Category: APAC

After-Sales Service Satisfaction in Philippines Hits Record Low, JD Power Finds

2017-07-24

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SINGAPORE: 31 July 2017 — Customer satisfaction with after-sales service at authorized automobile service centers dramatically decreases to its lowest point since the study was launched in 2001, according to the JD Power 2017 Philippines Customer Service Index (CSI) Study,^SM released today. 

Overall satisfaction for the industry—measured on a 1,000-point scale—drops 29 points to an average of 793, down from 822 in 2016. Satisfaction decreases across all five factors, but service initiation and vehicle pick-up score the lowest at 787 each. 

“The increased time spent handing over the vehicle before service—due to rapidly increasing service volumes—is one of the key reasons for the significant drop in service satisfaction,” said Loïc Pean, senior manager at JD Power. “Service networks are not expanding as fast as market demand, which creates challenges for service centers to handle the increasing traffic within a reasonable time—in a very time-conscious market—while also maintaining high-quality service standards.” 

While the percentage of service appointments increases to 47% from 40% in 2016, the time required to secure an appointment also increases. Indeed, 72% of service customers say it took two or more days to get an appointment, with three in 10 customers (an increase of 10% from 2016) indicating they had to wait 9 minutes, on average, to speak to a service advisor. More than four in 10 (41%) customers say it took more than 30 minutes to complete the vehicle handover process (i.e., time waiting to be greeted, time conferring with the advisor, time to hand over keys and time to complete any initial paperwork), a figure which is nearly double the 21% in 2016. 

“As a consequence of these capacity issues, more pressure is placed upon dealer facilities and staff,” said Sigfred Doloroso, country manager at JD Power. “This translates into a decrease of certain quality standards, which has a noticeable effect on customer satisfaction, such as providing accurate service cost and time estimates or the cleanliness of the vehicle on return. It is crucial that service advisors take more time to communicate with and offer advice and explanations on vehicle maintenance to each customer.” 

The proportion of customers receiving a cost estimate before service drops to 78% from 83% in 2016. In addition, 5% of customers say they paid more than the estimated cost, compared with only 2% in 2016. Finally, 10% of customers surveyed indicate their vehicle had not been washed or vacuumed, more than three times the rate in 2016. 

Following are additional key findings of the study:

• More vehicle quality issues and repairs: Three times as many customers in 2017 say they have experienced at least one problem with their vehicle since purchasing it than in 2016 (6% vs. 2%, respectively). As a result, the percentage of vehicle owners disappointed or indifferent (providing a rating of 7 or below on a 10-point scale) with the overall quality of their vehicle increasing to 17%, up from 9% in 2016. As a possible consequence, 10% of customers indicate they had repairs carried out during their most recent service visit, up by 3% from 2016.
• Fewer commitments on service time: The percentage of service customers who say the dealership did not “promise” when the vehicle would be ready is 12%, three times more than in 2016. Additionally, the percentage of customers who indicate they had to check with the dealership themselves to learn when their vehicle would be ready doubled to 8% from 4% in 2016.
• More customers paying higher service fees: More than eight in 10 (81%) customers paid for some or all of the service charges in 2017, up from 76% in 2016. Moreover, 13% say they paid more than what they had initially expected.
• Increased time to finish paperwork and pick up vehicle: Nearly one-fourth (24%) of customers say it took more than 20 minutes after service to complete payment and pick up their vehicle, compared with 20% in 2016. 

Study Rankings

Honda ranks highest in overall service satisfaction among the 11 mass market brands included in the study, with a score of 803. Honda performs particularly well in four of the five factors: service quality; vehicle pick-up; service facility; and service advisor. Hyundai (798) ranks second, followed by Mitsubishi (797).

About the Study

The 2017 Philippines Customer Service Index (CSI) Study is based on responses from 1,951 new-vehicle owners who purchased their vehicle between February 2015 and May 2016 and took their vehicle for service to an authorized dealer or service center between August 2016 and May 2017. The study was fielded between February and May 2017.

The study, now in its 17th year, measures satisfaction among vehicle owners who visit an authorized dealership service center for maintenance or repair work between the first 12-24 months of vehicle ownership. The study measures overall satisfaction in five factors (in order of importance): service quality (29%); service initiation (26%); vehicle pick-up (17%); service facility (14%); and service advisor (14%).

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

 

Auto Service Center Efficiency Leads to Higher Satisfaction, JD Power Finds

2017-07-24

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KUALA LUMPUR: 1 Aug. 2017 — The efforts of service advisors to efficiently meet their customers’ needs at service centers has a significant positive effect on customer satisfaction, according to the JD Power 2017 Malaysia Customer Service Index (CSI) Study,^SM released today. 

Overall customer service satisfaction—measured on a 1,000-point scale—increases this year to 761 from 751 in 2016. This improvement is apparent across all factors: service quality; service initiation; vehicle pick-up; service advisor; and service facility. Service initiation improves the most (+15 points) to 762. 

