Category: Canada

Customers Who Bundle TV, Internet and Phone are Most Satisfied and Likely to Recommend Their Service Provider

2013-06-27

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TORONTO: 27 June 2013 — Overall satisfaction is highest among customers who bundle their television, Internet and telephone services with the same provider, and these customers are also likely to recommend their provider to family and friends, according to the JD Power 2013 Canadian Television Provider Customer Satisfaction Study^SM and the 2013 Canadian Internet Service Provider Customer Satisfaction Study^SM, both released today.

Key Findings

1. Eighty-three percent of customers bundle their TV and Internet service with the same provider.
2. Satisfaction with Internet service providers is highest among customers with fibre optic Internet access.
3. Forty two percent of customers view television content from their tablet or mobile device.

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

According to the Television Provider Customer Satisfaction Study, 83 percent of customers bundle their TV and Internet service with the same provider, while 17 percent subscribe to just TV service with their telecom provider. Among customers who bundle, 59 percent also have telephone service with their provider—commonly referred to as a triple-play package.

Overall satisfaction is highest among triple-play customers (690 on a 1,000-point scale), compared with among TV and Internet bundlers (678) and TV-only subscribers (658). With 19 percent of customers indicating they “definitely will” recommend their provider, bundled customers also have higher rates of advocacy, compared to those with only TV and Internet service (17%) or TV service only (12%).

“Bundling typically provides discounts and has the added convenience of one bill with one provider,” said Adrian Chung, account director at JD Power. “These elements are key drivers of higher satisfaction and provide the stickiness that leads to long-term loyalty.”

Triple-play customers pay an average of $165(CAD) per month for service, while TV and Internet bundlers pay an average of $156 and TV-only subscribers pay an average of $89. Satisfaction with cost of service is highest among triple-play customers and is lowest among TV-only subscribers.

Speed Is Key for Internet

Satisfaction with Internet service providers is highest among customers with fibre optic Internet service. These customers also experience the fewest problems; however, when they do experience an issue with their connection, the decline in satisfaction is more substantial than it is among customers without fibre optic access who experience a connection problem. 

In addition, only 25 percent of fibre optic customers experience an outage with their Internet connection, compared with 29 percent of DSL customers and 31 percent of cable customers. However, when fibre optic customers do experience an outage, overall satisfaction with their Internet provider drops by 114 points, on average. In comparison, when cable Internet customers experience a problem, overall satisfaction declines an average of 101 points, while DSL customer satisfaction falls by 99 points.

Overall customer satisfaction among customers with fibre optic Internet access averages 682, compared with 672 among those with cable Internet access and 646 among those with a DSL Internet connection. 

Internet speed is a key expectation among customers. Among Internet customers with fibre optic access, 15 percent indicate their Internet speed exceeds their expectations, while only 8 percent of both DSL and cable customers indicate the same.

“While customers with fibre optic connections are very pleased with the speed and reliability of their Internet connection, they also have very high expectations,” said Chung.

Premium Television Packages Build Loyal Customers

Among television provider customers, those who subscribe to premium TV service packages have higher rates of loyalty to their provider, as only 16 percent indicate they “will likely” switch to another provider in the next 12 months, compared with 22 percent of basic TV subscribers. Additionally, premium package subscribers are more “likely” to purchase additional services from their provider than are basic TV subscribers (36% vs. 29%, respectively).

More than one-half (52%) of customers subscribe to HD channels; 42 percent have a PVR/DVR; and 35 percent use or subscribe to video on demand (VOD). Of these, both overall and TV programming satisfaction are highest among VOD subscribers, compared with the Television Provider Customer Satisfaction Study average. 

The Television Provider Customer Satisfaction Study also finds that 42 percent of customers view content from a mobile device, such as their tablet or mobile phone; however, overall satisfaction among these customers averages 661, lower than among those who watch from their television only (683). 

“Satisfaction for mobile users suffers because they tend to experience more problems with picture and download speed,” said Chung. “They expect their mobile device to have the same speed and quality as their home TV, and in many cases their expectations are not met.”

