Category: APAC

Credit Card Reward Programs Can Drive Satisfaction, But Only If Customers Are Aware Of Them

2015-06-16

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Melbourne: 18 June 2015 — Bendigo Bank ranks highest in credit card customer satisfaction, according to the inaugural JD Power Asia Pacific 2015 Australia Credit Card Satisfaction Study^SM released today.

The study measures customer satisfaction with credit cards by examining six key factors: customer interaction; credit card terms; billing and payment; rewards; benefits and services; and problem resolution.

Bendigo Bank achieves an overall satisfaction score of 745 (on a 1,000-point scale) and performs particularly well in three of the six key factors, most notably in customer interaction. Bankwest ranks second with a score of 739 and American Express ranks third with 731.

According to the study, customer awareness of earning and redeeming rewards with their credit card is low, as only 44 percent of customers say they “completely” understand how to earn rewards and only 56 percent indicate they understand how to redeem their points. Moreover, despite some credit card issuers providing numerous benefits and services attached to their products, only 49 percent of customers are aware of the benefits associated with their credit card.

Among customers who are aware of their card’s benefits, overall satisfaction with the card issuer averages 728 index points, which is 44 points higher than among those who are not aware of benefits.

“Many customers who use rewards programs in Australia are not familiar with how to use their programs fully or may not understand what benefits are attached to their cards,” said Loi Truong, senior country manager at JD Power Asia Pacific. “Card issuers can increase customer engagement and satisfaction by clearly outlining the benefits of their products. In addition, card issuers that provide a wider range of benefits that meet their cardholder needs not only make their products more relevant, but can also increase overall satisfaction.”

The study shows that customers who find their card rewards program attractive spend an average $799 more per month on their card than customers not enticed by the card’s reward program. Customers who can recall between one and three card benefits spend $480 per month more than those who can’t recall any benefit or service.

KEY FINDINGS

• The study finds that 22 percent of customers use their mobile device for at least one of 10 common card-related activities—such as to review account information, make payments or review rewards on their accounts—with the highest mobile usage among Gen Y[1] customers at 37 percent. 
• Customers whose card issuer ensure that their credit limit matches expectations are more likely to be advocates for their issuer, as 20 percent of customers who indicate their credit limit is “about right” say they “definitely would” recommend their card to family and friends, compared with only 12 percent among those who indicate their limit is “too high.”
• Only 27 percent of customers fully understand the credit card terms on their account.
• Slightly more than one-tenth (13%) of customers indicate having experienced a problem with their card during the past 12 months. Typical issues reported concern fees and fraud-related queries.
• Overall satisfaction is higher among customers who contact their credit card issuer and engage in a live conversation with a representative from their card issuer (761) vs. those who communicate via webchat or email (745).

The 2015 Australia Credit Card Satisfaction Study is based on responses from 3,368 credit card customers. The study was fielded between April and May 2015 in Australia.

About JD Power Asia Pacific

JD Power Asia Pacific 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. 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 Asia Pacific and its products can be accessed through the Internet at asean-oceania.jdpower.com.

About McGraw Hill Financial www.mhfi.com

Media Relations Contacts

XingTi Liu; JD Power Asia Pacific; Singapore; Phone +65-67338980; [email protected]

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

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

 

Entry MPV and Entry Compact Car Owners Experience the Highest Number of Quality Problems in Indonesia

2014-12-22

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SINGAPORE: 29 December 2014 — Owners of vehicles in the entry MPV and entry compact car segments report a higher number of problems with their new vehicles, compared with owners of vehicles in the other segments, according to the JD Power Asia Pacific 2014 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; vehicle exterior; audio, entertainment and navigation; features and displays; HVAC; and seats. Initial quality is determined by the number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality.

Overall initial quality averages 77 PP100 in 2014, compared with 74 PP100 in 2013.

The entry MPV segment (81 PP100) and the entry compact car segment (96 PP100), a new segment in 2014, post the highest numbers of problems among the vehicle segments ranked in the study. One-fourth (25%) of the reported problems in the entry MPV segment and 27 percent of those in the entry compact car segment are related to the driving experience category. 

“The entry MPV and entry compact car segments are two of the largest and the fastest growing new-vehicle segments in Indonesia,” said Rajeev Nair, director at JD Power Asia Pacific. “With increasing competition   and new model introductions in Indonesia, manufacturers need to focus on producing vehicles with high levels of initial quality to differentiate their products from the competition. When owners are satisfied with the initial quality of their new vehicle, they are more likely to be loyal to the brand and recommend it to family and friends.”