“Customers want to be viewed as individuals with unique needs,” said Muhammad Asyraf Bin Mustafar, country head of Malaysia for JD Power. “With a demanding and fast-paced modern lifestyle, Malaysian car owners do not have time to waste when sending their cars for service. It is a dealership’s responsibility—with the support of professional service advisors—to ensure exceptional service that meets customers’ expectations. Moreover, every interaction with customers—from scheduling an appointment to after-service calls—has a profound effect on customer satisfaction.” 

When customers are provided explanations of work prior to service, satisfaction increases by 49 points, compared with when explanations are not provided (768 vs. 719, respectively). Furthermore, satisfaction among customers whose advisors paid attention to their service details is far higher than among those who did not (764 vs. 676, respectively). The study also finds that satisfaction among customers whose advisors are completely focused on their needs is 765, which is 80 points higher than among those whose advisor is not completely focused on their specific needs. 

Encouragingly this year, the percentage of customers who completed the handover process in less than 15 minutes has increased to 62% from 58% in 2016. A development that notably helps improves the customer experience in-store. 

The study finds that satisfaction among customers who received an explanation of work after the completion of service has risen by 52 points, compared with those who did not receive any explanation (763 vs. 711, respectively). In addition, the percentage of instances in which service charges are explained post-service has increased to 91% from 88% last year. 

Following are additional key findings of the study: 

• Malaysian national brands show improvement: The overall customer service index among the Malaysian national brands averages 756, an increase of 9 points from 2016.
• Keeping the customer informed: More customers in 2017 than in 2016 indicate that service advisors kept them informed of their vehicle’s status (97% vs. 93%, respectively). Satisfaction among customers who were informed of their vehicle’s status averages 765, which is 129 points higher than among those who were not informed. In addition, 6% more customers this year are contacted following the service than last year.
• Enhanced customer facilities: The percentage of customers who indicate that service centers are providing at least four or more facilities/amenities, such as refreshment counters, internet access and air-conditioned lounges, increases to 94% from 90% in 2016. Satisfaction among customers who experience at least four of these amenities increases by 41 points to 763, compared with 722 among those who do not experience the same.
• Customer satisfaction affects loyalty and advocacy: Nearly half (46%) of highly satisfied customers (satisfaction scores of 823 or higher) say they “definitely would” recommend their service dealer to family and friends, while only 10% of highly dissatisfied customers (709 or lower) say the same. Additionally, highly satisfied customers are more than twice as likely to say they “definitely would” revisit their service dealer for post-warranty service as customers who are highly dissatisfied (41% vs. 14%, respectively).

Study Rankings

Toyota ranks highest in overall service satisfaction among mass market brands, with a score of 780. Toyota performs particularly well in the service advisor and service facility factors. Mitsubishi ranks second with a score of 778 and Mazda ranks third with 776. 

About the Study

The 2017 Malaysia Customer Service Index Study is based on responses from 2,705 new-vehicle owners who purchased their mass market brand vehicle between February 2015 and May 2016 and took their vehicle for service to an authorized service center between August 2016 and May 2017. The study was fielded between February and May 2017. 

The study, now in its 15th year, measures overall service satisfaction among owners who took their vehicle to an authorized service center by examining dealership performance in five factors (in order of importance): service quality (32%); service initiation (22%); vehicle pick-up (18%); service advisor (15%); and service facility (13%). 

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

 

Satisfaction Declines as New-Vehicle Owners Expect More of Service Centers, JD Power Finds

2017-07-24

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BANGKOK: 1 Aug. 2017 — New-vehicle owner satisfaction among those who utilize authorized after-sales service declines in 2017, as service customers increasingly expect more services and better value during service visits, according to the JD Power 2017 Thailand Customer Service Index (CSI) Study,^SM released today. 

Overall service satisfaction for mass market brands averages 866 (on a 1,000-point scale), down from 873 in 2016. Although 20% of customers say their most recent service experience exceeded their expectations—an increase of 13% from 2016—a similar proportion indicate that their service advisor was neither completely focused on their needs (20%) nor provided helpful advice (19%). The study finds that implementation of service standards has declined year over year, with fewer dealer staff reportedly taking the time to inspect the vehicle with customers before service (75% vs. 87% in 2016, respectively) and after service (93% vs. 97%, respectively). 

“Most new-vehicle owners are generally satisfied with after-sales service but would prefer a more attentive service center representative, one who provides valuable advice on optimum and cost-efficient car maintenance,” said Siros Satrabhaya, country manager at JD Power. “While core quality standards are quite often met, and servicing time remains stable, dealer personnel need to go the extra mile in order to provide the highest possible customer service. With customers increasingly comparing authorized dealer service standards and value for money with those of non-authorized facilities, such as quick service chains, dealers need to step up and offer more personalised service. Examples would be transport options to and from their facility during service, express service and more flexible service times.” 

