Category: Brasil

Audi, Toyota Achieve Highest Levels of Service Satisfaction in Respective Segments, JD Power Finds

2019-06-06

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SÃO PAULO: 11 June 2019 — Dealer service that offers fast and efficient problem resolution is the key to customer satisfaction. The JD Power 2019 Brazil Customer Service Index (CSI) Study,^SM reveals that, when service customers are contacted after their service is completed, 44% indicate they had a problem with the vehicle service, and 92% of those had the issue resolved by the dealer. For those customers, overall satisfaction is 846 (on a 1,000-point scale). When the problem was not resolved—which happened with 8% of customers—satisfaction drops precipitously to 622.

“If the service problem is not resolved, there is a steep drop in satisfaction rates. This fact proves the need to establish contact with clients to resolve problems. And that has happened in 72% of the cases,” said Fabio Braga, Director of Operations for JD Power Brazil. “It is important to emphasize that dealerships that are not aware of this process are missing out on the opportunity to resolve the situation and improve customer experience.

The study covers post-sales experiences among customers of luxury and volume brands. Overall satisfaction was higher among luxury brands (844) than volume brands (817).

Following are key findings from the 2019 study:

• The main indicators of vehicle service satisfaction: Delivering the vehicle on the promised date has the greatest effect on satisfaction. Another significant influencer of satisfaction is when the service visit is covered under warranty, maintenance package, or no charges—a process that occurs only in 37% of the cases. Service advisor performance also is influential when it is completely focused on customer needs, which happens in 86% of the cases. 
   
• When costs are higher, processes lead to higher satisfaction: More than half (52%) of customers who spend more than BRL 500 and receive an explanation of the work done on their vehicle, rate their dealership service experience as 9 or 10 (on a 10-point scale). When they do not receive an explanation of work, only 20% rate the dealership service experience as a 9 or 10.
   
• Customers prefer contact through messaging apps: More than one-third (34%) of customers were contacted by the dealer by phone call, and 36% said they would prefer to be updated with information about the service using this method. More than half (54%) said they would prefer contact via text messaging or a messaging app like WhatsApp. One of the points worth highlighting is that only 17% were contacted via these devices. CSI Brazil compares the last five years and shows that, while preference for telephone contact has dropped to 36% in 2019 from 46% in 2015, the preference for text messaging/messaging app communication has jumped to 54% in 2019 from 26% in 2015.

Study Rankings

Toyota ranks highest in satisfaction among volume brands with a score of 845. Honda (835) ranks second, followed by Hyundai-HMB (833).

Among luxury brands, Audi ranks highest with 864 points. BMW (843) ranks second and Mercedes-Benz (840) ranks third.   

The JD Power 2019 Brazil CSI Study, now in its fifth year, promotes an analysis of customer satisfaction with their vehicle service experience at dealerships through examining five measures (listed in order of importance): service initiation (25%); service quality (23%); service advisor (19%); service facility (18%), and vehicle pick-up (15%).

The study is based on evaluations of 4,920 new vehicle owners in Brazil who purchased a new vehicle between November 2015 and November 2017, and who have performed some service at an authorized dealership within the last 12 months. The study was fielded from November 2018 through April 2019.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power has offices serving North America, South America, Asia Pacific and Europe.

Media Relations Contacts
Stephanie Celentano; São Paulo; (11) 3037-3231; [email protected]
Mônica Pontes; São Paulo; (11) 3037-3206; [email protected]
Geno Effler; USA; 714-621-6224; [email protected]

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

 

 

Luxury Vehicle Buyers in Brazil Have Higher Satisfaction Than Volume Vehicle Buyers, JD Power Finds

2019-04-03

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SÃO PAULO: 4 April 2019 — Buyers of luxury vehicles have higher satisfaction than buyers of volume vehicles in all five measures, according to the JD Power 2019 Brazil Sales Satisfaction Index (SSI) Study^SM, published today. The greatest difference is seen in the areas of vehicle delivery process and interaction with the salesperson.

“We have noted changes in the importance of the five measures that contribute to the satisfaction index,” said Fabio Braga, Director of Brazil Operations at JD Power Brazil. “When this kind of shift occurs, one can be sure we’re on the verge of a change in the customer profile. In the 2019 study, aspects linked to working out the deal and the salesperson increased in relevance among customers.”

