Category: United States

Drastic Changes to Commuting Habits Have Minimal Effect on Sentiment about Battery-Electric Vehicle and Self-Driving Technologies, JD Power and SurveyMonkey Find

2020-10-26

jillian.breska

Many vehicle owners in North America are driving fewer miles in the era of COVID-19, but their opinions of future mobility technology haven’t changed much since the first quarter of 2020. However, many automakers are investing heavily in electrification and self-driving technology despite an absence of substantive consumer interest in either, according to the JD Power 2020 Q3 Mobility Confidence Index Study fueled by SurveyMonkey released today.

The Mobility Confidence Index for battery-electric vehicles remains neutral, decreasing among American drivers to 54 from 55 (on a 100-point scale) while increasing among Canadian drivers to 58 from 57. For self-driving vehicles, the index is still low, slipping to 34 from 35 in the United States, while holding steady at 36 in Canada.

“Automakers took a step back once the COVID-19 pandemic hit, disrupting supply chains and slowing production,” said Kristin Kolodge, executive director of driver interaction & human machine interface research at JD Power. “With so many more people working from home or making shorter commutes, this is an opportunity to further tout the benefits of battery-electric vehicles and self-driving technologies. However, consumers remain skeptical because of their lack of first-hand experience with these technologies and lack of education about how and why these technologies work. Until auto manufacturers can rectify this, adoption will continue to be an uphill battle.”

The study is the pulse of market readiness and acceptance for battery-electric and self-driving vehicles, as seen through the eyes of consumers and industry experts. The 2020 Q3 study includes insights from the United States and Canada. JD Power is joined by global survey software company SurveyMonkey to conduct the study in which more than 8,500 consumers and industry experts gave their opinions about battery-electric vehicles and nearly 9,000 answered about self-driving vehicles. The survey was fielded in September 2020.

Following are key findings about battery-electric vehicles:

• Rising expectations for driving range and time to charge present a challenge: More U.S. consumers are expressing a desire for battery-electric vehicles to have a greater range, while having less patience to wait for their vehicle to charge. More than three-fourths (78%) of respondents expect a range of 300 miles or more, up three percentage points from 2019 Q3. The percentage of U.S. respondents willing to wait only 15 minutes or less to charge the vehicle to travel 200 miles has increased to 45% from 41% in 2019 Q3. Nearly four in five (79%) Canadians express a driving range preference of 450 kilometers or more, while 47% are willing to wait only15 minutes or less to charge the vehicle to travel about 300 kilometers.
• Experience with battery-electric vehicles remains low: More than two-thirds of U.S. and Canadian consumers surveyed (69% and 68%, respectively) still say they have never been in a battery-electric vehicle, with a significant percentage admitting they know nothing at all about them (31% among U.S. consumers and 22% among Canadian consumers). For American consumers who have never been in an electric vehicle, 62% have a very low to no likelihood to purchase or lease one. Canadian consumers are slightly more receptive, with 51% of those who have never been in an electric vehicle saying they have very low to no likelihood to purchase or lease one.

“Right now, there are about 50 battery-electric vehicle models scheduled for a U.S. debut by the end of 2022. In that same two-year period, only 13% of the consumers we polled expect to buy one while 30% stated they have no intention to ever consider buying one,” Kolodge said. “Automakers need to figure out a way to get people into these types of vehicles to increase consideration.”

Following are key findings about self-driving vehicles:

• Prospects for self-driving vehicles are worse: More than one-third (38%) of industry experts say the prospects for self-driving vehicles have worsened during the past three months. This is the highest number since the start of this tracking study in 2019 Q2. This shift is directly attributed to COVID-19, with one expert saying, “Worldwide pandemic has shifted focus on innovation to shorter term and battery-electric offers. This has delayed development of self-driving systems.”
• Consumers’ comfort level depends on their usual transportation mode: Excitement/readiness for riding in a self-driving vehicle varies widely based on consumers’ current usual mode of transportation. In the United States, only 14% of people who drive a personal vehicle feel comfortable riding in a self-driving car, compared with 22% who take public transportation. In Canada, the relative percentages are 13% and 26%. However, excitement to use self-driving public transit has dipped one percentage point in the United States—and is down two percentage points in Canada—since 2020 Q1.
• Gaining consumer trust is top challenge: According to 31% of experts, gaining consumer trust and acceptance is the leading challenge to the adoption of self-driving vehicles this quarter, overtaking technical feasibility. Top concerns cited by U.S. and Canadian consumers are technology failures or errors (68% among Americans and 73% among Canadians) and the possibility of the vehicle being hacked (56% among Americans and 58% among Canadians). One consumer noted, “We’ve already had deaths by driverless vehicles. How many will it take before we realize that giving control to a computer programmed by a human, whose motivations we don’t know, is probably not a great idea?”