Competition from non-authorized facilities is increasing, as 9% of customers indicate they have used such service centers for their new-vehicle service—up two percentage points from 2016—and, more specifically, among 14% of customers in the Greater Bangkok region (an increase of 10% from last year). New-vehicle owners cite convenience and speed of service among the top reasons for visiting non-authorized facilities. Customer satisfaction with these facilities has increased considerably as the proportions of customers who are pleased (satisfaction score of 8 or 9 on a 10-point scale) and delighted (score of 10) has increased this year by 25% from 2016 (to 84% from 59%). 

Despite a 7% increase year over year in the number of customers who make an appointment prior to their service visit (61% vs. 54%, respectively), the study finds that quality of interaction over the phone has declined. The time it takes for customers to speak with a service advisor once at the dealership has also increased, in addition to the time taken to complete the entire vehicle handover process—32% said it took more than 10 minutes, compared with 20% in 2016. 

The study also finds that, while the average service time remains stable with more than two-thirds (67%) of service customers’ vehicles (serviced on the same day) ready within two hours, satisfaction levels with service time are lower than in 2016 regardless of the actual time it took to complete the service. In addition, while in 2016 a slight majority (56%) said they used a “quick service” facility, only 32% in 2017 say the same. 

Study Rankings

Toyota ranks highest for a fourth consecutive year in overall customer service satisfaction among mass market brands, with a score of 879. Toyota outperforms competitor brands across all five CSI factors.  All brands except Suzuki and Chevrolet have lower satisfaction levels in 2017 compared with 2016. Honda ranks second with a score of 864 and Mitsubishi ranks third with 863. 

About the Study

The study, now in its 18th year, measures new-vehicle owner satisfaction with the after-sales service process at an authorized service center by examining dealership performance in five factors (in order of importance): service quality (29%); service initiation (26%); vehicle pickup (18%); service advisor (15%); and service facility (12%). 

The 2017 Thailand Customer Service Index (CSI) Study is based on responses from 2,770 new-vehicle owners who purchased their vehicle between January 2015 and May 2016 and took their vehicle for service to an authorized dealer or service center between July 2016 and May 2017. The study was fielded from January through May 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

 

One in Five Customers Looking to Switch from Their Main Bank, JD Power Finds

1970-01-01

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SINGAPORE: 10 July 2017 — With nearly 20% of customers in Singapore considering leaving their primary bank for another in the next 12 months, banks need to strengthen their relationship and engagement with customers, according to the inaugural JD Power Singapore Retail Banking Satisfaction Study,^SM released today. 

Among all banking channels, self-service channels such as ATMs, online and mobile banking are generating higher satisfaction scores than traditional high-touch channels like branch and call centre. 

“The migration of customers to self-service channels leaves banks with fewer opportunities to engage customers face to face,” said Anthony Chiam, practice leader, service industry at JD Power. “It becomes more challenging to provide complex financial advice or discuss products to meet the needs of a customer’s different life stages. The branch remains an important channel, and it is crucial for banks to strike the balance in their overall channel strategy.” 

The study finds that the average wait time at the branch is more than 12 minutes (12.4), which is three times longer than in the United States (3.6) and more than twice as long as in Australia (5.0) and Canada (6.1). Such a long waiting time at a branch discourages customers from in-person bank visits, with only 44% of customers having visited their primary banking branch in the past 12 months, also significantly lower than in the United States (71%), Australia (62%) and Canada (81%). 

The study also shows that 41% of bank customers used mobile banking apps in the past 12 months for services such as: checking account balances (80%), transferring funds between accounts (72%) and paying bills (51%). Satisfaction increases when apps offer additional features like receiving special offers (+54 points), applying for new banking products (+46) and providing alerts/notifications (+42). 

“The investments that banks have made in their mobile banking channels seem to be paying off,” said Gordon Shields, senior director at JD Power. “Encouragingly, 77% of customers indicate that they are likely to apply for a new account or product using a mobile banking app. This conveys the need for banks to tailor offerings and create the right user experience that will attract customers on the move.” 

On a 1,000-point scale, overall satisfaction is higher among banking customers who use a mobile banking app than does who do not (755 vs. 723, respectively). Similarly, these users are more inclined to recommend their bank, with 43% of users saying they “definitely would” recommend their bank to a family member, friend or colleague, compared with only 34% who have not used a mobile banking app in the past 12 months. 

Following are additional key findings of the study: 

• Local banks vs. foreign banks: Local banks outperform foreign banks in the account activities (773 vs. 755, respectively) and facility (736 vs. 687) factors, while foreign banks perform better in product offerings (716 vs. 687) and fees (667 vs. 621).
• ATMs are particularly problematic: Among retail banking customers, 36% indicate that they experienced their primary bank’s ATM being down or out of service in the past 12 months.
• Mobile payments drive higher satisfaction: Customer satisfaction is higher (+31) among those who have a mobile payment service (e.g., Apple Pay, Android Pay, and Samsung Pay) linked to their bank account than among those who do not. Of the Millennial[1] customers who currently mobile payment services have linked to their accounts (42%), this trend is more pronounced with a satisfaction increase of +39 points.
• Product feature understanding: Only 20% of retail customers say they “completely” understand the features and benefits associated with their main account. Customers who are confident about their understanding of the product features are far more satisfied than those who are not as confident (783 vs. 730, respectively). 

