Category: Canada

Declines in Satisfaction with Drivable Claims Drives Decrease in Overall Satisfaction among Claimants in Canada

2015-07-07

jdp-root

WESTLAKE VILLAGE, Calif.: 13 July 2015 — Satisfaction among Canadian auto claimants declines significantly due to dissatisfaction with the process for drivable claims—those which are submitted for vehicles that do not require a tow—according to the JD Power 2015 Canadian Auto Claims Satisfaction Study^SM released today.

Now in its third year, the study measures customer satisfaction with the claims process for auto physical damage loss. Depending on the complexity of the claim, claimants may experience some or all of the following factors that drive overall satisfaction: first notice of loss; service interaction; appraisal; repair process; rental experience; and settlement. Satisfaction is calculated on a 1,000 point scale.

Overall satisfaction has decreased to 782, a significant 16 point decline from 2014. The handling of drivable claims, which account for 62 percent of all claims, is the primary cause of overall claimant dissatisfaction.  The 19 point drop in satisfaction with the handling of drivable claims is the result of declines in two factors; claimants satisfaction with first notice of loss (FNOL) which has declined by 26 points and settlement which decreased by 17 points.

The study finds that repairs are less likely to be completed when promised in 2015 than in 2014 (80% vs. 83%, respectively), underscoring the need for insurers to better manage repair timing expectations. Additionally, the time it takes to receive the final settlement payment has increased by more than one day from 2014 (15.5 days vs. 14.2 days, respectively). Just one in five (18%) claimants with a drivable claim say the claim took a shorter amount of time than expected, compared with 21 percent in 2014. However, more claimants are negotiating their settlement this year, increasing to 17 percent from 13 percent in 2014.

“Whether it’s a drivable claim or something more complex, dealing with an auto claim is a major disruption in someone’s daily routine,” said Valerie Monet, director of the insurance practice at JD Power. “To help get customers through the stress of it all, it’s vital that insurers clearly explain the claims process so they know what to expect. One way this can be accomplished is by providing a reasonable and accurate time frame for when the repairs will be completed. Not only can this help put claimants at ease, but it can also educate them on the process. Providing an explanation of the process can improve satisfaction with the overall claims experience and also reduce the need for negotiations between the claimant and insurer later in the process.”

KEY FINDINGS

• Nearly half (48%) of claimants with drivable claims are first-time claimants, among whom overall satisfaction is lower than among repeat claimants (790 vs. 800, respectively).
• Overall satisfaction is down among claimants with drivable, repairable non-tow claims (-19 index points); repairable tow claims (-5 index points); and total loss claims (-12 index points).
• Ensuring a claimant’s actual settlement is aligned with their expectations is the most influential Key Performance Indicator (KPI) impacting the overall claimant experience. At the industry level, 10 percent of claimants receive a settlement that is not in line with their expectations, and there has been no annual improvement in this top KPI.
• One-half (50%) of claimants contact their local agent/broker during the FNOL process; however, approximately 20 percent of these claimants are redirected to their insurer by the local agent/broker, which negatively impacts satisfaction. Focused customer service and follow-up on the part of local agents/brokers can help improve FNOL satisfaction among redirected claimants.

• Providing an outstanding claims experience can generate high levels of advocacy and retention. The study finds that 80 percent of highly satisfied claimants (overall satisfaction scores of 900 or higher) say they “definitely will” renew their policy, and 78 percent say they “definitely will” recommend their current insurer, while only 13 percent of displeased claimants (scores of 549 or less) say they “definitely will” renew and only 4 percent say they “definitely will” recommend.

Insurance Company Results

Among the award-eligible insurance companies included in the study, Intact Insurance ranks highest in overall customer satisfaction with an index score of 812, performing particularly well in the first notice of loss, service interaction and settlement factors.

Following Intact Insurance in the rankings are The Co-operators (810); Belairdirect (789); and Desjardins General Insurance (787).

The 2015 Canadian Auto Claims Satisfaction Study is based on responses from more than 2,500 auto insurance customers in Canada who settled an auto insurance claim within the past 12 months. The study excludes claimants whose vehicle incurred only glass/windshield damage or was stolen, or who filed a roadside assistance claim only. The study was fielded between February and April 2015.

Media Relations Contacts

Gal Wilder; Cohn & Wolfe; Toronto, Canada; (647) 259-3261; [email protected]

Beth Daniher; Cohn & Wolfe; Toronto, Canada; (647) 259-3279; [email protected]

John Tews; JD Power; Troy, Mich.; 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 

 

2015 Canadian Television & Internet Service Provider Customer Satisfaction Studies

2015-06-22

jdp-root

TORONTO: 25 June 2015 — Internet performance and reliability are becoming more critical as consumers grow increasingly dependent on Wi-Fi for a variety of uses, according to the JD Power 2015 Canadian Television Provider Customer Satisfaction Study^SM and the JD Power 2015 Canadian Internet Service Provider Customer Satisfaction Study^SM both released today.