“At the outset of the pandemic, there was uncertainty on the implications of consumer preferences, but the data tell us that attitudes on self-driving and electric vehicles have not changed,” said Jon Cohen, chief research officer at SurveyMonkey. “We continue to see that younger American have the most positive views of both self-driving and electric vehicles. Canadians also continue to have more positive views than Americans.”

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

SurveyMonkey (NASDAQ: SVMK)is a leader in agile software solutions for customer experience, market research, and survey feedback. The company’s platform empowers over 17 million active users to analyze and act on feedback from employees, customers, website and app users, and market research respondents. SurveyMonkey’s products, enterprise solutions, and integrations enable more than 335,000 organizations to deliver better customer experiences, increase employee retention​, and unlock growth and innovation. Ultimately, SurveyMonkey’s vision is to raise the bar for human experiences by amplifying individual voices.

Media Relations Contacts
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
Shane Smith; East Coast; 424-903-3665; [email protected]
Sandra Gharib, SurveyMonkey; [email protected]

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

 

 

Reasons Shift for Purchasing or Upgrading Home Security System, JD Power Finds

2020-10-27

jillian.breska

As consumers’ want for the latest and greatest in technology increases, they look to home security providers to deliver. Simultaneously, COVID-19 caused a higher at-home presence resulting in a shift of home security usage, according to the JD Power 2020 Home Security Satisfaction Study,^SM released today.

“The home security industry continues to be extremely competitive, and the pandemic has presented additional opportunities for providers to differentiate,” said Christina Cooley, director, home improvement and automation intelligence at JD Power. “Almost one-fourth of respondents indicate COVID-19 was the primary reason for getting a new or upgraded system. With the shift in purchase drivers, we see a shift in usage behaviors, including an increase in exterior home self-monitoring.

“There also have been challenges for the industry this year. Some customers are engaging with their systems less, while others have had concerns with the effectiveness of their professional monitoring service as COVID-19 created issues in how home security providers support their customers. Ultimately, all these drivers led to relatively flat customer satisfaction compared with 2019.”

Study Rankings

In the professionally installed security system segment, AT&T Digital Life ranks highest in customer satisfaction with a score of 878. Vivint Smart Home (847) ranks second and Brinks Home Security (842) ranks third.

In the DIY installed security system segment, SimpliSafe ranks highest with a score of 899. Ring Alarm (882) ranks second.

This year’s study measures customer satisfaction with home security systems based on six factors: billing and payment; customer service; price; professional monitoring; purchase and installation; and quality of home security system.

The 2020 Home Security Satisfaction Study^SM is based on responses from 3,461 customers and was fielded July through September 2020. To participate in the study, customers are required to have a professionally monitored system which has been installed by the system provider (professionally installed) or self-installed (DIY installed).

For more information on the JD Power Home Security Satisfaction Study, visit https://www.jdpower.com/business/resource/home-security-satisfaction-study

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
John Roderick; East Coast; 631-584-2200; [email protected]

 

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

 

 

Vehicle Sales Rise for Second Consecutive Month; Incentives Fall Below 9% of MSRP for First Time Since 2016

2020-10-27

jillian.breska

The Retail Sales Forecast

New-vehicle retail sales for the month of October are expected to be up from October 2019, according to a joint forecast from JD Power and LMC Automotive. Retail sales for new vehicles are projected to reach 1,187,800 units, a 3.0% increase compared with October 2019 when adjusted for selling days. October 2020 contains one additional selling day over October 2019. Comparing the same sales volume without adjusting for the number of selling days translates to an increase of 6.8% year over year.