Study Rankings

East Region

Vidèotron ranks highest in both television customer satisfaction and Internet customer satisfaction in the East region. Vidèotron has an overall score in television customer satisfaction of 747. Shaw ranks second in the East region with a score of 703, while Cogecoranks third at 685. In Internet customer satisfaction, Vidèotron ranks highest in the East region with a score of 755. Cogeco ranks second (686) and Bell Aliant ranks third (675).

West Region

SaskTel ranks highest in both television and Internet service customer satisfaction in the West region. SaskTel achieves an overall score of 730 among television customers. MTS ranks second in the region with a score of 687, followed by TELUS at 684. In Internet customer satisfaction, SaskTel ranks highest with a score of 705, followed by TELUS at 672.

The 2013 Canadian Television Provider Customer Satisfaction Study and the 2013 Canadian Internet Service Provider Customer Satisfaction Study are based on responses from more than 10,500 telecommunication customers–more than 4,500 customers in the West region and 6,000 customers in the East region. Both studies were fielded in October 2012 and April 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 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), a financial intelligence company, is a leader in credit ratings, benchmarks and analytics for the global capital and commodity markets. Iconic brands include: Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts, CRISIL, JD Power, McGraw Hill Construction and Aviation Week. 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; Troy, Mich.; (248) 680-6218; [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

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Canadian Retail Banking Customer Satisfaction Improves as Customers Increasingly Understand Fees and Services; However, Customers Still Perceive Banks as Profit Driven, Lagging in Innovation and Not Customer Focused

1970-01-01

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TORONTO: 18 July 2013 — Overall customer satisfaction with the Big 5 ¹ and Midsize banks in Canada has increased, driven primarily by customers’ increasing understanding regarding fees and services. However, customers perceive banks as being profit driven, lagging in innovation and not customer focused, according to the JD Power 2013 Canadian Retail Banking Customer Satisfaction Study^SM released today. 

The study, now in its eighth year, examines customer satisfaction with their primary financial institution in three segments: Big 5 Banks, Midsize Banks and Credit Unions. In all segments, customer satisfaction is measured in seven factors (listed in order of importance): channel activities; account information; facilities; product offerings; fees; financial advisor; and problem resolution.

Key Findings

• Overall customer satisfaction with Canadian retail banks increases by 19 points to 772 in 2013.
• Customer satisfaction with banking fees has increased substantially by 35 points in 2013 to 627 from 592 in 2012.
• Customers increasingly understand their bank fee structures and services.

Overall customer satisfaction among retail bank customers in Canada increases substantially by 19 points to 772 (on a 1,000-point scale), compared with 753 in 2012, as customers increasingly understand their banks’ fees and services. Satisfaction in the Big 5 Banks segment increases to 765 from 748 in 2012. Customer satisfaction in the Midsize Banks segment increases to 778 from 759 in 2012. Despite this increase in overall satisfaction, 32 percent of  Big 5 Bank customers perceive their bank as being more profit driven and less customer focused, up from 24 percent in 2012. Among Midsize Bank customers, 19 percent share this sentiment, compared with 15 percent in 2012. 

Retail banking customers in Canada have high expectations when it comes to using technology to conduct their banking business. Banks may not be meeting these expectations, especially in mobile, which may be driving the lower ratings for innovation provided by customers. In 2013, 58 percent of customers perceive their bank as being technologically innovative, down from 66 percent in 2012. While mobile penetration is not catching on as fast in Canada, compared with the United States (8% vs. 18%, respectively) banks could help raise mobile banking penetration and customer satisfaction by improving their mobile offerings.  Providing a mobile banking option is critical in migrating routine transactions, especially deposits, out of the branch, helping to reduce bank costs while providing convenience for customers. 

During the past 12 months, mobile banking customers in Canada have used mobile to conduct a banking transaction 33 times, on average, compared with 51 times in the United States. Transactions may include making a deposit, transferring money from one account to another, finding a location, checking an account balance or paying a bill, depending upon the services offered by the bank.

