Category: APAC

Interior Styling and Design is Most Vital Contributor to New-Vehicle Appeal in Thailand, JD Power Finds

2017-12-14

jdp-root

BANGKOK: 20 Dec. 2017 — Vehicle interior is the greatest contributor towards customer satisfaction with vehicle appeal among 10 overall vehicle components, according to the JD Power 2017 Thailand Automotive Performance, Execution and Layout (APEAL) Study,^SM released today. 

Across all vehicle segments, the relative importance of interior design and comfort elements in overall owner satisfaction with their new vehicle has increased this year from 2016. Vehicle interior — as a part of overall vehicle appeal — has the highest relative importance of all 10 vehicle components measured in the study. Vehicle interiorincludes the evaluation of a range of design elements, such as the instrument cluster and ambient lighting;  comfort aspects such as cabin quietness, smell; and soft-touch interior parts, such as arm rests and door panels. Perceived quality and color coordination of interior materials are also essential elements. 

“As new-vehicle buyers increasingly spend longer periods of time in their vehicle due to lengthier commutes, customer expectations with regard to interior design, specifically comfort, grow,” said Siros Satrabhaya, Country Manager at JD Power. “For example, interior quietness is of utmost importance, as it is one of the lowest-rated attributes across vehicle segments. Additionally, passenger car owners  complain about the lack of comfort in resting their arms while driving. Brands that address these customer requirements will likely see an increase in satisfaction.” 

Overall satisfaction averages 908 points (on a 1,000-point scale) in 2017, up from 901 in 2016, with scores in all vehicle segments except compact SUV improving year over year. Satisfaction also improves across all vehicle components, particularly in seats (+11 points) and driving dynamics (+10 points). 

The study also finds that customers who experienced fewer initial vehicle quality problems than expected are most satisfied with overall vehicle appeal (919) than those who experienced the same or more problems than expected (897 and 885, respectively). 

Following are some of the key findings of the study: 

• Exterior styling remains a key purchase driver: Nearly one in four customers (24%) cite exterior styling as the main reason for purchasing their new vehicle, followed by vehicle performance (19%), previous experience with the brand (10%) and good fuel efficiency (10%). 

• Audio/ Entertainment/ Navigation system design requires improvement: Navigation and audio system-related attributes are among the lowest rated, notably the ability of the navigation system to provide a desirable route and its ease of operation, as well as quality of bass and sound clarity at high volumes. 

• Driving pleasure boosts satisfaction: Among customers who are highly satisfied (providing a satisfaction rating of 10 on a 10-point scale) with overall vehicle appeal, 51% say they find their new vehicle fun to drive, as compared with only 24% of pleased customers (rating of 8 to 9 points) who say the same. Furthermore, only 11% of customers who are disappointed or indifferent (ratings of 1 to 7 points) say their vehicle is fun to drive.

Study Rankings

Toyota receives four APEAL awards: the Vios (900 points) in the entry midsize car segment; the Fortuner (927) in the large SUV segment; the Hilux Revo Prerunner Smart Cab (914) in the extended cab pickup segment; and the Hilux Revo Prerunner D-Cab (923) in the double cab pickup segment.

Suzuki receives the award in the compact car segment for the Ciaz (897). Honda receives the award in the midsize car segment for the Civic (926). Mazda receives the award for the CX-3 (915) in the compact SUV segment. 

The 2017 Thailand APEAL Study is based on responses from 4,866 new-vehicle owners who purchased their vehicle from November 2016 through July 2017. The study covers 12 brands that include 76 passenger car, pickup truck and utility vehicle models. The study was fielded from May through September 2017. 

The study is an owner-reported measure of what satisfies owners in Thailand regarding their new vehicle’s performance and design during the first two to six months of ownership. The study examines nearly 100 attributes in 10 vehicle categories: exterior; interior; storage and space; audio/ entertainment/ navigation; seats; heating, ventilation and air conditioning (HVAC); driving dynamics; engine/ transmission; visibility and driving safety; and fuel economy. 

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected] 

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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

 

With Increase in Overall Mileage Driven for New Vehicles, Owners Experience Higher Instances of Problems, JD Power Finds

2018-01-26

jdp-root

SINGAPORE: 31 Jan. 2018 — New-vehicle owners are experiencing higher instances of initial quality problems as a result of increased use of vehicles, according to the JD Power 2017 Indonesia Initial Quality Study^SM (IQS), released today. 