Study Rankings

OCBC ranks highest in customer satisfaction with retail banking with a score of 746, performing particularly well in account activities and fees. Citibank ranks second (745) and DBS ranks third (743) among the seven banks included in the study. 

About the Study

The 2017 Singapore Retail Banking 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: account activities (42%); account information (18%); facility (14%); product offerings (12%); fees (10%) and problem resolution (4%). 

The study is based on responses from 2,452 retail banking customers and was fielded in April-May 2017. 

JD Power conducts a series of retail banking studies across key financial markets, including Australia, Canada, China, 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, 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

 

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[1] JD Power defines Millennials as those born between 1982 and 1994.

 

Smaller and Regional Banks Outperform Majors in Customer Satisfaction, JD Power Finds

2016-12-06

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MELBOURNE: 8 Dec. 2016 — The difference in customer experience varies greatly across financial institutions in Australia, with the highest-performing banks mainly being smaller and regional institutions, according to the JD Power Australia Retail Banking Satisfaction Study,^SM released today.

The study shows that smaller and regional banks perform stronger across areas that matter to banking customers—such as greater transparency on account fees, shorter queue times at the branch and higher resolution rates at the call centre—and also have fewer customer-reported problems overall.

“In general, smaller banks in Australia are able to provide a higher level of service at the branch and through the call centre than the major banks, which, along with improved transparency on fees, helps place them in a good position to develop greater trust among their customers,” said Loi Truong, senior country manager at JD Power.

The inaugural study measures customer satisfaction with customer’s main financial institution by examining six key factors: account activities; account information; product offerings; fees; facility; and problem resolution. Satisfaction is calculated on a 1,000-point scale.

Study findings also show that satisfaction is higher when customers use digital self-service channels, an area of service where major banks are strongest.

Overall satisfaction with bank mobile apps is higher for the major banks at 827 vs. 808 for non-majors. Common tasks performed by the 49% of mobile app users include checking bank account balances (87%), transferring funds (82%) and paying bills (65%).

“Banks in Australia are keen to promote digital usage amongst their customers, as it reduces service costs and increases customer control in one step,” said Dr. Gordon Shields, director at JD Power. “However, in doing so banks must not lose focus on their branch and call centre service channels, as customers rely on them, especially when they can’t get an answer online or through their banking app.”

Further findings of the study show that 15% of customers indicate having experienced a problem with their bank in the past 12 months, with the most common issues related to account errors (e.g., processing or transactional errors) and service complaints (e.g., fraud/unauthorised activities, ATM-related issues or poor customer service at the branch).

Following are additional findings of the study:

• One in Five Customers Don’t Understand Their Account Fees: 21% of retail banking customers report that they do “not at all” understand the fee structure on their account. Amongst major banks the percentage is 22%, and amongst non-majors, the figure is 16%.
• Average Branch Wait Times are Highest amongst Majors: On average, major bank customers wait eight minutes to be served at a branch, which is three minutes longer than at non-majors. Amongst the smaller and regional banks, 45% of branch customers indicate that they did not have to wait at all, compared with 27% of customers of the major banks.
• Call Centre Resolution Rates Vary by Bank Type: 84% of callers to a major bank had their issue resolved, compared with 91% of smaller and regional bank callers.
• Mobile Banking Apps Far from Perfect: The top three app-related problems cited by customers are slow app loading (19%); app crashes or freezes (16%); and login problems (15%).
• Apple Pay Rated Highest amongst Mobile Wallets: 18% of retail banking customers use a mobile wallet linked their account, with satisfaction highest amongst those using Apple Pay (7.7 points on a 10-point scale).
• Accuracy of Mobile Notifications: 19% of mobile banking users indicate the accuracy of their bank’s notification is inconsistent with their bank statements. Channel amnesia, or late or incorrect updates, has a negative effect the customer experience, with satisfaction 83 points lower amongst customers experiencing such a problem (682) than amongst those not experiencing such a problem (765).
• Improving Customer Satisfaction Matters: 45% of customers who are highly satisfied with their banking experience (overall satisfaction scores of 855 or higher) say they “definitely will” recommend their bank to a family member, friend or colleague, compared with only 7% of those who are dissatisfied (675 or lower).

Study Rankings

Heritage Bank ranks highest in retail banking customer satisfaction amongst non-major banks with an overall satisfaction score of 829. Heritage Bank achieves the highest score in two of the six study factors: product offerings and fees.

Commonwealth Bank tops the major bank segment with a score of 754. Commonwealth Bank performs particularly well in the account activities and problem resolution factors.