“Banks have an opportunity to increase customer satisfaction by offering convenient mobile banking options, but that isn’t enough in a highly competitive market. Banks must also execute well during key customer touch points or ‘moments of truth,’ such as opening a new account, problem resolution and handling financial needs associated with life-changing events,” said Jim Miller, senior director of the banking practice at JD Power. “Banks need to provide a highly satisfying experience during these moments of truth in order to achieve a profoundly positive impact on customer satisfaction.” 

Customer satisfaction with banking fees has increased substantially by 35 points to 627 from 592 in 2012. As customers gain a greater understanding regarding fees and services, satisfaction increases. According to the study, 31 percent of customers understand their fee structure, up from 28 percent in 2012. In 2013, fewer customers have experienced a fee change than in 2012 (21% vs. 27%, respectively). As customers take more control of their banking services, the percentage of customers paying monthly maintenance fees at least once during the year has declined to 45 percent from 49 percent in 2012.

Problem resolution satisfaction has improved by 26 points to 620, compared with 594 in 2012. As customers gain a better understanding of their fee structure, problem incidence declines (14% in 2013 vs. 17% in 2012), and satisfaction with problem resolution increases.

Loyalty and advocacy have also improved in 2013, with 42 percent of retail banking customers saying they “definitely will” reuse their retail bank, compared with 39 percent in 2012. With respect to advocacy, more than one-third of customers say they “definitely will” recommend their bank. Overall, the brand reputation of banks (good reputation vs. bad reputation) in 2013 has slightly improved from 2012. In addition, customers perceive they are getting a better value from their bank.

Study Rankings

TD Canada Trust ranks highest in overall customer satisfaction among Big 5 Banks for an eighth consecutive year, achieving a score of 781. TD Canada Trust performs well in all seven factors, especially in facilities.

Among Midsize Banks, ING Direct Canada ranks highest in overall customer satisfaction with a score of 839. ING Direct Canada performs particularly well in fees, account information, channel activities and product offerings.

The 2013 Canadian Retail Banking Customer Satisfaction Study is based on responses from more than 21,000 customers who use a primary financial institution for personal banking. The study includes the largest financial institutions–banks and credit unions² –in Canada and was fielded May 7, 2013, through May 24, 2013.

^[1] Big 5 Banks include BMO Bank of Montreal, CIBC, RBC Royal Bank, Scotiabank and TD Canada Trust. Midsize Banks include Alterna Bank, ATB, HSBC  Bank Canada, ING Direct Canada, Laurentian Bank of Canada, Manulife Bank, National Bank of Canada, and President’s Choice Financial. Credit Unions include all credit union data collected.

^[2]Rankings are not provided for credit unions, as they do not meet market share requirements for the study.

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 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), a financial intelligence company, is a leader in credit ratings, benchmarks and analytics for the global capital and commodity markets. Iconic brands include: Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts, CRISIL, JD Power, McGraw Hill Construction and Aviation Week. 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; Troy, Mich.; (248) 680-6218; [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
 

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Auto Insurance Claims Make or Break the Customer Relationship with Their Insurance Provider

2013-07-29

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TORONTO: 29 July 2013 — How well auto insurance providers handle claims may make or break the relationship with their customers, according to the JD Power 2013 Canadian Auto Claims Satisfaction Study^SM released today.

The inaugural study measures customer satisfaction with the claims experience for auto physical damage loss. Depending on the complexity of the claim, a claimant may experience some or all of the following factors that are measured in the study: first notice of loss; service interaction; appraisal; repair process; rental experience; and settlement. Settlement is the most important factor of overall satisfaction among both total loss and repair claimants.

Although settlement is the most important factor, the first notice of loss (FNOL)—the first phone call a customer makes to their insurance provider after they have been in a vehicle accident or experienced damage to their car—sets the tone for the rest of the claims process.  The first phone call averages 18 minutes, according to the study.