Overall, initial quality averages 109 PP100 in 2017, compared with 70 PP100 in 2016. This increase is primarily attributed to a higher number of problems measured in four categories: engine and transmission (+8 PP100); audio, entertainment or navigation (+8 PP100); vehicle interior (+7 PP100); and driving experience (+6 PP100). Initial quality is measured as the average number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality. 

The study finds that 45% of owners this year have driven their vehicle more than 6,000 kilometers in the first two to six months of ownership, up from 41% in 2016.  The average number of kilometers travelled during this ownership period has also increased to 8,553 kilometers, up from 6,928 kilometers last year. This has resulted in a higher instance of quality issues cited by owners. 

“Similar to recent years, especially given the driving conditions across Indonesia, usage of new vehicles has subsequently increased, therefore owners are spending more time in their vehicle,” said Kaustav Roy, Director at JD Power in Singapore. “The more time spent by an owner in their vehicle, the more likely they will become more conscious of vehicle problems related to their driving comfort; usage of the audio, entertainment or navigation systems; and the interior, among other areas. Manufacturers need to ensure that features such as these are better designed to stand the test of time.” 

Following are some of the key findings of the study: 

• Consistent trend in problem types: Among the top 10 problems experienced by vehicle owners in 2017, seven are the same as those reported during the past 3 years, with 44% of these problems related to defects or malfunctions. 

• Initial quality problems experienced varies by age group: Younger owners (under 35 years of age) experienced a higher number of initial quality problems this year than owners 35 years and older (125 PP100 vs. 99 PP100, respectively). The increase in problems are primarily in the following categories: driving experience (+7 PP100); vehicle interior (+5 PP100); vehicle exterior (+4 PP100) and engine and transmission (+4 PP100). 

• Initial quality problems increase most in two entry-level segments: The largest increase in vehicle problems year over year is in the Entry SUV segment (+42 PP100), followed by the Entry MPV segment with 39 PP100.

• Explanation on the operation of features results in fewer problems: Owners who received detailed explanations on the operation of their new vehicle’s features at delivery experienced fewer problems than those who did not (95 PP100 vs. 172 PP100, respectively). 

Study Rankings

Daihatsu Ayla ranks highest in the Entry Compact Segment (87 PP100), and Honda HR-V ranks highest in the Entry SUV Segment (77 PP100). 

Mitsubishi Pajero Sport ranks highest in the SUV Segment (51 PP100) and Suzuki Ertiga ranks highest in the Entry MPV Segment (71 PP100). 

The 2017 Indonesia Initial Quality Study (IQS) is based on evaluations from 2,664 owners who purchased their new vehicle between September 2016 and August 2017. The study includes nine brands and 51 passenger car and utility vehicle models. The study was fielded from March through October 2017. 

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): engine and transmission; driving experience; vehicle interior; vehicle exterior; features, controls and displays; heating, ventilation and air-conditioning (HVAC); audio, entertainment or navigation; and seats. 

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-3165-0119; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001‐714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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

 

Younger Drivers Report More Problems with New Vehicles, JD Power Finds

2017-11-23

jdp-root

SINGAPORE: 27 Nov. 2017 — New-vehicle owners younger than the age of 30 report a greater number of problems with their new vehicles than those age 30 and older, according to the JD Power 2017 Malaysia Initial Quality StudySM (IQS), released today. 

Although only 37% of younger owners indicate having experienced a problem with their new vehicle, compared with the study average of 43%, the actual number of problems reported is notably higher. Owners younger than 30 years old report an average of 83 problems per 100 vehicles (PP100), compared with 77 PP100 reported by older owners. 

“It is essential that manufacturers take note of the higher number of problems reported by younger owners,” said Muhammad Asyraf Bin Mustafar, Country Head of Malaysia at JD Power. “Ignoring the problems experienced in this age group not only can affect sales in the future, but can also cause them to defect from the brand at an early stage and influence their decision to recommend the brand to their peers.” 

The study finds that 24% of younger owners experiencing a problem with their new vehicle would not return to buy from the same brand in the future—10 percentage points higher than the study average. 

Seven in eight problem categories measured in the study show that the number of problems reported has increased, with the highest incidences reported in the driving experience, vehicle exterior and engine/ transmission categories.

Compared with last year, the overall number of reported problems increases to 79 PP100 from 69 PP100 in 2016. Problems related to manufacturing quality increase by 7 PP100 and design-related issues increase by 2 PP100. 

Following are additional findings of the 2017 study: 

• Malaysian brands have more problems: Buyers of Malaysian national brands indicate a higher problem count, on average, than buyers of non-national brands (95 PP100 vs. 59 PP100, respectively).