The Total Sales Forecast

Total new-vehicle sales, including retail and non-retail transactions, for the month of October are projected to reach 1,321,400 units, a 4.5% decrease from October 2019 when adjusted for selling days. Reporting the same numbers without controlling for the number of selling days translates to a decrease of 0.9% from the prior year. The seasonally adjusted annualized rate (SAAR) for total new vehicle sales is expected to be 15.9 million units, down 0.8 million units from 2019, the smallest year-over-year decline since the pandemic began.

The Takeaways

Thomas King, president of the data and analytics division at JD Power:
“Two consecutive months of year-over-year retail sales increases demonstrates that consumer demand is showing remarkable strength. The strong sales pace is occurring despite tight inventories. The combination of strong demand and lean inventories is enabling manufacturers to reduce new-vehicle incentives and is allowing retailers to reduce the discounts they typically offer on new vehicles.”

The average number of days a new vehicle sits on a dealer lot before being sold is on pace to fall to 49 days, the first time it has fallen below 50 days in more than eight years. Additionally, for the fourth consecutive month, one in five vehicles are being sold after being on a dealer lot for only five days or less.

The average incentive from manufacturers on new vehicles is on pace to be $3,678 per vehicle, a decrease of $425 from prior year and the second consecutive month below $4,000. Expressed as a percentage of the average vehicle MSRP, incentives for October are 8.7%, down 1.4 percentage points from a year ago and the first time below 9% since June 2016. For context, incentive spending peaked at $4,953 per unit in April 2020. Retailers also continue to post significant growth in margins on new-vehicle sales. Total grosses per unit, inclusive of finance and insurance income, are on pace to reach $2,224, an increase of $829 from a year ago.

—–

Average transaction prices are expected reach another all-time high, rising 7.3% to $36,755. The shift towards more expensive trucks and SUVs remains a key driver, with those two segments on pace to account for a combined 77% of retail sales compared to 73% prior year. For context, the average transaction price five years ago in October 2015 was $30,921.

Low interest rates and higher trade-in values are supporting higher transaction prices. The average interest rate for loans in October is expected to fall by 94 basis points from a year ago to 4.6%. Over the same time, the average monthly finance payment is up only $16 to $594. Concurrently, the average trade-in value has risen to $5,034 an increase of $519 or 11.5%, from a year ago. Loan terms are relatively stable with the average term up only one month, to 70 months, compared with a year ago.

The combination of elevated retail sales and average transaction prices means that consumers are expected to spend $43.7 billion on new vehicles, a record for the month of October. This represents an increase of $5.6 billion, or 14.6%, from October 2019.

—–

Looking ahead to November, progress in relieving inventory constraints, coupled with the strong underlying consumer demand means that the strong sales pace will persist. However, a quirk of the sales calendar means that headline results for November will be less impressive than for September and October. Specifically, the sales calendar for November 2020 is shorter than it was for November 2019. November 2020 has only 28 days in the sales calendar compared with 32 days in November 2019.

Sales & SAAR Comparison

U.S. New Vehicle	October 20201	September 2020	October 2019
Retail Sales	1,187,800 units (+3.0% higher than October 2019)2	1,182,342 units	1,112,380 units
Total Sales	1,321,400 units (-4.5% lower than October 2019)2	1,337,237 units	1,334,003 units
Retail SAAR	14.3 million units	14.7 million units	14.0 million units
Total SAAR	15.9 million units	16.3 million units	16.8 million units

¹ Figures cited for October 2020 are forecasted based on the first 21 selling days of the month. 
² October 2020 has 28 selling days, one more than October 2019.

The Details

• The average new-vehicle retail transaction price in October is expected to reach a record $36,755. The previous high for any month of $35,961 was set in September 2020.
• Average incentive spending per unit in October is expected to reach $3,678, down from the previous monthly record of $4,103, set in October 2019. Spending as a percentage of the average MSRP is expected to reach 8.7%, down 1.3 percentage points from a year ago.
• Average incentive spending per unit on trucks and SUVs combined is expected to be down $510 to $3,704, while the average spending on cars is expected to be down $213 to $3,572.
• Consumers are on pace to spend $43.7 billion on new vehicles, up $5.6 billion from October 2019.
• Truck/SUVs on pace to account for 76.8% of new-vehicle retail sales.
• Fleet sales are expected to total 128,500 units, down 44% from October 2019 on a selling day adjusted basis. Fleet volume is expected to account for 10% of total light-vehicle sales, down from 17% a year ago.
   