Consumers are using their Internet service to enable Wi-Fi networks in the home to connect PCs, tablets, smartphones and other household devices. The bandwidth required for all of these devices, particularly for activities such as streaming videos and on-demand TV programming put performance to the test and raises the expectations of providers.

“Today’s consumers require Internet connectivity as part of their lifestyle and we continue to see greater convergence of everything digital,” said Adrian Chung, account director at JD Power. “Behaviors have changed the demand for Internet service with the use of on-demand streaming services, controlling household devices such as thermostats remotely, or connecting smart appliances.”

With the emphasis on speed, more customers are switching to fiber optic-based connections; 18 percent of customers have fiber optic in 2015, up from 15 percent in 2014. Largely due to performance and reliability, overall satisfaction among customers with fiber optic connections (698 on a 1,000-point scale) exceeds that among cable modem customers (689) and DSL customers (670). Customers with fiber optic connections indicate experiencing fewer connection errors, slow connections and service outages than those with cable modem or DSL.

The Canadian Television Provider Customer Satisfaction Study measures overall satisfaction with television service providers based on six factors (in order of importance): performance and reliability; cost of service; programming; communication; billing; and customer service. The Canadian Internet Service Provider Customer Satisfaction Study is based on five factors (in order of importance): performance and reliability; cost of service; communication; billing; and customer service. 

KEY FINDINGS

• Satisfaction among television customers in Canada improves to 692 in 2015 from 685 in 2014, while satisfaction among Internet customers is 679, up from 672 in 2014.
• On average, the cost of television service is $73 per month and the cost of Internet service is $55 per month.
• Price is the leading reason customers switch cable or ISP providers. More than one-fourth (27 percent) of both cable and ISP customers indicate an intention to change providers in the next year, with “a better price” the primary reason for switching.
• Among fiber optic customers, 42 per cent indicate experiencing a connection error, compared with 46 per cent of cable modem customers and 49 per cent of DSL customers. Further, 49 percent of fiber optic customers have experienced a slow connection, compared with 52 percent of cable modem customers and 54 per cent of DSL customers. Among fiber optic customers, 32 percent have experienced a service outage, compared with 34 per cent of DSL customers and 36 percent of cable modem customers.
• Satisfaction among the 32 percent of customers who have experienced a service outage of their television signal is 672, compared with 783 among those who have not experienced a service outage. Satisfaction among the 34 per cent of customers who have experienced a service outage of Internet service is 617, compared with 753 among those who have not had a service outage.

Study Rankings

East Region

Videotron ranks highest in both television and Internet customer satisfaction in the East region for a third consecutive year. Videotron’s overall score for television service customer satisfaction is 772, followed by Shaw with a score of 725 and Cogeco with 711. Regarding Internet service customer satisfaction, Videotron ranks highest with a score of 770, followed by Cogeco with 715 and Eastlink with 690.

West Region

SaskTel ranks highest in both television and Internet service customer satisfaction in the West region for a third consecutive year. SaskTel’s overall score for television service customer satisfaction is 737, followed by TELUS with 711 and MTS with 697. In Internet service satisfaction, SaskTel ranks highest with a score of 701, followed by TELUS with 690.

The 2015 Canadian Television Provider Customer Satisfaction Study and the 2015 Canadian Internet Service Provider Customer Satisfaction Study are based on responses from more than 3,400 TV customers in the West region and more than 6,100 TV customers in the East region; and more than 3,700 Internet customers in the West region and more than 5,900 in the East region. Both studies were fielded in November 2014 and April 2015.

Media Relations Contacts

Beth Daniher, Cohn & Wolfe, Toronto, Canada; 647-259-3279, [email protected]
Gal Wilder, Cohn & Wolfe, Toronto, Canada; 647-259-3261, [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 

 

Canadian Wireless Network Performance: No Service, No Satisfaction

2015-06-08

jdp-root

TORONTO: 11 June 2015 — Wireless customers have high expectations when it comes to calling, texting or Web browsing, and any impediments to connectivity directly impact their perceptions of network performance, according to the JD Power 2015 Canadian Wireless Network Quality Study^SM released today.

The study examines wireless carriers’ network performance in three areas: calling, messaging and data. Network performance issues are measured as problems per 100 (PP100) connections, with a lower score reflecting fewer problems and higher network performance. Carrier performance is examined in three geographic regions: West, Ontario and East.

Consumers are increasingly dependent on wireless connectivity for social and business needs. Problems, such as dropped calls, unsent text messages and the inability to connect to a website while using their wireless device—either inside or outside a building—have a significant negative impact on customer perceptions of their carrier’s network quality. On average, wireless customers experience the highest number of network quality problems with data (14 PP100), followed by calls (13 PP100) and messaging (5 PP100). The most frequently experienced problems with data are slow downloads (15 PP100) and Web connection errors (10 PP100).