KEY FINDINGS

• Owners of sport utility vehicles (SUVs) report the fewest number of problems (61 PP100).
• The top five most commonly reported problems in 2014 remain unchanged from 2013. Three of the five problems are related to driving experience, including brakes vibrate/ shudder; brakes are noisy; and abnormal noises under the vehicle.
• Nearly half (42%) of owners who are pleased/delighted (providing ratings of 8 to 10 on a 10-point scale) with the quality of their new vehicle say they “definitely would” recommend their vehicle to family and friends, while only 18 percent of those who are indifferent/disappointed (ratings of 1 to 7) say the same.

2014 Indonesia Initial Quality Study Rankings

Honda receives a model-level award for each of the following three models: Jazz, with a score of 52 PP100 (premium compact car segment); Mobilio at 65 PP100 (entry MPV); and Freed at 54 PP100 (MPV).

The Suzuki Karimun Wagon R (85 PP100) ranks highest in the entry compact car segment.

The Toyota Etios Valco (54 PP100) ranks highest in the compact car segment and is the second-highest performing model in a tie with the Honda Freed (54 PP100) in the study.

The Mitsubishi Pajero Sport (56 PP100) ranks highest in the SUV segment.

The 2014 Indonesia Initial Quality Study (IQS) is based on evaluations from 3,301 owners who purchased their new vehicle between October 2013 and August 2014. The study covers 15 different brands that include 71 different passenger car and utility vehicle models. The study was fielded between April and November 2014.

Media Relations Contacts

XingTi Liu; JD Power Asia Pacific; 8-Shenton Way, #44-02/03/04; Singapore; Phone +65-6733-8980; [email protected]

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

About JD Power Asia Pacific: www.jdpower.com

About JD Power and Advertising/Promotional Rules: www.jdpower.com/corporate

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, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries. Additional information is available at www.mhfi.com.

 

Fuel Efficiency a Rising Concern for New-Vehicle Owners in Malaysia

2014-11-18

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SINGAPORE: 20 November 2014 — Overall new-vehicle initial quality in Malaysia improves for a fifth consecutive year, despite more vehicle owners indicating having experienced issues with excessive fuel consumption—one of the top five most frequently cited problems in 2014—according to the JD Power Asia Pacific 2014 Malaysia Initial Quality Study^SM (IQS) released today.

The study, now in its 12^th 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. All problems are summarized as the number of problems per 100 vehicles (PP100). Lower PP100 scores indicate a lower rate of problem incidence and, therefore, higher initial quality.

Overall initial quality in Malaysia averages 82 PP100 in 2014, an improvement from 88 PP100 in 2013. Initial quality improves in four of the eight problem categories: vehicle exterior (2.8 PP100 improvement); engine/ transmission (2.4 PP100); driving experience (2.3 PP100); and features/ controls/ displays (1.2 PP100).

Problems related to excessive fuel consumption increase to 2.8 PP100 in 2014, up from 2.7 PP100 in 2013, which moves this problem symptom to the top five most frequently reported problems. In addition, good fuel efficiency is the second-most frequently cited purchase decision factor (14%), after low purchase price (15%).

“While automakers strive to produce more fuel-efficient vehicles, they must communicate clearly the fuel consumption pattern across existing models on sale to the customers. Failing which, customers can continue to have negative experience on vehicle quality associated from poor fuel consumption, which is on the rise,” said Rajaswaran Tharmalingam, Malaysia country head for JD Power Asia Pacific, Singapore. “Quality care programs for customers with tips to manage vehicle fuel consumption better is an area for consideration forward.”

KEY FINDINGS

• ŸInitial quality impacts new-vehicle owner advocacy. Among owners who are “pleased” or “delighted” with their overall vehicle quality (providing ratings of 8 or higher on a 10-point scale), 54 percent say they “definitely would” recommend the model they purchased to family and friends, while only 13 percent of those who are “indifferent” or “disappointed” (providing ratings of 7 or below) would do the same.
• ŸNearly seven in 10 (68%) owners rely on friends or relatives as a source of information when shopping for their vehicle.
• Ÿ52 percent of owners who did not test drive their vehicle during the purchase process experience more problems (91 PP100) than those who took a test drive (73 PP100).  

Study Rankings

Among the 63 models examined in the study, two Toyota models and one Isuzu model rank highest in their respective segments.

The Toyota Vios ranks highest in the entry midsize segment with a score of 64 PP100. The Nissan Almera ranks second with 68 PP100, followed by Honda City with 73 PP100.

The Toyota Avanza ranks highest in the MPV/ van segment for a fifth consecutive year, with a score of 38 PP100. The Nissan Grand Livina (77 PP100) ranks second.