The 2016 Australia Retail Banking Satisfaction Study is based on responses from 4,765 retail banking customers. The study was fielded in October and November 2016. It is part of a series of retail banking satisfaction studies also conducted by JD Power in North America and Asia.

Media Relations Contact

John Tews; JD Power; Troy, Michigan, USA; 01-248-680-6218; [email protected]

About JD Power in the Asia Pacific Region

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

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

 

Service Satisfaction among Luxury Customers in Australia Improves for Third Consecutive Year, Increasing Customer Loyalty and Advocacy, JD Power Study Finds

2016-12-09

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MELBOURNE: 13 Dec. 2016 — Investments made by luxury automotive brands in their service staff in recent years is paying off, as customer satisfaction with dealer service increases for the third consecutive year, according to the JD Power 2016 Australia Customer Service Index (CSI) Study^SM luxury segment, released today.

Overall customer satisfaction with the vehicle service experience at authorised service centres in the luxury market increases to 824 (on a 1,000-point scale) in 2016, up from 817 in 2015 and 803 in 2014. 

The service advisor plays a critical role in customer satisfaction, and courtesy goes a long way when dealing with luxury-vehicle owners. More than 1 in 3 (31%) customers say they are “delighted” with the courtesy of their service advisor in 2016, an increase from 24% in 2015.

“Service advisors are vital to the success of service centres across Australia,” said Mohit Arora, executive director at JD Power. “Customers’ interaction with their service advisor needs to be professional, transparent, trustworthy and, most importantly, enjoyable. A happy customer is one who will return for future work when the warranty expires and will recommend your services to others.” 

Automakers’ efforts to please their service customers at dealerships also pay off with increased customer retention and profitability. The study finds that among highly satisfied customers (overall satisfaction scores of 918 or higher), 84% say they intend to revisit the dealership for paid services post warranty, as well as recommend the same brand and servicing dealer to a friend or relative. 

Following Up with Customers

Nearly two-thirds (65%) of customers of luxury brand service centres were contacted by the dealership within a few days after their vehicles were serviced. In comparison, only 45% of mass market customers were contacted by the dealership after their service appointment. Among luxury customers who were contacted by the dealership, overall satisfaction is 844, compared with 787 among those who were not contacted.

“While all dealers across the network mention how difficult it is to make contact with their customers, those that are successful in doing so reap the benefits of happier customers,” said Loi Truong, senior country manager of Australia at JDPower. “Contacting customers and asking about their service experience—and measuring this performance with a view to continually improve—is the key to success.”

Additional findings of the study include:

• Service Centre Facilities Are Important to Customers: Offering service customers a variety of amenities and facilities—such as business centres, Wi-Fi and reading materials—helps dealerships improve satisfaction. Among customers who were offered six or more amenities, overall satisfaction is 893 points, compared with 856 among those who were offered four or five amenities and 791 among those who were offered three or fewer amenities.
• Cost Estimates Improve Satisfaction: Providing customers with a cost estimate prior to servicing their vehicle can increase overall satisfaction by as much as 7 index points. In contrast, among customers who do not receive a cost estimate, satisfaction drops by as much as 29 index points. 

Australia Customer Service Index Rankings

Lexus ranks highest in satisfaction with after-sales service among owners of luxury brand vehicles, with a score of 852 points. Lexus performs particularly well in all five study factors. Mercedes-Benz (828) ranks second and Audi (826) third.

About the Study

Now in its seventh 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.

The 2016 Australia Customer Service Index (CSI) Study luxury segment is based on responses from 518 luxury-vehicle owners who purchased their new vehicle from August 2011 through September 2016 and took their vehicle for service to an authorized dealership service centre from August 2015 through September 2016. The study was fielded from August through September 2016.

Media Relations Contacts 

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

Geno Effler; JD Power; Troy, Michigan, USA; 001-714-621-6224; [email protected]

About JD Power in the Asia Pacific Region 

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

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

 

Appearance and Styling Drives Increase in New-Vehicle Appeal in Thailand, JD Power Finds

2016-12-13

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BANGKOK: 16 Dec. 2016 — The overall appeal of new vehicles in Thailand improves across all segments, according to the  JD Power 2016 Thailand Automotive Performance, Execution and Layout (APEAL) Study,^SM released today.

Overall APEAL averages 901 points (on a 1,000-point scale) in 2016, up from 883 in 2015, with scores in all vehicle segments improving year over year. The SUV segment improves the most from 2015 (+28 points, on average), followed by the pickup truck and passenger car segments (+20 and +10 points, respectively). 

“Manufacturers have successfully managed to improve vehicle attractiveness, especially with newer or redesigned SUV and pickup models,” said Siros Satrabhaya, manager at JD Power. “However, while satisfaction with newer models increases in most vehicle component categories, they post notably lower scores (more than 20 points) in fuel economy this year. This may indicate a lack of transparency and possibly overpromising fuel efficiency figures under normal usage condition.” 

