Category: APAC

Improved Pre-Inspection and Fix Rates Help Drive Luxury Vehicle After-Sales Satisfaction,
While Creating a Seamless Service Scheduling Experience Online Is an Opportunity for Dealers

2015-12-14

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Melbourne: 15 December 2015 — Australian luxury automotive dealers have improved their performance in servicing and fixing customers’ vehicles, compared with last year, with the percentage of pre-inspections increasing this year, according to the JD Power 2015 Australia Customer Service Index (CSI) Study^SM—Luxury Market released today. However, scheduling service can be an issue for customers. 

The study measures overall satisfaction with the vehicle service experience at authorised service centres by examining five factors (listed in order of importance): service quality; vehicle pick-up; service advisor; service initiation; and service facility based on a 1,000-point scale. Overall customer satisfaction is 817 in 2015, a 14-point improvement from 2014. 

Notably, the percentage of service and repairs completed by luxury brands during a customer’s first visit to the dealer has improved to 95% in 2015, up by 1% from 2014, and the percentage of cars washed and vacuumed has improved to 60%, up by 3% from last year. 

“It is encouraging to see that luxury dealers are doing a better job of completing all service work on the first visit,” said Loi Truong, senior country manager at JD Power.“This improvement is aided by the fact that dealer service advisors are spending more time inspecting vehicles when dropped off. Advisors who inspect the vehicle up front are able to identify and agree the work required with the customer, and, importantly, avoid any misunderstandings that could occur later in the process.” 

Consumers use digital media every day to conduct a myriad of personal and business transactions, but scheduling a service appointment for their vehicle can be a pain point for those who use the online channel. According to the study, satisfaction is lowest among luxury vehicle owners who use the Internet (via email, dealer or brand website, etc.) to schedule service (805). In comparison, satisfaction among vehicle owners who use more traditional service scheduling methods, such as phoning the dealer for an appointment, averages 820. 

“It is encouraging to see the improvement in the luxury brand segment in Australia,” said Dr. Gordon Shields, director at JD Power.“However, it is clear that service centres are still struggling to make digital service channels really work for them. Not only should dealers make online scheduling easy and quick to use, they should also look at how other service companies use technology to help customers track the progress of the work, offer regular updates, as well as provide pricing online too.” 

Key Findings 

• Practice of Proactive Vehicle Inspections Increases: Pre-inspections of customer vehicles have increased by 8% in 2015, with 62% of customers indicating that their dealer performed an inspection when they dropped off their vehicle. 
• Dealers Should Offer Customers a Free Ride: The study finds that 14% of customers requiring alternative transport during their service visit either don’t receive any transport or are charged a fee for it. Satisfaction is higher among customers who receive a free ride from their dealer than among those who are offered a loan car (852 vs. 843, respectively). 
• Providing Consistent Level of Service to All Customers Is Key: Customers who indicate their service costs are all or partly covered under a service package (781) are less satisfied than their counterparts who paid all (814) or some of the service charges themselves (832). Lower scores among customers with service packages are typically due to the perception they receive less time and support from service advisors than paying customers without such packages, making it important for advisors to provide the same level of service to all customers regardless of how payment is rendered. 
• Many Dealers Service and Deliver a Clean Car to Customers: A higher proportion of luxury vehicle owners than mass market vehicle owners indicate that their vehicle was cleaned during their service visit. Overall, 60% of luxury vehicle owners indicate their vehicles were both washed and vacuumed after the service, almost double of that of the mass market average of 31%. 
• Garnering Customer Loyalty beyond the Warranty Period: Nearly nine in 10 customers (88%) who are highly satisfied (satisfaction scores of 904 or higher) indicate they would revisit their service dealer for a service work they would pay for (i.e., post-warranty work). 

Australia Customer Service Index Rankings 

Mercedes-Benz ranks highest in customer satisfaction with dealer service among luxury market brands, with a score of 843. Mercedes-Benz performs well in all five study factors. Audi ranks second (829). 

The 2015 Australia Customer Service Index (CSI) Study—Luxury Market is a part of the annual CSI study, which covers both mass market and luxury brands from a total of 4,971 owners. The luxury study is based on evaluations from 453 vehicle owners who purchased their new vehicle between August 2010 and October 2015 and took their vehicle for service at an authorised service centre between August 2014 and October 2015. The study was fielded from late August to early October 2015. 

Media Relations Contacts

XingTi Liu; JD Power Asia Pacific; 08-Shenton Way, #44-02/03/04; Singapore, 068811; Phone +65-67338980; [email protected]
John Tews; Director, Media Relations; JD Power; Troy, Michigan 48083 USA; 001-248-680-6218; [email protected]

 About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding
JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

 

New-Vehicle Models Lack Luster According to Owners in 2015 APEAL Study

2015-12-15

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BANGKOK: 18 December 2015 — Although satisfaction with new passenger vehicles among buyers generally remains high, overall APEAL has declined substantially from 2014, according to the JD Power 2015 Thailand Automotive Performance, Execution and Layout (APEAL) Study^SM released today. 

