Category: Japan

Owner Satisfaction with Heavy-Duty Trucks in Japan Decreases Slightly

2014-01-31

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TOKYO: 31 January 2014 — Among fleet owners, overall satisfaction with heavy-duty truck manufacturers and their respective authorized truck dealers decreases slightly, according to the JD Power Asia Pacific 2013 Japan Heavy-Duty Truck Ownership Satisfaction Study^SM released today.  

Rankings

KEY FINDINGS

• Frequent visits from sales representatives improve owner satisfaction. Overall satisfaction among owners who indicate their sales representative visits at least once a month is 629, compared with 597 among those who indicate their sales representative visits once every two to three months. 
• Overall satisfaction is higher among owners whose sales representative provides valuable information during their visits, such as proposals for operational improvements (686); after-sales follow-up (669); and information on industry trends (661). 
• Overall satisfaction among owners who indicate a change in sales representative during the past year is 593, which is 25 points below industry average. The score further decreases to 522 points among owners who indicate that they were not notified when their sales representative changed.  
• Overall satisfaction among loyal owners (those who purchased from the same manufacturer as the previous time and indicate intention to purchase from the same manufacturer again the next time) is 639, compared with 522 among those who purchased from a different manufacturer the last time and intend to purchase from a different manufacturer the next time. In particular, sales satisfaction among loyal owners averages 657, 153 points higher than among those who intend to switch brands (504). 

About JD Power Asia Pacific

 

Providing Explanations of Premium Increases Is Key to Retaining Auto Insurance Customers

2011-08-22

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TOKYO: 23 August 2011 — When auto insurance premiums are increased, providing customers with explanations of why rates have gone up is key to keeping them from switching insurance companies , according to the JD Power Asia Pacific 2011 Japan Auto Insurance Customer Satisfaction Study.^SM 

The study, in its eighth year, measures customer satisfaction with auto insurance, including products, service, and experiences with signing insurance contracts, in two segments: agency-based insurers and direct insurance companies. Agency-based insurers primarily sell policies and interact with customers through networks of agents at insurance agency offices or automobile dealerships. Direct insurance companies interact with customers directly via the Internet or phone. 

Five factors are examined to determine customer satisfaction with auto insurance: products and services; price; access to information, contract procedures, and service quality of contact (including the quality and responsiveness of contact from the brokerage or insurer.) Overall satisfaction is reported as an index score based on a 1,000-point scale, with a higher score indicating higher satisfaction. 

The study finds that, compared with 2010, an increasing percentage of policyholders in 2011 indicate that their insurance premiums increased at the most recent policy renewal. In addition, customer satisfaction with price has declined from 2010. 

Among customers whose premiums increased, satisfaction and policy renewal intent rates remain relatively high if they received an explanation for why their premium rose. Among customers who did not receive an explanation of why the premium increased, satisfaction levels were particularly low. These customers also were more likely to switch to another company, compared with customers who received an explanation for the premium increase. 

“To prevent an outflow of customers to other companies and direct insurers, it is key is for agency staff and representatives to fully explain rate changes and ensure that customers understand the reasons behind premium increases,” said Chie Numanami, manager at JD Power Asia Pacific, Tokyo. 

The study also finds that, in 2011, more customers of direct insurers switched to another direct insurer, compared with 2010. In addition, a higher proportion of customers in 2011 said they switched insurers because the premium was high at the former insurer. 

“Competition to acquire customers is increasing among direct insurers,” said Numanami. “Customers of direct insurers indicate they are particularly satisfied when they are provided with an easily understandable explanation of compensation during the online signing process. These customers are also more likely to renew their policy with the same insurer. If premiums continue to increase in the future, the outflow of customers to companies with cheaper premiums may accelerate. In order to retain customers, it is important to provide full explanations of product information, in addition to price appeal.” 

In the agency-based segment, AIU ranks highest in customer satisfaction for a third consecutive year with an overall satisfaction score of 625. AIU performs particularly well in four factors: products and services; access to information, contract procedures, and service quality of contact. Following AIU in the rankings is Nissin Fire & Marine Insurance (608), which performs particularly well in the service quality of contact factor. Fuji Fire & Marine Insurance (597) ranks third in the segment. 

In the direct insurance company segment, Zurich Insurance ranks highest in overall satisfaction with a score of 629, performing particularly well in four factors: products and services; access to information, contract procedures, and service quality of contact. Following Zurich Insurance in the segment are Sony Assurance (622), which performs well in access to information, contract procedures and service quality of contact factors. E.design Insurance and Mitsui Direct General Insurance rank third in the segment, in a tie (615 each). 

The 2011 Japan Auto Insurance Customer Satisfaction Study is based on responses from 15,074 auto insurance policyholders who have submitted an accident claim within the past two years. The study was fielded in May 2011. 

About JD Power Asia Pacific
JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide performance analytics services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected].

About JD Power and Associates
Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company providing forecasting, 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. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies. 