Following are some key findings of the 2019 study:

• Customers not willing to wait more than a week: Satisfaction among buyers who received their vehicle between seven and eight days is 860 (on a 1,000-point scale). Following this period, satisfaction levels fall significantly, reaching 801 when exceeding 15 days. The study also shows that, on average, luxury vehicle buyers receive their vehicles nine days after the purchase. For volume brand buyers, delivery happens typically in 11 days.
• Promises must be kept: Meeting car delivery deadlines is a primary factor has a strong effect on satisfaction, directly influencing customer loyalty to the brand. The study reveals that 91% of buyers received their cars on the agreed date. Among them, satisfaction was 864. However, 9% of buyers said the delivery was not on the promised date, resulting in a steep decline in satisfaction (682).
• Implementing the process may guarantee the sale: The salesperson that follows every step of sales process has a better chance of securing a deal. For example, among the dealerships that closed the deal, 85% asked questions to learn exactly what the customer needed. Among shoppers that did not purchase, only 72% were asked the question. Another important measure is the test drive. In the selling dealership, 85% offered customers the chance to take a test drive, while only 63% of the rejected dealerships followed this procedure. Finally, 47% of the rejected dealerships tried to sell a vehicle the customer didn’t want. Among the selling dealerships, only 29% adopted this process.
• Customers have sought third-parties sources to determine trade-in value: More than two-thirds (68%) of buyers purchased a vehicle that replaced another vehicle; 21% purchased an additional car; and 11% made their first-ever new-vehicle purchase. The study shows that 68% of buyers traded in their replaced vehicle in purchase process, while 53% used a third-party resource to determine how much trade-in value was worth.

Study Rankings

Hyundai-Caoa ranks highest among volume brands with a score of 871. Honda and Peugeot rank second in a tie with 859. Chevrolet ranks fourth with 858.

BMW ranks highest among luxury brands with a record score of 883. Mercedes-Benz (879) ranks second.

The Brazil Sales Satisfaction Index Study, now in its seventh year, promotes an encompassing analysis of the new car sales experience and looks at customer satisfaction based on five measures (listed in order of importance): working out the deal (24%); delivery process (22%); salesperson (20%); dealership facilities (18%) and test drive (16%).

The study is based on the survey responses of 4,630 new-vehicle owners in Brazil within 1-12 months of the purchase. The study was fielded from November 2018 through February 2019.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power has offices serving North America, South America, Asia Pacific and Europe.

Media Relations Contacts
Stephanie Celentano; São Paulo; (11) 3037-3231; [email protected]
Mônica Pontes; São Paulo; (11) 3037-3206; [email protected]
Geno Effler; USA; 714-621-6224; [email protected]

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

 

New JD Power Brazil Study Examines Digital Auto Shopping Experience

2018-11-27

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SÃO PAULO: 22 Nov. 2018 – In its first-ever Digital Shopper Experience Study (DSE), JD Power Brasil and the iCarros portal found social media has a direct impact on the process for digital auto shoppers when selecting a vehicle brand. The study shows that 53% of potential buyers used Facebook to search for a car, as well as YouTube (49%) and WhatsApp (31%). Although Instagram was only indicated by 17% of the interviewees as the channel used during their purchasing research, it was the social media channel with the highest influence among potential buyers, with 793 points (on a 1,000-point scale), 19 points ahead of Facebook.

The study interviewed 1,489 customers from the iCarros portal to assess the digital experience of the shopping process which precedes the purchase of new vehicles, such as browsing the websites and social networking websites of the automakers with the highest volume of sales in the Brazilian market.

“The study confirms the trend that potential buyers are increasingly connected to social media, which now exerts an important influence on the car purchasing process,” says Fabio Braga, Director of Brazil Operations at JDPower Brasil. “The study also showed that automakers need to be more aware of possibilities and building relationships with potential customers through the digital field since, according to the study, only 33% of users were contacted by the company after browsing their website or social media. Of these, only 23% who intended to purchase a brand-new vehicle interacted online with a salesperson.”

This study helps us to understand even more this digitization movement in the automotive market – which is critical to provide the consumer with a complete experience, increasing greatly the chances of closing the deal,” says Ricardo Bonzo Filho, CEO of iCarros. “We have invested in technology to develop innovative solutions that contribute to the greater efficiency of the dealer’s business, aiming to reduce bureaucracy regarding the journey of buying and selling vehicles, improving the consumer experience and, consequently, the efficiency of the entire automotive chain.” adds Bonzo.

Following are additional findings of the 2018 study:

• People prefer searching for vehicles online on weekday evenings at home: The study showed that 48% of the interviewees searched for a vehicle at night, between 6 pm and 9 pm and 91% reported doing so at home. Additionally, 88% searched on weekdays (Monday to Friday). During the search for the car, the five main types of information sought were: information about the model (35%), ratings and comments (32%), comparisons between vehicles (30%), photo gallery (25%) and data about after-sale service prices (20%).

• The younger the shopper, the more smartphones are used in vehicle searches: The study found 88% of the interviewees said they used a mobile phone for searching on the Internet. However, in the comparison between generations, the younger the potential buyer, the higher the percentage of smartphone use. For example, among baby boomers (born between 1946 and 1964), the device most used for searches were desktops (76%), followed by mobile phones (68%).  Generations X (1965 to 1976), Y (1977 to 1994) and Z (1995 to 2004), smartphone use was 83%, 93% and 99%, respectively.

• Interaction with a salesperson on the Internet can ensure the deal: Of potential buyers who established contact with a salesperson through a digital environment, 46% said they did a financing/installment payment simulation for the vehicle, 45% requested price information and 23% asked for additional information about the car. Among those who made contact, 43% personally visited the dealership.