Now in its 13th year, the APEAL Study is an owner-reported measure of what satisfies owners in Thailand about their new vehicle’s performance and design during the first two to six months of ownership. The study examines nearly 100 attributes in 10 vehicle categories: exterior; interior; storage and space; audio/ entertainment/ navigation; seats; HVAC; driving dynamics; engine/ transmission; visibility and driving safety; and fuel economy. APEAL study performance is reported as an index score based on a 1,000-point scale, with a higher score indicating higher satisfaction. 

Overall APEAL averages 883 in 2015, down from 905 in 2014, with scores in all vehicle component categories declining year over year. 

“To retain or improve appeal year to year, manufacturers should continuously look for ways to differentiate new models from earlier ones. Currently, new models lack punch,” said Siros Satrabhaya, branch manager at JD Power. Manufacturers can satisfy customers by incorporating functional and aesthetic changes that align with their expectations, especially around such in-cabin features as audio/ entertainment/ navigation and seats.” 

The proportion of respondents who purchased a model that was either entirely redesigned or a brand-new launch is 19% in 2015, down from 20% in 2014. Satisfaction among these new-vehicle owners averages 888, while satisfaction among owners of vehicles with no changes or only a facelift satisfaction averages 882. 

Overall APEAL declines in all vehicle segments in 2015, with the largest year-over-year decline in the full-size SUV segment (-37 points), which falls below industry average. Conversely, the lowest year-over-year decline in APEAL scores is in the pickup segments, which represent more than 40% market share of light new-vehicle sales in Thailand since 2003. Notably, the pickup double cab (889) and extended cab (888) segments, together with the highest-performing premium midsize care segment (896), are the only three segments performing above industry average. 

Following are some of the key findings in this year’s study. 

• Two In-Cabin Features Particularly Lack APEAL: Satisfaction with Audio/ entertainment/ navigation (860) and seats (868) is lowest among all ten vehicle component categories overall. The largest year-over-year decline is with seats (-30 points).
   
• Styling, Visibility, and Ride Resonate with Vehicle Owners, but Issues with Function Are a Pain Point: Front-end styling, forward visibility from the driver’s seat and ride smoothness in normal driving rank among the top five highest rated vehicle attributes across all three super-segments (passenger car, utility vehicle, pickup). Conversely, ease of operating/ adjusting rear seats and ability of navigation system to provide desirable route are among the bottom five rated vehicle attributes across super-segments.
• Style Matters and Leads to Loyalty: Among customers who are highly satisfied (provide a satisfaction rating of 10 on a 10-point scale) with overall vehicle attractiveness, 79% say they “definitely would” recommend their vehicle model. Among customers who are less satisfied with vehicle attractiveness (ratings of 8 or 9 points), intent to recommend declines to 69% and drops to 37% among those who are disappointed or indifferent (ratings of 1 to 7 points). 

2015 Thailand APEAL Study Rankings 

Toyota models perform at or above segment average in overall APEAL across all six award segments. Toyota receives four APEAL awards: the Yaris (884) in the compact car segment for a second consecutive year and the Fortuner (896) in the full-size SUV segment for a fourth consecutive year, the Vios (883) in the entry midsize car segment and the new a Hilux Revo Prerunner D-Cab (909) in the double cab pickup segment. 

Mazda receives the midsize car segment award for the Mazda3 (888), which is the second consecutive year it has received the award for this model in this segment. 

Nissan receives the extended cab pickup segment award with the new Nissan Frontier NP300 Navara Calibre X-Cab (900). 

The 2015 Thailand APEAL Study is based on evaluations from 4,837 owners who purchased their new vehicle between October 2014 and July 2015. The study covers 12 different brands that include 89 different passenger car, pickup truck and utility vehicle models. The study was fielded between April and September 2015. 

Media Relations Contacts

Xingti Liu; JD Power; Singapore; 65-6733 8980; [email protected]
John Tews; JD Power; Troy, Michigan, USA; 001-248-680-6218; [email protected] 

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.  

About JD Power and Advertising/Promotional Rules www.jdpower.com/about-us/press-release-info

About McGraw Hill Financial: McGraw Hill Financial (NYSE: MHFI) is a leading financial intelligence company providing the global capital and commodity markets with independent benchmarks, credit ratings, portfolio and enterprise risk solutions, and analytics. The Company’s iconic brands include Standard & Poor’s Ratings Services, S&P Capital IQ and SNL, S&P Dow Jones Indices, Platts, CRISIL and JD Power.
The Company has approximately 20,000 employees in 31 countries. Additional information is available at www.mhfi.com.

 

Vehicle Quality in Indonesia Improves, Led by the Entry Compact and SUV Segments

2015-12-21

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SINGAPORE: 23 December 2015 — Owners in Indonesia are reporting fewer problems with their new vehicles, driven in large part by significant improvements in the entry compact and SUV segments, according to the JD Power 2015 Indonesia Initial Quality Study^SM (IQS) released today.

The study measures problems experienced by new-vehicle owners during the first two to six months of ownership and examines more than 200 problems in eight vehicle categories (listed in order of frequency of reported problems): driving experience; engine and transmission; vehicle interior; heating, ventilating, and air conditioning (HVAC); vehicle exterior; audio, entertainment and navigation; features and displays; and seats. Initial quality is determined by the average number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality.