About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies is a leading global financial information and education company that helps professionals and students succeed in the Knowledge Economy. Leading brands include Standard & Poor’s, McGraw-Hill Education, Platts energy information services and JD Power and Associates. The Corporation has approximately 21,000 employees with more than 280 offices in 40 countries. Sales in 2010 were $6.2 billion. Additional information is available at http://www.mcgraw-hill.com.

 

Fostering Customer Trust and Providing Reassurance Are Key to Improving Satisfaction with Auto Accident Claim Response

2011-08-22

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TOKYO: 23 August 2011 — Reassuring customers who report an auto insurance claim is key to elevating satisfaction with the auto claims experience, according to the JD Power Asia Pacific 2011 Japan Auto Insurance Claims Satisfaction Study.^SM 

The study measures customer satisfaction with accident claim response of auto insurance companies by examining three factors that contribute to overall satisfaction with auto insurance claims: payment of insurance benefits (41%), responsiveness to accident claims (32%), and progress reports/case resolution (27%). Overall satisfaction scores are calculated based on customer evaluations of multiple subcategories under each of these factors (based on a 1,000-point scale). 

The study finds that, when an accident claim is submitted, the following four responses improve customer satisfaction overall: telephone calls to report an accident were not transferred to another person; contact from a representative came no more than one hour after reporting an accident; an explanation was provided outlining the procedure up through case resolution; and the claim representative used caring and reassuring words when speaking with the customer. 

The study also finds that customer satisfaction declines when case resolution takes more than one month. However, even when claim resolution takes a long time, if insurance providers provide the four key responses, customer satisfaction increases and a greater percentage of policyholders are likely to renew policies with their current insurers. 

In addition, policy renewal rates differ by more than 10 percent between highly satisfied customers and customers with low levels of satisfaction with claim response. 

“Low levels of satisfaction with accident claim response are connected to customer churn,” said Chie Numanami, manager at JD Power Asia Pacific, Tokyo. “By responding to customers quickly, accurately, and kindly when submitting an accident claim, customers are given a sense of reassurance and trust. This raises satisfaction levels and is important in retaining customers.” 

AIU ranks highest for the third consecutive year in overall satisfaction with claim response, achieving a score of 732 and performing particularly well in all three factors. Following AIU in the rankings are Fuji Fire & Marine Insurance (700), Sony Assurance (691), and American Home Assurance and Mitsui Sumitomo Insurance, in a tie (689 each). 

The 2011 Japan Auto Insurance Claims Satisfaction Study is based on responses from 8,442 auto insurance policyholders who have submitted an accident claim within the past two years. The study was fielded in May 2011. 

About JD Power Asia Pacific
JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide performance analytics services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected].

About JD Power and Associates
Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company providing forecasting, 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. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies. 

About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies is a leading global financial information and education company that helps professionals and students succeed in the Knowledge Economy. Leading brands include Standard & Poor’s, McGraw-Hill Education, Platts energy information services and JD Power and Associates. The Corporation has approximately 21,000 employees with more than 280 offices in 40 countries. Sales in 2010 were $6.2 billion. Additional information is available at http://www.mcgraw-hill.com.

 

Fixed Broadband Internet Users Also Heavily Rely on Wireless Broadband Access

2011-11-28

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TOKYO: 29 November 2011 — Subscribers to fixed broadband Internet service also rely heavily on wireless broadband service, which presents an opportunity for service providers, according to the JD Power Asia Pacific 2011 Japan Broadband Internet Service Provider Customer Satisfaction Study ^SM released today. 

The study, now in its eighth year, measures customer satisfaction with Internet service providers in two segments: FTTH (which connects through fiber-optic cable) and ADSL (which connects through phone lines). Within both segments, four segments are used to measure overall satisfaction: connection quality, cost, services offered and user support. 

The study finds that 20 percent of FTTH and ADSL fixed broadband users also use wireless broadband through devices such as mobile Wi-Fi routers, public wireless LAN, and mobile phone/smart phone tethering. In addition, more than 50 percent of these wireless broadband users (except for those that use public wireless LAN) also use wireless broadband at home. This suggests that instead of only using wireless broadband as a substitute in environments where fixed broadband cannot be used, wireless broadband is being actively used even in homes where fixed connections can be used. 

“Approximately one-half of FTTH and ADSL users have a flexible attitude about what type of broadband connection they will want to use in the future,” said Wakana Ueda, manager at JD Power Asia Pacific, Tokyo. “They are not firmly attached to the idea of using solely fixed connections. Since there are many wireless broadband service providers in the market, including mobile phone service carriers, and fixed Internet service providers are likely experiencing increased pressure from the intensifying competition.” 

The study also finds that only approximately 20 percent of FTTH users and approximately 30 percent of ADSL users are registered to use mobile broadband offered by the ISP to which they subscribe for fixed broadband, suggesting that ISPs are missing opportunities to generate revenue from wireless service usage. 