The Thailand government in 2016 mandated that each new vehicle in the showroom have an “eco sticker,” which shows fuel efficiency information for the vehicle. 

“The information on the sticker may be misleading since it’s based on  lab testing conditions,” said Satrabhaya. “Consumers’ expectations are being set by the data on the sticker, and only after they own the vehicle do they realize the fuel efficiency may vary in everyday use.”

The study also finds that first-time new-vehicle owners, who represent 48% of buyers, are notably less satisfied with the overall appeal of their vehicle than repeat buyers (890 vs. 910, respectively). A test drive is an effective way to increase customer satisfaction, which is considerably higher among those who take a test drive than among those who do not (903 vs. 872, respectively). The impact of a test drive on satisfaction is significantly higher among first-time buyers than among repeat buyers (+35 vs. +24 points, respectively).

Following are additional key findings of the study: 

• Styling and Visibility Still Resonate with Vehicle Owners: The top five highest-rated vehicle attributes overall are side-profile appearance and styling; forward visibility from the driver’s seat; appearance of exterior paint; usefulness of steering wheel-mounted controls and ease of seeing/ reading controls/ displays while driving. Attributes receiving the lowest ratings are seat features—specifically, the ability of seat surfaces to resist soil/ lint; ease of operating/ adjusting rear seats; and flexibility of seating configurations—and storage and audio issues, including usefulness of rear cup holders and quality of bass. 
• Automated Assistance Features Desired: Automated features are the most sought after by new-vehicle buyers. Central locking is the feature most desired by owners, as 90% say they “definitely would” want it on their next vehicle, followed by power door mirrors (89%); power steering (88%); and electrically foldable outer rearview mirrors (87%). 
• Style Improves Loyalty: Among customers who are highly satisfied (providing a satisfaction rating of 10 on a 10-point scale) with overall vehicle attractiveness, 84% say they “definitely would” recommend their vehicle model to others and 71% say they “definitely would” repurchase a vehicle from the same make. Among customers who are disappointed or indifferent (ratings of 1 to 7 points), only 33% say they “definitely would” recommend their vehicle and only 22% “definitely would” repurchase the same make.

Study Rankings

Honda receives three APEAL awards: the Jazz (898) in the entry midsize car segment; the Civic (908) in the midsize car segment; and the HR-V (913) in the compact SUV segment.

Suzuki receives the award in the compact car segment Ciaz (894). Toyota receives the award in the new large SUV segment for the Fortuner (908). Mitsubishi receives the award for the Triton Plus X-Cab (922) in the extended cab pickup segment. Ford receives the double cab pickup segment award for the Ranger D-Cab (923).

About the Study

Now in its 14th year, the Thailand APEAL Study is an owner-reported measure of what satisfies owners in Thailand about their new vehicle’s performance and design during the first two to six months of ownership. The study examines nearly 100 attributes in 10 vehicle categories: exterior; interior; storage and space; audio/ entertainment/ navigation; seats; HVAC; driving dynamics; engine/ transmission; visibility and driving safety; and fuel economy. Performance in the APEAL Study is reported as an index score based on a 1,000-point scale, with a higher score indicating higher satisfaction.

The 2016 Thailand APEAL Study is based on responses from 4,813 new-vehicle owners who purchased their vehicle from November 2015 through July 2016. The study covers 13 different brands that include 82 different passenger car, pickup truck and utility vehicle models. The study was fielded from May through September 2016.

 Media Relations Contacts

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

About JD Power in the Asia Pacific Region 

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

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

 

Vehicle Quality in Indonesia Improves Again from Five Years Ago, JD Power Finds

2016-12-19

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SINGAPORE: 21 Dec. 2016 — New-vehicle quality in Indonesia continues to improve from five years ago, specifically in areas pertaining to noise and function-related problems, according to the JD Power 2016 Indonesia Initial Quality Study^SM (IQS), released today.

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

The industry averages 70 PP100 in 2016, compared with 82 PP100 in 2012. The numbers of reported problems related to vehicle noise and function have dropped by 6 PP100 and 3 PP100, respectively. However, design-related problems do not show an improvement in the same time period, increasing to 19 PP100 in 2016 from 18 PP100 in 2012.

“Strong focus over the years on manufacturing execution is yielding results,” said Kaustav Roy, director at JD Power in Singapore. “Customers are clearly appreciating the same by reporting fewer problems during their initial vehicle ownership.”

Roy added, however, that the challenge lies in aligning vehicle design with a set of optimized requirements for customers in Indonesia. “Given the nature of driving conditions in Indonesia, customer sensitivity toward comfort and ease of driving is likely to increase,” he said. “Manufacturers that are able to address these areas in overall vehicle design will likely be in a better position to differentiate their products and build better advocacy for their brands.”