Study Rankings

Hyundai-HMB had the highest overall satisfaction level in the study with 724 points, followed by Volkswagen, with 720 points. The industry satisfaction average was 710 points.

The DSE study examines the satisfaction of potential buyers during the car search experience and examined six factors (listed in order of importance): OEM Site Content (30%); OEM Site Navigation (20%); OEM Site Speed (15%); OEM Site Appearance (12%); Dealer Contact Responsiveness (12%); and Information Provided by Dealer (12%). Satisfaction is calculated on a scale of 1,000 points.

The Digital Shopper Experience Study is based on the evaluations of 1,489 iCarros portal customers, who had already started the search process for buying a new car. The study was conducted between July and October 2018.

JD Power is a global leader in consumer insights, consulting services, data and analyses. This expertise enables JD Power to help its clients boost customer satisfaction, grow and become more profitable. Founded in 1968, JD Power is headquartered in Costa Mesa, California, and has offices serving North/South America, Asia-Pacific and Europe. JD Power is a company from the XIO Group portfolio, a global alternative investments and private equity firm, headquartered in London, and led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts | G&A Comunicação Corporativa
Stephanie Celentano; São Paulo; (11) 3037-3231; [email protected]
Mônica Pontes; São Paulo; (11) 3037-3206; [email protected]
Geno Effler; USA; 714-621-6224; [email protected]

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

 

Customer Age Greatly Impacts Service Dealer Selection; Customer Satisfaction Hits Record High, JD Power Finds

2018-07-25

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SÃO PAULO: 26 July 2018 — The age of customers has a direct impact on service dealer selection, according to the JD Power 2018 Brazil Customer Service Index (CSI) Study.^SM The study shows that 51% of customers from Gen Z (born 1995-2004) select a dealership based on recommendations from a friend or relative, compared with 10% of Boomer customers (born 1946-1964). Additionally, overall satisfaction (810 on a 1,000-point scale) is higher than it has been in four years (2015-2018) and is 19 points higher than 2017.

“This year’s study presents interesting aspects about how the industry will need to adapt to the expectations and preferences of new generations. Older generations put more weight on prior customer service experience in regard to their overall satisfaction, as compared to younger generations,” said Fabio Braga, Director of Operations at JD Power do Brasil. “We also found that service advisors are a key component of customer satisfaction. The presence of these professionals during the payment stage can make a major difference, since they make the process more agile and dynamic, resulting in increased satisfaction.”

The 2018 CSI Study now includes mass market and luxury segments. Overall satisfaction with vehicle service is higher for luxury brands (834 on a 1,000-point scale) than for mass market brands (810).

Following are key finding of the 2018 study:

• Direct payment to the service advisor has benefits: During the vehicle pick-up process, satisfaction is higher among customers whose payment was handled directly by the service advisor (792) than by a cashier (785). Further, 35% of customers prefer their service advisor to handle payment.

• Take the time to give customers an explanation of services and charges: Customers appreciate being informed of work done and charges, this increasing overall satisfaction. For customers who remained at the service center for 11-15 minutes to pick up their cars and did not get an explanation of services or charges, however, overall satisfaction decreased by 143 points as compared to those who stayed the same amount of time but received explanations.

• Luxury brands service facilities give more attention during vehicle pick-up process: Nearly three-fourths (73%) of luxury brand customers received their car cleaner on delivery than it was when it was brought in, compared with 55% of mass market brand customers, thus receiving satisfaction scores of 862 and 842 respectively. The study also shows that the vehicle settings of 82% of luxury brand customers were the same on delivery as they were when the car was brought in—such as configuration of the audio system, position of the steering wheel and mirrors, and seat height—compared with 74% of mass market brand vehicles.    

Study Rankings

Toyota ranks highest in overall customer service satisfaction in the mass market segment, with a score of 841 points. Honda ranks second (836), followed by Hyundai-CAOA (829).

In the luxury segment, Mercedes-Benz ranks highest (849), followed by Audi (844) and BMW (828).

The Brazil Customer Service Index (CSI) Study, now in its fourth year, performs an analysis of customer satisfaction with their vehicle service experience at dealerships through examining five measures (listed in order of importance): service initiation (25%); service quality (23%); service advisor (19%); service facility (18%) and vehicle pick-up (15%). Satisfaction is calculated on a 1,000-point scale.

The 2018 Brazil Customer Service Index (CSI) Study is based on the evaluations of 4,887 new-vehicle owners whose vehicles were originally registered new between between February 2015 and February 2017. The study was fielded from February through May 2018.