“ISPs need to employ stronger measures to raise awareness that they also offer wireless broadband as a connection service,” said Ueda. “In addition, ISPs should consider providing bundled pricing for multiple connection types, and otherwise demonstrate to customers the benefits of unifying Internet connection services. These actions will become increasingly vital to retaining their customers.” 

In the FTTH segment, eo HIKARI ranks highest in overall satisfaction with a score of 588 on a 1,000-point scale. The provider performs particularly well in the connection quality and cost factors. Following eo HIKARI in the segment rankings are BBIQ (581) Commufa (578). BBIQ performs particularly well in the user support factor. 

In the ADSL segment, @nifty ranks highest in overall satisfaction with a score of 552 and performs particularly well in connection quality. Plala ranks second (546) and performs particularly well in the in cost and user support factors. OCN (526) ranks third in the segment. 

The 2011 Japan Broadband Internet Service Provider Customer Satisfaction Study is based on evaluations from 5,000 FTTH subscribers and 3,000 ADSL subscribers between the ages of 18 and 64 throughout Japan. The study was fielded in September 2011. 

About JD Power Asia Pacific
JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected] 

About JD Power and Associates
Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies. 

About The McGraw-Hill Companies
McGraw-Hill announced on September 12, 2011, its intention to separate into two public companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide.  McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Indices, Platts energy information services and JD Power and Associates.  With sales of $6.2 billion in 2010, the Corporation has approximately 21,000 employees across more than 280 offices in 40 countries.  Additional information is available at http://www.mcgraw-hill.com/. 

 

Improving Hotel Staff Ability is Key to Improving Overall Satisfaction and Increasing Occupancy for Hotel Chains in Japan

2011-11-27

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TOKYO: 28 November 2011 — Focusing on improving the quality of staff service at hotel chains in Japan may result in a lift in overall satisfaction, according to the JD Power Asia Pacific 2011 Japan Hotel Guest Satisfaction Study ^SM released today. 

This study, now in its sixth year, measures hotel guest satisfaction based on seven factors: reservations, check-in/check-out, guest rooms, food and beverage, hotel services, hotel facilities, and cost and fees. Hotels are evaluated in four segments, which are based on the room rate per night and/or the surface area of the room space. 

The study finds that overall satisfaction with the hotel industry has improved in 2011, compared with 2006, when this study began. In particular, satisfaction with guest rooms and food and beverage has improved. 

“There are several elements that have contributed to this increase in satisfaction,” said Chie Numanami, manager at JD Power Asia Pacific, Tokyo. “During the past six years, foreign luxury hotels and accommodation-only hotels—those that provide only what is necessary—have opened one after another. Due to an increase in demand for in-room Internet and a shift to digital TV, many hotels have updated in-room equipment. Hotels also began to compete by providing substantial breakfasts with a large variety of foods.” 

Among hotels in the ¥35,000 or more per night, ¥15,000 to less than ¥35,000 per night, and ¥9,000 to less than ¥15,000 per night segments, there has been considerable improvement in satisfaction with furniture and hardware in guest rooms during the past six years. However, given the recent economic environment, very few hotel chains are in a position to actively invest in hardware and product, so there is a limit to these improvements in satisfaction resulting from higher quality of furnishings. 

Hotel chains in the less than ¥9,000 per night segment have improved the quality of guest rooms and breakfast during the past six years, but guest satisfaction levels among these hotels have stagnated. In particular, satisfaction with guest rooms has declined in this segment, which has led to further price competition through the offering of free breakfast and services. 

“Providing sophisticated and comfortable guest rooms and extensive breakfasts at a low price was revolutionary at the time, and helped hotels expand business, but now these concepts are flooding the market and are becoming commoditized,” said Numanami. “As a result, they are no longer a factor that will continue to lead improvements in guest satisfaction in the future. In short, for hotels in all price ranges, hardware and product enhancements are not likely to lead to notable improvements in satisfaction.” 

The study finds that satisfaction with hotel staff has not improved significantly in any segment during the past six years. 

“The quality of hotel staff is one of the factors that largely affects guest satisfaction, so now when major investments in hardware and product are expected to be difficult, in order to overcome this, it is necessary to improve the customer relations ability of hotel staff, and there is much room for improvement,” said Numanami. “Hotel staff and guests come into contact not only at check-in and check-out, but also at restaurants, in the lobby, and in passing within the hotel, and there is a difference of more than 100 points in satisfaction levels between guests who say staff always greets them with a smile and guests who say this was not always the case.” 

The study also finds that guests with high levels of satisfaction are nearly three times as likely as less-satisfied guests to say they want to stay in a particular hotel again. Increasing guest satisfaction and producing repeat guests is largely affected by not only hardware, but also staff ability and service levels. 

