Category: APAC

Customers Prefer Advance Scheduling for After-Sales Service in Taiwan

2014-09-29

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SINGAPORE: 30 September 2014 —The proportion of customers planning their vehicles’ service in advance increases significantly in the Taiwan market, according to the JD Power Asia Pacific 2014 Taiwan Customer Service Index (CSI) Study^SM mass market 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 customer satisfaction. Overall customer satisfaction in the mass market segment averages 878 points in 2014. Study findings for the luxury market segment will be announced in mid-October.

The proportion of customers who prefer to schedule an appointment ahead of service has gone up 30 percentage points during the past five years to 79% in 2014 from 49% in 2010. Overall satisfaction is higher among customers who schedule their service visit by appointment (880) than among walk-in customers (872), with the widest gaps in scores in the service initiation (879 scheduled vs. 868 walk-in) and vehicle pick-up factors (866 scheduled vs. 855 walk-in). Additionally, satisfaction among customers who schedule a service appointment is higher when they bring their vehicle to the dealership before 10 a.m. (901) than when they arrive after 10 a.m. (873).

“Vehicle owners who are highly satisfied with dealer service tend to have higher levels of advocacy and loyalty to the dealership,” said Kaustav Roy, director at JD Power Asia Pacific. “Vehicle owners view the service process as an essential function that needs to be completed. Because customers are busy with daily commitments, they prefer to schedule their vehicle service in advance. Dealerships that are able to manage their resource allocation to cater to this growing demand of scheduling are better positioned to provide a more satisfying customer experience.”

The percentage of customers who stay at the dealership during the entire service visit has increased to 77 percent from 69 percent in 2013. Providing comfortable facilities and amenities at the service center while customers wait for their vehicle helps improve satisfaction. Complimentary Internet access in the waiting lounge is one of the amenities customers expect, with a usage rate of 86 percent in 2014. When that amenity is not provided, service facility satisfaction drops by 29 points, compared with when it is provided.

2014 Taiwan CSI Mass Market Brand Rankings

Mitsubishi and Nissan rank highest (in a tie) in the mass market segment with a score of 889 each. Mitsubishi performs well in the service initiation, service advisor and vehicle pick-up factors. Nissan performs well in service facility, vehicle pick-up, and service quality. Hyundai ranks third with a score of 880.

KEY FINDINGS MASS MARKET SEGMENT

• Achieving high satisfaction is critical because, vehicle owners who are highly satisfied with dealer service (overall satisfaction scores of 937 or higher) tend to have higher levels of advocacy and loyalty to the dealership and the brand. Among customers who are highly satisfied with their service experience at the dealership, 50 percent say they “definitely would” revisit their service dealer for post-warranty service. In contrast, only 33 percent of less satisfied customers (scores of 836 or lower) say the same.
• Customer expectations for service turnaround time in Taiwan are a maximum of two hours. When the service time is more than two hours, satisfaction falls to 851, which is 27 points below the mass market average of 878. More than three-fourths (80%) of customers receive their vehicle within that time frame in 2014.
• Customers expect their vehicle to be returned to them cleaner than when they brought it in for service. Satisfaction is 889 among customers who indicate their vehicle was cleaner post-service, compared with 851 among those whose vehicle was not cleaner post-service. Nearly three-fourths (73%) of customers say that their vehicle was cleaner when it was returned to them than it was when they brought it in, up 6 percentage points from 2013.
• Completion of all services recommended by the service team has a positive impact on satisfaction. Satisfaction among customers who choose to undertake all recommended services is 883, compared with 856 among those who do not. More than three-fourths (78%) of customers who do not undertake all recommended services indicate that they were not convinced of the need, regardless of time and cost.   

About the Study

The 2014 Taiwan Customer Service Index Study is based on responses from 2,630 vehicle owners in the mass market 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

 

Customers Who Take Their Vehicles to Service Centers during Morning Peak Periods Have Lower Satisfaction Than Those Who Visit in the Afternoon

2014-08-27

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Singapore: 1 September 2014 — Satisfaction is higher among customers who visit a dealership later in the day to have their vehicle serviced than among those who take their vehicle for service early in the morning, according to the JD Power Asia Pacific 2014 Indonesia Customer Service Index (CSI) Study^SM released today.

The study, now in its 14^th year, measures new-vehicle owner satisfaction with the after-sales service process by examining dealership performance in five factors: service initiation (27%); service advisor (12%); service facility (15%); vehicle pick-up (15%); and service quality (30%). Dealership service performance is reported as an index score based on a 1,000-point scale. The 2014 study examines service satisfaction exclusively in the mass market segment.

Overall satisfaction for mass market brands averages 767 points in 2014, a 13-point improvement from 2013. Satisfaction improves across all five factors, with the largest year-over-year gain in vehicle pick-up (+17 points).