“Whether updating social media, browsing the Internet, checking email or using the Starbucks app to buy coffee, wireless customers hold their carrier accountable to deliver a stable connection at a speed that will enable them to accomplish their desired task,” said Adrian Chung, account director at JD Power. “With the high penetration of smartphones, the focal point for measuring wireless network quality is data. A single PP100 network quality difference represents an impact to a customer’s connectivity, the ability to engage in daily activities and ultimately the level of satisfaction with their carrier.”

KEY FINDINGS

• Customers who say they “definitely will not” switch carriers experience an average of 5 PP100 network quality issues, compared with 17 PP100 among those who say they “definitely will” switch carriers.
• Among wireless customers who have a 4G-compatible smartphone, 13 percent of those who own an LG device indicate their data speeds are faster than expected, compared with only 11 percent of BlackBerry owners, 9 percent of Samsung owners and 8 percent of Apple iPhone owners who indicate the same.
• Wireless phone customers in the West region report 9 PP100, on average, while customers in Ontario report an average of 10 PP100, and those in the East region report an average of 8 PP100.

Wireless Carrier Rankings

In the West region, SaskTel ranks highest in overall network quality (8 PP100) and performs particularly well in call quality, messaging quality and data quality.

In Ontario, Bell Mobility and TELUS Mobility tie for highest rank in overall network quality (9 PP100 each). Bell Mobility performs particularly well in call quality and messaging quality. TELUS Mobility performs particularly well in call quality and data quality.

In the East region, Videotron ranks highest in overall network quality (6 PP100) and performs particularly well in call quality, messaging quality and data quality.

The 2015 Canadian Wireless Network Quality Study is based on responses from more than 13,000 wireless customers who had used their phone within the previous 48 hours. The study was fielded in October-November 2014 (Wave 1) and March 2015 (Wave 2).

Overall network performance is based on 10 problem areas that impact the customer experience: dropped calls; calls not connected; audio issues; late or failed voicemails; lost calls; text message transmission failures; late or failed text message notifications; Web connection errors; slow downloads; and email connection errors.

Media Relations Contacts

Beth Daniher, Cohn & Wolfe, Toronto, Canada; 647-259-3279, [email protected]
Gal Wilder, Cohn & Wolfe, Toronto, Canada; 647-259-3261, [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 

 

Home Insurance Industry Not Meeting Gen Y Expectations for Customer Interaction

2015-06-01

jdp-root

TORONTO: 4 June 2015 — As Gen Y[1] customers are increasingly becoming first-time home owners and homeowners insurance buyers in Canada, not only are they more critical of their service interactions with their insurers, satisfaction among these customers is also declining at a faster rate than in any other generational group, according to the JD Power 2015 Canadian Home Insurance Study^SM released today.

The annual study examines customer satisfaction with their homeowners insurance company by examining five factors (in order of importance): non-claim interaction; policy offerings; price; billing and payment; and claims. The non-claim interaction factor includes three subfactors: local agent or broker; call centre representative; and website. Satisfaction is calculated on a 1,000-point scale.

Gen Y customers are the least satisfied among the generational groups with their home insurance service experience. Satisfaction among Gen Y has declined significantly, by 12 points to 745 from 757 in 2014, compared with a 10-point decline among Boomers—the largest generational group—and a 1-point decline among Gen X customers. The erosion in satisfaction levels among Gen Y customers is largely driven by a significant 14-point decline in the most important factor, non-claim interaction.

“Satisfying Gen Y customers with the service interaction experience is critical for insurers to remain competitive in the marketplace,” said Valerie Monet, director of the insurance practice at JD Power. “Insurers need to educate customers regarding the issues they most frequently contact their insurer about: policy coverage options; bill payment options; and what to do and expect in the event they have to file a claim.”

Understanding the billing statement is one aspect of the interaction experience that Gen Y customers are struggling with more than other generations, with only 55 percent saying they “completely” understand their billing statement, compared with the industry average of 66 percent. Notably Gen Y experiences more billing errors than the other generations (15% vs. less than 10% for each of the other groups), leading them to turn to their agent or a call centre representative for help.

Satisfaction Rankings

The Co-operators (789) ranks highest in the Atlantic/Ontario region, followed by State Farm (776) and RBC Insurance (773).

The Personal (814) ranks highest in the Quebec region, followed by Intact Insurance (788) and La Capitale (782).

BCAA ranks highest in the Western region for a fourth consecutive year, with a score of 815. Following BCAA in the rankings are Portage Mutual Insurance (774) and Intact Insurance (763).