“The quality of guest relations is essential for improving staff service levels,” said Numanami, “Staff service is likely to become an increasingly important element in improving guest satisfaction and expanding hotel business.” 

Guest satisfaction rankings for each segment are as follows: 

¥35,000 or More per Night Segment
Among the 10 hotel chains ranked in this segment, The Ritz-Carlton ranks highest for the sixth consecutive year with an overall score of 776 on a 1,000-point scale. The Ritz-Carlton performs particularly well in the reservations, check-in/check-out, guest rooms, food and beverage, and hotel facilities factors. Following The Ritz-Carlton in the segment rankings are the Imperial Hotel (760) and Hotel Okura (734). Hotel Okura performs particularly well in the hotel services factor. 

¥15,000 to Less than ¥35,000 per Night Segment
Among the 18 hotel chains ranked in this segment, Royal Park Hotels ranks highest for a fifth consecutive year and achieves a score of 723. Royal Park Hotels performs particularly well in the check-in/check-out, guest rooms, food and beverage, hotel facilities and cost and fees factors. Following in the segment rankings are Associa Hotels & Resorts (Hotel Associa) (703) and Hilton (701). 

¥9,000 to Less than ¥15,000 per Night Segment
Among the 16 hotel chains ranked in this segment, Richmond Hotels ranks highest for a sixth consecutive year and achieves a score of 685s. Richmond Hotels performs particularly well in the reservations, check-in/check-out, and guest rooms factors. Following in the segment rankings are Mitsui Garden Hotel (676) and Best Western (665). 

Less than ¥9,000 per Night Segment
Among the 12 hotel chains ranked in this segment, Super Hotel ranks highest with an overall score of 655 points. Super Hotel performs particularly well in the check-in/check-out, guest rooms, and cost and fees factors. Dormy Inn ranks second in the segment with a score of 653 and performs particularly well in the guest rooms, breakfast, hotel services, and hotel facilities factors. Comfort ranks third in the segment (643). 

The 2011 Japan Hotel Guest Satisfaction Study is based on responses from 21,639 guests 18 years of age and older who had a hotel stay within the previous year. The study was fielded in August 2011. 

About JD Power Asia Pacific
JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected] 

About JD Power and Associates
Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies. 

About The McGraw-Hill Companies
McGraw-Hill announced on September 12, 2011, its intention to separate into two public companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide.  McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Indices, Platts energy information services and JD Power and Associates.  With sales of $6.2 billion in 2010, the Corporation has approximately 21,000 employees across more than 280 offices in 40 countries.  Additional information is available at http://www.mcgraw-hill.com/. 

 

A Growing Percentage of Japanese Consumers Are Turning to Agencies To Purchase Life Insurance

1970-01-01

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TOKYO: 7 March 2012 — While the main sales channel for life insurance in Japan remains direct sales by insurance companies, a growing percentage of consumers are using agencies to buy their life insurance, according to the JD Power Asia Pacific 2012 Japan Life Insurance Contract Customer Satisfaction Study^SM.

The study, now in its second year, measures satisfaction among consumers who purchased a new life-insurance contract or renewed contracts within the past 12 months. Overall customer satisfaction with life insurance contracts is based on four factors: customer service, procedures and documentation, premium, and products offered.   

The percentage of consumers purchasing new life-insurance policies through an agent in 2011 was 29 percent, up from 18 percent in 2010. Among consumers utilizing an agency to purchase life insurance, 38 percent did so to purchase medical benefit insurance, up from 23 percent in 2010. In comparison, 42 percent of consumers who utilized a direct channel purchased medical benefit insurance.

In addition, the study finds that 32 percent of consumers with life support insurance utilizing agency and 36 percent of consumers with medical benefit insurance utilizing agency switched insurance companies.

Earthquake prompts young men to take out policy

Among respondents who say they purchased insurance, 5 percent opted for life support insurance and 6 percent chose medical benefit insurance as a result of the Great Quake. In addition, among consumers who purchased life insurance after the earthquake, an unusually high proportion (approximately 20%) were men in their 20s in the life support insurance and in the medical benefit insurance segment.

“A surprisingly high percentage of the young men who purchased insurance said the Earthquake had prompted them to consider taking out a life insurance policy,” said Ryutaro Nakao, manager at JD Power Asia Pacific, Tokyo. “Based on comments we received in the study, the natural disaster caused younger consumers to think about preparing for an unanticipated event, or to get their matters in order for the sake of their family.”

The study finds that it was not just younger consumers who were affected by the Great East Japan Earthquake.  Approximately 80 percent of policy carriers added special provisions–specific coverage added as an option to the primary life insurance policy–because of the earthquake, an increase of 10 percent compared with the industry average. Among special provisions that were added by the person who say they purchased insurance as a result of earthquake, “death benefit” or “income benefit” to life support insurance and “hospitalization and medical treatment special provision” or “income benefit” to medical benefit insurance were higher than the industry average.