The study finds that satisfaction among customers who take their vehicle in for service after 12 noon averages 774, compared with 764 among those who take their vehicle in before 10 a.m. More than one-third (38%) of all customers take their vehicle in for service before 10 a.m., compared with 15 percent who take their vehicle in for service in the afternoon.

“Because a significant proportion of customers in Indonesia bring their vehicle in for service early in the day, it stretches the dealership’s resources during the morning peak period,” said Rajeev Nair, director at JD Power Asia Pacific. “When the service area is busy, everything—from parking to the amount of time it takes before being greeted by a service advisor to creating work orders to getting the vehicles into the service bay—takes longer, which contributes to lower levels of satisfaction.”

Nair noted that efforts by dealerships to better manage resources during peak periods and encouraging customers to visit during non-peak hours can contribute to increased satisfaction. Further, automakers can also consider modifying dealership business hours to better align growing service volume with capacity.

KEY FINDINGS

• The study finds 80 percent of customers wait at the dealership while their vehicle is being serviced. Dealerships that offer eight or more amenities—such as free meals, air conditioning, sufficient seating space and reading materials—to customers who wait for their vehicle have an average service satisfaction score of 782, which is 25 points higher than dealerships that offer fewer than five amenities.  
• The proportion of customers in Indonesia who schedule their service visit via telephone has increased to 27 percent in 2014 from 24 percent in 2013. Among those customers, there is a year-over-year increase in the percentage who indicate that the dealership used the appointment call as an opportunity to confirm their contact information and, importantly, to gain information about the vehicle prior to the service visit.
• The study finds that 68 percent of customers know when to take their vehicle for service through regular tracking of the vehicle mileage/ service needs in 2014, down from 79 percent in 2013. Further, 16 percent of customers take their vehicle in for service because of a problem with the vehicle, up from 11 percent in 2013.
• Among mass market vehicle owners who are highly satisfied with their service experience at the authorized service center (service satisfaction scores of 801 or higher), 65 percent say they “definitely would” revisit the same dealership for post-warranty service, compared with only 43 percent among those who are highly dissatisfied (satisfaction scores averaging 734 or lower).   

CSI Study Rankings

Mitsubishi and Toyota rank highest (in a tie) in overall customer service satisfaction with after-sales service among mass market brands, with a score of 770 each. Mitsubishi performs particularly well in service initiation and vehicle pick-up, while Toyota performs particularly well in service advisor, service facility and service quality. Ford and Mazda follow in the rankings, tied for third at 769 each.

“Despite the increase in service volumes arising from increasing new-vehicle sales, nine of the 12 brands ranked in the study register improvements in satisfaction levels from 2013,” said Nair. “This is an impressive achievement and a reflection of the efforts put in by automakers and dealerships in providing customers in Indonesia with a satisfying service experience. Dealerships and brands that continue to provide their customers with a delightful service experience can benefit from increased customer loyalty and advocacy.”

The 2014 Indonesia CSI Study is based on responses from 3,467 vehicle owners who received delivery of their new vehicle between February 2012 and May 2013 and took their vehicle for service to an authorized dealer or service center between August 2013 and May 2014. The study was fielded between February and May 2014.

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

 

New-Vehicle Owner Satisfaction with the Commitment Level and Knowledge Of the Sales Staff at Authorized Dealerships in the Philippines Improves

2014-08-28

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SINGAPORE: 29 AUGUST 2014 — Satisfaction with the knowledge of dealer sales staff and the attention they provide during the shopping experience improves among new-vehicle buyers in the Philippines, according to the JD Power Asia Pacific 2014 Philippines Sales Satisfaction Index (SSI) Study^SM released today.   

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

Overall satisfaction with the sales process improves to 847 in 2014, from 846 in 2013. Satisfaction with the salesperson also improves year over year (858 vs. 851, respectively), driven primarily by the salesperson’s knowledge of new-vehicle models and ability answer customers’ questions.

In 2014, 93 percent of salespersons offered customers loan options, up from 79 percent in 2013, with 90 percent offering a choice of finance provider, an increase from 78 percent in 2013. However, despite the increase in the percentage of salespersons providing finance options, 22 percent of new-vehicle buyers pay cash for their vehicle.

“With new-vehicle sales in the Philippines increasing by 25 percent in 2014 compared with 2013, sales are at record levels. Capitalizing on the current sales trend, dealerships with dedicated sales representatives who deliver exemplary purchase experiences can greatly benefit from positive word of mouth as 80 percent of customers rely on recommendations from friends and relatives,” said Loic Pean, senior manager at JD Power Asia Pacific. “Internet usage and information sharing on blogs, forums or social networking sites has increased, with 20 percent of new-vehicle buyers posting details of their purchase experience on such sites. It is, therefore, essential for dealers to focus on customer satisfaction.”