The Isuzu D-Max ranks highest in the pickup segment with a score of 40 PP100. The Toyota Hilux ranks second with 53 PP100, followed by the Ford Ranger with 54 PP100.

The 2014 Malaysia Initial Quality Study is based on responses from 3,070 new-vehicle owners who purchased their vehicle between August 2013 and May 2014. The study includes 63 passenger car, pickup and utility vehicle models of 17 brands. The study was fielded between February and July 2014.

Media Relations Contacts

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

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

About JD Power Asia Pacific

JD Power Asia Pacific 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. 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 Asia Pacific and its products can be accessed through the Internet at japan.jdpower.com.

About JD Power and Advertising/Promotional Ruleswww.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, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries. Additional information is available at www.mhfi.com.

 

Service Satisfaction Improves as Dealers Enhance Their Communication; Capped Price Servicing Promotes Cost Transparency for Vehicle Owners in Australia

2014-11-24

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• Chapter 1: Overall performance
• Chapter 2: Satisfaction with Service Cost Transparency
• Chapter 3: Communicating with Customers
• Chapter 4: Vehicle Washed and Vacuumed
• Chapter 5: Performance of the Highest Ranked Nameplate

 

Singapore: 26 November 2014 — As most major brands in Australia now have adopted capped price servicing, authorised service centres need to ensure communication to customers regarding costs are clear and accurate as possible, according to the JD Power Asia Pacific 2014 Australia Customer Service Index (CSI) Study^SM released today.

Overall customer satisfaction with the vehicle after-sales service experience at an authorised service centre in the mass market segment increases to 790 (on a 1,000-point scale) in 2014, an 8-point improvement from 2013.

Loi Truong, senior country manager of Australia at JD Power Asia Pacific, notes improved transparency of service and repair costs was becoming increasingly important as many service providers moved to capped price servicing.

“As most major brands in Australia now have adopted capped price servicing, authorised service centres need to ensure communication to customers regarding costs, whether it is routine maintenance or additional repair costs, are clear and accurate as possible,” said Truong. “Brands that can provide customers with a clear explanation of the work undertaken and deliver a consistently reliable service will benefit in the long run.”

The 2014 study finds that 67 percent of customers receive a cost estimate, up from 62 percent in 2013 and 77 percent receive an explanation of the charges from the dealer post service.

KEY FINDINGS

• The proportion of customers whose vehicles are ready when promised increases to 83 percent in 2014, compared with 82 percent in 2013.
• Seven percent of customers report their actual service and repair bills were higher than first estimated.
• Customers do not expect to have their vehicle service work repeated. Satisfaction among the 94 percent of customers who indicate that the work was done right first time is 799 in 2014, up from 793 in 2013.
• The study identifies 16 service standards that enhance the overall customer service experience. Nearly one-fifth (19%) of customers indicate their dealer implemented 15 or more service standards in 2014, a 2 percentage point increase from 2013. When 15 or more service standards are met, overall satisfaction improves by 74 points above mass market average to 864.
• With more service standards being met throughout the market, customers expect their vehicles to be washed and vacuumed regularly. However, only 28 percent of customers receive their vehicles washed and vacuumed post-service.
• Customers who are highly satisfied (satisfaction scores of 896 or higher) are more than twice as likely to recommend their service dealer to family and friends as those who are highly dissatisfied (scores of 703 or lower).

Australia Customer Service Index Rankings

Mazda ranks highest in customer satisfaction with dealer service among mass market brands for the second consecutive year, with a score of 806. Mazda performs particularly well in the service facility and service quality factors. Subaru ranks second (804), followed closely by Toyota (802), Holden (794) and Hyundai (791).

Now in its fifth 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. Overall satisfaction is measured on a 1,000-point scale, with a higher score indicating higher satisfaction.

The 2014 Australia Customer Service Index (CSI) Study is based on responses from 4,313 owners who purchased their new vehicle between August 2009 and September 2014 and took their vehicle for service at an authorized service centre between August 2013 and September 2014. The study was fielded in August and September 2014.

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 and Advertising/Promotional Rules www.jdpower.com/corporate

About McGraw Hill Financial www.mhfi.com

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, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries. Additional information is available at www.mhfi.com.

 

Overall Vehicle Quality Leads to Higher Levels of Advocacy

2014-11-24

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BANGKOK: 27 November 2014 — Intentions of new-vehicle owners to recommend their vehicle to friends, relatives and acquaintances increase proportionally to their level of satisfaction with their new vehicle’s initial quality, according to the JD Power Asia Pacific 2014 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 vehicle categories (listed in order of frequency of reported problems): vehicle exterior; engine and transmission; driving experience; vehicle interior; HVAC; audio, entertainment and navigation; 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 rate of problem incidence and, therefore, higher initial quality.