The industry experiences a 5% year-over-year improvement in initial quality, averaging 73 PP100, compared with 77 PP100 in 2014. The entry compact segment improves to 74 PP100 in 2015 from 96 PP100 in 2014, while the SUV segment improves to 42 PP100 from 61 PP100. The greatest improvements for both segments are in the driving experience category.

“The entry compact segment, with its low-cost models, continues to show quality improvements,” said Kaustav Roy, director at JD Power. “Given the challenging economic conditions, it is important for the market to have entry-level vehicles with superior quality performance to attract first-time buyers.”

KEY FINDINGS

• Owners of sport utility vehicles (SUVs) report the fewest number of problems (42 PP100), while entry MPV owners report the highest number of problems (87 PP100).
• The two most frequently reported problems are in the vehicle interior category: mats won’t stay in place (3.5 PP100) and poor fit or gaps in the carpet (2.8 PP100).
• Seven of the top 10 most commonly reported problems in 2015 remain unchanged from 2014. Four of these problems are related to driving experience and three are related to HVAC.
• Nearly two-thirds (65%) of owners who are pleased/ delighted with the quality of their vehicle (providing ratings of 8 to 10 on a 10-point scale) say they “definitely would” recommend their vehicle to family and friends, while only 36% of those who are disappointed/ indifferent (ratings of 1 to 7) say the same.

Highest-Ranked Models

Toyota receives two model-level awards: the Agya in the entry compact car segment (59 PP100) and the Rush in the entry SUV segment (53 PP100).

The Mitsubishi Pajero Sport (37 PP100) ranks highest in the SUV segment; the Honda Mobilio (80 PP100) ranks highest in the entry MPV segment; and the Nissan Grand Livina (53 PP100) ranks highest in the MPV segment.

The 2015 Indonesia Initial Quality Study (IQS) is based on evaluations from 2,902 owners who purchased their new vehicle between September 2014 and August 2015. The study covers 11 different brands that include 41 different passenger car and utility vehicle models. The study was fielded from May through November 2015.

Media Relations Contacts

Xingti Liu; Singapore; 65-6733 8980; [email protected]

John Tews; Troy, Michigan, USA; 001-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About JD Power and Advertising/Promotional Ruleswww.jdpower.com/about-us/press-release-info

About McGraw Hill Financial www.mhfi.com

 

Customer Satisfaction Higher When Dealer is Selected Based on Reputation and Familiarity

2015-11-11

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SINGAPORE: 16 November 2015 —Though the market headwinds force manufacturers and dealers to offer attractive sales promotions, satisfaction increases when new-vehicle shoppers select a dealer based on its reputation or personal familiarity with the dealer, according to the JD Power 2015 Indonesia Sales Satisfaction Index (SSI) Study^SM—Mass Market segment, released today. 

Now in its 15th year, the study examines six factors that contribute to overall new-vehicle owner satisfaction with their purchase experience (listed in order of importance): delivery timing; delivery process; salesperson; sales initiation; dealer facility; and deal. Satisfaction is calculated on a 1,000-point scale with a higher score indicating higher satisfaction.

Overall sales satisfaction averages 771 points in 2015. Due to the study redesign, the 2015 index scores are not directly comparable with 2014.

Among customers who choose a dealer based on its reputation or personal familiarity with the dealer, satisfaction with their purchase experience is 10 points higher than those who select a dealer based on sales promotions and model availability. The percentage of price discounts has increased to 85% in 2015 from 70% in 2014. Moreover, nine in 10 customers indicate receiving freebies, such as free accessories and free extended warranty, along with their deal.

“Given that satisfaction is not driven by price alone, manufacturers should focus on building a strong and lasting relationship with their customers,” said Kaustav Roy, director at JD Power, Singapore. “This can be accomplished by meeting or exceeding their expectations at all touchpoints of the customer experience during the vehicle purchase and delivery processes.”

For example, customers in Indonesia expect their salesperson to deliver the vehicle to their residence. According to the study, 56% of the customers indicate their vehicle was delivered by their own salesperson. When this occurs, satisfaction increases significantly to 780, compared with 758 when the vehicle is delivered by someone else from the dealership.

KEY FINDINGS

• Among mass market vehicle owners who are highly satisfied (sales satisfaction scores of 810 or higher) with the purchase experience at their authorized dealership, 42% say they “definitely would” recommend the same dealership to their friends and relatives and 29% say they “definitely would” purchase another vehicle from the same dealership. In comparison, only 24 % of those who are highly dissatisfied (scores of 731 or lower) say they “definitely would” recommend their dealer and only 15% say they “definitely would” purchase from the same dealer again.
• The study identifies 22 sales standards that enhance the overall sales experience. Customers expect a minimum of 18 standards to be met in order to have a positive sales experience.  When all 22 standards are met, satisfaction is 781, compared with 742 when fewer than 18 are met.
• Proactively offering test drives has an impact on satisfaction. The percentage of customers taking a test drive has increased considerably to 41% in 2015 from 34% in 2014. However, the proportion of salespersons proactively offering a test drive has dropped significantly to 84% from 92% in 2014. When a test drive is proactively offered, satisfaction is 774, compared to 755 when it is not offered.
• Customers expect their salesperson to call them after their first visit to the dealership. Among customers who received calls after their dealer visit, satisfaction is 772 vs. 761 among those who do not receive any call. Notably, satisfaction drops to 769 when more than three calls are received.