KEY FINDINGS

• A majority (95%) of new-vehicle buyers indicates their salesperson asked about their vehicle usage and needs, and offered a test drive; however, this is a 2 percentage point drop from 2013. Both activities have a notable impact on satisfaction.
• Overall satisfaction among first-time new-vehicle buyers—who comprise 68 percent of the market in 2014—is 844, compared with 854 among repeat buyers, narrowing the gap in satisfaction between first-time and repeat buyers to 10 points in 2014 from 17 points in 2013.  
• A higher proportion (88%) of new-vehicle buyers pre-determine their target purchase model prior to visiting the dealership in 2014, compared with 2013 (84%).
• One-third of owners (33%) visited a dealership other than the one from which they ultimately purchased their vehicle; however, 76 percent visited their purchase dealer two or more times before buying a vehicle.
• During the delivery process, salespersons are improving at providing explanations on vehicle safety features; how to operate each feature; warranty coverage; and maintenance schedule. Consequently, 18 percent of owners are “delighted” (providing a rating of 10 on a 10-point scale) with the thoroughness of the explanations their salesperson provided during the sales process in 2014, up from 14 percent in 2013. However, the percentage of customers “indifferent” (providing a rating of 6 or 7) or “disappointed” (providing a rating of 1 to 5) with the attention provided by a salesperson during the delivery process has increased to 16 percent in 2014 from 12 percent in 2013.
• Despite an increase in the percentage (85%) of owners who negotiate the price of their new vehicle in 2014, up 14 percentage points from 2013, 14 percent indicate they paid more than they expected.
• Nearly three-fourths (74%) of new-vehicle buyers receive a discount when they purchase their vehicle and 84 percent enjoy the negotiation process.

Study Rankings

Toyota ranks highest in new-vehicle sales satisfaction in the Philippines with a score of 860. Toyota performs particularly well in the delivery process, delivery timing, salesperson, paperwork, deal and dealer facility factors. Ford ranks second at 855.

The 2014 Philippines Sales Satisfaction Index (SSI) Study is based on responses from 1,484 new-vehicle owners who purchased their vehicles between August 2013 and April 2014. The study was fielded from February to June 2014.

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 China, Australia, 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 www.jdpower.com. Media e-mail contact: [email protected]. Please follow JD Power at http://e.weibo.com/jdpowerchina.

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

About McGraw Hill Financial www.mhfi.com

 

As New-Vehicle Sales Decline, Buyers in Thailand Demand Better Deals, Raising Competition between Authorized Dealers

2014-08-28

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BANGKOK: EMBARGOED FOR RELEASE UNTIL 29 August 2014 — As demand for new vehicles decreases in Thailand, new-vehicle buyers are looking for hassle-free negotiations and comparing offers between dealers in order to get the best deal, according to the JD Power Asia Pacific 2014 Thailand Sales Satisfaction Index (SSI) Study^SM released today.

Now in its 15^th year, the study examines seven factors that contribute to overall customer satisfaction with their new-vehicle purchase experience (in order of importance): delivery process; salesperson; dealer facility; sales initiation; paperwork; delivery timing; and deal. Sales performance is reported as an index score based on a 1,000-point scale, with a higher score indicating greater satisfaction with the new-vehicle sales and delivery process. The 2014 study examines sales satisfaction exclusively in the mass market segment.

Overall satisfaction for mass market brands averages 899 in 2014, down from 904 in 2013. The drop in satisfaction is attributed to the deal, which drops 11 points, the sales initiation (-10) and paperwork (-9) factors.

“Following the end of  the government program giving excise tax refund to first-time buyers, overall demand for new-vehicle sales has contracted by as much as 40 percent, compared with 2013,” said Loic Pean, senior manager at JD Power Asia Pacific. “This situation increases competition not only between nameplates, but also between dealers as informed customers are leveraging the situation to ask for more promotions and higher trade-in value of their old vehicles. As a result, some customers are even traveling longer distances to purchase from a dealer offering a better deal, even though they do not plan to use that dealership after the purchase for routine maintenance services.”

KEY FINDINGS

• Among a list of 19 sales standards, implementation of sales standards improves 0.5 points in 2014 compared with 2013.  But a drop in the quality of execution of certain activities results in a 8 percentage point decline in the number of “delighted” customers, those who rate their overall purchase experience 10 on a 10-point scale.
• New-vehicle shoppers are relying more on recommendations from other owners (40% in 2014 vs. 28% in 2013) and salespeople (65% in 2014 vs. 50% in 2013), and less on mass media such as TV (43%) and the Internet (33%) to help them decide which vehicle to purchase.
• With fewer prospective customers visiting showrooms, shoppers are finding more salespeople available at the dealership to help. As a result, fewer shoppers are feeling pressure from the dealer to purchase a vehicle (9% in 2014 vs. 13% in 2013). In addition, 59 percent of shoppers indicate it took less than one month to close the deal, compared with 35 percent who indicated the same in 2013.
• Despite more sale staff available to help customers, satisfaction with the sales initiation process decreases to 887 in 2014 from 897 in 2013, as more shoppers have to wait to be greeted at the dealership (+2 percentage points); fewer receive a physical product demonstration (-9 percentage points), more reported test drive was not available (+7 percentage points). The study also finds a 6 percentage points decrease in “delighted” customers who received a thorough follow-up from the sales staff on their inquiries.
• The study finds a 44 percent increase in the percentage of customers who negotiate the price of their vehicle in 2014, compared with 2013. Additionally, 36 percent of customers indicate they received a discount, compared with 9 percent in 2013.
• A high proportion (28%) of customers say the salesperson did not follow up with them on the vehicle delivery status after booking—the day the deal is finalized and the customer pays the deposit to secure the new-vehicle purchase—resulting in a drop in satisfaction in the delivery timing factor, although the actual delivery time improves significantly (47% of vehicles are delivered within two weeks in 2014 vs. 21% in 2013).