• Improving quality for SUV segment: The fast-growing SUV segment, which presently is represented by only non-national manufacturers, records the lowest reported problem count in the study, at 48 PP100.

• Most common problem reported: Excessive wind noise is the most frequently cited problem, at 4.3 PP100.

• Quality builds advocacy: Among new-vehicle owners who experienced fewer problems than expected, 46% say they “definitely would” recommend their model to friends or relatives, while only 13% of those who experienced more problems than expected say they “definitely would” do the same.

Study Rankings

The Toyota Vios ranks highest in the entry midsize segment (62 PP100) and the Perodua Myvi ranks highest in the compact segment (84 PP100). The Honda BR-V ranks highest in the SUV segment (27 PP100) and the Isuzu D-Max ranks highest in the pickup segment (52 PP100).

The 2017 Malaysia Initial Quality Study (IQS) is based on responses from 2,843 new-vehicle owners who purchased their vehicle between August 2016 and June 2017. The study includes 47 passenger car, pickup and utility vehicle models of 12 brands. The study was fielded between February and August 2017. 

Now in its 15th year, the study measures problems experienced by vehicle owners during the first 2-6 months of ownership. Initial quality is determined by the number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality.

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, Calif., USA; 001‐714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com.

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

 

Consistent Improvement in Service Quality Boosts Customer Satisfaction, JD Power Finds

2017-11-23

jdp-root

MELBOURNE: 28 Nov. 2017 — Automotive service dealers have consistently been improving the delivery of customer experience since 2013, achieving a notable improvement in service quality as evidenced by an increase of 48 points on a 1,000-point scale, according to the JD Power 2017 Australia Customer Service Index (Mass Market) Study,^SM released today. 

The quality of maintenance or repair work is a vital aspect of the overall customer experience. Fixing the vehicle in the first service visit is now a basic expectation, in addition to receiving communication from the dealership post-service.  Although more than 9 in 10 customers have their vehicle returned fixed right the first time, only 48% of these customers were contacted after their service. In contrast, 73% of customers whose vehicle was not fixed right the first time indicate that they were not contacted post-service.  

“With more than 50 automotive brands to choose from, customer loyalty has become even more crucial in this increasingly competitive industry,” said Loi Truong, Senior Country Manager at JD Power. “It is vital to contact every customer after their visit to the service centre, regardless of the nature of their visit, and let them know that their feedback is valued. With most brands offering consistent and high levels of service quality, building on the relationship with each customer is becoming an even more crucial component of the vehicle ownership journey.” 

Satisfaction increases by 30 points above the mass market average to 852 when customers are contacted after their vehicle’s service to ensure that all work was carried out as per their expectations. The incidence of customers being contacted has consistently been on the rise since 2013 (47% in 2017 vs. 41% in 2013). Interestingly, more customers are contacted after their service when their vehicles are washed and vacuumed (61%). In contrast, only 33% of customers whose vehicle was returned neither washed nor vacuumed were contacted. 

Following are additional findings of the 2017 study: 

• Predictable servicing costs increase: The unpredictability of service bills has tapered off since 2013. While 70% of customers paid what they expected (increase of 7 percentage points since 2013), 25% of customers paid higher than what they expected (a decline of 5 percentage points since 2013).
• Accurate cost estimate is beneficial: With a higher incidence of customers being provided with a cost estimate prior to sending their vehicle in for service (69% in 2017 vs. 62% in 2013), there is an increase in customers saying that the actual cost incurred by them was the same as the original estimate given to them (87% in 2017 vs. 84% in 2013).
• Satisfied customers are kept informed of their vehicle status: Nearly three-fourths (73%) of customers indicate they were kept informed by their service advisor of the status of their vehicle being serviced. Satisfaction among these customers is 30 points higher than the mass market average.  
• Satisfaction with online appointment increasing: Most customers still call their service dealer to schedule their appointment (79%); however, customers who use the internet to schedule service (11%) are more satisfied than those who call their service dealer (826 vs. 821, respectively). The majority (65%) of these customers use the brand’s or dealer’s website to schedule their service appointment, with satisfaction among these customers 9 points above the mass market average.
• Room for improvement: The study finds that 31% of customers needed their service dealer to provide them with transportation while their vehicle was being serviced. Satisfaction among these customers is 2 index points below the mass market average. It is, thus, important for dealers to understand the needs of their customers and make it convenient for them to go to their destination while their vehicle is being serviced.

Study Rankings

Of the 13 brands ranked in the mass market segment, Mazda ranks highest with a score of 835 (ranked highest five times in eight years), followed by Hyundai with a score of 831 and Kia with 829.