JD Power is a global leader in consumer insights, consulting services, data and analyses. This expertise enables JD Power to help its clients boost customer satisfaction, grow and become more profitable. Founded in 1968, JD Power is headquartered in Costa Mesa, California, and has offices serving North/South America, Asia-Pacific and Europe. JD Power is a company from the XIO Group portfolio, a global alternative investments and private equity firm, headquartered in London, and led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts | G&A Comunicação Corporativa
Stephanie Celentano; São Paulo; (11) 3037-3231; [email protected]
Mônica Pontes; São Paulo; (11) 3037-3206; [email protected]
Geno Effler; USA; 714-621-6224; [email protected]

About JD Power and its advertising/promotional ruleswww.jdpower.com/business/about-us/press-release-info

 

Toyota Takes Back Leadership in Brazil with Highest Satisfaction Level in Past Four Years, JD Power Finds

2018-05-25

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SÃO PAULO: 29 May 2018 — After a period of turbulence in the automotive market, the industry is recovering in 2018. The 15% sales growth projection for this year, according to Fenabrave, has made automakers more optimistic. However, the difficulties faced during this time provides numerous opportunities for companies to start looking more closely at the vehicle sales process in order to improve the customer experience. The results of this strategy are reflected in the JD Power 2018 Brazil Sales Satisfaction Index (SSI) Study.^SM The study finds record satisfaction, compared with previous years, with Toyota resuming its position as the market leader in customer satisfaction.

The 2018 study includes a new segment this year: the inclusion of luxury brands with a specific ranking. JD Power do Brasil interviewed purchasers of the highest-selling luxury vehicles in the country. In this first ranking, BMW achieves the highest satisfaction score, followed by Land Rover and Audi in second and third place, respectively.  

“This is an all-time record for industry satisfaction. To bypass the drop in sales, the automakers did their homework, as demonstrated by the results of this study. The increase in the industry´s average satisfaction score as well as the record score of the highest-ranked company means customers are more satisfied with services,” said Fabio Braga, Director of Brazil Operations at JD Power do Brazil. “There is concern among automakers to improve the customer experience in the automobile purchase process from year to year. We think the inclusion of luxury brands in the study provides a more complete view of the industry in Brazil.”

Following are key findings of the 2018 study: 

• Better trade-in value is essential: Trading in used vehicles as part of the payment of a new car is a well-known approach in the market. While 87% of buyers in 2018 say they felt the trade-in value was fair, only 13% indicate it was not. Satisfaction among customers who felt they had obtained a fair trade-in value is 818 vs. 691 among those who felt it was not fair. 

• Luxury brands excel at the time of vehicle delivery: A majority (87%) of luxury vehicle salespeople helped configure the Bluetooth system in customers’ mobile phones, compared with 68% of salespeople of mass market brands. Regarding dealerships that offered to schedule the customer’s first service department visit, 83% of luxury brand salespeople performed this best practice. Furthermore, nearly all (96%) salespeople in this segment reviewed vehicle safety accessories at the time of delivery.

• Test Drive helps maximize satisfaction: Study findings show that the longer the Test Drive, the higher the satisfaction. For example, Test Drive satisfaction among customers who test drove a vehicle for up to 10 minutes is 743. Among those who drove longer than 30 minutes, satisfaction jumps to 871. The type of dealer staff accompanying customers on the test drive is also a noteworthy factor in predicting satisfaction. Although 71% of customers indicate having taken a test drive with a salesperson and only 27% with a Test Drive specialist, the highest satisfaction score is when a specialist accompanies a customer (868), compared to when a salesperson accompanies a customer (810).

• Customers can become real brand promoters: The Net Promoter Score^® (NPS)^[1]  metric, which analyzes loyalty and the likelihood of a customer recommending a specific brand or model, shows that 73% of customers in Brazil are classified as brand promoters. Of these, most are women. Customer satisfaction among promoters is 274 points higher than among detractors.

“The study shows that customers are increasingly connected. For this reason, automakers need to be mindful of the content available on their websites, as well as what’s posted on social networks, in the press, in blogs and on forums,” said Sergio Sanchez, Senior Manager of Automotive Practices at JD Power do Brasil. “To make people loyal to the brand, it is also necessary to pursue excellence in customer service. According to this year’s SSI Study, satisfaction among brand promoters is 848, whereas the average score of the industry is 805.”

Study Rankings

The major news this year is Toyota taking back its leadership position in the satisfaction ranking, with a record score of (845). Hyundai-CAOA is in second place (833), followed by Hyundai-HMB (830).

In the new luxury ranking segment, BMW scored the highest (818). Land Rover is in second place (808), followed by Audi (805).

The Brazil Sales Satisfaction Index Study, now in its sixth year, is a comprehensive analysis of the new-vehicle purchase and delivery experience and examines satisfaction in five measures (listed in order of importance): delivery process (24%); working out the deal (21%); test drive (21%); dealership facilities (18%); and salesperson (17%).

The study is based on the survey responses of 4,387 new-vehicle owners in Brazil within 1 to 12 months of the purchase. The study was conducted from February through May 2018.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. 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.