Study Rankings

Mitsubishi and Daihatsu (780 each) rank highest in a tie among mass market brands in customer satisfaction with the new-vehicle purchase and delivery experience. Mitsubishi performs particularly well in all factors except delivery timing, while Daihatsu performs well in sales initiation and delivery timing. Datsun ranks third with a score of 773.

The 2015 Indonesia SSI Study is based on responses from 2,454 new-vehicle owners who purchased their vehicle between September 2014 and June 2015. The study was fielded from May through October 2015 and measures new-vehicle owner satisfaction with the sales and delivery experience from authorized dealers in Indonesia.

Media Relations Contacts

Xingti Liu; Singapore; Phone 65-6733 8980; [email protected]

John Tews; Troy, Michigan, USA; 001-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About JD Power and Advertising/Promotional Ruleswww.jdpower.com/about-us/press-release-info

About McGraw Hill Financial www.mhfi.com

 

Dealership Staff Can Help Reduce The Number of Problems Owners Experience With Their New Vehicle

2015-11-24

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KUALA LUMPUR: 27 November 2015 — The salesperson plays a critical role in reducing the number of problems owners experience with their new vehicle, according to the JD Power Asia Pacific 2015 Malaysia Initial Quality Study^SM (IQS) released today. 

Automakers continue to add features, specifically entertainment and connectivity technology, to their vehicle. By explaining at the time of delivery all of the features of the vehicle and how they work, the salesperson can make sure the owner is comfortable with the technology thus significantly reducing the number of problems the owner experienced with their vehicle. 

The study finds that when the salesperson provides a comprehensive explanation of the vehicle and its features, owners report an average of 79 problems per 100 vehicles (PP100).  In contrast, owners who indicate their salesperson provided no explanation, or only a partial explanation, report an average of 163 PP100.

“With all of the new content automakers are putting in their vehicles, it is absolutely critical for salespeople to provide comprehensive explanation of vehicle, including a test drive, to make sure the customer fully understands how to operate all of the technology and its benefits,” said Rajaswaran Tharmalingam, country head, Malaysia, JD Power. “The technology may work exactly as it’s designed, but if the customer doesn’t know how to use it or had difficulties using it, they deem it a problem. The salesperson can greatly reduce those problems simply spending time with the customer during the delivery process going through the vehicle and its accessories.”

Tharmalingam noted that given the importance of the test drive, only 59 percent of customers in Malaysia took one during their shopping process. Customers who took a test drive report 74 PP100, while those who did not report 97 PP100. 

“The test drive is critical to help the owner experience the vehicle, which helps manage their expectations during the ownership lifecycle,” said Tharmalingam. “Quality and reliability are among the top purchase decision factors when selecting a vehicle, and problems experienced in the first six months of ownership can have an effect years later when consumers replace their vehicle.”

The study, now in its 13th year, measures problems experienced by new-vehicle owners during the first two to six months of ownership. The study examines more than 200 problem symptoms covering eight vehicle categories: vehicle exterior; driving experience; features/ controls/ displays; audio/ entertainment/ navigation; seats; HVAC; vehicle interior; and engine/ transmission. Lower PP100 scores indicate a lower rate of problem incidence and, therefore, higher initial quality.

KEY FINDINGS

• SUV owners report the fewest number of problems with their vehicle (52 PP100), while compact owners report the highest number of problems (98 PP100).
• Among the problem categories, owners report the most problems with the driving experience (17.8 PP100), up by 3.9 PP100 from 2014. Seats have the fewest problems among the problem categories at 5.0 PP100.
• Excessive wind noise remains as the top most frequently cited problem at 6.2 PP100. The second most frequently reported problem is noisy brakes (3.3 PP100) followed by floor mats that won’t stay in place (2.6 PP100).

2015 Malaysia IQS Study Rankings

Among the 41 models examined in the study, two Honda models, one Perodua and one Toyota model rank highest in their respective segments.

The Honda City ranks highest in the entry midsize segment (68 PP100) and the Honda CR-V ranks highest in the SUV segment (31 PP100). The Perodua Axia ranks highest in the compact segment (89 PP100), while the Toyota Avanza ranks highest in the MPV/ Van segment (36 PP100) for the sixth consecutive year.

The 2015 Malaysia Initial Quality Study (IQS) is based on responses from 2,622 new-vehicle owners who purchased their vehicle between August 2014 and June 2015. The study includes 41 passenger car, pickup and utility vehicle models of 15 brands. The study was fielded between February and August 2015.

Media Relations Contacts

Xingti Liu; Singapore; Phone 65-6733 8980; [email protected]

John Tews; Troy, Michigan, USA; 001-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About JD Power and Advertising/Promotional Ruleswww.jdpower.com/about-us/press-release-info

About McGraw Hill Financial www.mhfi.com

 

Overall New-Vehicle Quality in Thailand is Stable in 2015; Increase in Interior, Audio Problems Offset Improvements in Other Areas

2015-11-24

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BANGKOK: 27 November 2015 — Although quality improves in three component categories and remains stable in two, a substantial increase in the number of reported problems in the vehicle interior and audio/ entertainment/ navigation system (ACEN) categories offsets the other initial quality gains overall, according to the JD Power 2015 Thailand Initial Quality Study^SM (IQS) released today.