KEY FINDINGS

• ŸOverall satisfaction declines by 11 points nationally to 759 from 770 in 2014. Regionally, satisfaction declines to 745 from 752 in the Western region; declines to 759 from 771 in the Atlantic/Ontario region; and declines to 777 from 794 in the Quebec region.
• ŸOverall, the decrease in satisfaction in 2015 is driven by a significant 14-point decline in the non-claim interaction factor.
• ŸNon-claim interaction satisfaction has declined significantly due to challenges with the call centre. In this regard, 41 percent of customers indicate having to wait 1 minute or longer to speak with a representative, and 34 percent of customers indicate that their issue was not resolved on the same day.
• ŸSatisfaction with homeowners insurance among Gen Y customers is lower in non-claim interaction (768) and claims (749), compared with satisfaction among Boomers (815 and 812, respectively).

The 2015 Canadian Home Insurance Study is based on responses from 7,466 home insurance customers. The survey data was collected from March 2015 through April 2015.

Media Relations Contacts

Beth Daniher, Cohn & Wolfe, Toronto, Canada; 647-259-3279, [email protected]

Gal Wilder, Cohn & Wolfe, Toronto, Canada; 647-259-3261, [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 

 

In-store Sales Representative is a Key Driver In Delivering an Outstanding Wireless Purchase Experience

2015-05-26

jdp-root

TORONTO: 28 May 2015 — Despite the prevalence of online shopping, the in-store experience and sales representative interaction are still the key drivers of an outstanding wireless purchase experience, according to the JD Power 2015 Canadian Wireless Purchase Experience Study^SM released today.

The study examines wireless carriers’ performance across sales-related activities in-store, over the phone and online. Satisfaction is measured in six factors: store representative; online purchase; phone purchase; facility; offerings and promotions; and cost of service. Overall wireless purchase experience satisfaction is 752 on a 1,000-point scale.

Customers are looking for simplicity when purchasing wireless products and services. An outstanding in-store experience is one in which sales representatives display knowledge, professionalism and genuine concern for customer needs. Satisfaction with the purchase experience is substantially higher when store representatives take the time to explain or demonstrate device operations than when they don’t (799 vs. 692, respectively); thank customers for their business (786 vs. 662, respectively); and inform them about potential extra charges (803 vs. 700, respectively).

“Wireless carriers need to consider that the sales rep is the face of the organization,” said Adrian Chung, account director at JD Power. “The interaction between a customer and their sales rep during a transaction or store visit can have a significant impact on purchase experience satisfaction and shape their overall perception of the brand. Looking ahead, this can also influence a customer’s decision-making process whether to stay with their current carrier or seek out alternatives when they are in the market for a new device or need to renew their contract.”

KEY FINDINGS

• On average, 67 percent of wireless customers who have made a purchase during the past 6 months visit a store to complete a transaction. Among customers visiting a store, 50 percent do so to change an existing service plan or feature and 39 percent to purchase a phone.
• For the in-store channel, satisfaction is higher among customers who wait less than a minute (813) to speak with a representative than among those who wait one to four minutes (767). Satisfaction declines further as wait times become even longer—five to 14 minutes (728), and 15 minutes or more (681). Nearly one-fourth (24%) of customers wait less than a minute to speak to a store representative.
• Satisfaction is higher when in-store reps spend more time providing an explanation of device operations: 10 minutes or more (799); five to nine minutes (774); within one to four minutes (749); or less than one minute (710). More than one-third (38%) of customers receive an explanation about device operations that lasts 10 minutes or more.
• Overall satisfaction with the purchase experience can influence customer loyalty and advocacy. On average, 83 percent of “delighted” customers (overall satisfaction scores of 900 or higher) say they “definitely will” shop at the same store and 84 percent say they “definitely will” recommend the store they visited during their last purchase. In comparison, only 7 percent of “displeased” customers (scores of 549 or lower) say they “definitely will” shop at the same store and 7 percent say they “definitely will” recommend the store they visited.

Wireless Carrier Rankings

Virgin Mobile ranks highest in purchase experience satisfaction with a score of 789 and performs particularly well in the store representative factor. SaskTel (776) ranks second, followed by Koodo Mobile (774).

The 2015 Canadian Wireless Purchase Experience Study is based on responses from more than 5,000 wireless customers. The study was fielded in October-November 2014 (Wave 1) and March 2015 (Wave 2).

Media Relations Contacts

Beth Daniher, Cohn & Wolfe, Toronto, Canada; 647-259-3279, [email protected]
Gal Wilder, Cohn & Wolfe, Toronto, Canada; 647-259-3261, [email protected]
John Tews, JD Power, Troy, Michigan; 248-680-6218, [email protected]

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

About McGraw Hill Financial www.mhfi.com

 

Virtual Tire Kicking: Interactive Website Content is King among Auto Shoppers in Canada

2015-05-08

jdp-root

WESTLAKE VILLAGE, Calif.: 12 May 2015 — Content is king, especially interactive content, when it comes to driving engagement and satisfaction among shoppers searching for a new vehicle on an auto manufacturer’s (OEM) website, according to the JD Power 2015 Canadian Manufacturer Website Evaluation Study^SM (MWES) released today.