Overall initial quality averages 91 PP100 in 2014, compared with 84 PP100 in 2013.

“It is critical for manufacturers to reduce the number of problems customers experience during the first few months of ownership as this greatly impacts brand loyalty and advocacy,” said Loic Pean, senior manager at JD Power Asia Pacific. “Initial vehicle quality has a considerable impact on both customer acquisition and retention.”

The study finds that 68 percent of owners who are delighted (scores of 10 on a 10-point scale) with the quality of their new vehicle say they “definitely would” recommend their vehicle to family and friends, while only 50 percent of those who are pleased (ratings of 8 or 9) and 26 percent of those who are indifferent or disappointed (ratings of 1 to 7) say the same.

KEY FINDINGS

• Premium midsize car owners report the fewest number of problems with their vehicle (53 PP100), while MPV owners report the highest number of problems (123 PP100) in 2014.
• First-time new-vehicle buyers report fewer problems (76 PP100) than repeat buyers (103 PP100).
• Overall, owners report 3 PP100 more interior and engine/ transmission problems in 2014 than in 2013.
• The five most frequently cited problems in 2014 remain unchanged from 2013, with excessive wind noise (10 PP100) being the single symptom to improve year over year, down from 12 PP100 in 2013.

2014 Thailand Initial Quality Study Rankings

Honda receives a model-level award for each of the following four models: the Brio Amaze in the compact car segment (62 PP100); the Civic in the midsize car segment (57 PP100); the Accord in the premium midsize car segment (41 PP100); and the CR-V in the full-size SUV segment (63 PP100).

The Toyota Hilux Vigo Champ ranks highest in each of the three pickup segments: the Hilux Vigo Champ S-Cab in the single cab segment (74 PP100); the Hilux Vigo Champ Smart Cab in the extended cab segment (84 PP100); and the Hilux Vigo Champ D-Cab in the double cab segment (65 PP100).

The Mazda2 Elegance ranks highest in the entry midsize car segment with a quality score of 55 PP100.

The 2014 Thailand Initial Quality Study (IQS) is based on evaluations from 4,877 owners who purchased their new vehicle between October 2013 and June 2014. The study covers 12 different brands that include 83 different passenger car, pickup truck and utility vehicle models. The study was fielded between April and August 2014.

Media Relations Contacts

Xingti Liu; JD Power Asia Pacific; 8-Shenton Way, #44-02/03/04; Singapore; Phone +65-6733-8980; [email protected]

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

About JD Power Asia Pacific: www.jdpower.com

About JD Power and Advertising/Promotional Rules: www.jdpower.com/corporate

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, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries. Additional information is available at www.mhfi.com.

 

Luxury Vehicle Owners More Satisfied With the Service Centre Experience in Australia than Owners of Mass Market Vehicles

2014-12-08

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Singapore: 9 December 2014 —Satisfaction with authorised service centres is higher among luxury vehicle owners than among mass market vehicle owners in Australia, according to the JD Power 2014 Australia Customer Service Index (CSI) Study^SM —Luxury Market released today.  

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 (25%); vehicle pick-up (20%); service advisor (20%); service initiation (18%); and service facility (17%). Overall satisfaction is measured on a 1,000-point scale, with a higher score indicating higher satisfaction.

Overall customer satisfaction with the after-sales service experience at authorised service centres in the luxury segment is 803 in 2014, which is 13 points higher than satisfaction in the mass market segment. Luxury brand authorised service centres perform particularly well in ease of driving in and out of the facility, convenience of parking and cleanliness.

Overall satisfaction among luxury vehicle owners age 35 years and younger is 27 index points lower than the segment average. Of the five factors measured in the study, satisfaction among younger owners (35-years old and younger) is lowest with service initiation and service advisor.

“Older owners (36-years old and older) of luxury car are more satisfied than younger owners with their experience at authorised service centres,” said Loi Truong, senior country manager of Australia at JD Power Asia Pacific. “With the proportion of luxury vehicle owners under age 36, it is critical that service centres provide the service attention needed to satisfy these younger customers.”

Truong also notes that service advisors play a key role in differentiating the luxury market service experience from that of the mass market by being courteous, responsive and taking the time to explain the work being carried out on the vehicle.