“The first call to notify the provider of the damage is critical to customer satisfaction with the entire claims process,” said Jeremy Bowler, senior director of the insurance practice at JD Power. “If that initial call goes well, odds are good that the claims process will go well and also bodes well for the long-term relationship with the customer.”

Bowler notes that anyone involved in an accident or who experiences damage to their vehicle should contact their insurer or agent as soon as possible after the incident, even if the damage is not their fault.  Before calling their provider, it’s a good idea to write down any questions regarding the claim and keep notes on the answers received. 

The study finds that claimants who receive an explanation during the first call with their provider of what to expect during the claims process are significantly more satisfied than are claimants who do not receive this explanation. While a majority (87%) of claimants receive an explanation, overall satisfaction declines by a substantial 169 index points, on average, when claimants don’t receive an explanation of the process.

Additionally, overall satisfaction is higher when insurers are able to answer all claimant questions during the first call than when they are not able to answer all questions.  Satisfaction among claimants who have all of their questions answered during the first call averages 810, compared with an average of 651 among claimants who do not get all of their questions answered during this call.

“Filing a claim can be a stressful situation, so it’s easy to forget to ask key questions or get confused about the information the insurer provides during the call,” said Bowler. “Keeping good records of all calls regarding the incident is helpful for reference later in the claims process, if necessary. It is also advisable for claimants to take pictures of the vehicle damage for their records.”

The settlement process focuses on identifying the expenses the insurance company will cover, including damage to the vehicle, the facility where repairs will be made, and, if needed, a tow truck and rental car.  Managing claimants’ expectations regarding the settlement—and avoiding surprises—is critical to a satisfying settlement experience.  The study finds that, overall, 90 percent of claimants are satisfied with the settlement—which is the largest contributor to overall satisfaction with the claims process.  However, when expectations are not met, settlement satisfaction declines dramatically, by more than 250 index points, on average. 

“Communication between the provider and the claimant is critical during the settlement phase,” said Bowler. “The claimant wants to know what is and isn’t covered by their policy, the extent of the damage to the vehicle, and how and when it will be repaired or replaced. It’s really about setting claimants’ expectations and then meeting them.”   

While claimants are most satisfied with the repair process, which averages 805 index points, satisfaction with the appraisal process—when the vehicle’s damages are assessed by a representative of the insurer—is lower than for any other factor in the study. 

“Insurance is a product people buy because they have to, but hope they never need to use,” said Bowler.  “They really see the value of their investment if they need to file a claim.  If the appraisal of damages comes in lower than what they expect, they are naturally going to be disappointed.”

Regional Findings

Overall customer satisfaction with the auto claims experience in among Canadian provinces included in the study averages 787. Satisfaction varies greatly by province, ranging from a high of 840 in Quebec to a low of 753 in Manitoba.  Among other provinces, Ontario averages 800; Alberta 770; British Columbia 767; and Saskatchewan 760.

Provider Results

Among the eight rank-eligible insurance providers included in the study, RBC Insurance ranks highest in overall customer satisfaction with the claims process with an index score of 815.  RBC Insurance performs particularly well in the first notice of loss and settlement factors.

Intact Insurance ranks second with 806, followed by Aviva Insurance (803), State Farm (802) and TD Insurance (796).

Making the Auto Insurance Claims Process Smoother and Easier 

JD Power offers the following tips to auto insurance customers when filing a claim: 

• Call the police for any auto accident that results in more than minor damage to the vehicle (more than $500 is a suggested amount).

• Take down the names and addresses of individuals involved; the accident location; the make, model and plate number of the vehicle(s); names and contact information of any witnesses; and make note of any injuries sustained. 

• Ask the police to file an accident report, or at least an incident report, so that there is a record to provide to your insurance company.

• Always get a copy of the police report if you are involved in a multiple-vehicle accident.

• Contact your insurer or agent as soon as possible after the incident, even if the other party is at fault. This will allow your insurer to be better able to protect your interests.  

• If possible, contact your insurer or agent from the location where the incident occurred.