Global Outlook for October 2020

Jeff Schuster, president, Americas operations and global vehicle forecasts, LMC Automotive:
“Global light-vehicle sales posted the first year-over-year gain since December 2019 and only the second in the last 24 months. The selling rate for September was stable at 90 million units after August was revised upward. This is also the first time the SAAR has been above 90 million units since December 2019 and is a good signal the market is still on the road to recouping lost volume. In September, China was up 9% and India gained 26% from a year ago. Europe had a 5% increase, as Eastern Europe surged 15% on more than a 100% increase in Turkey.

“Global light-vehicle sales year to date through September increased three percentage points from August and are now down 19% from the same period in 2019. The strong performance in the third quarter—and expected stability in the fourth quarter—is driving the 2020 global outlook to 77 million units, a decline of 15% from 2019. Uncertainty remains elevated as several European countries have, or are considering, new lockdown measures as COVID-19 cases rise across Europe. These new restrictions are certainly a near-term headwind in the intensity of the recovery. Despite the uncertainty, 2021 is expected to improve to 86 million units, an increase of 12% from 2020.”

Media Relations Contacts
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
Emmie Littlejohn, LMC Automotive; Troy, Mich.; 248-817-2100; [email protected]

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

About LMC Automotive www.lmc-auto.com

 

 

Banks’ Response to Paycheck Protection Program Helps Drive Small Business Customer Satisfaction to Record High during Pandemic, JD Power Finds

2020-10-27

jillian.breska

Despite the strain of reduced access to branch offices, managing a dispersed workforce and administering an historic $669 billion small business loan program in a matter of weeks, U.S. banks have risen to the challenge for small business customers during the pandemic. According to the JD Power 2020 U.S. Small Business Banking Satisfaction Study,^SM released today, overall small business banking customer satisfaction has climbed to a record high this year. However, while overall performance is strong in this sector, there are some gaps, with the smaller businesses in the study having significantly lower satisfaction scores than their larger small business counterparts.

“The pandemic has created a moment of truth for small business banking customers and, by and large, their banks delivered, generating significantly improved satisfaction for problem resolution, products and fees, reputation and reliability,” said Paul McAdam, senior director of banking and payments intelligence at JD Power. “Overall, these banks have delivered when their customers needed them most. But the performance is not balanced across all small business segments. While customer satisfaction among larger small businesses has improved, the smaller businesses in our study—those with annual sales volume below $2.5 million—have seen significant declines in satisfaction. That’s a sign that many banks still need to refine their small business formulas to address this highly diverse market.”

Following are some key findings of the 2020 study:

• Small business banking customer satisfaction reaches record high: Overall satisfaction among small businesses is 822 (on a 1,000-point scale), up two points from 2019. The overall level of trust with their bank among small businesses also improves.
   
• Not all small businesses created equal: Larger small businesses (those with annual sales of $2.5-$20 million) have a nine-point increase in customer satisfaction in 2020 from 2019, but smaller businesses with annual sales of less than $2.5 million have a five-point decrease in satisfaction from a year ago. These smaller businesses indicate significantly more negative economic and business outlooks, with 19% of such businesses saying they are still temporarily closed.
   
• PPP plays big role in small business customer satisfaction: Overall, 36% of small business banking customers applied for a Paycheck Protection Program (PPP) loan through their primary bank. Customer satisfaction is significantly higher (838) when the PPP application was approved than when it was declined or still pending approval (796). Additionally, trust, advocacy and retention are significantly higher when customers are satisfied with their bank’s support related to PPP.
   
• Account managers make a difference: Small business banking customer satisfaction is significantly higher when a dedicated account manager is assigned to the business. Account managers also play a key role in driving satisfaction with PPP loans and overall pandemic response by helping customers resolve problems and address concerns.

Study Rankings

Bank of America ranks highest in the Midwest region with a score of 847, followed by Fifth Third Bank (846) and Chase (839).

Capital One ranks highest in the Northeast region with a score of 857. Chase (829) ranks second and Bank of America (828) ranks third. 