Study Rankings

Among the nine mass market brands ranked in the study, Toyota ranks highest in sales satisfaction for a third consecutive year, with a score of 906. Toyota performs particularly well in the sales initiation, dealer facility, deal, paperwork and delivery timing factors. Isuzu ranks second at 904, and performs particularly well in the salesperson, delivery timing and delivery process factors.

The 2014 Thailand SSI Study is based on responses from 2,998 new-vehicle owners who purchased their vehicle between August 2013 and March 2014. The study was fielded between February and May 2014.

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) Thai

 

Technology Has Positive Impact on New-Vehicle Buyer Experience in Malaysia

2014-09-03

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SINGAPORE: 5 SEPTEMBER 2014 — New-vehicle buyers in Malaysia prefer using technology during their pre-purchase experience, according to the JD Power Asia Pacific 2014 Malaysia Sales Satisfaction Index (SSI) Study^SM released today.

The study, now in its 12th year, examines seven factors that contribute to overall customer satisfaction with the new-vehicle purchase experience (in order of importance): delivery process (20%); sales initiation (17%); salesperson (15%); paperwork (15%); delivery timing (13%); dealer facility (11%); and deal (10%). Performance is reported as an index score based on a 1,000-point scale, in which a higher overall score indicates greater satisfaction with the new-vehicle sales and delivery process. The 2014 study examines service satisfaction in the mass market segment.

Overall sales satisfaction in the mass market segment averages 795 index points in 2014, a 2-point decline from 2013. Satisfaction among new-vehicle buyers who use the Internet during their vehicle-shopping process is 809, 18 points higher than among those who do not use the Internet. More than three-fourths (79%) of buyers use the Internet to get information on the vehicle price; 69 percent use it for information on vehicle features or accessories; 68 percent for technical specifications; and 59 percent to view vehicle brochures/ pictures.

When the salesperson at the dealership uses a computer/ DVD or tablet/ mobile device during the sales process, satisfaction averages 822 and 810, respectively. In contrast, satisfaction drops to 793 when customers are shown catalogs or brochures.

“Technology, which can be used to illustrate vehicle options and features, is a useful tool for communicating with customers, especially when dealerships have a limited number of vehicles on display in the showroom,” said Rajaswaran Tharmalingam, country head, Malaysia, JD Power Asia Pacific. “In addition to using technology during the sales process, it’s critical for dealerships to have an adequate ratio of sales consultants with up-to-date product knowledge to meet rising expectations of well-informed new-vehicle buyers in Malaysia who shop online prior to visiting a dealership.”

KEY FINDINGS

• Overall satisfaction for the Malaysian national brands within the mass market segment averages 790 in 2014, up 5 points from 2013. Overall satisfaction with the non-national brands averages 801, narrowing the gap between national and non-national brands to 11 index points from 29 index points in 2013.
• Mitsubishi is the most improved mass market brand in the SSI (+11 points), with the greatest increase in satisfaction in the salesperson, delivery process, sales initiation and deal factors.
• The study identifies 19 sales standards that enhance the overall sales satisfaction experience. In 2014, customers expect a minimum of 15 of those 19 standards to be met in order to have a positive service experience. In comparison, customer expectations in 2013 were for service centers to meet 13 of the 19 standards.
• Among highly satisfied customers (overall SSI scores of 851 and higher), 51 percent say they “definitely would” recommend their purchase dealer to family and friends, compared with only 20 percent of highly dissatisfied customers (scores of 746 or lower) who say the same.

Study Rankings

Toyota ranks highest in overall sales satisfaction among mass market brands for a second consecutive year, with a score of 804. Toyota performs particularly well in the sales initiation, dealer facility, deal, sales person and delivery process factors. Honda ranks second at 803, while Hyundai and Nissan rank third in a tie with 801 each.