The study measures the usefulness of automotive websites and how each OEM compares/performs during the new-vehicle shopping process by examining four key measures (in order of importance): information/content (34%), appearance (26%), speed (21%) and navigation (20%). Satisfaction is calculated on a 1,000 point scale. Overall satisfaction is 748.

For new-vehicle shoppers, the core of the website experience is centered around the information and content available on the site. OEMs that differentiate themselves with interactive content may have a competitive edge by satisfying new auto shoppers. In particular, such interactive content as 360° views of the interior and exterior, build and price tools, and videos have a significant impact on shopper engagement and satisfaction with an OEM’s website. In the past, OEMs provided a highlight and overview page listing model specifications, but today’s shoppers want to know more, see more and experience more about a vehicle. To fulfill this expectation, OEMs need to tell an in-depth story about their vehicles so that shoppers are completely familiar with the model they are researching.

“When searching for a vehicle on an OEM website, shoppers want to experience the vehicle as if they are walking around the vehicle or sitting in it in a dealer showroom. It’s virtual tire kicking,” said JD Ney, manager, automotive research and consulting at JD Power. “OEMs have an opportunity to engage shoppers and romance them with interactive content about the vehicle on the website. The more a shopper knows about the vehicle, the greater the likelihood they will want to make the transition between the online showroom to the physical one and show up at a dealership for a test drive. This is a win-win for the shopper and the dealer.” 

KEY FINDINGS

• More than two-thirds (67%) of vehicle shoppers who are “delighted” with their experience on an OEM’s website (overall satisfaction scores of 901 or higher) indicate they are more likely to test drive a vehicle, compared with only 17 percent of those who are “disappointed” (satisfaction scores of 500 or below).
• The proportion of shoppers who say they are more likely to test drive a vehicle is higher among those who use a build and price tool than among those who do not (41% vs. 36%, respectively).
• Given a choice between interactive content (360° view) and static content (photos), shoppers prefer to have a 360° view available with fewer photos vs. not having a 360° view, but having more photos.
• Videos have a significant impact on overall satisfaction. Satisfaction is higher among shoppers who view a video while researching vehicle information on an OEM website (768) than among those who do not view a video (726).
• Shoppers who share vehicle information on social media are more likely to share imagery, such as videos (45%), exterior images (43%) and interior images (42%) than other less visual content, such as payment/lease calculator information (23%). 

Study Rankings

Infiniti ranks highest in the manufacturer rankings (779) and performs particularly well with the navigation, appearance, and speed factors. Following Infiniti in the rankings are Jeep (773) and Lincoln (771).  

The JD Power 2015 Canadian Manufacturer Website Evaluation Study^SM (MWES) is based on responses from 3,304 new-vehicle shoppers who indicate they will be in the market for a new vehicle within the next 24 months. The study was fielded from February 10, 2015 through March 4, 2015.

Media Relations Contacts

Gal Wilder; Cohn & Wolfe; Toronto, Ontario; 416-924-5700; [email protected]
Beth Daniher; Cohn & Wolfe; Toronto, Ontario 647-259-3290; [email protected]
John Tews; Troy, Mich. 248-680-6218; [email protected]

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

About McGraw Hill Financial www.mhfi.com 

 

Auto Insurers Continue to Miss the Mark to Improve the Customer Experience in Canada

2015-04-30

jdp-root

TORONTO: 1 May 2015 — While auto insurers have been able to improve customer satisfaction with price, they continue to miss the mark in interactions around claims and other service experiences,  resulting in a decline in overall satisfaction for a third consecutive year, according to the JD Power 2015 Canadian Auto Insurance Satisfaction Study^SM released today.

The study, now in its eighth year, measures customer satisfaction with their primary auto insurer in Canada. Satisfaction is measured across five factors (in order of importance): non-claim interaction; price; policy offerings; billing and payment; and claims. Insurers are ranked in four regions (in alphabetical order): Alberta, Atlantic, Ontario and Quebec. Satisfaction is measured on a 1,000-point scale.

Overall customer satisfaction with their auto insurance experience declines nationally to 750 from 758 in 2014, despite an improvement in price satisfaction. Customer satisfaction declines significantly in four of the five factors in 2015: non-claim interaction (-15 points); policy offerings (-11); billing and payment (-7); and claims (-14).

In the 2015 study, more customers indicate experiencing problems when interacting with their insurer than in 2014. Additionally, there has been a significant increase in the number of customers being charged billing-related fees year over year, while fewer customers say they “completely” understand their bill.