The study measures problems experienced by new-vehicle owners during the first two to six months of ownership and examines more than 200 problem symptoms in eight component categories (listed in order of frequency of reported problems): vehicle exterior; engine/ transmission; driving experience; vehicle interior; audio, entertainment and navigation (ACEN); HVAC; features, controls and displays; and seats. All problems are summarized as the number of problems per 100 vehicles (PP100), with lower PP100 scores indicating a lower incidence of problems and, therefore, higher initial quality.

“Manufacturers have made strides in initial quality in most categories, most notably with vehicle exterior, engine/ transmission and driving experience components,” said Siros Satrabhaya, branch manager at JD Power. However, there is a misalignment of customer expectations when it comes to vehicle interior and audio system quality components, as new-vehicle owners increasingly report problems in these areas.”

Overall initial quality averages 91 PP100 in 2015, on par with 2014. The study finds that the percentage of interior problems has increased to 11% in 2015 from 8% in 2014, while problems with ACEN systems have increased to 8% vs. 6% last year. The most frequently cited problems in the vehicle interior category relate to difficulty using cup holders, squeak/ rattle noises from the instrument panel and poor quality interior materials. Key problems in the ACEN category are poor radio reception and speaker sound quality. The proportion of problems related to seats has increased slightly to 5% from 4% in 2014.

Satrabhaya cautioned that, despite a stable performance in the HVAC and features, controls and displays categories, manufacturers should be mindful of problem severity, as gaps in overall vehicle quality ratings between owners who experience a problem and those who do not are largest in these categories. In fact, these gaps are the largest since the study’s inception in 2000. “Air-conditioning is likely an issue due to a heat wave earlier in the year, and there is sensitivity around features, controls and displays as more features become standard offerings on new vehicles,” he explained. “Underperformance on in-cabin quality is a critical issue for manufacturers wanting to produce vehicles that live up to customer expectations.”

KEY FINDINGS

• Passenger car segments combined had 89 PP100 in 2015, a 4 PP100 increase compared with 2014.
• The highest- and lowest-performing segments are consistent with 2014, with premium midsize car owners reporting the fewest number of problems with their vehicle (59 PP100), and MPV owners reporting the highest number of problems (110 PP100).
• Nearly two-thirds (61%) of owners report at least one initial quality problem in 2015, compared with 51% in 2014.
• Excessive wind noise (9.6 PP100) remains the most frequently reported problem symptom this year, and has been so since 2008. Poor radio reception (2.4 PP100), which has a history of being among the top five most frequently reported problems, is once again among the top five after improving in both 2013 and 2014.
• Loyalty and repurchase intentions are proportional to customer satisfaction with overall vehicle quality, as 78% of delighted customers say they “definitely would” recommend their vehicle model and 61% say they “definitely would” repurchase their vehicle make; among disappointed customers, only 23% and 11%, respectively, say the same.

2015 Thailand Initial Quality Study Rankings

Honda receives two model-level awards: the Civic (72 PP100) in the midsize car segment and the CR-V (68 PP100) in the full-size SUV segment.

Toyota receives awards in two pickup vehicle segments: the Hilux Vigo Champ Prerunner Smart Cab (74 PP100) in the pickup extended cab segment, and the Hilux Revo Prerunner D-Cab and Hilux Vigo Champ Prerunner D-Cab in a tie (67 PP100 each) in the pickup double cab segment.

The Mitsubishi Mirage (101 PP100) ranks highest in the compact car segment. The Mazda2 (77 PP100) ranks highest in the entry midsize car segment.

The 2015 Thailand Initial Quality Study (IQS) is based on evaluations from 4,837 owners who purchased their new vehicle between October 2014 and July 2015. The study covers 12 different brands that include 89 different passenger car, pickup truck and utility vehicle models. The study was fielded from April through September 2015.

Media Relations Contacts

Xingti Liu; JD Power; Singapore; Phone 65-6733 8980; [email protected]

John Tews; JD Power; Troy, Michigan, USA; 001-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About JD Power and Advertising/Promotional Rules www.jdpower.com/about-us/press-release-info

About McGraw Hill Financial

McGraw Hill Financial (NYSE: MHFI) is a leading financial intelligence company providing the global capital and commodity markets with independent benchmarks, credit ratings, portfolio and enterprise risk solutions, and analytics. The Company’s iconic brands include Standard & Poor’s Ratings Services, S&P Capital IQ and SNL, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 20,000 employees in 31 countries. Additional information is available at www.mhfi.com

 

Amenities and Extras Differentiate Dealers in an Ever More Competitive Service Market

2015-11-24

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Melbourne: 1 December 2015 — Auto dealerships in Australia are providing service customers with extras, such as a free car wash and vacuuming, and adding amenities to their waiting areas as a way to differentiate themselves in a highly competitive market, according to JD Power 2015 Australia Customer Service Index (CSI) Study^SM released today.

The study finds that 31% of customers who took their mass market vehicle in for maintenance or repairs at an authorised dealer say the dealer washed and vacuumed their vehicle after the service was completed, an increase from 28% in 2014. Overall satisfaction among customers whose vehicle was washed and vacuumed is 842 (on a 1,000-point scale), while satisfaction among those whose vehicle was not is 762. 