KEY FINDINGS

• Luxury vehicle owners who are highly satisfied (satisfaction scores of 918 or higher) are almost four times more likely to recommend the same brand to family and friends than those who are highly dissatisfied (scores of 714 or lower). Additionally, highly satisfied customers are more than 15 times more likely to revisit their service dealer for post-warranty service than customers with lower satisfaction.
• The study identifies 16 service attributes that enhance the overall customer service experience. Twenty percent of customers indicate their dealer implemented 15 or more service attributes. When 15 or more service attributes are met, overall satisfaction improves to 883, which is 80 points higher than luxury market average. If fewer than 10 service attributes are met, overall satisfaction drops 80 points below luxury market average.
• Cleanliness of dealership rated the highest of the 16 service attributes, followed by courtesy of the service advisor then helpfulness of the staff at pick-up.

Rankings

Mercedes-Benz ranks highest among luxury market brands in customer satisfaction with dealer service with a score of 833. Mercedes-Benz performs particularly well in all five factors.

The 2014 Australia Customer Service Index Study for luxury is a part of the annual CSI study, which covers both mass market and luxury brands from a total of 4,696 vehicle owners. The luxury study is based on evaluations from 383 vehicle owners who purchased their vehicles between August 2009 and September 2014 and visited an authorised dealership service centre for maintenance or repair work between August 2013 and September 2014.

Media Relations Contacts

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

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

About JD Power and Advertising/Promotional Rules www.jdpower.com/corporate

About McGraw Hill Financial www.mhfi.com

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, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries.

 

New-Vehicle Buyers in Vietnam Select Their Purchase Dealer Based on Reputation

2014-10-20

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SINGAPORE22 October 2014 — New-vehicle buyers in Vietnam select their purchase dealer based first on the dealer’s reputation and then on the availability of the model they want, according to the JD Power 2014 Vietnam Sales Satisfaction Index (SSI) Study^SM released today. 

The study finds that 29 percent of new-vehicle buyers in Vietnam select their dealer based on its reputation, followed by availability of the vehicle model (25%) and proximity of the dealer to their home or workplace (17%).

“As in other countries, reputation has a significant influence on the selection of a dealership among new-vehicle buyers in Vietnam,” said Loic Pean, senior manager at JD Power Asia Pacific. “Satisfying buyers helps build loyalty and advocacy, and positive word of mouth is essential to customer acquisition.”

Now in its sixth year, the study examines seven factors that contribute to overall new-vehicle buyer satisfaction with their purchase experience. In order of importance, they are delivery process (29%); delivery timing (17%); sales initiation (15%); paperwork (11%); salesperson (11%); dealer facility (10%); and deal (7%). SSI performance is reported as an index score based on a 1,000-point scale, with a higher score indicating higher satisfaction with the new-vehicle sales and delivery process. The 2014 study examines sales satisfaction exclusively in the mass market segment.

Overall sales satisfaction in the mass market segment in Vietnam averages 849 in 2014, down slightly from 850 in 2013. However, implementation of sales standards has improved year over year. The study identifies 19 sales standards that enhance the overall customer sales experience. On average, salespeople implemented 16.7 of the 19 standards in 2014, up from 15.6 in 2013.

There is strong demand for new vehicles in Vietnam, specifically for compact and entry midsize cars, SUVs and MPVs, with 2014 sales expected to reach 130,000.[1] Pean noted the sales growth is due in part to Vietnam’s lower registration tax policy; low interest rates on bank loans; and promotions and sales efforts by dealers, all of which make vehicles more affordable.

Price (48%) is the reason cited most often for rejecting a particular vehicle model. The study finds that 24 percent indicate they were not offered loan options, and 10 percent indicate they were only given loan options after they asked for them.

KEY FINDINGS

• Using multiple modes—such as a test drive, video or verbal explanation—to demonstrate a vehicle’s features, advantages and benefits impacts overall satisfaction. Satisfaction among new-vehicle buyers who are provided three and four different demonstrations is 860 and 867, respectively, compared with 841 among those who are provided fewer demonstrations.
• Seventy-eight percent of buyers in Vietnam use the Internet to search for information while shopping for their new-vehicle. Additionally, 91 percent indicate recommendations from friends/ relatives as an important information source and purchase reason.
• Most new-vehicle buyers expect such “freebies” as extended warranty, free accessories or extended service package from their dealership. Satisfaction among buyers who receive three to five freebies is 880, compared with 830 among those who do not receive any freebies.  
• Fewer buyers in 2014 receive uncomfortable sales pressure from their salesperson, compared with 2013 (8% vs. 12%, respectively).
• Thirteen percent of buyers experience a problem—such as a small selection of models in stock or salespersons having difficulty answering questions—during the sales process in 2014, up from 11 percent in 2013. 
• Sales satisfaction is 20 points higher among vehicle buyers who indicate their salesperson was their single point of contact during the sales and delivery process than among those whose salesperson turned over the delivery process to another dealer staff member.
• Among vehicle buyers who are highly satisfied (SSI scores of 891 or higher), 46 percent say they “definitely would” recommend their dealer to friends and relatives, compared with only 25 percent among highly dissatisfied buyers (scores of 814 or lower) who say the same.