Media Relations Contacts
Renata Cerolini; G&A Comunicação Corporativa; São Paulo; (11) 3037-3231; [email protected]
Mônica Pontes; G&A Comunicação Corporativa; São Paulo; (11) 3037-3206; [email protected]
Geno Effler; USA; 714-621-6224; [email protected]

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

 

Technology Is Key Element to Customers’ Satisfaction with Dealer Service Experience, JD Power Reports

2017-07-25

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SÃO PAULO: 26 July 2017 — Satisfaction among customers is acutely better when they schedule their automotive service using preferred digital channels rather than using a telephone, according to the JD Power 2017 Brazil Customer Service Index (CSI) Study,^SM released today.

Even though 79% of service customers call for an appointment and only 10% schedule an appointment on the internet, satisfaction is highest among those who use the internet (829 on a 1,000-point scale) vs. those who call to schedule service (790).

“Clearly, dealers need to realize that today’s car owners are tech-savvy, and WhatsApp, Facebook Messenger, text messaging or email may be preferable for the people coming in for service,” said Fabio Braga, director of operations, JD Power do Brasil. “Providing a communication channel through the internet is definitely something dealers and service advisors should consider to maintain brand loyalists.”

Following are key findings of the 2017 study:

• Customers want changes in service initiation. A greater number of customers across all age groups want to schedule their next appointment over the internet or via an app. Among customers 53-71 years old, 5% currently schedule an appointment digitally and 23% want to do so in the future. Among customers 41-52 years old, it’s 8% and 37%, respectively, and among those 23-40 years old, it’s 12% and 40%, respectively.
• Phone calls are nice, but digital communication is nicer. While telephone calls are the most frequent method of keeping vehicle owners informed about service work, digital technologies—like messaging apps, email and text messages—deliver the highest levels of satisfaction.
• Keeping up with the progress of service work. Overall satisfaction is highest (856) among service customers who indicate they want email updates about their service progress. Satisfaction dips to 813 among those who say they received a call, and 747 among those who had to call the service facility for an update.
• Recommended work scores big. When service advisors recommend services in addition to the original work requested—and the customer accepts that work—CSI scores and total service spend tend to increase substantially. In fact, when vehicle owners accept the recommended work, the average service spend by the customer increases to a total of R$852, which is R$247 more than customers who are not offered any additional work.

Brand Rankings

Hyundai-CAOA ranks highest in overall service satisfaction, with a score of 830, a 27-point increase from 2016. Mitsubishi ties with Toyota at second (817), followed by Honda (812) and Hyundai-HMB (806).

The 2017 Brazil Customer Service Index (CSI) Study is a comprehensive analysis of the vehicle service experience, which is now in its third year in Brazil. The study explores customer satisfaction with their service dealer by examining five measures (listed in order of importance): service initiation (25%); service quality (23%); service advisor (19%); service facility (18%); and vehicle pick-up (15%). Satisfaction is calculated on a 1,000-point scale.

The study is based on the evaluations of 4,585 new-vehicle owner whose vehicles were originally registered new between February 2014 and February 2016. The study was fielded from February through May 2017.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. 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.

Media Relations Contacts

Renata Cerolini; G&A Comunicação Corporativa; São Paulo; (11) 3037-3231; [email protected]

Mônica Pontes; G&A Comunicação Corporativa; São Paulo; (11) 3037-3206; [email protected]

Geno Effler; USA; 714-621-6224; [email protected]

 

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

 

Dealer Service Experience in Brazil is Improving, JD Power do Brasil Study Finds

2016-07-05

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SÃO PAULO: 7 July 2016 — Customer satisfaction with the dealer service experience in Brazil is improving, according to the JD Power 2016 Brazil Customer Service Index (CSI) Study,^SM released today. 

The vehicle pick-up process—the final step in the service experience at a dealership—is critical to customer satisfaction, which in turn has a profound effect on intended loyalty.  The pick-up process, which includes completing any necessary paperwork, paying for any charges and receiving the vehicle, is a delicate balance between speed and thoroughness.

Service customers in Brazil spend an average of 16 minutes to finish the paperwork and pick up their vehicle after maintenance or repairs. Overall satisfaction is highest (816 on a 1,000-point scale) among the 22% of service customers who indicate the pick-up process took 5 or fewer minutes. Satisfaction drops to 799 among the 27% of customers who say the process took 6 to 10 minutes and dips to 717 among the 20% who say it took 21 minutes or longer. 

“There is a delicate balance between expediting the pick-up process and also delivering value to customers by explaining the work completed and any charges incurred, answering their questions, completing the paperwork and getting them back in their vehicle and on their way,” said Fabio Braga, director of operations, JD Power do Brasil. “Dealers have to give customers the level of detail they expect in an efficient manner. Customers want trustworthiness and transparency, and while that is established when the customer arrives at the dealership, it can be reinforced during the pick-up process.”

Overall satisfaction averages 761 among customers who receive an explanation of the work performed and 766 among those who receive an explanation of charges after service is completed. When a customer doesn’t receive an explanation of the work completed or an explanation of the charges, satisfaction drops to 583 and 625, respectively.