The 2014 Malaysia Sales Satisfaction Index (SSI) Study is based on responses from 2,601 new-vehicle owners in the mass market segment who purchased their vehicle between August 2013 and April 2014. The study was fielded between February and 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 Ruleswww.jdpower.com/about-us/press-release-info

About McGraw Hill Financial www.mhfi.com

View Press Release (PDF) Bahasa-Melayu
View Press Release (PDF) Chinese

 

Quality and Brand Reputation Perception Drive Luxury Model Selection in Taiwan

2014-08-12

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SINGAPORE: 14 August 2014 — Positive perceptions of vehicle quality and brand reputation are among the top reasons customers in Taiwan select a new luxury vehicle, according to the JD Power Asia Pacific 2014 Taiwan Sales Satisfaction Index (SSI) Study^SM luxury segment, released today.

The study, which for the first time measures sales satisfaction separately in two vehicle segments—luxury and mass market—examines seven factors that contribute to new-vehicle buyers’ overall satisfaction with their sales experience (listed in order of importance): delivery process; salesperson; delivery timing; sales initiation; deal; paperwork; and dealer facility. Study findings for the mass market segment were announced in late July.

As more entry level luxury cars are being introduced in the Taiwan market, the price gap between luxury and mass market cars has narrowed. During the past five years, the transaction price of the luxury vehicles in Taiwan has decreased by 15 percent, while the price of mass market brands during the same period has increased by 10 percent.

The study also finds that luxury model selections are dependent on positive perceptions about the brand’s reputation and quality. However, the main factor to reject a particular model in this segment is based largely on vehicle performance capabilities, such as acceleration and engine power.

“The change in price gap has given rise to the affordability of luxury models, thereby propelling growth,” said Rajeev Nair, director at JD Power Asia Pacific, Singapore.  “While the introduction of entry level luxury models is a prudent decision, auto manufacturers must also keep in mind customer expectations on the vehicle’s performance capabilities.”

SSI performance is reflected in an index score based on a 1,000-point scale, in which a higher overall SSI score indicates greater satisfaction with the new-vehicle sales and delivery process. Overall sales satisfaction in the luxury segment averages 893 points in 2014.

2014 Taiwan SSI Luxury Brands Rankings

Lexus ranks highest in the luxury segment with a score of 897 and performs well in the delivery process, deal and sales initiation factors.

Mercedes-Benz ranks second with a score of 896, performing well in sales initiation, dealer facility, delivery timing and delivery process. BMW ranks third with a score of 895, performing well in the salesperson and paperwork factors.

KEY FINDINGS LUXURY SEGMENT

• Customers purchasing a vehicle in the luxury segment expect their dealership to meet at least 17 sales standards (e.g., salesperson spent enough time at delivery; questions answered at delivery) in order to deliver an overall satisfying sales experience. This is in contrast to the mass market segment, where meeting at least 16 sales standards can positively impact overall satisfaction.
• Customers expect to complete their purchase transaction in fewer than seven days. When more time is required to complete the transaction, paperwork satisfaction declines by 11 points. Satisfaction in the deal factor is also impacted when the sales transaction takes seven days or more, declining by 27 points, compared with luxury average.
• Deal is the lowest-performing factor. Although the percentage of customers receiving discounts has increased, the median amount of discount received has decreased by 13 percent, resulting in lower satisfaction in the deal factor.
• Customers expect the delivery time of their car to be within seven days of purchase. When a dealership delivers a car within this time frame, delivery timing satisfaction increases by 33 points. The average time for vehicle delivery is 21 days.
• The study finds a close correlation between satisfaction with the new-vehicle purchase and delivery experience and customer loyalty and advocacy regarding their dealer and brand. Among highly satisfied customers (SSI scores of 955 or higher), 68 percent say they “definitely will” recommend their purchase dealer to friends and relatives. That percentage declines to 27 percent among highly dissatisfied customers (SSI scores of 851 or lower).

“Word-of-mouth recommendations are the most commonly sought-after source of information, with 72 percent of customers in Taiwan seeking the opinions of friends and relatives when deciding which vehicle make and model to buy,” said Nair. “Customers who are highly satisfied with their purchase experience can be loyal advocates for both the dealer and the brand, and can contribute to increased customer traffic at dealerships.”

About the Study

The 2014 Taiwan SSI Study is based on responses from 512 new-vehicle owners in the luxury segment who purchased their vehicle between July 2013 and February 2014. The study was fielded from January through April 2014 and measures new-vehicle owner satisfaction with the sales and delivery experience from authorized dealers in Taiwan.

Media Relations Contacts

Michelle Meng; Beijing, China; +86 01 6569 2702; [email protected]

John Tews; JD Power; Troy, Michigan 48083 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

 

 

Customer-Buying Experience Feedback and a Robust Post-Sales Follow-up Process Helps Enhance Customer Satisfaction

2014-07-24

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SINGAPORE: 31 July 2014 — Dealerships that collect customer feedback about the new-vehicle buying experience and follow up with post-sales initiatives—such as a thank you call for purchasing; an inquiry about the condition of the new vehicle; or a discussion about setting up service visits—can benefit from increased customer satisfaction, according to the JD Power Asia Pacific 2014 Taiwan Sales Satisfaction Index (SSI) Study^SM mass market segment, released today.