• Satisfaction with the call centre sub factor is down a significant 20 index points to 781 from 801 in 2014 due to challenges with the promptness of speaking to a person, courtesy and timeliness of resolving customers’ requests.
• Regarding first-contact resolution using a call centre, 63 percent of customers wait no more than one minute to interact with a representative—a 5 percentage point decline from 2014—and 63 percent of customers resolve their issue the same day, down 6 percentage points from 2014.
• Overall satisfaction with the website sub factor declines to 747 from 770 in 2014. While many customers indicate resolving their issue via the website, satisfaction with other website interactions  has declined, including (in order of importance) timeliness of resolving a request; appearance of the website; ease of navigating the website; and clarity of the information provided.

“Insurers are failing to meet customer expectations on some of the basics of the service experience, especially in the areas of problem prevention and communication,” said Valerie Monet, director of the insurance practice at JD Power. “As pricing becomes increasingly competitive, insurers may see some initial improvements in customer satisfaction; however there is significant risk of an increase in customer attrition if known service issues are not addressed.”

Price is the only factor that improved year over year (+4 points), driven largely by improvements in Ontario where price satisfaction is up by 12 points to 693 from 681 in 2014.

• One of the largest contributors to the improvement in price satisfaction is that fewer customers have experienced a price increase in 2015, compared to 2014, with 80 percent indicating their premium has remained the same or that the change is due to their own customer-initiated policy modifications.
• Quebec is the only region in which price satisfaction has declined significantly year over year—down by 12 points to 736 from 748 in 2014. In Quebec, 20 percent of customers have experienced an insurer-initiated premium increase in the past 12 months, a significant 5 percentage point jump from 2014. Further, the proportion of customers indicating they had a conversation with their insurer about the increase is down significantly to 34 percent from 45 percent in 2014. 

“Insurers have done a great deal to improve customer sentiment regarding price, especially in Ontario, but the service experience hasn’t improved. In fact, it’s gotten worse,” said Monet. “Price is just one element of the experience, but the reality is that the interactions customers have while working with their insurer and an insurer’s ability to educate and manage customer expectations are equally important. Fast, efficient and personal service can’t be an afterthought to a competitive offering.” 

Satisfaction Increases with Usage-Based Insurance Programs

A number of insurers are offering usage-based insurance (UBI) programs as a means to provide a more competitive product in the marketplace. These products typically measure the time of day a customer drives, how far they drive and how quickly they accelerate and brake. In exchange for sharing personal driving habit information, customers may receive a rate discount.

According to Monet, “While price is a primary reason to participate, the interactive nature of the product paves the way for more frequent communications with customers. Here, the insurer can educate customers on how their premium is calculated and simultaneously discuss how their driving habits may be affecting their rate.”

Satisfaction increases when UBI programs are offered. On average, the overall customer satisfaction index score is 750. However, overall satisfaction increases to 767 when a UBI program is offered and decreases to 744 when it is not offered. Among customers participating in a UBI program, satisfaction with their insurer is 790. It should be noted that satisfaction declines to 690 among those who have participated in the past but later choose to opt-out. While the greatest lift in customer satisfaction is in the price factor, satisfaction in the non-claim interaction and billing and payment factors is also higher among program participants.

The most prevalent reason UBI participants cite for trying the product is receiving a discount on their policy (82%), followed by having more control over pricing based on their actual driving (66%). Awareness of whether UBI programs are offered is a barrier to participation and the most frequently cited reason for not participating is privacy concerns. Despite the fact that customers frequently cite privacy concerns as a reason for not participating, 60 percent of customers who don’t currently participate in a UBI program say they would participate if their insurer offered it.

Regional Rankings

Customer satisfaction in the Alberta region averages 735, down 9 points from 2014. The Co-operators ranks highest in satisfaction in Alberta with a score of 749 for a second consecutive year. Aviva Insurance ranks second (739), followed by Intact Insurance (737).

In the Atlantic region, customer satisfaction averages 762. The Co-operators and TD Insurance tie for the highest rank position in this region (767 each), followed by Intact Insurance and Wawanesa in a tie for second (763 each).

Customer satisfaction in the Ontario region averages 744, down 5 points from 2014. The Personal (766) ranks highest in Ontario, followed by The Co-operators (765) and Belairdirect (762).

In the Quebec region, customer satisfaction declines by 21 points from 2014 to 783. In Quebec, The Personal ranks highest for a third consecutive year, with a score of 794. Belairdirect ranks second (791) and Industrial Alliance and La Capitale rank third in a tie (786 each).

The 2015 Canadian Auto Insurance Satisfaction Study is based on responses from more than 11,000 auto insurance policyholders. The study was fielded between January and March 2015.