The 2017 Australia Customer Service Index (Mass Market) Study is based on responses from 4,646 owners who purchased their new vehicle between August 2012 and September 2017 and took their vehicle for service to an authorised dealership service centre between August 2016 and September 2017. The study was fielded from August through September 2017.

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

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com.

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

 

Mobile Payments Linked to Credit Cards on the Rise Despite Security Concerns, J. D. Power Finds

2017-11-23

jdp-root

Singapore: 28 November 2017 — With Singapore striving to become a cashless economy, credit card holders are following suit through increased usage of mobile payment services, particularly compared to other key global markets, according to the JD Power 2017 Singapore Credit Card Satisfaction Study,^SM released today.

The study finds that in Singapore, usage of mobile payments (40%) has grown by 53% since last year and is significantly higher than in the United States (23%) and Australia (14%) and at the same level as Hong Kong (41%), despite the fact that security is the concern most often cited by consumers for not using a mobile wallet. 

“Singapore cardholders are increasingly moving toward mobile payment platforms,” said Anthony Chiam,Service Industry Practice Lead at JD Power. “However, in order for cardholders to fully embrace the adoption of these services, trust is paramount and security concerns must be first addressed.” 

The study also finds that lack of rewards and loyalty points and low merchant acceptance at retail stores/ restaurants are the main reasons that cardholders do not use their primary card for mobile wallets (42% and 20%, respectively). More than three-fourths (79%) of cardholders have a rewards programme, with satisfaction among this group 31 points higher (on a 1,000-point scale) than among those cardholders who do not (734 vs. 703, respectively). 

In addition, cardholders with a rewards programme spend 29% more than those who do not have such a programme ($1,035 vs. $802 per month, respectively). Unexpectedly, only 26% of cardholders say they completely understand how to earn and redeem through their rewards programme. 

Following are additional key findings of the study: 

• Most popular payment mode: With so many payment options available, credit card remains the most popular mode when paying for purchases in stores/ restaurants and online payments. 
• Online channel still popular: Interaction via websites has also grown to 83% this year from 76% last year. In contrast, usage of traditional channels is lower, with automated phone usage growing to 31% from 21% year over year and live phone interaction growing to 45% from 40%. Satisfaction among cardholders who use the online channel is lower than among those who use a mobile app (736 vs. 753, respectively).
• Key factors for card decision: Rewards programme (37%); cashback (50%); and discounts and promotion (33%) are the key features that cardholders look for in selecting their primary card. 

Study Rankings

American Express ranks highest in credit card satisfaction with an overall score of 781 and performs well across five of six factors. Standard Chartered ranks second with a score of 748, while DBS ranks third with a score of 737. 

The 2017 Singapore Credit Card Satisfaction Study examines customer satisfaction with the products and services provided by their main financial institution. The study measures overall satisfaction in six key factors (in order of importance): interaction (37%); billing and payment (19%); credit card terms (13%); benefits and services (13%); rewards (13%); and problem resolution (4%). 

The study is based on responses from 2,903 credit card customers. Coverage includes 11 major credit card issuers in the market, nine of which are rank-eligible, with satisfaction scores based on the customer’s primary card used. The study was fielded in September-October 2017. 

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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

 

New-Vehicle Quality Improves to Historic High, JD Power Finds

2017-11-24

jdp-root

BANGKOK: 30 Nov. 2017 — The number of problems reported per 100 vehicles (PP100) by new-vehicle owners has hit a record low this year, with the decline reported across all vehicle component categories except vehicle interior, according to the JD Power 2017 Thailand Initial Quality Study^SM (IQS), released today. 

Overall initial quality averages 83 PP100 in 2017—down four problems from 87 PP100 in 2016—and is the best performance experienced by the industry since the study was launched in 2000. All problems are summarized as the number of problems per 100 vehicles (PP100), with lower PP100 scores indicating a lower incidence of problems and, therefore, higher initial quality. 

Quality is consistent or has improved in all vehicle component categories with the exception of vehicle interior, as new owners report more problems related to the quality of interior materials, as well as squeak or rattle noises from the instrument and door panels and storage compartments. Problems with exterior, however, remain the most frequently reported compared to other problems measured in vehicle component categories. 

“As car manufacturers are competing more fiercely to preserve and increase their market share in a stagnating market environment, product quality improvement clearly is an area for focus,” said Siros Satrabhaya, Country Manager at JD Power. “It is also gratifying for new buyers to receive better designed and better built vehicles at a similar price. The shift in sources of dissatisfaction toward usability issues is also noteworthy, particularly in relation to vehicle interior, which has become the second-most-influential component category regarding overall satisfaction with initial quality this year, after driving experience.” 