High Satisfaction Equals High Loyalty

Providing a satisfying vehicle service experience positively affects loyalty for dealerships. Since vehicle service is often the most recent experience a customer has had at a dealership, the service department can be instrumental in driving sales, according to study findings. Among customers who are highly satisfied with their dealer service experience (overall satisfaction scores of 900 or higher), 76% say they “definitely will” purchase or lease their next new vehicle from the servicing dealer. When satisfaction slips just slightly from delighted to satisfied (800-899), intended loyalty drops to 37% and plummets to 20% when satisfaction declines to between 600 and 799 points.

“The service experience is critical to customer satisfaction and loyalty and should be a high priority for dealerships,” said Braga. “The service experience not only impacts future service business, but can also have a tremendous effect on a dealer’s new- and used-vehicle sales.”

Sergio Sanchez, Brazil auto practice manager, noted that in Brazil, where annual new-vehicle sales have declined by more than 1.3 million units since 2014, the service and parts department can help dealerships sustain their business. “Many consumers are postponing their new-vehicle purchase, and holding on to their vehicle longer means it may require more maintenance and service. That additional service is critical to dealers during tough market conditions. But, as reflected in the increase in overall satisfaction, dealers are responding by focusing on their service customers.”

The CSI Study is a comprehensive analysis of the vehicle service experience, and is conducted by JD Power in 16 countries worldwide. Now in its second year in Brazil, the study explores customer satisfaction with their service dealer by examining five measures (listed in order of importance): service advisor (22%); service initiation (22%); service quality (22%); service facility (18%); and vehicle pick-up (17%). Satisfaction is calculated on a 1,000-point scale.

Following are additional key findings of the study:

• Service Advisor Can Make or Break Satisfaction: The service advisor has a tremendous effect on customer satisfaction with the service experience. When the service advisor greets customers in two minutes or less, it can improve service satisfaction by as much as 42 points; yet, 54% of customers indicate they had to wait for a greeting. Additionally, when customers say the service advisor is completely focused on their needs, it can improve service satisfaction by as much as 37 points.
• Amenities Satisfy Customers while They Wait: Nearly three in 10 (29%) service customers stay at the dealership while their vehicle is being serviced. Amenities offered by the dealership for waiting customers helps boost overall satisfaction. While television, newspapers/magazines and coffee are the most frequently offered amenities among the 10 measured in the study, the highest levels of service facility satisfaction are among customers who are provided computers with Internet access (844), tablet computers or video games (844) and workspaces to plug in their own computers (837). 

Brand Rankings

Toyota ranks highest in overall service satisfaction for a second consecutive year, with a score of 829, a 40-point increase from 2015. Hyundai-CAOA ranks second (803), followed by Hyundai-HMB (800), Chevrolet (798) and Honda (791).

The 2016 Brazil Customer Service Index (CSI) Study is based on the evaluations of more than 5,000 new-vehicle owners in Brazil 12 to 36 months after purchase. The study was fielded from March through May 2016.

Media Relations Contacts:

Renata Cerolini; Gaspar & Associados; São Paulo, Brazil; (11) 3037-3231; [email protected]

Mônica Pontes; Gaspar & Associados; São Paulo, Brazil; (11) 3037-3206; [email protected]

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

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

 

Economic Crisis in Brazil Necessitates Automotive Brands to Focus on Improving Their New-Vehicle Sales Process, According to JD Power do Brasil Study

2016-05-27

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SÃO PAULO: 31 May 2016 — Challenging market conditions in Brazil mean automotive dealers must work harder for the business of fewer buyers, and customers appreciate the additional attention they receive as an outcome, which is resulting in higher satisfaction with the new-vehicle sales process, according to the JD Power 2016 Brazil Sales Satisfaction Index (SSI) Study^SM released today. 

Annual new-vehicle sales in Brazil declined 31%[1] between 2013 and 2015 as the country struggled with severe economic challenges and political instability. In contrast to just a few years ago when new-vehicle sales were booming and dealerships were trying to keep up with the volume of customers in their showrooms, dealers now are focused on trying to turn every shopper into a buyer.

“The market continues to decline, but that creates new opportunities for dealers to intensify the focus on their sales process to please customers, and dealers who adopt more customer-friendly sales processes will likely enjoy market share gains when the market recovers,” said Fabio Braga, director of  operations, JD Power do Brasil. “With fewer shoppers, dealers have more time to attend to their customers, which ultimately pays off in referrals and a higher likelihood that customers will service their vehicle at the selling dealership.”

Overall customer satisfaction with the sales process improves to 793 (on a 1,000-point scale) in 2016 from 774 in 2015. Braga notes that the slow market also has changed customer expectations, resulting in greater emphasis on the vehicle test drive, negotiating the deal, and the delivery process.

Test Drive Critical in the Sales Process: Overall sales satisfaction is highest among the 68% of owners who took a test drive (813). Among those who took a test drive, overall sales satisfaction is highest among the 29% of owners who were accompanied by a test drive specialist (841), followed by 803 among the 69% who were accompanied by a salesperson. While only 2% of owners took a test drive unaccompanied, their satisfaction is lowest (776).