“This suggests that the earthquake prompted consumers to take out policies intended to hedge the risk with enhanced income benefits,’ said Nakao.  

Highest-Ranked Insurance Providers

Prudential Life Insurance ranks highest in customer satisfaction among providers in the life support insurance segment for a second consecutive year with an index score of 687 on a 1,000-point scale. Sony Life Insurance (674) and AXA Life Insurance (651) follow Prudential Life Insurance in the segment rankings.  

Mitsui Sumitomo Aioi Life Insurance ranks highest in the medical benefit insurance segment with an index score of 674. Tokio Marine & Nichido Life Insurance (666) and Sony Life Insurance (662), rank second and third, respectively.   

Sony Life Insurance ranks highest in the asset building insurance segment with an index score of 685. American Family Life Insurance Company of Columbus (Aflac) ranked second in the segment with a 657, followed by Dai-ichi Life Insurance (651).

The JD Power Asia Pacific 2012 Japan Life Insurance Contract Customer Satisfaction Study is based on responses from 9,868 that purchased new life insurance contracts or renewed contracts in 2011. The study was fielded in December 2011.

About JD Power Asia Pacific

JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected]

About JD Power and Associates

Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction.  The company’s quality and satisfaction measurements are based on responses from millions of consumers annually.  For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

McGraw-Hill announced on September 12, 2011, its intention to separate into two public companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Indices, Platts energy information services and JD Power and Associates. With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

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 and Associates. www.jdpower.com/corporate

 

Understanding of Life Insurance Policy Details at the Time of Purchase Decreases the Likelihood of Cancellation

1970-01-01

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TOKYO: 21 March 2012 — Among customers for which two years or more have passed since the purchase of life insurance, policy cancellation intent differs according to differences in understanding of policy details at the time of purchase, according to the JD Power Asia Pacific 2012 Japan Life Insurance After Contract Customer Satisfaction Study^SM released today.

The inaugural study measures customer satisfaction with the life insurance company and agent with the life insurance purchase and post-purchase process two years after they purchased their life insurance policy, but have not yet renewed their policy or filed a claim in the past 12 months.  

The study finds that approximately 20 percent of policyholders indicate intent to cancel their contracts or “cancellation intent.” The proportion of policyholders indicating cancellation intent ranges from 5 percent to 27 percent, depending on the insurance company, which indicates an approximately five-fold difference in the risk of customer switching. This difference in cancellation intent is largely attributable to differences in policyholder understanding of their policy details at the time of policy purchase. For example, customers who understand the terms and details of their policy are less likely to cancel their policy compared to customers who do not fully understand their policy at the time of purchase.

“In addition, cancellation intent tends to increase five or more years after purchase,” said Ryutaro Nakao, manager at JD Power Asia Pacific, Tokyo. “The finding that cancellation intent doesn’t increase even five years after policy purchase among policyholders who thoroughly understand policy details indicates that providing easy-to-understand explanations of insurance at the policy purchase stage is a prerequisite for preventing customer switching.”

At the same time, even when policyholders do not fully understand the policy at the time of purchase, insurance companies and agencies have an opportunity to recover.  For example, when an insurance company contacts the customer after purchase to explain the details of the policy and reduce the likelihood of cancellation intent.  The proportion of customers who say that they thoroughly understand the contract period and coverage amount is 10 percent higher among those who received an explanation of policy details compared with those who did not receive an explanation. In addition, customers who received an explanation concerning claims indicate higher understanding of the claim methods and procedures.

Currently, many insurance companies are bolstering policy explanation activities during customer visits, and approximately 20 percent of the customers indicate that they have received explanations in visits from insurance company representatives during the past year. However, understanding of claim conditions and procedures remains low, even among customers who received such explanations, as only 8 percent of customers actually received information about claim procedures.

“The provision during visit activities by insurance company representatives of in-depth explanations of details on when and how policyholders can make claims deepens policyholder understanding of insurance and is key to increasing trust and loyalty toward insurance companies,” said Nakao.
 
The 2012 Japan Life Insurance After Contract Customer Satisfaction Study includes responses from 6,634 policyholders. The Internet study was fielded in December 2011.

About JD Power Asia Pacific JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected]

About JD Power and Associates

Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction.  The company’s quality and satisfaction measurements are based on responses from millions of consumers annually.  For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

McGraw-Hill announced on September 12, 2011, its intention to separate into two public companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Indices, Platts energy information services and JD Power and Associates. With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

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 and Associates. www.jdpower.com/corporate

 

Consumers Who File a Life Insurance Claim More Likely to Switch Carriers or Contracts Than Those Who Haven’t Filed a Claim

1970-01-01

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TOKYO: 14 March 2012 — Forty percent of consumers who file a life insurance claims indicate that they are considering switching insurance providers or their insurance contract with their current provider, according to the JD Power Asia Pacific 2012 Japan Life Insurance Claim Customer Satisfaction Study^SM.