Those customers who experience fewer problems with their vehicle have stronger intentions to keep their vehicle for longer — the study finds that owners who expect to keep their vehicle for more than 5 years experience just 79 PP100 on average compared with 103 PP100 among owners who expect to own their vehicle for 5 years or less. Moreover, the former group is more likely to definitely recommend their vehicle model and brand, compared to the latter group (69% and 59% vs. 57% and 46%, respectively). 

Following are some of the key findings of the study: 

• Explanation on operation of features: Owners who received detailed explanations on the operation of their vehicle features at delivery report fewer problems than those who do not
  (83 PP100 vs. 91 PP100, respectively). 

• Engine performance: The problem most frequently reported in 2017 in comparison to 2016 is the lack of engine power when turned on for the first time on a given day, after a stop or at low speeds (to 2.6 PP100 in 2017 from 1.4 PP100 in 2016). The problem is one of the top five most frequently reported problems in the 2017 study. 

• Quality affects loyalty: Loyalty and repurchase intentions are proportional to customer satisfaction with overall vehicle quality. Among delighted owners, 77% say they “definitely would” recommend their vehicle model and 67% say they “definitely would” repurchase their vehicle brand; among disappointed or indifferent owners, only 42% would recommend their vehicle model to others and 30% would repurchase the same brand of vehicle. 

Study Rankings

Ford receives three model-level awards: for the Everest (56 PP100) in the large SUV segment; the Ranger Hi-Rider X-Cab (80 PP100) in the pickup extended cab segment; and the Ranger D-Cab (60 PP100) in the pickup double cab segment.

Toyota also receives awards in three segments: for the Yaris (76 PP100) in the compact car segment; the Vios (54 PP100) in the entry midsize car segment; and the Corolla Altis (46 PP100) in the midsize car segment. 

The Honda HR-V (62 PP100) ranks highest in the compact SUV segment. 

The 2017 Thailand Initial Quality Study (IQS) is based on responses from 4,866 new-vehicle owners who purchased their vehicle from November 2016 through July 2017. The study covers 12 different brands that include 76 passenger car, pickup truck and utility vehicle models. The study was fielded from May through September 2017. 

The study measures problems experienced by new-vehicle owners during the first two to six months of ownership and examines more than 200 problem symptoms in eight component categories (listed in order of frequency of reported problems): vehicle exterior; engine/ transmission; driving experience; vehicle interior; heating, ventilation and cooling (HVAC); audio, entertainment and navigation (ACEN); features, controls and displays; and seats. 

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected] 

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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

 

Increased Expectations of New-Vehicle Buyers Ignite Competition between Brands, JD Power Finds

2017-11-29

jdp-root

SINGAPORE: 30 Nov. 2017 — New-vehicle buyers are increasingly comparing brands, models, dealers and offers and negotiating harder at authorized dealers before deciding on their purchase, according to the JD Power 2017 Vietnam Sales Satisfaction Index (SSI) Study,^SM released today.  

Nearly two-thirds (65%) of new-vehicle buyers say they seriously considered another model while shopping for their new vehicle, with shoppers also visiting more brands’ dealerships, compared with 2016. On average, new-vehicle shoppers use seven different sources of information to gather preliminary data and feedback about the models they are considering. The internet is the primary media used, with 99% of new-vehicle owners saying they used online sources while shopping. Browsing specialized websites and social networks has increased notably from last year at the expense of OEM/ dealer websites, which have been used less frequently in 2017. 

“As competition in the Vietnamese automotive market grows in advance of the scheduled tax cuts in 2018, authorized dealers are actively trying to entice shoppers and boost sales through aggressive discounts and incentives, thereby increasing competition between brands,” said Loïc Péan, Senior Manager at JD Power. “Unfortunately, this sometimes has the adverse effect of increasing expectations with respect to the final vehicle price, and dealer staff neglecting or expediting certain aspects of the new-vehicle sales and delivery process—both having a negative effect on customer satisfaction.” 

The study finds that the number of sales standards experienced by new-vehicle buyers has dropped considerably to 19.6 standards in 2017 from 20.6 in 2016 (out of 22 critical standards evaluated in the study). Specifically, interactions with customers are less pertinent than last year, as more customers indicate that their salesperson was not entirely focused on them (-13 percentage points); they did not receive a comprehensive explanation of the features and benefits of the vehicle while shopping (-10 percentage points); and/or they were not kept informed about the delivery status of their vehicle (-8 percentage points). Additionally, only 77% say the salesperson used an actual vehicle on display for the demonstration, down from 90% in 2016.  