Media Relations Contacts

Gal Wilder; Cohn & Wolfe; Toronto, Canada; (647) 259-3261; [email protected]

Beth Daniher; Cohn & Wolfe; Toronto, Canada; (647) 259-3279; [email protected]

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

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

About McGraw Hill Financial www.mhfi.com 

 

Customer Satisfaction with Automotive Service at Dealerships and Aftermarket Shops Improves

2013-08-14

jdp-root

TORONTO 14 August 2013 — In an ultra-competitive market, automotive dealerships and aftermarket shops are expanding the range of products and services they offer as they search for ways to attract and retain customers, according to the JD Power 2013 Canadian Customer Commitment Index Study^SM released today, which measures the service behaviours, satisfaction and loyalty of owners of vehicles that are four to 12 years old.

Dealerships, for example, are adding service bays focused on providing quick oil changes, and aftermarket shops that have traditionally focused on mufflers and brakes are adding oil changes and tire service to their services.

“There is a convergence going as the service departments fight for market share,” said JD Ney, supervisor of the Canadian automotive practice at JD Power. “Service providers don’t want to give customers any reason to go anywhere else, so they’re offering a full or wider spectrum of products and services to attract them and keep them coming back.”

Customers are increasingly pleased with the results of both service options. Overall customer satisfaction with the service they receive at dealerships as well as the automotive aftermarket averages 830 in 2013, up slightly from 827 in 2012. However, customers with vehicles in the four to 12-year age range are, on average, more satisfied with their experiences with aftermarket shops than they are with the service they receive at dealerships (842 vs. 817, respectively).

“The study finds that owners take their vehicle to the dealership for the majority of their maintenance and repair work when it is new, but are increasingly likely to visit the aftermarket as the vehicle ages and the warranty expires,” said Ney. “Part of the reason for that is owners have a perception that aftermarket shops provide significantly cheaper service. However, while most owners find the cost isn’t appreciably different, their satisfaction remains high. This would indicate the aftermarket is providing high-quality service first and foremost as well as doing a good job in terms of highlighting and selling the value of their work. ”

Customer perception of the quality of work completed is higher in the aftermarket (842), compared with the dealership (810). The study finds that customers spend an average of $232 per visit for service at an aftermarket shop, compared with $264 per visit for service at the dealership—a difference in cost which represents less than the sales tax.

The percentage of customers whose final invoice was on par with their expectations (a critical driver of cost-related dissatisfaction) differs between the dealership and aftermarket service options. Slightly more than one-fourth (26%) of customers who took their vehicle to the dealership for service indicate their final bill was higher than expected, compared with 16 percent of aftermarket customers who indicate the same. The corollary is, when asked to rate the fairness of those charges, 27 percent of those who took their vehicle for service in the aftermarket rate the fairness of charges a 10 out of 10, whereas the same is true for only 20 percent of those took their vehicle to the dealer for service.

When it comes to satisfying service customers, dealers arguably have more at stake. Customers satisfied with their service experience are significantly more likely to buy the same brand the next time they purchase a new vehicle, something the aftermarket doesn’t have to consider. For example, among customers who are highly satisfied (average overall customer satisfaction of 900 or greater) with their dealer service experience, 79 percent indicate that they are “likely” to purchase the same brand of vehicle next time, while 46 percent of customers who are highly unsatisfied (average overall customer satisfaction of 500 or less) with their dealer service experience indicate the same.

“The service dealerships provide in the back of their store affects the sales in the front of their store,” said Ney. “The service department is their most recent experience with the dealership, and that’s what’s top of mind when the customer is in the market for a new vehicle. A good service experience will help keep them loyal, but a bad service experience will send them shopping elsewhere.”

Canadian Customer Commitment Rankings

NAPA AUTOPRO and Lexus Dealerships rank highest (in a tie) in satisfying automotive service customers in Canada with an overall index score of 863. This is the third consecutive year that NAPA AUTOPRO has ranked highest.

Rounding out the five highest-ranked brands are Great Canadian Oil Change (861); Volkswagen Dealerships (840); and Fountain Tire (838).

The 2013 Canadian Customer Commitment Index Study is based on responses from more than 21,600 owners in Canada whose vehicle is between four and 12 years old. The study was fielded in March 2013 and in June 2013.

About JD Power

JD Power is a global marketing information services company providing performance improvement, social media and customer satisfaction insights and solutions. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. Headquartered in Westlake Village, Calif., JD Power has offices in North/South America, Europe and Asia Pacific. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power is a business unit of McGraw Hill Financial.

About McGraw Hill Financial

McGraw Hill Financial (NYSE: MHFI) is a leading financial intelligence company providing the global capital and commodity markets with independent benchmarks, credit ratings, portfolio and enterprise risk solutions, and analytics. The Company’s iconic brands include: Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts, CRISIL, JD Power, and McGraw Hill Construction. The Company has approximately 17,000 employees in 27 countries. Additional information is available at www.mhfi.com.