Study Rankings

Among the seven mass market brands ranked in the study, Honda ranks highest in overall sales satisfaction with a score of 857. Honda performs particularly well in the dealer facility, paperwork, salesperson, delivery timing and delivery process factors.  Toyota ranks second (855), followed by Ford and Mazda in a tie (849 each).

The 2014 Vietnam Sales Satisfaction Index (SSI) Study is based on responses from 1,173 new-vehicle owners who purchased their vehicle between October 2013 and July 2014. The study was fielded between May and July 2014 and measures new-vehicle owner satisfaction with the sales and delivery experience from authorized dealers in Vietnam.

About JD Power Asia Pacific: www.jdpower.com

About JD Power and Advertising/Promotional Rules www.jdpower.com/corporate

About McGraw Hill Financial www.mhfi.com 

 

Customer Satisfaction with New-Vehicle After-Sales Service in Vietnam Improves Significantly

2014-10-29

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SINGAPORE: 31 October 2014 — Customer satisfaction among new-vehicle owners with the after-sales service experience at authorized car dealerships in Vietnam improves significantly, according to the J. D. Power Asia Pacific 2014 Vietnam Customer Service Index (CSI) Study^SM released today.

Now in its sixth year, the study measures new-vehicle owner satisfaction with the after-sales service experience by examining dealership performance in five factors. In order of importance, they are service quality (37%); vehicle pick-up (19%); service facility (15%); service advisor (15%); and service initiation (14%). CSI performance is reported as an index score based on a 1,000-point scale, with a higher score indicating higher customer satisfaction. For the first time, the 2014 study examines service satisfaction exclusively in the mass market segment.

Overall customer satisfaction with dealer service averages 837 in 2014, a 13-point increase from 2013. Satisfaction improves across all factors, with the largest increase in vehicle pick-up (+18 points).

The study identifies 22 service standards that enhance the overall customer service experience. On average, service centers implement 19.5 standards per service visit in 2014, up from 18.8 in 2013.

“Customer sensitivity to service standards has increased among Vietnamese customers, and when dealers implement those standards, it has a positive impact on customer satisfaction,” said Loic Pean, senior manager at JD Power Asia Pacific. “Customers want interaction with their service advisor throughout the service experience, and service advisors are doing a better job of explaining the work performed and the service charges, which is contributing to higher satisfaction.”

The customer relationship with their service advisor, which is based on eight measures, such as the advisor’s ability to put the customer at ease and provide helpful advice about their vehicle service, has a significant impact on overall satisfaction. Among customers who indicate their service advisor met all eight relationship measures, satisfaction is 855, compared with 822 among those whose advisor met six to seven measures and 775 among those whose advisor met five or fewer measures.

Satisfaction among the 38 percent of new-vehicle owners who were able to discuss their service needs with a service advisor prior to their service visit averages 845, compared with 832 among those who were not able to speak with their service advisor in advance. Additionally, only 38 percent of vehicle owners received service reminders from their dealership in 2014, down from 47 percent in 2013.

KEY FINDINGS

• New-vehicle owners who have a service appointment are more satisfied than those who drop in for service (846 vs. 834, respectively).
• More than three-fourths (83%) of owners indicate their service advisor conducted a vehicle inspection before service in 2014, down from 89 percent in 2013. The vehicle walk-around upon service initiation is an essential service standard, which increases transparency and trust with the service advisor.
• Nearly one-fifth (19%) of customers say that the duration of their wait at the dealer/ service center was “unreasonable” in 2014, up from 8 percent in 2013.
• The average service time increases in 2014, as 38 percent of customers indicate they had to wait three hours or longer in 2014, a 17 percent increase from 2013.
• The percentage of owners who indicate it took 15 minutes or longer to complete the paperwork and pick up their vehicle after service was finished increases to 26 percent in 2014 from 20 percent in 2013.
• Although 63 percent of highly satisfied customers (service satisfaction scores of 870 or higher) say they “definitely would” recommend their vehicle brand to friends and relatives, only 41 percent of those who have lower satisfaction (scores of 796 and lower) say the same.