Following are some of the key findings of the study: 

• Overall sales satisfaction drops: Overall satisfaction with the sales and delivery process decreases to 755 (on a 1,000-point scale) in 2017, down from 793 in 2016. 

• Harder negotiation, not higher satisfaction: New-vehicle buyers are increasingly driving a harder bargain, as 60% say they negotiated the deal, up from 35% in 2016. Additionally, two-thirds (66%) received discounts and 98% received additional freebies from their dealer. Despite receiving more discounts and freebies, however, 27% of new-vehicle owners say they paid more than expected for their vehicle, a sharp increase from 12% in 2016. 

• Dealer loyalty and advocacy stagnate and remain low: Among new-vehicle owners, 42% say they “definitely would” recommend their purchase dealer and 22% say they “definitely would” repurchase from the same dealer in the future, up slightly from 39% and 14% in 2016, respectively. However, fewer owners say they “definitely would” service their car at the same dealer year over year (51% vs. 66%, respectively). 

Study Rankings

Toyota ranks highest in overall sales satisfaction for a third consecutive year, with a score of 777. Toyota performs particularly well in the sales initiation, dealer facility and delivery process factors. Nissan (776) ranks second, followed by Kia (764). 

The 2017 Vietnam Sales Satisfaction Index (SSI) Study examines sales satisfaction in the mass market segment using six factors that contribute to overall customer satisfaction with the new-vehicle purchase experience (in order of importance): delivery timing (21%); dealer facility (17%); deal (17%); delivery process (16%); sales initiation (16%); salesperson (13%). 

The study, now in its ninth year, is based on responses from 1,734 new-vehicle owners who purchased their vehicle from January through October 2017. The study was fielded online from August through October 2017.

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected] 

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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

 

With Digital Emerging as Prevailing Banking Channel, Customers Still Prefer Personal Touch, JD Power Finds

2017-12-04

jdp-root

MELBOURNE: 5 Dec. 2017 — Despite the high penetration of digital banking in Australia, when customers have a problem, they still prefer the personal touch, according to the JD Power 2017 Australia Retail Banking Satisfaction Study,^SM released today.  

In the past 12 months, 89% of banking customers have used a digital channel to interact with their primary bank. However, customers still prefer to visit the branch or call a bank representative when they have a problem (86%) or question (73%). This is also the case for digitally savvy Millennials,[1] with 85% preferring to speak to a person when they have a problem and 66% when they have a question. 

“With most customers choosing to raise a problem or question with a bank representative directly either at a branch or on the phone, closing bank branches and driving a digital agenda is not going to address this pain point,” said Anthony Chiam, Practice Leader Service Industry at JD Power. “The bank branch still has an important role to play for the customer, but pain points online and on banking apps also need to be fixed if banks want to move more customers to these channels. Ultimately, if banks do want to transition to digital, they need to make sure their customers are ready to follow.”

Customer friction with online services needs to be addressed if customers are expected to make this switch to digital. The study finds that 32% of customers indicate having experienced a problem accessing their online banking account and 34% say that they have experienced an issue with the mobile banking app. However, branches also need to drive improvements related to hygiene factors, as 48% of customers say that they were not welcomed at the branch. 

Moreover, the study finds that 14% of customers indicate having experienced a problem with their bank in the past 12 months. Of these customers, 26% have experienced a problem with the customer service provided at the branch or on the phone. 

Following are some of the key findings of the 2017 study:

• Banks need to deepen their relationship with customers: In the past 12 months, 18% of customers opened a new account with another bank rather than their primary bank. Customers who receive tailored information from their banks are far more satisfied than those who do not (796 vs. 703, respectively, on a 1,000-point scale). Similarly, these customers are more likely to use additional products from their bank, with 63% saying they “definitely will” use their bank again when they need a bank product, compared with only 33% who do not receive tailored information. 

• ATMs are problematic: Nearly one-third (32%) of retail banking customers say that their primary bank’s ATM was down or out of service in the past 12 months. Top reasons cited include that it was being serviced by bank staff or security (30%); required functionality was not working (24%); and/or it was out of cash (20%). 

• Millennials more likely to switch primary bank: One-fourth (25%) of Millennials are considering switching their primary bank, compared with the study average of 16%. Generally, customers are looking for fair fees and interest rates in addition to a quality service experience and would likely switch to another bank if their expectations are not met. 