Now in its 16th year, the study examines seven factors that contribute to overall customer satisfaction with the new-vehicle purchase and delivery experience (in order of importance): delivery process; salesperson; delivery timing; sales initiation; deal; paperwork; and dealer facility. For the first time, the 2014 study examines sales satisfaction in two vehicle segments: luxury and mass market. The results of the luxury segment will be announced in mid-August.

SSI performance is reported as an index score based on a 1,000-point scale, in which a higher overall SSI score indicates greater satisfaction with the new-vehicle sales and delivery process. Overall sales satisfaction in the mass market segment averages 881 points in 2014, which is a 7-point decline from 2013.

“Post-sales follow-up is an integral part of the new-vehicle sales process,” said Rajeev Nair, director at
JD Power Asia Pacific, Singapore. “This is a great opportunity for the dealership to collect specific feedback about the customer’s purchase experience and address any questions they may have based on their initial experience of driving the vehicle. Further, it allows the dealership to show that they value the customer’s business and that the relationship goes beyond the point of sale.”

2014 Taiwan SSI Mass Market Brands Rankings

Among the nine brands ranked in the mass market segment, Volkswagen ranks highest in satisfaction with an SSI score of 894, up 11 points from 2013. Volkswagen performs particularly well in sales initiation, dealer facility, paperwork, salesperson and delivery process. Nissan ranks second with a score of 888, with particularly strong performances in the sales initiation and deal factors. Mazda ranks third with a score of 887.

KEY FINDINGS MASS MARKET

• Customers appreciate the salesperson keeping them updated about the delivery status of their new vehicle once the order is confirmed. Satisfaction among this group of customers is 22 points higher than among those who are not kept updated.
• Customers expect to receive their new vehicle within a week of confirming the purchase. Satisfaction scores decline to 871 when the delivery time increases beyond a week from 898 when delivery is within a week.  
• Satisfaction is lower among buyers of models that are newly introduced in the market than among those who purchase existing models, with the largest gap, 21 points, in the delivery timing factor (864 vs. 885, respectively).
• Among all seven factors, the deal factor declines the most to 846 from 861 in 2013 (-15 points). For seven of the nine brands ranked in the study, there has been a year-over-year increase in the proportion of customers who indicate that the final price paid was more than what they had initially expected.  
• The study finds a close correlation between satisfaction with the new-vehicle purchase and delivery experience and customers’ future loyalty and advocacy intentions toward their dealer and brand. Among highly satisfied customers (SSI scores of 944 or higher), 53 percent say they “definitely will” recommend their purchase dealer to friends and relatives. That percentage declines to 25 percent among highly dissatisfied customers (SSI scores of 833 or lower). A similar trend holds true for customer recommendation intentions for the vehicle brand they purchased.

“Word-of-mouth recommendations are the most commonly sought-after source of information, with 72 percent of Taiwanese customers referring to friends’ and relatives’ opinions in deciding which make and model to buy,” said Nair. “Customers who are highly satisfied with their purchase experience can act as loyal advocates for both the dealer and the brand, and can contribute to increased customer traffic at dealerships.”

About the Study

The 2014 Taiwan SSI Study is based on responses from 2,313 new-vehicle owners in the mass market segment who purchased their vehicle between July 2013 and February 2014. The study was fielded from January through April 2014 and measures new-vehicle owner satisfaction with the sales and delivery experience from authorized dealers in Taiwan.

Media Relations Contacts

Michelle Meng; Beijing, China; +86 01 6569 2702; [email protected]

John Tews; JD Power; Troy, Michigan 48083 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

 

 

Customer Expectations Increase as Satisfaction with Vehicle Service At Authorized Service Centers in Thailand Decreases Sharply

2014-07-29

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BANGKOK: 31 July 2014 — Customer satisfaction among new-vehicle owners with the after-sales service experience at authorized car dealerships in Thailand has declined considerably, according to the JD Power Asia Pacific 2014 Thailand Customer Service Index (CSI) Study^SM released today.

The study, now in its 15^th year, measures new-vehicle owner satisfaction with the after-sales service process by examining dealership performance in five factors: service initiation; service advisor; service facility; vehicle pick-up; and service quality. Dealership service performance is reported as an index score based on a 1,000-point scale. For the first time, the 2014 study examines service satisfaction exclusively on the mass market segment.

Overall satisfaction for mass market brands averages 838 in 2014, down from 889 in 2013. Satisfaction decreases across all customer service factors, with the largest year-over-year decline in service advisor, which drops 58 points from 2013.

“New-vehicle owners, the majority of whom are first-time buyers, are increasingly sensitive to the personal relationship with the service center staff and are looking for better quality interactions,” said Loic Pean, senior manager at JD Power Asia Pacific. “While dealerships are generally doing a good job of improving their processes, customers express dissatisfaction with the lack of focus on their needs and are demanding better advice regarding their vehicle maintenance requirements.”