The study, now in its second year, measures satisfaction with insurance companies in the area of claim processing by examining three factors: claim support, settlement and claim filling process.  Among the three factors, claim support has the greatest impact on overall satisfaction.

Consumers who file a claim are 1.5 times more likely to switch insurance providers or their contract with their current provider than those who did not file a claim. However, only 30 percent “highly satisfied” consumers indicate an intention to switch, compared with 50 percent who were less satisfied.    

The study finds that 80 percent of consumers who filed a life insurance claims also held contracts with insurance companies other than the one with which they filed the claim.

“This shows that filing a claim for insurance disbursement is highly likely to be the catalyst for rethinking the insurance needs,” said Ryutaro Nakao, manager at JD Power Asia Pacific, Tokyo. “Therefore, it is vital for the insurance company to provide a highly satisfying experience for their customers during the claim process, in order to reduce the likelihood of switching.”

Among customers who claimed an insurance disbursement, satisfaction for those that filed a life support insurance claim increased 30 index points to 607 (on a 1,000-point scale) compared with the 2011 study, while satisfaction for those that filed a medical benefit claim increased 29 points to 647.
 
Since the Great East Japan Earthquake in March 2011, life insurance companies have implemented procedures to expedite disbursement payments.  Since those processes were put in place, the percentage of consumers who received a disbursement payment within one week of filing their insurance claim increased to 29 percent from 23 percent in 2011, while those receiving disbursement within one week for a life support claim rose to 35 percent from 26 percent in 2011.  

“The time it takes to get a disbursement payment is crucial to customer satisfaction.  Insurance companies, on average, have gotten more prompt in making the payments,” said Ryutaro.  “Because consumers’ expectations have changed, life insurance companies need to continue to provide prompt payments in order to maintain a high level of customer satisfaction.”  

Sony Life Insurance ranks highest among the 10 insurance companies included in the life support insurance segment with a score of 645.  American Life Insurance Company (MetLife Alico) ranks second with a score of 631 and American Family Life Assurance Company of Columbus (Aflac) ranks third with 618

Among the 20 insurance companies included in the medical benefits segment, The Prudential Life Insurance ranks highest for the second consecutive year with a score of 719. Following in the rankings are Sony Life Insurance (698 points) Fukoku Mutual Life Insurance (673 points).

The 2012 Life Insurance Claim Customer Satisfaction Study includes responses from 7,549 policyholders who filed claims for life insurance benefits during the past year. The study was fielded in November 2011.

About JD Power Asia Pacific

JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected]

About JD Power and Associates

Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction.  The company’s quality and satisfaction measurements are based on responses from millions of consumers annually.  For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

McGraw-Hill announced on September 12, 2011, its intention to separate into two public companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Indices, Platts energy information services and JD Power and Associates. With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

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 and Associates. www.jdpower.com/corporate

 

Overall Customer Satisfaction with the New-Vehicle Sales Process Declines; Nearly One-Third of Hybrid Vehicle/Electric Vehicle Buyers Are Dissatisfied with Fuel Efficiency

1970-01-01

jdp-root

TOKYO: 28 August 2012 — Customer satisfaction with the new-vehicle sales process at automotive dealerships in Japan has declined during the past year, according to the JD Power Asia Pacific 2012 Japan Sales Satisfaction Index (SSI) Study^SM released today.

The 2012 study, now in its 11th year, finds that fuel efficiency is the most frequently cited factor in choosing a new-vehicle, mentioned by 48 percent of owners, which indicates an increase in awareness of vehicle fuel efficiency and overall economy. In comparison, 46 percent of consumers cited fuel efficiency as a purchase factor in 2008, when manufacturer reliability and vehicle design (each 55%) were the most-frequently cited purchase decision factors. In 2012, manufacturer reliability (45%) and vehicle design (41%) are the second and third most frequently cited purchase decision factors, respectively.

A comparison of post-purchase dissatisfaction with fuel efficiency by vehicle type shows that 29 percent of hybrid vehicle/electric vehicle (HV/EV) buyers indicate that their fuel efficiency is lower than expected, compared with just 21 percent of owners of non-HV/EVs.

“Hybrid vehicle and electric vehicle buyers show a strong tendency of dissatisfaction, based on the gap between expected fuel efficiency and actual fuel efficiency,” said Taku Kimoto, executive director of the automotive division at JD Power Asia Pacific. “Automakers and dealers need to carefully manage buyer expectations regarding fuel efficiency from their new HV or EV, which may vary greatly, depending on driving conditions.”

Furthermore, the study compares dissatisfaction with fuel efficiency among all who purchased a new-vehicle. The study finds 22 percent of HV/EV buyers whose previous vehicle was an HV/EV indicate dissatisfaction with fuel efficiency, compared with 30 percent of buyers whose previous vehicle was not an HV/EV. Conversely, there is no major change in the percentage of non-HV/EV buyers indicating dissatisfaction with the fuel efficiency of their newly purchased vehicle, compared with previous vehicle type purchased.  