Key Findings

• Owners of compact cars report the fewest number of problems (39 PP100), while entry compact owners report the highest number of problems (91 PP100).
• The two most frequently reported problems are in the vehicle interior and HVAC categories: mats won’t stay in place (2.7 PP100) and windows fog up a lot/ don’t clear as wanted (2.5 PP100).
• Vehicle usage has a bearing on initial quality issues. Initial quality among customers who drive more than 1,000 kilometers per month is 85 PP100, compared with 54 PP100 among those who drive fewer than 1,000 kilometers per month.
• Repeat buyers tend to report more initial quality issues than first-time buyers (100 PP100 vs. 61 PP100, respectively). The biggest difference is observed in design-related issues, which is 15 PP100 more among repeat buyers than among first-time buyers.
• More than half (51%) of owners who are pleased/delighted with the quality of their vehicle (providing ratings of 8 to 10 on a 10-point scale) say they “definitely would” recommend their vehicle to family and friends, while only 23% of those who are disappointed/indifferent (ratings of 1 to 7) say the same.

2016 Indonesia IQS Rankings

Honda receives two model-level awards: the Honda Brio Satya in the entry compact car segment (59 PP100) and the Honda BRV in the entry SUV segment (44 PP100).

The Toyota Fortuner (45 PP100) receives an award for ranking highest in the SUV segment and the Suzuki Ertiga (55 PP100) receives an award for ranking highest in the entry MPV segment.

The 2016 Indonesia Initial Quality Study (IQS) is based on evaluations from 3,490 owners who purchased their new vehicle between September 2015 and August 2016. The study includes nine brands and 38 passenger car and utility vehicle models. The study was fielded from March through October 2016.

Media Relations Contact

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

About JD Power in the Asia Pacific Region

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

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

 

National Automakers Closing Quality Gap with Non-National Brands, JD Power Study Finds

2016-11-09

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KUALA LUMPUR: 10 Nov. 2016 — New-vehicle quality in Malaysia improves by 18% from 2015, the largest improvement in the 14 year history of the study, with the gap between national and non-national brands the smallest it has ever been, according to, according to the JD Power 2016 Malaysia Initial Quality Study^SM (IQS), released today. 

Overall initial quality improves to 69 PP100 in 2016 from 259 PP100 in 2003. While the initial quality score for non-national brands is still better at 54 PP100, national brands, with a score of 83 PP100, are closing the gap. The year-over-year rate at which national makes are improving outpaces that of non-national makes, at 18% vs. 16%, respectively. National makes perform particularly well in the compact car segment, in which the top three compact car models are all locally manufactured.

“In a span of 14 years, the gap between national and non-national makes has shrunk to just 29 PP100 from 146 PP100, signifying local manufacturers’ commitment to producing high-quality products,” said Mohit Arora, regional vice president at JD Power. “To sustain this momentum, auto manufacturers should continually focus on the most frequently reported problems and identify groups of customers that are particularly sensitive to problems in their cars.”

Initial quality improves across all eight problem categories measured in the study, with engine/ transmission registering the greatest reduction in problems. Vehicle exterior continues to be the category with the most reported problems, a trend that has continued from the beginning of the study in 2003.

Some Owners More Sensitive to Problems with Their Cars

The study finds that there are particular groups of car owners that experience a higher incidence of problems with their vehicles. For example, men report more problems than women (79 PP100 vs. 56 PP100, respectively). Additionally, owners who usually have four passengers in their vehicle report an average of 73 PP100, compared with 54 PP100 for those who drive their car alone. Owners with more than 10 years of driving experience are also more prone to report problems, compared to those with no more than 10 years of driving experience (85 PP 100 vs. 55 PP100, respectively). 

“Clearly, usage patterns and driving savviness influence car owners’ perceived quality of their vehicles,” said Rajaswaran Tharmalingam, country head of Malaysia at JD Power. “Auto manufacturers that are able to identify these groups of customers, and communicate to them in advance what to expect from their cars, may help mitigate any dissatisfaction that can arise from unexpected problems.”

Following are additional findings of the 2016 study:

• Top Three Most Frequently Cited Problems: Consistent with the 2015 study, excessive wind noise remains the most frequently reported problem (4.6 PP100), followed by air conditioning doesn’t get cold enough and fast enough (2.7 PP100) and noisy brakes (2.5 PP100).
• MPV/ Vans Have the Most Problems: MPV/ Van owners report the most problems, at 79 PP100, although quality in this segment has improved from 90 PP100 in 2015.
• High Quality = High Loyalty: High initial quality is an important driver of brand loyalty, which can influence consideration and shopping for a brand. Among owners who do not experience any problems with their vehicle, 25% say they “definitely would” repurchase the make. The repurchase rate drops to 13% among owners who experience one or more problems.

Model Rankings

Among the 39 models examined in the study, two Toyota models, one Mazda and one Perodua model rank highest in their respective segments.

The Toyota Vios ranks highest in the entry midsize segment (48 PP100), and Toyota Avanza ranks highest in the MPV/ Van segment (52 PP100) for the eighth consecutive year. The Perodua Myvi ranks highest in the compact segment (73 PP100), and the Mazda CX-5 ranks highest in the SUV segment (41 PP100).