Additionally, there is a year-over-year 7 percentage point increase in dealers providing Wi-Fi access in their service facility. Among the amenities measured in the study, customer satisfaction with Wi-Fi access is 836 index points, trailing only free food at 850 and availability of a children’s area at 838.

“With little differentiation in dealer performance, these value-added services and amenities are helping improve the customer experience and boost overall satisfaction,” said Loi Truong, senior country manager of Australia at JD Power.

Overall customer satisfaction with the vehicle after-sales service experience at an authorised service centre in the mass market segment for 2015 is 797, up from 790 in 2014 and 782 in 2013.

Satisfaction with dealer service leads to customer loyalty and advocacy. Among the 24% of customers who are highly satisfied (overall satisfaction scores of 901 and above), 58% say they “definitely will” purchase their next vehicle from that dealer, and 75% say they “definitely would” recommend the dealer to friends and family. In contrast, among customers less satisfied (scores of 715 and below), only 5% indicate an intention to purchase their next vehicle from that dealer, and only 5% say they “definitely would” recommend the dealer to others.

Moreover, highly satisfied customers are eight times more likely to revisit their service dealer for post-warranty service work (maintenance and repairs), compared with those with lower satisfaction.

“Because service satisfaction is so critical, it’s encouraging to see that more dealers are calling their customers to make sure they are fully satisfied with their service visit (46% vs. 44% in 2014),” said Truong. “Calling customers after their service visit increases satisfaction by 40 points. However, compared to other markets like the United States (61%) and the UK (56%), dealers in Australia lag behind in gathering feedback from their customers.[1]”

Now in its sixth year, the study measures overall satisfaction with the vehicle service experience at authorised service centres by examining five factors (listed in order of importance): service quality; vehicle pick-up; service advisor; service initiation; and service facility.

KEY FINDINGS

• Except for New South Wales, all states experience an improvement in satisfaction year-over-year, with the highest level in South Australia (828).
• Among the 6% of customers who say their service work was not done right the first time, satisfaction averages 638. The primary reasons for repeat work include parts were not available (656); work performed did not correct the problem (618); and dealership could not find the problem (615).
• Vehicle owners younger than 35 years old, who comprise 17% of dealer service customers, are the least satisfied demographic group (770). Owners who are 66 years and older are the most satisfied (841).
• The percentage of customers scheduling their service appointment over the Internet has steadily increased to 11% in 2015 from 6% in 2012. Overall satisfaction among customers who use the Internet for scheduling their service visit has increased by 11 points since 2012.
• The percentage of after-sales customers indicating being covered by a capped price servicing programme has increased to 47%, up 9 percentage points from 2014. Overall satisfaction among customers covered by a capped price service programme is 811.

Australia Customer Service Index Rankings

Honda ranks highest in customer satisfaction with dealer service among mass market brands, with a score of 816. Honda performs particularly well in the service advisor, vehicle pick-up and service quality factors. Mazda ranks second (813), followed by Toyota (807), Kia (804) and Subaru (800).

The 2015 Australia Customer Service Index (CSI) Study is based on responses from 4,518 owners who purchased their new vehicle between August 2010 and October 2015 and took their vehicle for service at an authorised service centre between August 2014 and October 2015. The study was fielded from August through October 2015.

Media Relations Contacts

XingTi Liu; JD Power; Singapore, 068811; Phone +65-67338980; [email protected]

John Tews; JD Power; Troy, Michigan 48083 USA; 001-248-680-6218; [email protected]

About JD Power in the Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai, Malaysia and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the   region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

 

85% of Credit Card Customers in Singapore Do Not Fully Understand Their Card Terms

2015-10-16

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Singapore: 20 October 2015 — Eighty-five percent of credit card customers in Singapore do not completely understand the terms of their primary credit card, according to the JD Power 2015 Singapore Credit Card Satisfaction Study^SM released today.

The inaugural study measures customer satisfaction with their credit card issuer by examining six key factors: interaction; credit card terms; billing and payment; rewards; benefits and services; and problem resolution. Satisfaction is calculated on a 1,000-point scale.

Overall satisfaction in 2015 averages 697; however, satisfaction rises significantly to 768 among the 15 percent of customers who fully understand their credit card terms, compared with 689 among those who do not fully understand.

Among all customers, satisfaction in the credit card terms factor is 645. The top reasons cited by cardholders for not understanding their card terms are foreign currency/ transaction fees (58%) and interest rates (49%). Furthermore, satisfaction among those who do not completely understand their card’s annual fee is 666, which is 31 points below overall industry average.

“In a highly saturated credit card market like Singapore, it is important for card issuers to not only promote the rewards and benefits of their product, but also to ensure that relevant information on interest rates and other fees and charges are clearly outlined,” said Dr. Gordon Shields, director at JD Power. “High levels of customer satisfaction directly impact an issuer’s financial performance. Customers with a greater understanding of their credit card terms are also more satisfied overall and, thereby, tend to spend more on their primary card.”

The study finds that the average monthly spend among customers who completely understand their card terms is $1,068, compared with $837 among those who either do not or only partially understand their card’s terms.