Capital One ranks highest in the South region with a score of 856. Citibank (846) ranks second and BB&T (843) ranks third.

Chase ranks highest in the West region for an eighth consecutive year, with a score of 828. Bank of America (819) ranks second.

The 2020 U.S. Small Business Banking Satisfaction Study includes responses from 7,507 small business owners or financial decision-makers at small businesses that use business banking services. The study was fielded from June through August 2020.

For more information about the U.S. Small Business Banking Satisfaction Study, visit
https://www.jdpower.com/resource/us-small-business-banking-satisfaction-study

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
John Roderick; East Coast; 631-584-2200; [email protected]

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

 

Opportunities Exist to Overcome Decline in Wireless Router Satisfaction, JD Power Finds

2020-11-03

jillian.breska

Increased instances of Wi-Fi use bring a higher probability of encountering wireless router problems, which was the case as COVID-19 forced many to work from home. According to the JD Power 2020 Wireless Router Satisfaction Report,^SM released today, overall customer satisfaction with wireless routers falls nine points (on a 1,000-point scale) from 2019, driven by declines in all 10 factors.

The 10 factors measured in the 2020 report include (in order of importance): Wi-Fi range; reliability; speed of upload/download; restore connection easily; security capabilities; price; ease of set-up; variety of features; intuitive user interface; and customer service.

“As wireless router purchases increased, ease-of-use satisfaction decreased, showing us that customers are not equipped with adequate information to install and/or troubleshoot their routers easily,” said Ian Greenblatt, technology, media & telecom intelligence lead at JD Power. “To make the process more user-friendly, manufacturers should supply customers with simple, guided instructions and links to instructional videos on installation and optimization tricks. As working from home has become a permanent situation for many, customers will look to optimize their Wi-Fi. Manufacturers that differentiate themselves with user-friendly straight-forward instructions will surely pull ahead.”

Wireless Router Satisfaction Rankings

TP-Link (866) ranks highest in customer satisfaction with wireless routers, an increase of 11 points from its score in 2019. D-Link (836) ranks second and NETGEAR (826) ranks third.

The 2020 Wireless Router Satisfaction Report, now in its sixth year, is based on responses from 1,204 current owners of wireless routers who purchased their device during the 12-month period prior to report fielding in August and September 2020.

For more information about the Wireless Router Satisfaction Report, visit https://www.jdpower.com/business/technology-media-telecom/us-wireless-router-satisfaction-report

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
John Roderick; East Coast; 631-584-2200; [email protected]

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

 

 

Mattress Customers More Interested in Comfort than Price, JD Power Finds

2020-11-03

jillian.breska

When shopping for new mattresses, consumers say comfort is a significantly higher priority than price, according to the JD Power 2020 Mattress Satisfaction Report,^SM released today.

In recognition of the growth of the mattress industry, this year’s report evaluates mattress in two categories: online mattress and retail mattress.

Purple ranks highest in customer satisfaction among online mattresses, with a score of 875. Sleep Number (859) ranks second and Ashley Sleep (857) ranks third.

Tempur-Pedic ranks highest in customer satisfaction among retail mattresses with a score of 881. Sleep Number (870) ranks second and Serta (845) ranks third.

The 2020 Mattress Satisfaction Report, now in its sixth year, measures customer satisfaction with mattress purchases based on seven factors (in order of importance): comfort; price; support; durability; warranty; variety of features; and customer service.

The report is based on responses from 2,348 customers who purchased a mattress in the 12 months prior to fielding the survey. The report was fielded August through September 2020.

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
John Roderick; East Coast; 631-584-2200; [email protected]

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

 

JD Power Announces Best Resale Value Awards for Mass Market and Luxury Vehicle Models

2020-11-03

jillian.breska

The JD Power 2020 U.S. Resale Value Awards, recognizing the best resale value across 25 model-level vehicle segments following three years of ownership, were announced today. This is the third year JD Power has given these awards, which are based transaction data using customer insights. Included in this list is the model with the best overall resale value, the GMC Sierra 3500.

“Our transaction database shows which models have the lowest depreciation costs, hence providing consumers with a key component in the total cost of ownership of the vehicle they plan to purchase or sell,” said Jonathan Banks, vice president & general manager of vehicle valuations at JD Power. “Currently, wholesale prices remain strong and we expect prices will be greater than pre-virus levels by year’s end. However, given the volatility of the market, it’s more important for consumers to factor this information into their purchase decision.”