• Take photos of damage to your vehicle using a device such as a cell phone or tablet or a regular camera.

• Keep records of all calls regarding the incident. 

• If you have questions about the insurance adjustor’s appraisal, contact your insurer or agent directly.

The 2013 Canadian Auto Claims Satisfaction Study is based on responses from 2,458 auto insurance customers in Canada who settled an auto insurance claim within the past 18 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 April and 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 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), a financial intelligence company, is a leader in credit ratings, benchmarks and analytics for the global capital and commodity markets. Iconic brands include: Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts, CRISIL, JD Power, McGraw Hill Construction and Aviation Week. 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; Troy, Mich.; (248) 680-6218; [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

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Canadian Home Insurance Customer Satisfaction Declines Substantially, with Increasing Premiums and Deteriorating Claims Services

2013-08-01

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TORONTO: 1 August 2013 — Overall customer satisfaction with Canadian home insurance companies declines substantially as premiums increase and claims service levels deteriorate across alal regions, according to the JD Power 2013 Canadian Home Insurance Study^SM released today.

The annual study examines customer satisfaction with their home insurer by examining five factors: interaction; billing and payment; claims; policy offerings; and price.

Overall customer satisfaction declines nationally to 761 (on a 1,000-point scale) from 769 in 2012. Notably, in the Western Region satisfaction declines by 13 points to 741, compared with a slight decline in both the Atlantic/Ontario (754) and Quebec (807) regions year over year.

The decrease in customer satisfaction in the Western Region is primarily driven by year-over-year declines in price, down 32 points to 669, and claims, down 30 points to 738. In the wake of recent severe weather events, insurers have been raising rates to adequately cover anticipated claims, which has negatively impacted satisfaction.

Key Findings

• Overall customer satisfaction with home insurers in Canada declines to 761 from 769 in 2012.
• Customer satisfaction declines substantially in the Western Region by 13 points to 741.
• Price increases and poor claims service account for year-over-year declines of 32 points in the price factor and 30 points in the claims factor in the Western Region.

The study finds that when home insurance companies do not notify customers of a premium change through their preferred communication method, satisfaction declines by 74 points. However, when insurers proactively provide a policy review with customers and discuss coverage options, overall satisfaction may improve. For example, when customers in the Western Region were contacted by their insurer to discuss a premium increase, including any policy options they may have to mitigate costs, satisfaction improved by more than 50 points. Even when customers did not choose to make any changes to their policy, the conversation provided an opportunity for insurers to further educate customers on the value of their current coverage. In general, the larger the premium increase amount, the larger the decline in customer satisfaction. Any premium increase of more than $40 is perceived as significant by customers.

“Home insurance companies need to do a better job keeping their customers informed about price increases,” said Jeremy Bowler, senior director of the insurance practice at JD Power. “No homeowner wants a price increase initiated by their insurance company; however, they may be more tolerant of a rate adjustment when their insurer explains the reason for the increase. Once a homeowner understands the value of the policy coverage and price change, the more likely they are to be satisfied. Furthermore, informing customers of ways they might mitigate the added expense through adjustments to their coverage and deductibles improves satisfaction. Managing customer expectations plays a key role in customer satisfaction with price.”

According to the study, satisfaction with the claims experience has declined dramatically in the Western and Atlantic/Ontario regions from 2012—by 30 and 31 points, respectively—falling below the industry average of 757. When customers file their first home insurance claim, it is often the first time they fully understand what their policy covers. Therefore, claims service is a vital part of customer satisfaction. Many steps in the claims service process affect customer satisfaction. The initial call to report the claim sets the tone for the entire experience. Satisfaction among customers who receive an explanation of what to expect throughout the entire claims process is higher than among those who do not receive an explanation—a difference of 179 points. In the Western and the Atlantic/Ontario regions, the proportion of customers indicating they received an explanation of the claims process declines by 5 percentage points and 6 percentage points, respectively.