The proportion of “indifferent” or “disappointed” mass market customers—those who provide a rating of seven or lower on a 10-point scale—has particularly increased in terms of the thoroughness of service advisor explanations and the fairness of the charges (+10 percentage points each), as well as the service time (+9 percentage points). Implementation of service standards has marginally improved due to targeted efforts at improving cost estimates, cleanliness of vehicle on return and status updates during service, with each increasing by 10 or more percentage point. 

KEY FINDINGS

• The variety and quality of amenities provided to mass market customers in the waiting lounge has also improved notably in 2014. For example, 70 percent of customers indicate free Internet access is available, up from 50 percent in 2013.
• The proportion of mass market customers making an appointment by phone has greatly increased to 53 percent, up from 37 percent in 2013. Customers who make an appointment over the phone are more satisfied than walk-in customers, specifically in the service initiation and service quality factors.
• A growing proportion of mass market customers indicate that parts had to be replaced on their vehicle during their most recent service visit (14% in 2014 vs. 6% in 2013). In addition, 10 percent of customers indicate they have experienced problems with their vehicle since delivery, compared with 5 percent in 2013.
• Satisfaction is lower, on average, among younger mass market customers in 2014. The overall CSI score is lowest among vehicle owners 24 years old or younger and highest among those who are 45 years and older (825 vs. 847, respectively).   

CSI Study Rankings

Toyota ranks highest in overall customer service satisfaction among mass market brands, with a score of 850. Toyota performs particularly well in the service initiation, facility, vehicle pick-up and service quality factors. Isuzu, which ranks second at 848, performs particularly well in the service advisor factor. Mazda (843) ranks third and Honda (840) fourth.

The 2014 Thailand Customer Service Index (CSI) Study is based on responses from 3,902 new-vehicle owners who purchased their vehicle between January 2012 and April 2013 and took their vehicle for service to an authorized dealer or service center between July 2013 and April 2014. The study was fielded between January and April 2014.

Media Relations Contacts

Siros Satrabhaya; JD Power Asia Pacific; Bangkok 10110, Thailand; Phone +662-259-4180; [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

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NOTE: Two charts follow.

View Press Release (PDF) Thai

 

Well-Informed Customers in Malaysia Have High Expectations for Customer Service

2014-07-29

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SINGAPORE: 31 July 2014 — Customers in Malaysia are expecting better service when they take their vehicles in for service or repairs, and authorized service centers are not meeting those expectations, according to the JD Power Asia Pacific 2014 Malaysia Customer Service Index (CSI) Study^SM released today 

The study, now in its 12^th year, measures overall service satisfaction among owners who took their vehicle to an authorized service center for service maintenance and/ or repair work during the first 12 to 24 months of ownership. For the first time, the 2014 study examines service satisfaction exclusively on the mass market segment.

The study evaluates new-vehicle owner satisfaction with the service experience by examining dealership performance in five factors: service quality (38%); vehicle pick-up (20%); service initiation (14%); service advisor (14%); and service facility (14%). Satisfaction among mass market brands averages 754 index points (on a 1,000-point scale) in 2014, which is a 3-point decline from 2013.

The study identifies 22 service standards that enhance the overall customer service experience. In 2014, customers expect a minimum of 19 of those 22 standards to be met in order to have a positive service experience. In comparison, customer expectations in 2013 were for service centers to meet 17 of the 22 service standards. On average, authorized service centers are implementing 18.1 standards per service visit in 2014.

“Customers have higher expectations, so it’s vital that the automakers’ service centers strive to not only meet, but also to exceed those expectations to deliver a satisfying experience for their customers,” said Rajaswaran Tharmalingam, country head, Malaysia, JD Power Asia Pacific. “Brands need to focus on the entire service process—from helping customers secure service appointments, to providing top-quality services, to faster service turnaround times, to having friendly and knowledgeable service advisors—all of which contribute to overall customer satisfaction.”

The study also finds there are additional services some service centers provide that also improve customer satisfaction, such as washing and vacuuming vehicles at the completion of the service and making follow-up phone calls to customers after service is performed. Currently, only 14 percent of mass market customers indicate their service center delivered on both of these services, among whom satisfaction is 797, compared with 729 among customers whose service center did not deliver on both those standards.

KEY FINDINGS 

Overall satisfaction in the mass market segment averages 754 index points in 2014, which is a 3-point decline from 2013. Satisfaction for the Malaysian national brands within the mass market segment averages 744 points, down 5 points from 2013.

Among the 22 service standards, mass market brands exhibit a double-digit percentage-point increase in service/ repair forms provided prior to service and cost estimates given before service is conducted, compared with 2013.

Among mass market owners who are highly satisfied with their service experience at a dealership (service satisfaction scores averaging 824 or higher), 53 percent say they “definitely would” revisit their service dealer for post-warranty service, compared with 37 percent in 2013.