• Mobile payment usage: Nearly one-fifth (19%) of customers have a mobile payment service (e.g., Apple Pay, Android Pay, and Samsung Pay) linked to their bank account. The proportion is higher amongst Millennials, 30% of whom have mobile payment services linked to their accounts. 

Study Rankings

Heritage Bank ranks highest in retail banking customer satisfaction amongst non-major banks, with an overall satisfaction score of 827. Heritage Bank achieves the highest score in four of the six study factors: product offerings; facility; account information; and account activities.

Commonwealth Bank tops the major bank segment with a score of 747. Commonwealth Bank performs particularly well in the product offerings; facility; account activities; and problem resolution factors.

About the Study

The 2017 Australia Retail Banking Satisfaction Study measures customer satisfaction on the product and service provided by their primary financial institution. The study measures overall satisfaction in six key factors: account activities (38%); account information (16%); product offerings (15%); fees (14%); facility (13%); and problem resolution (4%).

The study, now in its second year, is based on responses from 4,330 retail banking customers. The study was fielded between September and November 2017.

JD Power conducts a series of retail banking studies across key financial markets, including Australia, Canada, China, India, Singapore and the United States.

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. J. D. Power is a portfolio company of XIO Group, a global alternative investments firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the Internet at asean-oceania.jdpower.com.

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

 

Increased Service Volume during Morning Peak Hours Places Strain on Luxury Service Centres, JD Power Finds

2017-10-12

jdp-root

SINGAPORE: 16 Oct. 2017 — The increase in service volume during the morning rush is eroding customer satisfaction and creating challenges for luxury service centres in Taiwan, according to the JD Power 2017 Taiwan Customer Service Index (Luxury) Study,^SM released today. 

Satisfaction is substantially lower among customers who send their vehicle in for service during morning peak hours (before 10:00 a.m.) than among those who send their vehicle in after peak hours (809 vs. 845, respectively, on a 1,000-point scale). With increased sales in recent years and an increased proportion of customers sending in their vehicles during peak hours (28% in 2017 vs. 18% in 2013), service capacity during this period is overloaded, resulting in inconsistent service. For example, 28% of customers who visited a service centre during these peak hours were afforded less than five minutes to discuss their needs with a service advisor, compared with 13% of customers who went after peak hours. Moreover, 38% of peak-hour customers waited four hours or more for their vehicle to be serviced—21 percentage points higher than those customers who sent their vehicle for service after peak hours (17%). 

“With an increase in service volume and the new labour law having been implemented at the end of last year, dealerships are struggling to increase manpower at their service centres,” said Kaustav Roy, Director at JD Power. “This creates challenges to handle the service load, especially during morning peak hours. Customers visiting during peak hours may not only have to wait longer, but also receive less attention from service advisors in terms of cost and work explanations. It is important for dealerships to ensure that alternatives are available, such as express services, in order to better manage the load.” 

The study finds that overall satisfaction increases to 872 from 825 when service advisors offer quick/ express service to customers. Only 15% of customers who sent their vehicle to the centre during peak hours were offered quick/ express service, compared with 22% of those who sent their vehicle in after peak hours. 

Following are key findings of the study: 

• When the service is completed within two hours, overall satisfaction averages 866, which falls to 802 when the waiting time is three or more hours. Nearly half (45%) of customers waited three or more hours in 2017, up from 40% in 2016.
• The average service cost this year stands at $NT 8081, an 8-percentage-point increase from 2016 when it was $NT 7477. More than half (56%) of luxury customers paid more than $NT 7000 for their last service, an increase of 13 percentage points from the 43% in 2016.
• The majority (97%) of luxury customers schedule their service by appointment. This year, 7% of those customers did not secure an appointment on their desired day, a 5-percentage-point increase from 2016. Satisfaction among these customers averages 741, compared with 842 among those who did secure an appointment on their desired day.

Study Rankings

Overall service satisfaction in the luxury segment averages 835 points in 2017. Among the five brands ranked in the segment, Lexus ranks highest in satisfaction with a score of 862. Lexus performs particularly well across all factors. Mercedes-Benz ranks second with a score of 848 and BMW ranks third with a score of 813. 

About the Study

The 2017 Taiwan Customer Service Index (CSI) Study is based on responses from 898 vehicle owners in the luxury segment who received delivery of their new vehicle between March 2015 and June 2016 and took their vehicle for service to an authorized dealer or service centre between September 2016 and June 2017. The study was fielded from March through June 2017. 