An agent or broker’s involvement in the claims process may substantially improve customer satisfaction. Agent/broker interaction typically may include such activities as taking customers’ claim reports, providing guidance on the claims process or filling the role of the adjuster. Additionally, only 68% of customers are contacted post-claim by their insurer or agent. Following up with customers once the claims process is complete may be extremely beneficial in addressing any potential service issues, as well as building long-term loyalty.

“An insurance policy is unique in that customers purchase it hoping they never need to use it. For those unfortunate enough to need to file a claim, this is often the first time that customers truly get to judge whether their trust in the insurer was well placed,” according to Lubo Li,  senior director of financial services and insurance at JD Power, Toronto. “This is where insurers can make or break their customer relationships. Insurance companies that provide a satisfying claims experience are more likely to have loyal customers who will be far more likely to renew their policies each year and more often recommend their insurer or agent to others.”

Overall, loyalty has declined year over year, with 39 percent of customers indicating they are likely to renew their policy with their current insurer, compared with 41 percent in 2012. The likelihood that customers will recommend their current insurer drops to 33 percent in 2013 from 36 percent in 2012.

Western Region:

BCAA ranks highest in the Western Region with a score of 782. Following BCAA in the rankings are Alberta Motor Association (767) and Johnson Insurance (765).

Atlantic/Ontario Region:

Grey Power (791) ranks highest in the Atlantic/Ontario Region. Belairdirect and The Co-operators follow in the rankings with scores of 789 and 780, respectively.

Quebec Region:

 Industrial Alliance (827) ranks highest in the Quebec Region, closely followed by L’Union Canadienne (822) and Intact Insurance (820).

The 2013 Canadian Home Insurance Study is based on responses from 7,808 home insurance customers. The survey data was collected from April 2013 through May 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 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; Troy, Mich.; (248) 680-6218; [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

 

Overall Satisfaction Declines among Small Business Banking Customers; Biggest Declines Are in Fees and Problem Resolution

2013-09-27

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TORONTO: 27 September 2013 — Overall satisfaction declines 10 points among small business banking customers, with the largest declines in fees and problem resolution, according to the JD Power 2013 Canadian Small Business Banking Satisfaction Study^SM released today.

“Small businesses are very sensitive to bank fees. Not only are they the primary driver of problems, but bank fees are also the most commonly cited reason for why small businesses decide to switch banks,” said Jim Miller, senior director of banking at JD Power. “Assigning an account manager who understands their customers’ business and works to resolve their problems may help minimize the impact of fee changes, as well as increase both satisfaction and key business metrics, such as advocacy, loyalty and customer retention.”

KEY FINDINGS

• Fees satisfaction declines due to changes in small business fee structures, with 39% of customers experiencing a fee structure change in 2013. More than one-half (59%) of small business customers who indicate they intend to switch financial institution during the next 12 months cite fees as the primary reason.
• Fewer small business customers experienced a problem year over year (24% vs. 30%, respectively); however, those who did are less likely to indicate their problem was resolved to their satisfaction, compared with 2012 (74% vs. 80%, respectively).
• Satisfaction declines the most among the largest segment of small business customers (sales volume between $2.5M and $10M), with a 41-point decline to 727 in 2013 from 768 in 2012.

Rankings

Scotiabank ranks highest in overall satisfaction for a second consecutive year (727 on a 1,000-point scale), followed by BMO Bank of Montreal (725) and TD Canada Trust (724).

 

The 2013 Canadian Small Business Banking Satisfaction Study measures small business financial decision-makers’ satisfaction with their primary financial institution across eight factors: channel activities; account manager; facility; fees; product offerings; account information; credit services; and problem resolution. Channel activities are comprised of six sub-factors: branch, website, ABM, IVR, call centre and mobile. The study, which was fielded from June 2013 through July 2013, includes responses from 1,018 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]Gal Wilder; Cohn & Wolfe; Toronto, Canada; 647-259-3261; [email protected]
John Tews; Troy, Mich.; 248-680-6218; [email protected]

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

About McGraw Hill Financial www.mhfi.com

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