Study Rankings

Among the six brands ranked in the study, Toyota ranks highest in overall satisfaction with a score of 841, a 17-point improvement from 2013. Toyota performs particularly well in the service initiation and service advisor factors. Kia ranks second with a score of 840, performing particularly well in the service advisor, service facility and vehicle pick-up factors. Honda ranks third (838).

The 2014 Vietnam Customer Service Index (CSI) Study measures overall satisfaction among vehicle owners who visited an authorized dealer/ service center for maintenance or repair work during the first 12 to 24 months of ownership. This study is based on responses from 1,110 new-vehicle owners who purchased their vehicle between May 2012 and July 2013 and took their vehicle for service to an authorized dealer or service center between November 2013 and July 2014. The study was fielded between May and July 2014.

Media Relations Contacts

XingTi Liu; JD Power Asia Pacific; 8-Shenton Way, #44-02/03/04; Singapore, 068811; Phone +65-67338980; [email protected]

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

 About JD Power Asia Pacific: www.jdpower.com

About JD Power and Advertising/Promotional Rules www.jdpower.com/corporate

About McGraw Hill Financial www.mhfi.com

 

Salespeople Managing Customer Financing Applications Improves New-Vehicle Shopper Satisfaction with the Sales Process

2014-09-30

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SINGAPORE: 1 October 2014 — New-vehicle buyers whose vehicle financing application was managed by the same salesperson they interacted with while selecting their vehicle are more satisfied with the entire sales process than customers whose finance application was handled by someone else, according to the JD Power 2014 Indonesia Sales Satisfaction Index (SSI) Study^SM released today. 

Now in its 14th year, the study examines seven factors that contribute to overall new-vehicle buyer satisfaction with their purchase experience. In order of importance, they are delivery process (31%); delivery timing (13%); deal (12%); dealer facility (12%); paperwork (11%); salesperson (11%); and sales initiation (9%). SSI performance is reported as an index score based on a 1,000-point scale, with a higher score indicating higher satisfaction with the new-vehicle sales and delivery process.

Overall sales satisfaction averages 766 points in 2014, down 14 points from 2013.

The study finds that satisfaction is higher among new-vehicle buyers whose vehicle financing application is handled by their salesperson (775) than among those whose application is handled by someone from either the dealer’s finance desk (762) or the finance company (750).

“Many customers, especially first-time buyers, may not be very familiar with the financing process and related documents,” said Rajeev Nair, director at JD Power Asia Pacific, Singapore. “Sales personnel who support their customers by handling this process can help reduce the total time required for completing the documents and getting the financing approved, which can in turn improve satisfaction.”

The study also finds that the proportion of shoppers purchasing their first new vehicle drops to 52 percent in 2014 from 66 percent in 2013. The decline in the number of first-time buyers spans all vehicle segments.

“In an uncertain economic climate that is exacerbated by the lack of clarity on whether government policies related to the Low Cost Green Car (LCGC) policy and fuel price subsidies would change after the presidential elections in Indonesia, many potential new-car buyers have adopted a wait-and-watch approach before deciding to buy a new vehicle,” said Nair. “With fewer first-time buyers in the market, the rate of growth in new-vehicle sales has slowed during the first half of this year.”

KEY FINDINGS

• With higher production numbers and increasing competition among brands, dealerships have used price discounts to attract shoppers and motivate them to buy a vehicle. The proportion of shoppers receiving discounts on their new-vehicle price has increased to 70 percent in 2014 from 56 percent in 2013.
• In 2014, 90 percent of shoppers in Indonesia negotiate the price of their vehicle with the dealership. Satisfaction among new-vehicle shoppers who enjoy the negotiation process and receive a discount on the price is 20 points higher than among those who do not enjoy the negotiation process and do not receive a discount.
• Satisfaction among owners who take delivery of their new vehicle at the dealership (774) is 10 points higher than among those whose vehicle is delivered to their home or office. The study finds that 85 percent of new vehicles are delivered to the owner’s home or office.
• Among mass market vehicle owners who are highly satisfied (sales satisfaction scores of 795 or higher) with the purchase experience at their authorized dealership, 53 percent say they “definitely would” recommend the same dealership to their friends and relatives, compared with only 40 percent of those who are highly dissatisfied (scores of 738 or lower).

Study Rankings

Chevrolet and Mazda rank highest (in a tie) in overall satisfaction with the new-vehicle purchase and delivery experience among mass market brands, each with a score of 771. Chevrolet and Mazda each perform particularly well in sales initiation and delivery process. Additionally, Mazda performs well in dealer facility, paperwork and salesperson. Mitsubishi ranks third with a score of 769.