Satisfaction among owners who did not take a test drive is 752. Among them, 4% said they didn’t take a test drive because a vehicle was not available.  In addition, customers indicate that 28 minutes is the optimal amount of time for a test drive.

“Having test vehicles available is an investment for dealers,” said Braga. “Due to lower sales, dealers are cutting expenses, but having a good inventory of vehicles for customers to choose from and test drive is so critical that dealers cannot afford to scale back too far.”

Internet Usage on the Rise, Boosts Satisfaction:  Internet usage during the vehicle shopping process is increasing, as 60% of buyers in 2016 report using the Internet to help select a vehicle, up from 51% in 2015. Overall sales satisfaction is significantly higher among owners who used the Internet during the shopping process than among non-users (804 vs. 777, respectively).

Gen Y[2] and Gen Z customers have the highest propensity to use the Internet when vehicle shopping, 63% and 70%, respectively. Conversely, Boomers have the lowest Internet usage (38%). The most commonly performed actions by Internet shoppers include comparing vehicles (72%); getting model information (67%); and finding pricing information (66%).

Delivering on Satisfaction:  The vehicle delivery process has the greatest impact on overall satisfaction with the vehicle purchase experience. Consistent across age groups, 66% of owners say they prefer a detailed vehicle explanation during delivery (an average of 34 minutes). Overall sales satisfaction among the 84% of owners who say dealer spent “just the right amount of time” during vehicle delivery is 808. In contrast, satisfaction among the 12% of owners who say the dealer “did not spend enough time” declines by 96 points to 712.

The person who delivers the vehicle to customers is also important. Utilizing the sales manager or a delivery specialist in the vehicle delivery process impacts high satisfaction (scores of 826 and 805, respectively). However, when the salesperson delivers the vehicle, satisfaction dips to 796.

Vehicle Reliability and Technology More Important Than Price:  The top three main reasons owners say they selected the vehicle they purchased are reliability, previous experience with the brand, and technology in the vehicle, collectively cited by 25% of owners. Low price or payment/ability to finance and performance tie for the fourth-most-influential purchase reason, each selected by 7% of owners.  “It is clear that while consumers in Brazil want a fair price, they are ultimately most concerned with the vehicle itself—its quality, reliability, and technology,” said Sergio Sanchez, automotive practice manager for JD Power do Brasil.

The study, now in its fourth year, is a comprehensive analysis of the new-vehicle purchase experience and explores customer satisfaction with the selling dealer by examining five measures (listed in order of importance): vehicle delivery (24%); working out the deal (21%); test drive (21%); dealership facility (18%); and salesperson (17%).

Study Rankings: Toyota ranks highest in new-vehicle sales satisfaction for a fourth consecutive year, with a score of 839. Hyundai-CAOA ranks second (831), followed by Jeep (817), Chevrolet (811), and Nissan (809), which improves from 11^th place in 2015. Jeep is included in the study for the first time this year. The company’s domestic production at its Pernambuco, Brazil, plant has helped the brand’s sales in the country.

The 2016 Brazil Sales Satisfaction Index (SSI) Study^SM is based on the evaluations of 3,664 online interviews with new-vehicle owners in Brazil during the first 12 months after purchase. The study was fielded in March and April 2016.

Media Relations Contacts:

Renata Cerolini; Gaspar & Associados; São Paulo, Brazil; (11) 3037-3231; [email protected]

Mônica Pontes; Gaspar & Associados; São Paulo, Brazil; (11) 3037-3206; [email protected]

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

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

 

JD Power Names Fabio Braga Director of Brazilian Operations

2015-09-15

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SÃO PAULO: 15 September 2015 — JD Power announces the appointment of Fabio Braga as the director of its Brazilian Operations.

Braga is responsible for the company’s automotive practice in Brazil, including its syndicated research studies and consulting services. He reports to Darren Slind, senior director and regional practice leader for Canada and Latin America.

Braga replaces Jon Sederstrom, who previously served as the director of its Brazilian operations. Sederstrom has been appointed director, U.S. auto retail, and will be based in JD Power’s  Orange, Calif., USA, office.

Braga has more than 18 years of experience in the automotive industry in dealer-facing and corporate roles in sales, marketing, after-sales and business management. He joins JD Power from Volkswagen do Brasil Automóveis Ltda. where, as dealer network development manager, he led a national team responsible for dealer network strategy, growth and investment, as well as operational excellence in key areas, such as customer experience. Previously, he held managerial positions at Nissan do Brasil Automóveis Ltda. and General Motors do Brasil Ltda.

Braga holds a bachelor’s degree in business administration from Fundação Armando Álvares Penteado (FAAP) and a post-graduate certificate in communications from Escola Superior Propaganda e Marketing (ESPM).

Braga will be based in JD Power’s São Paulo office.

About JD Power do Brasil
Established in São Paulo in 2010, JD Power do Brasil conducts customer satisfaction and quality research and provides market intelligence and consulting services for the automotive industry—manufacturers and dealers. Information regarding JD Power do Brasil and its products can be accessed through the Internet at http://brasil.jdpower.com.