The study, now in its 20^th year, measures new-vehicle owner satisfaction with the after-sales service process by examining dealership performance in five factors (listed in order of importance): service quality; service initiation; vehicle pick-up; service advisor; and service facility. The study examines service satisfaction in the luxury segment. 

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, Calif., USA; 001‐714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Kuala Lumpur, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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

 

Surcharge Reforms Level the Playing Field, Forcing Card Issuers to Go Back to Basics, JD Power Finds

2017-10-25

jdp-root

SINGAPORE: 26 Oct. 2017 — It has been an eventful year for the credit card industry in Australia brought about by the Reserve Bank of Australia’s (RBA) Card Payments Regulation reforms. To comply with these new reforms on credit card surcharges, banks are scrambling to find an optimal point in the attractiveness of the rewards program, communicating it effectively and minimizing the attrition to other card issuers, according to the JD Power 2017 Australia Credit Card Study,^SM released today.

“Surprisingly, less than one-fourth of reward cardholders said they have been notified by their primary card issuer on the surcharge reforms and the possible impact on their credit card account,” said Anthony Chiam, Service Industry Practice Leadat JD Power. “Moreover, among those who were notified, only 39% understood the notification. With such a key development, it is crucial that banks ensure their customers fully understand and are educated about the implications to their card accounts.”

The RBA’s objectives to ensure consumers are not surcharged excessively seems to have worked, as 44% of cardholders have noticed a reduction in the amount of surcharges on their credit card. The study also finds that spending has increased by 18% as compared with last year ($1,547 vs. $1,311 per month, respectively).

“The playing field has now been truly levelled, as the banks can no longer outdo each other on the basis of their reward programs. Thus, the competitive advantage can be achieved through a renewed focus on going back to the basics and providing a superior service to cardholders,” said Chiam. 

Additionally, with the penetration of mobile phones, usage of banks’ mobile apps has increased 11 percentage points from last year (37% vs. 26%, respectively). However, the proportion of cardholders using mobile payment services in Australia has only increased to 14% in 2017 from 8% last year. This is substantially lower, compared with other key markets, such as the United States (22%), Hong Kong (41%) and Singapore (26%). The main reason cardholders cite for not using mobile payment services is security and trust of contactless payment technology.

Following are additional key findings of the study:

• Online Accessibility: This is the most important interaction channel but  only 60% of cardholders say it is accessible all the time. The main reason for this issue is website availability.
• Mobile App Usage: Gen Y[1] has shown the largest increase with 61% having used it in the last 12 months vs 46% in 2016. Gen X increased from 30% (2016) to 39% (2017) follow by Boomers 13% (2016) to 20% (2017) and Pre-Boomers 7% (2016) to 10% (2017). This is important as the overall satisfaction on average increased from 711 (if they not used the mobile app) to 737 (if they have used).
• Spending is on the Rise: Cardholders are spending 18% more than last year ($1,547 vs. $1,311 per month), with Gen Y having the greatest increase in spending of 28 percentage points ($,1,442 vs. $1,123 per month in 2017 and 2016, respectively), followed by Pre-Boomers with an increase of 21 percentage points ($1,470 vs. $1,214 per month). Boomers have a monthly increase in spending of 14 percentage points from 2016 ($1,611 vs. $1,416, respectively), and Gen X spending increases by 3 percentage points ($1,463 vs. $1,421).

Study Rankings

Bendigo Bank ranks highest in credit card satisfaction with an overall score of 762 and performs well in two of the six factors. American Express ranks second with a score of 760, while Coles ranks third with a score of 754.

The 2017 Australia Credit Card Satisfaction Study examines customer satisfaction with the product and service provided by their main financial institution. The study measures overall satisfaction in six key factors: interaction (31%); credit card terms (26%); billing and payment (21%); rewards (10%); benefits and services (8%); and problem resolution (4%).

The study is based on responses from 4,005 credit card customers. Coverage includes 21 major credit card issuers in the market, 14 of which are rank-eligible, with scores based on the customer’s primary card used. The study was fielded in August-September 2017.

Media Relations Contacts

Aisling Carty; JD Power; Singapore; 65-6733 8980; [email protected]

Geno Effler; JD Power; Costa Mesa, California, USA; 001-714-621-6224; [email protected]

About JD Power in the Asia Pacific Region

JD Power has offices in Singapore, Bangkok, Kuala Lumpur, Beijing, Shanghai and Tokyo that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries in the Asia Pacific region. Together, the six offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan, Thailand and Vietnam. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer. Information regarding JD Power and its products can be accessed through the internet at asean-oceania.jdpower.com. 

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