Reward programs add a level of complexity for many credit card customers. Among a multitude of reward program offerings, customers often do not understand how to earn and redeem the rewards. Only 32 percent of cardholders say they “completely” understand how to earn rewards, and only 47 percent are fully conversant on how to redeem their accruals.

“Issuers that can de-clutter their offerings and hone in on the key winning propositions, will likely benefit in this market,” said Dr. Shields.

Study Rankings

American Express ranks highest in credit card customer satisfaction with an overall satisfaction score of 737. America Express performs particularly well in five of the six study factors.

Local banks POSB and OCBC follow American Express in the rankings with scores of 710 and 704, respectively. POSB performs particularly well in the billing and payment, credit card terms and benefits and services factors, while OCBC performs particularly well in interaction and rewards.

KEY FINDINGS

• Satisfaction is highest (755) among credit card customers who use email or webchat, compared with other interaction channels. However, only 12 percent of cardholders have used this channel in the past 12 months. The more frequently used channels are bank or card issuer’s website (78%) and via phone (40%).
• Seventy percent of customers in Singapore indicate not paying an annual credit card fee; 60 percent indicate their annual fee was either waived or reversed in the past 12 months.
• The most common rewards types used in Singapore are cashback (60%), gift certificates (40%) and retailer/ restaurant (30%).
• Significant differences are observed between credit card customers’ behaviour in Singapore and those in the United States. A higher percentage of cardholders in Singapore use shopping discounts (57%), compared with their counterparts in the United States[1] (13%). Fraud protection services available more often in Singapore (45%), compared with the United States (15%). The most preferred method for bill payment among cardholders in Singapore is through ATM/ kiosk/ bank terminal (28%), while in the United States, the most popular payment method is through the card issuer’s website (34%).

JD Power’s Singapore Credit Card Satisfaction study is modelled after the established study that has been conducted for nearly a decade in the U.S. Well-accepted by the financial sector in the U.S., this study aims to help card issuers ascertain cardholders’ needs and expectations, and identify key best practices that drive customer delight. It is with this same objective that this study is expanding into key markets like Australia, and now Singapore.

The 2015 Singapore Credit Card Satisfaction Study is based on responses from 2,849 credit card customers. The study was fielded throughout August and September 2015.

Media Relations Contacts

XingTi Liu; JD Power Asia Pacific; 08-Shenton Way, #44-02/03/04; Singapore 068811; +65-67338980; [email protected]

John Tews; Director, Media Relations; JD Power; Troy, Michigan 48083, USA; 001-248-680-6218; [email protected]

About JD Power Asia Pacific

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About JD Power and Advertising/Promotional Rules www.jdpower.com/about-us/press-release-info

About McGraw Hill Financial www.mhfi.com 

 

Service Initiation Delays for Luxury Car Owners in Taiwan Cause Drop in Service Satisfaction

2015-10-19

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SINGAPORE: 20 October 2015 — Service volume for luxury automotive brands has increased in Taiwan, causing more owners to have to wait to have to get a service appointment, according to the JD Power 2015 Taiwan Customer Service Index (CSI) Study^SM luxury segment, released today.

The study measures new-vehicle owner satisfaction with the after-sales service process by examining dealership performance in five factors (listed in order of importance): service quality; service initiation; vehicle pick-up; service advisor; and service facility. Dealership service performance is based on a 1,000-point scale. The study examines service satisfaction in the luxury segment.

Service volume for luxury market brands in Taiwan has increased 12 percent in 2015 compared with 2014, creating challenges for dealerships to maintain their service standard processes.  As a result of the increased volume,59 percent of customers in 2015 said they had to wait for 3 days or more for a service appointment, an 8 percent increase from 2014.  Overall satisfaction among customers who wait for 3 days or more is 885, compared with 898 for customers who wait 2 days or less for an appointment.

“Vehicle service is viewed by customers as a chore that needs to be done,” said Kaustav Roy, director, JD Power. “Customers, especially luxury brand owners, prefer not to wait to initiate their vehicle service.  Automakers with dealerships that are able to manage a seamless flow for vehicle service are likely to help enhance satisfaction.”

The overall satisfaction with the service process for luxury segment in Taiwan in 2015 stands at 889 index points, down by 14 points over 2014.

2015 Taiwan CSI Luxury Brand Rankings

Lexus ranks highest in overall customer service satisfaction among luxury brands, with a score of 905. Lexus performs particularly well in all five factors.

KEY FINDINGS LUXURY SEGMENT

• There is a strong correlation between service satisfaction and customer advocacy intentions toward their dealer and brand. Among highly satisfied customers (CSI scores of 948 or higher), 68 percent say they “definitely would” recommend their service dealer to friends and relatives. Among dissatisfied customers (CSI scores of 846 or lower), only 25 percent say they “definitely would” recommend.
• The study identifies 22 service standards that enhance the overall customer service experience. One-fifth of customers received 20 or fewer service standard in 2015, a 6 percent increase from 2014.  Satisfaction drops by 31 points when 20 or fewer service standards are implemented in 2015, compared with a 26-point decline in 2014.
• Service advisors are expected to spend sufficient time with customers while taking their vehicle in for service. In the 2015 study, 37 percent of customers indicate their service advisor spent less than five minutes with them, a 7 percent increase from 2014. Overall satisfaction declines by 9 points when advisors spend less than five minutes with customers.
• Delivering a clean vehicle after service enhances customer satisfaction.  The study finds that 79 percent of customers in 2015 say the dealership returned their vehicle cleaner than when they took it in for service, a 5 percent decline from 2014.  Satisfaction of customers who receive a cleaner vehicle is 897, compared with 858 for those whose vehicle was not cleaned.
• Luxury car owners who are provided alternative transportation while their vehicle is being serviced have an overall satisfaction of 894, compared with 873 among owners who are not provided this service.

