a bit more, but the peace of mind can be worth it, especially if you’re not mechanically inclined.

Ask Around

Know someone who drives the car you’re eyeing? Ask them how they like it. Real-world feedback can be invaluable. Trust us – we collect useful information and feedback from over 5 million consumers each year. 

Why You Can Trust This Advice

We’ve been doing this for decades, and we’re not here to sell you anything. Our research is based on real data from real owners – not editors, experts, or paid endorsements. Ranked brands can’t pay to participate in our benchmark studies, and they can’t buy a JD Power Award win. Awards are earned by the brands and models that earn the best PP100 ranking in their pre-designated categories. Ultimately, it’s the customers, the people who own and drive the vehicles every day, who decide which brands are awarded.

The insights we share help shoppers make smarter decisions, and they also push automakers to build better vehicles.

Your Next Steps

If you’re ready to start shopping, arm yourself with the facts. Look for models that consistently rank high for reliability, ask the right questions, and don’t settle for something that doesn’t feel right. Happy shopping!

Banking Customer Insights from JD Power Research

In today’s market, consumers have more banks to choose from than ever, making it harder for institutions to attract new customers, retain existing ones and build lasting loyalty. With 52%  of customers open to switching banks in the next 12 months, standing out from the competition with tailored strategies is more important than ever. To succeed, financial services marketers must engage current customers while also attracting new ones. This requires meaningful, actionable insights into customer preferences and behavior. 

“In a shifting financial landscape, unbiased data is the core of sound decision-making, providing an anchor of stability and a compass for navigating uncertain markets,” says Jennifer White, senior director of banking and payments intelligence at JD Power.

Unbiased customer insights help banks understand what matters most, allowing banks to craft more effective marketing strategies. Messaging should resonate with regional audiences while reinforcing the bank’s reputation as a trusted institution. By addressing the priorities of different customer segments, banks can fight attrition and strengthen their competitive position. 

Regional Variations in Customer Satisfaction 

A one-size-fits-all national approach can fall short in addressing local market differences—especially those around trust and reputation. JD Power research reveals that customers in the NY-Tri State, Southwest, Upper Midwest and California regions have lower-than-average scores on critical-to-success metrics. These include overall satisfaction; level of trust; likelihood to say they definitely will reuse the bank; and reputation. This regional performance gap is driven in part by a divide between those customers under age 40 and those over age 40. For example, customers in the NY-Tri State and California regions who are over 40 years old have high levels of trust for midsize banks and lower trust for national or regional banks. The reverse is true for those under 40 with Millennial¹ and Gen Z customers having a lack of confidence in midsize banks and a preference for national or regional banks.  

Banks on both sides of the size equation must proactively highlight their reputation for satisfying customers to win new business and retain existing accounts. 

Marketing Strategies Based on Data-Driven Regional Insights  

Effective regional marketing requires a nuanced and informed approach with strategically tailored messages that speak to regional customer preferences. 

Regional marketing campaigns help banks to meaningfully engage customers, reinforce a reputation for exceptional customer satisfaction, and build lasting relationships that inspire retention.  

“Highly satisfied customers are the cornerstone of long-term success for retail banks,” White said. “By tailoring regional marketing strategies to highlight customer satisfaction, banks can strengthen connections with local customers and drive lasting loyalty.”

Marketers can make the most of regional consumer data with messaging that meaningfully addresses the concerns of regional banking customers. 

Emphasizing Reputation 

A bank’s reputation remains a top reason why customers select a bank. Marketers should highlight credible proof of performance and customer satisfaction to reinforce and promote their bank’s positive reputation in regional markets. By pairing marketing efforts with reputation management based on real-world customer satisfaction data, banks can more effectively communicate their trustworthiness, commitment to delivering a satisfying customer experience and brand value.

Developing Regionally Tailored Campaigns 

Banking customers in different regions have distinct priorities and expectations when choosing and working with a financial institution. To connect with customers effectively, banks must create tailored campaigns that address regional concerns, demonstrate their commitment to local markets and highlight how they meet customer needs.

Final Thoughts 

The banking landscape is changing rapidly. Staying competitive relies on leveraging every advantage. Credible third-party customer insights are more important to marketing efforts across the banking industry than ever before, especially for banks serving clients in a variety of regions and those competing with national players.

Customer insights from reliable sources are useful to banks looking to stand out in a competitive market and understand how they perform when compared with national and regional competitors. Data-driven rankings and recognitions also help consumers avoid exhaustive searches and piecemeal comparisons, saving time, and frustration, and giving a more accurate picture of available choices. 

The results of the JD Power 2025 U.S. Retail Banking Satisfaction Study are in. See which banks are setting the standard for excellence in each region. Read the press release now >

[1] JD Power defines generational groups as Pre-Boomers (born before 1946); Boomers (1946-1964); Gen X (1965-1976); Gen Y (1977-1994); and Gen Z (1995-2006). Millennials (1982-1994) are a subset of Gen Y.