Media Relations Contacts

Gal Wilder; Cohn & Wolfe; Toronto, Canada; (647) 259-3261; [email protected]
Beth Daniher; Cohn & Wolfe; Toronto, Canada; (647) 259-3279; [email protected]
John Tews; JD Power and Associates; MI, USA; Tel: +1 (248) 580-6218; [email protected]

Follow us on Twitter @JDPOWER

No advertising or other promotional use can be made of the information in this release without the express prior written consent of JD Power. www.jdpower.com/corporate

# # #

 

 

2013 Property Management Service Excellence Program

1970-01-01

jdp-root

JD Power 2013 Property Management Service Excellence Program

This program requires the property management to meet a customer satisfaction score that is among the top 15% of eligible properties nationally in the JD Power and Associates 2012 Canadian Resident Satisfaction Study.^SM This designation is based on feedback from residents related to both the Application/Move-in Experience and Property Management Staff Performance at the individual property level. Companies in the JD Power 2013 Property Management Service Excellence Program are committed to providing a benchmark level of customer care and service.

Property Management at the following buildings has been recognized for 2013:

 

Small Business Banking Satisfaction Rebounds As Fees Stabilize and Banks Focus on Customer Satisfaction

2014-09-23

jdp-root

WESTLAKE VILLAGE, Calif.: 25 September 2014 — More small-business owners in Canada have a clearer understanding of their banking fees and fewer are experiencing a change in their fee structure, creating an overall more satisfying experience with their bank, according to the JD Power 2014 Canadian Small Business Banking Satisfaction Study^SM released today.

The study measures small-business customer satisfaction with their primary financial institution across eight factors: channel activities; account manager; facility; fees; product offerings; account information; credit services; and problem resolution. The channel activities factor is comprised of six subfactors: branch, website, ABM, IVR, call centre and mobile.

Overall small business banking satisfaction improves to 735 (on a 1,000-point scale) in 2014, up from 718 in 2013.

In contrast to 2013, when changes in small business fee structures resulted in a 17-point drop in fees satisfaction from 2012, fee structures have stabilized in 2014 and banks are doing a better job helping small-business customers understand their fees. In 2014, fees satisfaction improves by 31 points from 2013, driven by fewer customers experiencing a change in fee structure year over year (31% vs. 39%, respectively) and more small businesses completely understanding their fees (37% vs. 32%, respectively).

“Having fewer fee changes certainly helps improve satisfaction, but banks are also doing a better job of executing in a number of areas, from onboarding new small-business customers to the day-to-day management of their customers such as proactively contacting customers and discussing their business needs,” said Jim Miller, senior director of banking at JD Power. “Small-business customers are tough to please because they want it all from their bank—convenience, branch offices, online banking for self-service and a manager who knows their business.”

Nearly two-thirds (62%) of small-business customers indicate their bank has assigned a representative to manage their relationship, up from 58 percent in 2013. When an account manager is assigned, satisfaction averages 759, but drops to 705 when a manager is not assigned to an account. Additionally, 45 percent of small businesses perceive their account manager completely understands their business, an increase from 39 percent in 2013. When small businesses have an account manager who completely understands their business, satisfaction is 830, compared with 701 when the account manager either partially or does not understand their business at all.

KEY FINDINGS

1. The study finds that 34 percent of small businesses opened at least one account with their primary bank during the past 12 months, up from 32 percent in the 2013 study. Moreover, 61 percent of small-business customers indicate their bank representative completely identified their needs during the account opening process, up from 56 percent in 2013. 
2. High satisfaction is related to loyalty as only 5 percent of small-business customers with high satisfaction (satisfaction scores of 800 or higher) say they “definitely will” or “probably will” switch banks in the next 12 months, while 28 percent of small businesses with low satisfaction (scores of 600 or less) intend to switch banks.
3. Satisfaction with online activities improves 28 points year over year. On average, small-business customers who use online banking log in to their bank account nearly twice per week or 101 times each year, compared with 69 times for personal banking customers.
4. Small-business customers visit their bank’s branch office an average of 32 times each year, compared with 10 visits for personal banking customers. 
5. ŸSatisfaction among small businesses with annual sales of $75,000 to $249,000 increases by 22 points in 2014 to 742. That increase is attributed to significant improvements in three factors: fees (+46 points); account activities (+22); and facility (+20).
6. ŸSatisfaction among small businesses with annual sales of $250,000 to $2.49 million averages 729 in 2014, up 17 points from 2013, while satisfaction among small businesses with annual sales of $2.5 million to $10 million averages 743, a 16-point improvement.

Study Rankings

TD Canada Trust ranks highest in overall satisfaction with a score of 760 in 2014, a 36-point improvement from 2013. Scotiabank ranks second (750), followed by RBC Royal Bank (737).

The 2014 Canadian Small Business Banking Satisfaction Study, which was fielded in May and June 2014, includes responses from 1,348 small-business owners or financial decision-makers who use business banking services in Canada.

Media Relations Contacts

Beth Daniher; Cohn & Wolfe; Toronto, Canada; 647-259-3279; [email protected]

John Tews; JD Power; Troy, Mich; 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