The study finds that a higher proportion of HV/EV buyers than non-HV/EV buyers received an explanation of eco-friendly driving suggestions from their salesperson when they purchased their vehicle. Satisfaction with fuel efficiency among buyers who received suggestions from their salesperson is higher than among buyers who did not receive suggestions from their salesperson.

“HV/EVs have just begun to become prevalent in Japan, as 89 percent of buyers who purchased these types of vehicles in the past year did not previously own an HV/EV,” said Kimoto. “For this reason, a dealer’s sales process that ensures first-time HV/EV buyers understand actual fuel efficiency is essential. It is vital to provide easy-to-understand explanations that include case examples about fuel efficiency–the matter of highest concern to those who purchase HV/EVs–and to manage customer expectations about fuel efficiency.”

The study measures customer satisfaction with the sales process at automotive dealerships based on five factors that contribute to overall satisfaction. In order of importance, they are: salesperson (33%); purchase condition (25%); sales system/process (19%); facility (13%); and product exhibit (11%). Sales service performance is reported as an index score based on a 1,000-point scale.

Overall sales satisfaction averages 604 index points in 2012. In the luxury brand segment, Lexus ranks highest with a score of 720 points, 35 points higher than the segment average. Lexus performs particularly well in the sales system/process, facility and product exhibit factors.

Mercedes-Benz (709) ranks second in the luxury segment, performing well in the salesperson and purchase condition factors. Volvo (668) ranks third, followed by BMW (659) and Audi (653).

In the mass-market brand segment, Volkswagen ranks highest with a score of 642 and performs well across all factors. MINI (618) ranks second and performs well in the product exhibit factor. Nissan (612) ranks third, followed by Mitsubishi (607) and Daihatsu (606).

The 2012 Japan Sales Satisfaction Index (SSI) Study measures customer satisfaction with the dealer where they purchased their new passenger vehicle. The study is based on responses from 7,056 domestic and import vehicle owners after an average of two to eight months of ownership. The online survey was fielded from late May to mid-June 2012.

The Japan Sales Satisfaction Index (SSI) Study is one of 8 consumer-based benchmark studies conducted by JD Power Asia Pacific in Japan. Other 2012 studies conducted by JD Power Asia Pacific include:

• The 2012 Japan Winter Tire Customer Satisfaction Index Study, which measured overall customer satisfaction on winter tire, which was released in late May.
• The 2012 Japan Initial Quality Study (IQS), which measures problems experienced by new-vehicle owners during the first two to nine months of ownership, will be released in late August.
• The 2012 Japan Customer Satisfaction Index (CSI) Study, which measures overall customer satisfaction with service performed at automotive dealer facilities, which will be released in late September.
• The 2012 Japan Automotive Performance, Execution and Layout (APEAL) Study, which measures what excites and delights owners about their new-vehicle’s performance and design during the first two to nine months of ownership, will be released in late September.
• The 2012 Japan Original Equipment Tire Satisfaction Study, which measures customer satisfaction on original equipment tires, will be released in October.
• The 2012 Japan Navigation Systems Customer Satisfaction Index Study, which measures customer satisfaction on OEMs and aftermarket navigation system, will be released in October.
• The 2012 Japan Replacement Tire Satisfaction Study, which measures customer satisfaction on replacement tires, will be released in November.

About JD Power Asia Pacific

JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected]

About JD Power and Associates

Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction.  The company’s quality and satisfaction measurements are based on responses from millions of consumers annually.  For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

McGraw-Hill announced on September 12, 2011, its intention to separate into two companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts energy information services and JD Power and Associates. With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

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 and Associates. www.jdpower.com/corporate

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Owners Who Have Downsized Their Vehicle Seek Fuel Economy, but Are Uncompromising on Exterior Styling and Performance

1970-01-01

jdp-root

TOKYO: 27 September 2012 — New-vehicle owners who downsize to smaller vehicles in favor of better fuel economy or vehicle maintenance costs rate their vehicles as less appealing, particularly in the areas of exterior styling and vehicle dynamics, than owners who replace vehicles within the same segment, according to the JD Power Asia Pacific 2012 Japan Automotive Performance, Execution and Layout (APEAL) Study.^SM

The study, now in its second year, measures what gratifies owners with vehicle performance and design during the first two to nine months of ownership. Overall APEAL scores are based on 95 owner evaluations grouped into 10 categories of vehicle performance. The categories are: exterior; interior; storage and space; audio/entertainment/navigation; seats; heating, ventilation, and air conditioning (HVAC); dynamics (driving performance); engine/transmission; visibility and driving safety; and fuel economy.

In 2012, the overall industry APEAL index score averages 691 points on a 1,000-point scale, three points higher than in 2011. The segment averages for the compact and mini-car segments, which account for 56 percent of industry market share, are 12 points and 29 points, respectively, below the industry average.