About the Study

The study, now in its 14th year, measures problems experienced by vehicle owners during the first two to six months of ownership. Initial quality is determined by the number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality.

The 2016 Malaysia Initial Quality Study (IQS) is based on responses from 2,436 new-vehicle owners who purchased their vehicle between August 2015 and June 2016. The study includes 39 passenger car, pickup and utility vehicle models of 12 brands. The study was fielded between February and August 2016.

Media Relations Contacts 

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

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

About JD Power in the Asia Pacific Region 

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

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

 

Overall New-Vehicle Quality in Thailand Improves but Pickup Owners Report Noticeably More Problems, JD Power Finds

2016-11-28

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BANGKOK: 30 Nov.  2016 — The initial quality of new vehicles in Thailand is improving overall, yet owners of pickup trucks and premium midsize cars are reporting more problems, according to the JD Power 2016 Thailand Initial Quality Study^SM (IQS), released today.

Overall initial quality averages 87 PP100 in 2016, down four points from 91 PP100 2015. Quality improves in all vehicle segments except for the pickup segments, which combined average 100 PP100 in 2016, a 10 PP100 increase compared with 2015, and the premium midsize car segment, which increases to 66 PP100 in from 59 in 2015.

The study also finds that owners of “new” models—those which are new to the market or have undergone a major change for the model year—report 81 PP100, fewer than the 88 PP100 for existing models which had no changes or only minor refreshes for the model year.  

“Newer models recently launched in the market show better build quality than older ones and this has a positive impact on overall satisfaction with initial vehicle quality,” said Siros Satrabhaya, branch manager at JD Power. “However, users of pickup models report noticeably more problems, notably in the exterior and HVAC categories. Pickup manufacturers are therefore advised to listen to the voice of their customers and work at reducing the occurrence of these issues in future upgrades.” 

The study finds that exterior problems account for 30% of total problems in 2016, up from 25% in 2015. In addition, HVAC problems increased to 8% from 7%. The most frequently cited problems in the vehicle exterior category relate to excessive wind noise and doors hard to open or close. Key problems in the HVAC category are with windows fogging up excessively and air-conditioning not getting cold enough.

Half of the 20 most frequently reported problems are design related. In addition, owners are reporting an increased number of problems related to the interior, driving experience and engine/ transmission, such as materials scuffing/ soiling too easily, poor suspension system or lack of engine power during the first start of the day.  

“Manufacturers should be mindful of the increase in design-related issues across all vehicle segments, which cause discomfort or annoyance to drivers or passengers while using certain features,” said Satrabhaya. 

Following are additional key findings of the study: 

• Luxury Leads the Way: Luxury car owners report the fewest number of problems with their vehicle (50 PP100), and pickup double cab and extended cab owners report the highest number of problems (103 and 104 PP100, respectively). 
• Wind Noise Continues: Excessive wind noise (13.1 PP100) remains the most frequently reported problem symptom, as it has since 2008. Two new problems join the top 5 most cited problems:  windows fog up a lot/ don’t clear as wanted (2.6 PP100) and excessive fuel consumption (2.4 PP100).
• Quality Affects Loyalty: Loyalty and repurchase intentions are proportional to customer satisfaction with overall vehicle quality. Among delighted customers, 86% say they “definitely would” recommend their vehicle model and 73% say they “definitely would” repurchase their vehicle make; among disappointed or indifferent customers, only 44% intend to recommend their vehicle model to others and 30%, intend to repurchase the same make of vehicle.

About the Study

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; HVAC; audio, entertainment and navigation (ACEN); features, controls and displays; and seats. All problems are summarized as the number of problems per 100 vehicles (PP100), with lower PP100 scores indicating a lower incidence of problems and, therefore, higher initial quality.

Study Rankings

Toyota receives four model-level awards: the Yaris (70 PP100) in the compact car segment; the Vios in the entry midsize car segment (62 PP100); the Corolla Altis (67 PP100) in the midsize car segment; and the Hilux Revo Prerunner Smart Cab (83 PP100) in the pickup extended cab segment. 

The study now includes three SUV segments: compact, midsize and large SUV. The Honda HR-V receives the award in the compact SUV segment (84 PP100) while the Isuzu MU-X (67 PP100) ranks highest in the large SUV segment. No award is given this year in the midsize SUV segment due to insufficient number of rankable models.

The Ford Ranger D-Cab (81 PP100) ranks highest in the pickup double cab segment.

The 2016 Thailand Initial Quality Study (IQS) is based on responses from 4,813 new-vehicle owners who purchased their vehicle from November 2015 through July 2016. The study covers 13 different brands that include 82 different passenger car, pickup truck and utility vehicle models. The study was fielded from May through September 2016. 

Media Relations Contacts

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

About JD Power in the Asia Pacific Region 

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

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