About the Study

The 2015 Taiwan Customer Service Index Study is based on responses from 757 vehicle owners in the luxury segment who received delivery of their new vehicle from March 2013 through June 2014 and took their vehicle for service to an authorized dealer or service center from September 2014 through June 2015. The study was fielded from March through June 2015.

Media Relations Contacts

Xingti Liu; JD Power; Singapore; Phone 65-6733 8980; [email protected]

John Tews; JD Power; Troy, Michigan, USA; 001-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About JD Power and Advertising/Promotional Rules www.jdpower.com/about-us/press-release-info

About McGraw Hill Financial www.mhfi.com 

 

Number of Vehicle Shoppers Buying Their Household’s First Vehicle in Malaysia Increasing

2015-10-28

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KUALA LUMPUR: 30 OCTOBER 2015 — The percentage of consumers in Malaysia who are purchasing their household’s first vehicle is increasing dramatically, creating new challenges and opportunities for dealer salespeople, according to the JD Power 2015 Malaysia Sales Satisfaction Index (SSI) Study^SM released today.

The study, now in its 13th year, has been redesigned in 2015 and examines six factors that contribute to overall customer satisfaction with their new-vehicle purchase experience in the mass market segment. In order of importance, those factors are salesperson (19%); dealer facility (19%); delivery timing (17%); deal (16%); delivery process (16%); and sales initiation (13%). Dealership service performance is based on a 1,000-point scale. The study examines service satisfaction in the mass market segment.

Overall sales satisfaction in the mass market segment averages 752 index points in 2015.[1]

The study finds that 40 percent of new-vehicle buyers in 2015 acquired their household’s first new vehicle, a 15 percentage point increase from 2014. Overall satisfaction among these first-time buyers averages 766, compared with 740 among replacement-vehicle buyers.

The most common sources of information used among both first-time and replacement-vehicle buyers during the purchase decision process are friends/ relatives; owner of same make; and websites. Those who purchase their household’s first vehicle also cite auto shows (48%) and price guides (31%) as information sources, while replacement-vehicle buyers cite ads/ articles in newspapers/ magazines (36%) and dealer owner/ salesperson recommendations (34%).

Similarly, vehicle buyers cite the following common purchasing reasons: attractive design and styling; good fuel efficiency; and low purchase price/ attractive deal. Those who purchase their household’s first vehicle also consider good reputation of the brand (43%) and vehicle performance (42%), while replacement-vehicle buyers also consider roominess/ interior space/ comfort (45%) and good vehicle quality/ reliability (43%).

“Consumers who are buying their first vehicle have different requirements and expectations during the shopping experience than those who have purchased a new vehicle before, and that creates challenges for dealer salespeople,” said Rajaswaran Tharmalingam, country head, Malaysia, JD Power. “But it also creates great opportunities, as making a shopper’s first sales experience a positive and rewarding one can also build long-term customer loyalty and advocacy.”

Tharmalingam noted that while automakers have established sales processes and operating standards for their dealerships, ongoing training for salespeople is also critical. “The sales approach that works for someone who has purchased several new vehicles in the past doesn’t necessarily work for someone who has never purchased a vehicle before,” said Tharmalingam. “It is important that salespeople are trained to understand the distinct shopping behaviors of the two buyer segments so they can deliver a meaningful sales experience.”

KEY FINDINGS

• Overall satisfaction for Malaysian national brands in the mass market segment averages 736 in 2015. Overall satisfaction with non-national brands averages 770.
• The study identifies 22 sales standards that enhance the overall sales satisfaction experience. Customers expect a minimum of 18 of those 22 standards to be met in order to have a positive service experience. When 17 or fewer sales standards are met, satisfaction drops to 693, compared with 825 when all 22 sales standards are met.
• Among highly satisfied customers (overall SSI scores of 842 or higher), 60 percent say they “definitely would” recommend their purchase dealer to family and friends, compared with only 11 percent of highly dissatisfied customers (scores of 670 or lower).

2015 Malaysia SSI Study Rankings

Toyota ranks highest in overall sales satisfaction among mass market brands for a third consecutive year, with a score of 791. Toyota performs particularly well in all factors except sales initiation. Mitsubishi ranks second at 787, while Honda ranks third at 758.

The 2015 Malaysia Sales Satisfaction Index (SSI) Study is based on responses from 2,371 new-vehicle owners in the mass market segment who purchased their vehicle between August 2014 and May 2015. The study was fielded from February through July 2015.

Media Relations Contacts

Xingti Liu; JD Power; Singapore; Phone 65-6733 8980; [email protected]

John Tews; JD Power; Troy, Michigan, USA; 001-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About McGraw Hill Financial www.mhfi.com

No advertising or other promotional use can be made of the information in this release without the express prior written consent of JD Power. www.jdpower.com