The study finds that APEAL scores are lower among owners who downsized to a smaller vehicle compared with buyers who purchased within the same segment. While those who downsized account for approximately 30 percent of all respondents in the study, they comprise 43 percent and 38 percent of midsize and compact segment owners in the study, respectively. Owners who downsized from a larger vehicle account for 28 percent of the respondents in the mini-car segment.

More than 80 percent of owners who downsize indicate that maintenance costs and fuel economy were important considerations for them at the time of purchase, compared with approximately 70 percent of buyers who purchased within the same segment as their previous vehicle. Although APEAL scores for fuel economy are 30 points higher among owners who downsize than same-segment buyers, the overall APEAL score of buyers who downsize is 15 points lower.

In addition, although downsizing and same-segment buyers place approximately the same importance on exterior styling and driving dynamics at the time of purchase, satisfaction scores provided by buyers who downsize in these categories are 17 and 24 points lower, respectively.

“Although buyers who downsize to smaller cars in pursuit of fuel economy or lower maintenance costs are satisfied with the fuel economy they’re getting, from the perspective of overall vehicle appeal, their satisfaction with exterior styling and dynamic performance shows notable room for improvement,” said Atsushi Kawahashi, senior director of the automotive division at JD Power Asia Pacific, Tokyo. “Buyers often judge their vehicle based on their previous ownership experiences, so it is critical for automakers to fully understand the expectations today’s consumers have for fuel efficiency, as well as styling and handling, and reflect those perspectives in their product development and marketing.”

The study finds that owners who are highly satisfied with their new vehicle also have strong intentions to recommend their vehicle to others. The proportion of owners who indicate that they “definitely will” recommend their vehicle to friends and acquaintances is 25 percent among owners who find their purchased vehicle highly appealing, or those whose overall APEAL scores are among the top 25 percent in overall APEAL score (794 points or higher). The proportion decreases to just 9 percent among owners whose overall APEAL scores are in the second-highest 25 percent (score between 691 and 793 points).

Other key findings include:

• Vehicle exterior continues to be the most important factor contributing to vehicle appeal, comprising approximately 25 percent of the total APEAL score in all five vehicle segments.
• Fuel economy receives the highest ratings in the mini-car, compact, and midsize segments, while vehicle exterior receives the highest scores in the large and minivan segments.

2012 APEAL Ranking Highlights

Lexus ranks highest with an overall APEAL score of 803 points. Mercedes Benz (789) ranks second, and BMW (771) ranks third.

The rankings in the four award segments include:

• Honda N BOX ranks highest in the mini-car segment, followed by Daihatsu Mira Cocoa and Daihatsu Move Conte rank second in a tie.
• Volkswagen Polo ranks highest in the compact segment, followed by Nissan Juke and Nissan Cube, respectively.
• Lexus CT200h ranks highest in the midsize segment, followed by Volkswagen Golf/Golf Cabriolet/Golf Variant and Mazda Axela, respectively.
• Nissan Elgrand ranks highest in the minivan segment, followed by Toyota Alphard and Toyota Vellfire, respectively.

The 2012 Japan Automotive Performance, Execution and Layout (APEAL) Study^SM is based on responses from 10,758 purchasers of new vehicles in the first two to nine months of ownership. The study includes 16 automotive brands and 97 models and ranks models with sample size of 100 or more usable returns. The study was fielded from late May to early June 2012.

The Japan Automotive Performance, Execution and Layout (APEAL) Study is one of eight consumer-based benchmark studies conducted by JD Power Asia Pacific in Japan. Other 2012 studies conducted by JD Power Asia Pacific include:

• The Japan Winter Tire Customer Satisfaction Index Study was released in late May 2012
• The Japan Initial Quality Study (IQS), which measures problems experienced by new-vehicle owners during the first two to nine months of ownership, was released in late August 2012.
• The Japan Sales Satisfaction Index (SSI) Study, which measures satisfaction with the new-vehicle sales process, was released in late August 2012.
• The Japan Customer Satisfaction Index (CSI) Study, which measures overall customer satisfaction with service performed at automotive dealer facilities, was released in late September 2012.
• The Japan Original Equipment Tire Satisfaction Study will be released in October.
• The Japan Navigation Systems Customer Satisfaction Index Study, which measures customer satisfaction with original equipment and aftermarket navigation systems, will be released in October 2012.
• The Japan Replacement Tire Satisfaction Study will be released in November 2012.

About JD Power Asia Pacific

JD Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding JD Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: [email protected]

About JD Power and Associates

Headquartered in Westlake Village, Calif., JD Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction.  The company’s quality and satisfaction measurements are based on responses from millions of consumers annually.  For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. JD Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies

McGraw-Hill announced on September 12, 2011, its intention to separate into two companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial’s leading brands include Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts energy information services and JD Power and Associates. With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

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 and Associates. www.jdpower.com/corporate

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