Study Rankings

Toyota ranks highest in overall customer service satisfaction among mass market brands, with a score of 777. Toyota performs particularly well in the service facility factor. Nissan ranks second with a score of 776, while Isuzu and Mazda rank third in a tie at 775 each.

The 2014 Malaysia Customer Service Index Study is based on responses from 2,610 new-vehicle owners in the mass market segment who purchased their vehicle between February 2012 and May 2013 and took their vehicle for service to an authorized service center between August 2013 and May 2014. The study was fielded between February and May 2014.

Media Relations Contacts

Michelle Meng; JD Power Asia Pacific; Beijing, China; Phone 8610-6569-2704; [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

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NOTE: Two charts follow.

View Press Release (PDF) Bahasa-Melayu
View Press Release (PDF) Chinese

 

Service Quality at Authorized Service Centers in the Philippines Improves Significantly

2014-07-29

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SINGAPORE: 31 July 2014 — Among new-vehicle owners in the Philippines, the quality of after-sales service provided at authorized service centers has improved by a notable 12 points year over year, according to the JD Power Asia Pacific 2014 Philippines Customer Service Index (CSI) Study^SM released today.   

Now in its 14th year, the study measures overall satisfaction among vehicle owners who visit an authorized service center for maintenance or repair work during the first 12 to 24 months of ownership based on five factors (listed in alphabetical order): service advisor; service facility; service initiation; service quality; and vehicle pick-up. Overall satisfaction is measured on a 1,000-point scale.

“As the automotive market in the Philippines enjoys double-digit growth, new-vehicle owners—most of whom are first-time buyers—seek a stress-free and positive experience at their authorized service center,” said Loic Pean, senior manager at JD Power Asia Pacific.

KEY FINDINGS

• Overall customer satisfaction remains stable at 826 points, up 1 point from 2013.
• Service quality increases to 828 in 2014, primarily due to general improvements in the thoroughness of work performed (16% delighted customers in 2014 vs. 11% in 2013) and cleanliness of vehicle on return (80% of vehicles returned both washed and vacuumed vs. 76% in 2013).
• Despite improvements in service quality, the average number of service standards being implemented has decreased to 19.3 in 2014 from 19.4 in 2013. Moreover, there is an increase in the proportion of customers who indicate that detailed cost estimates were not provided before the service was initiated (25% in 2014 vs. 11% in 2013), which negatively impacts satisfaction.
• Additionally, the number of service time estimates has declined year over year, as 5 percent of customers say that the service center did not promise when their vehicle would be ready after service, compared with 2 percent in 2013. Satisfaction declines when centers do not provide an estimate of the service time and when service takes more time than promised (-62 points and -61 points, respectively, below industry average).
• A growing percentage of customers indicate the wait at the service center is unreasonable (23% in 2014 vs. 19% in 2013), which is most likely the result of increases in the time required to complete the paperwork and to pick up the vehicle after service (30% of customers indicate that it took 20 minutes or more in 2014, up by 13 percentage points from 2013).
• Advocacy and loyalty are closely related to satisfaction with a dealer’s overall service performance, as 70 percent of delighted customers (overall satisfaction scores of 10) say they “definitely will” return to the same service center for post-warranty service, and 68 percent say they “definitely will” re-purchase a vehicle from the service dealer, compared with 13 percent and 6 percent, respectively, among dissatisfied customers (scores of 5 and lower).

“While the quality of service is improving, overall satisfaction levels remain below that of neighboring countries, and the level of assistance that customers receive remains insufficient,” said Pean. “One simple action that dealers can take to help positively impact satisfaction is to actively monitor customer feedback after each service visit. The 2014 study finds that among customers who report a problem, after a follow-up call and problem resolution, satisfaction and loyalty levels are on par with those customers who experience no problems at all.”

CSI Study Rankings

Among the 10 brands ranked in this year’s study, Nissan ranks highest with an overall score of 844. Nissan performs particularly well in four of the five factors: service quality; service advisor; vehicle pick-up; and service initiation.

Following Nissan in the rankings is Honda, which performs particularly well in service facility.

Suzuki improves the most among all the brands included in the study, achieving a score of 831, which is 23 points higher than in 2013.

The 2014 Philippines Customer Service Index (CSI) Study measures customer satisfaction with the servicing and vehicle return process. The study is based on responses from 1,733 vehicle owners who took their vehicle to an authorized service center for servicing during the first 12 to 24 months of ownership (February 2012 to May 2013) in the Philippines market. The study covers 63 vehicle models.

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

About McGraw Hill Financial: www.mhfi.com 

Media Relations Contacts

Siros Satrabhaya; JD Power Asia Pacific; Bangkok 10110, Thailand; Phone +662-259-4180; [email protected]

John Tews; Director, Media Relations; JD Power; Troy, Michigan 48083 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/corporate. 

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Note: Two charts follow.