The 2014 Indonesia SSI Study is based on responses from 2,895 new-vehicle owners who purchased their vehicle between October 2013 and June 2014. The study was fielded between April and August 2014 and measures new-vehicle owner satisfaction with the sales and delivery experience from authorized dealers in Indonesia.

Media Relations Contacts

XingTi Liu; JD Power Asia Pacific; 8-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 Asia Pacific: www.jdpower.com

About JD Power and Advertising/Promotional Rules www.jdpower.com/corporate

About McGraw Hill Financial www.mhfi.com 

View Press Release (PDF) Bahasa-Indonesia

 

Satisfaction with After-Sales Service Quality Improves in Taiwan for the Luxury Vehicle Segment

2014-10-08

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SINGAPORE: 14 October 2014 —Satisfaction with after-sales service quality among luxury vehicle owners improves, particularly with the amount of time it takes to service vehicles and the cleanliness of vehicles post-service, according to the JD Power Asia Pacific 2014 Taiwan Customer Service Index (CSI) Study^SM luxury segment, released today.

For the first time, the study measures after-sales satisfaction separately in two vehicle segments: luxury and mass market. Customer satisfaction with dealer service is measured across five factors (listed in order of importance): service quality; service initiation; vehicle pick-up; service advisor; and service facility. CSI performance is reflected in an index score based on a 1,000-point scale, in which a higher overall CSI score indicates higher satisfaction. Overall customer satisfaction in the luxury segment averages 903 in 2014. Study findings for the mass market segment were announced in late September.

Luxury vehicle owners expect service to be completed within two hours of arriving at the dealership. When service time exceeds two hours, satisfaction falls to 878 from 911. Luxury vehicle manufacturers have improved their performance from 2013, with 13 percentage points more customers indicating that their vehicle was returned to them post-service within two hours.

Additionally, luxury vehicle owners expect their vehicle to be returned to them cleaner than when they brought it in for service. Satisfaction among customers who indicate their vehicle was cleaner post-service is 907, compared with 884 among those who indicate their vehicle was not cleaner. Overall, the luxury segment performs well, with 83 percent of customers saying their vehicle was cleaner post-service, compared with 74 percent in 2013.

“Turnaround time and cleanliness of vehicles post-service are among the two most important indicators of after-sales service quality,” said Kaustav Roy, director at JD Power Asia Pacific. “Customers, especially in the luxury segment, are sensitive to both. Dealers that are able to align their processes more closely with those customer expectations are likely to improve customer satisfaction and satisfaction scores.”

2014 Taiwan CSI Luxury Brand Rankings

BMW ranks highest in the luxury segment with a score of 911. BMW performs well in the service initiation, service advisor, service facility and service quality factors. Mercedes-Benz ranks second (909).

KEY FINDINGS LUXURY SEGMENT

• Achieving high satisfaction is critical for customer loyalty and advocacy. Among vehicle owners who are highly satisfied with dealer service (overall satisfaction scores of 957 or higher), 70 percent say they “definitely would” recommend their service dealer to a friend or relative. In contrast, only 32 percent of less satisfied owners (scores of 860 or lower) say the same.
• The percentage of customers who schedule service by appointment has increased to 89 percent, a 9 percentage point increase from 2013.
• Satisfaction drops by 20 points to 899 when customers wait two or more days for an appointment, compared with 919 when they wait no more than one day. In 2014, 83 percent of customers wait for at least two days for an appointment.
• Three-fourths (75%) of customers stay at the dealership during the entire service visit, up 6 percentage points from 2013.
• Providing comfortable facilities and amenities at the service center while customers wait for their vehicle helps improve satisfaction. The basic amenities/ facilities customers expect are a refreshment counter, reading materials, TV, Internet access, sufficient seating space and an air-conditioned waiting lounge.
• The optimum time for a follow-up post-service contact to luxury vehicle owners is three days, generating a satisfaction score of 908, which is 13 points higher than when the contact occurs after three days. In the luxury segment, 80 percent of customers are contacted within three days.

About the Study

The 2014 Taiwan Customer Service Index Study is based on responses from 680 vehicle owners in the luxury segment who received delivery of their new vehicle between March 2012 and June 2013 and took their vehicle for service to an authorized dealer or service center between September 2013 and June 2014. The study was fielded from March through June 2014.

Media Relations Contacts

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

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

About JD Power Asia Pacific

JD Power Asia Pacific 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. 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 Asia Pacific and its products can be accessed through the Internet at japan.jdpower.com.

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

About McGraw Hill Financial www.mhfi.com 

View Press Release (PDF) Chinese