Media Relations Contacts
John Tews, JD Power, Troy, Michigan, 248-680-6218; [email protected]

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

 

Toyota Ranks Highest in Customer Satisfaction with Vehicle Service

2015-07-29

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View Portuguese Press Release

SÃO PAULO: 30 July 2015 — Toyota ranks highest among automotive manufacturers in customer satisfaction with vehicle service at a franchised dealer facility for maintenance and repair work, according to the JD Power 2015 Brazil Customer Service Index (CSI) Study^SM released today.  

The CSI Study is a comprehensive analysis of the vehicle service experience, and is conducted by JD Power in 16 countries worldwide. This is the inaugural edition in Brazil, which replaces the JD Power Brazil Vehicle Ownership Satisfaction Study^SM (VOSS), providing a deeper and more detailed after-sales solution for automakers and dealerships. 

The study explores customer satisfaction with their service dealer by examining five measures (listed in order of importance): service advisor (22%); service initiation (22%); service quality (22%); service facility (18%); and vehicle pick-up (17%). Satisfaction is calculated on a 1,000-point scale.

Toyota ranks highest in satisfaction with a score of 789. Toyota, which also ranked highest in the JD Power 2015 Brazil Sales Satisfaction Index (SSI) Study,^SM performs particularly well in all five measures in the CSI Study. Hyundai-HMB (740) ranks second, followed by Mitsubishi (739), Chevrolet (737) and Honda (732).

“Toyota’s performance in both the CSI and SSI studies demonstrates the brand’s commitment to its customers in Brazil,” said Jon Sederstrom, country manager, JD Power do Brasil. “Toyota, along with several other Asian brands, is focused on providing consistently positive customer experiences in order to chip away at the market share traditionally held in Brazil by Fiat, Volkswagen and Chevrolet.”

Importance of Service in Slow Market

New-vehicle sales in Brazil are down 20 percent through the first six months of 2015, compared with the same period a year ago, and, as a result, more than 200 dealerships have already closed their doors this year.[1]

“Selling new vehicles in these tough market conditions is a challenge, as dealers are fighting just to stay in business,” said Sergio Sanchez, research manager at JD Power do Brasil. “Automakers and dealers must focus on providing outstanding customer service. They should do this to increase revenue in the short term and build customer loyalty in the long term so they can be better positioned when the market turns around.”

The 2015 Brazil CSI Study finds that satisfaction with dealer service leads to customer loyalty and advocacy. Among the 17 percent of customers who are highly satisfied with their dealer service (overall satisfaction scores of 900 and above), 74 percent say they “definitely will” purchase their next vehicle from that dealer and 75 percent “definitely will” recommend the dealer to friends and family. In contrast, among customers less satisfied (score of 700-899), only 33 percent indicate an intention to purchase their next vehicle from that dealer, and only 31 percent say they “definitely will” recommend the dealer to others.

KEY FINDINGS

• ŸDuring the first 12 to 36 months after purchase, 70 percent of customers in Brazil have their service performed at the dealer from which they purchased their vehicle, slightly lower than in the United States (81%) and the United Kingdom (78%)[2], despite automaker requirements in Brazil that all maintenance take place at an authorized dealership to protect the warranty.
• ŸThe No. 1 reason for choosing a service facility is its location (44%), followed by the ability to get service right away (24%) and prior experience with the service department (24%). Less than 5 percent of customers indicate selecting their service facility due to advertising or promotions/coupons.
• ŸOnly 7 percent of customers in Brazil schedule their vehicle service appointment via the Internet; however, service initiation satisfaction is highest among these customers (768). The study finds that 42 percent of customers prefer to schedule their appointment over the Internet, but many dealerships do not have that option available.
• ŸDespite the importance of the customer-advisor relationship in Brazil, most key service advisor processes are completed far less often than in the United Kingdom or the United States. For example, only 68 percent of service advisors in Brazil offer their customers helpful advice, compared with 87 percent in the United Kingdom and 86 percent the United States. In addition, only 63 percent of service advisors in Brazil keep their customers informed of the vehicle status while the service is performed, compared with 76 percent in the United Kingdom and 73 percent in the United States.

The 2015 Brazil Customer Service Index (CSI) Study is based on the evaluations of more than 4,000 interviews with Brazilian new-vehicle owners 12 to 36 months after purchase. The study was fielded from March through May 2015.

About JD Power do Brasil

Established in São Paulo in 2010, JD Power do Brasil conducts customer satisfaction research and provides market intelligence and consulting services for the automotive industry—manufacturers and dealers. Information regarding JD Power do Brasil and its products can be accessed through the Internet at http://brasil.jdpower.com.

Media Relations Contacts

Renata Cerolini; Gaspar & Associados; São Paulo, Brazil; (11) 3037-3231; [email protected]

Marcela Villa; Gaspar & Associados; São Paulo, Brazil; (11) 3037-3214; [email protected]

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

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

About McGraw Hill Financial www.mhfi.com