Model-Level Resale Value Awards

Honda and Toyota receive the most model-level awards, each with five. They are followed by Lexus (four model-level awards) and Chevrolet and Dodge, each with two model-level awards. The GMC Sierra 3500 has the best resale value in the industry.

• Honda: Honda Accord; Honda Civic; Honda Fit; HR-V; and Honda Odyssey
• Toyota: Toyota 4Runner; Toyota 86; Toyota Prius v; Toyota Tacoma; and Toyota Tundra
• Lexus: Lexus GS; Lexus LX; Lexus NX; and Lexus RX
• Chevrolet: Chevrolet Corvette and Chevrolet Tahoe
• Dodge: Dodge Challenger and Dodge Charger

Other models that rank highest in their respective segments are Audi Q3, Genesis G90, GMC Sierra 3500, Infiniti Q60, Jeep Wrangler, Mercedes-Benz B–Class and Porsche Cayman.

For the 2020 award process, 270 vehicle models were evaluated using a sample of more than 592,000 transactions with an average of 2,200 data points assessed on each vehicle. The award selection process utilizes used vehicle wholesale prices, which represent how much a dealer pays for a used vehicle. These prices are then divided by the vehicle’s original purchase price. These calculations are based on wholesale records from May through September 2020 for vehicles that are three years old. For the 2020 calculation, 2017 is the applicable model year.

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler, JD Power; Costa Mesa, Calif.; 714-621-6224; [email protected]
Shane Smith; East Coast; 424-903-3665; [email protected]

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

 

Kitchen Cabinets Satisfaction at All-Time High, JD Power Finds

2020-08-11

jillian.breska

The kitchen and bath restoration industry is expected to reach $130 billion in revenue this year, so it is no small feat that customer satisfaction is at an all-time high, according to the JD Power 2020 U.S. Kitchen Cabinets Satisfaction Study,^SM released today.

“The factor with the highest satisfaction is order and delivery, which means retailers and manufacturers are doing well throughout the critical customer touch points,” said Christina Cooley, director of the @home practice at JD Power. “Unsurprisingly, as is often seen across industries, the factor with the lowest satisfaction is pricing. However, satisfaction with price increases 11points this year, meaning manufacturers and retailers are doing a better job at maximizing the value for customers through both the process and product delivered.”

Study Rankings

American Woodmark ranks highest with a score of 870, SEKTION (IKEA) ranks second with a score of 865, followed by Diamond with a score of 854.

The 2020 U.S. Kitchen Cabinets Satisfaction Study is based on responses from 1,478 customers who purchased cabinets within the previous 12 months. The study was fielded from January through March 2020.

For more information about the U.S. Kitchen Cabinets Satisfaction Study, visit https://www.jdpower.com/business/home/kitchen-cabinets-satisfaction-study

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler; JD Power; 714-621-6224; [email protected]
John Roderick; St. James, N.Y.; 631-584-2200; [email protected]

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

 

Brick-and-Mortar and Phone-Based Sales Reps Still Play Key Role in Wireless Purchase Experience, JD Power Finds

2020-08-13

jillian.breska

Despite a global pandemic that has sparked increased use of digital as well as significant efforts made by wireless providers to shift device sales into online channels, consumers still want to talk to a real person when they are buying a new device. According to the JD Power 2020 U.S. Wireless Purchase Experience Full-Service Performance Study^SM—Volume 2 and the JD Power 2020 U.S. Wireless Purchase Experience Non-Contract Performance Study^SM—Volume 2, both released today, customer satisfaction with the wireless purchase experience increases this year, driven largely by satisfying experiences with in-store and phone-based sales reps.

“Throughout the COVID-19 pandemic, the highest-volume sales channel has been in-store, though 20% of customers who purchased via phone said they went to the provider’s website first before calling to close the deal,” said Ian Greenblatt, managing director at JD Power. “Wireless carriers are doing a good job of getting customers to their websites, but struggle to convert those experiences into sales. If carriers want to optimize their online channels, they need to better evaluate the purchase journey to successfully leverage the dynamics of person-to-person interaction and translate that to the digital sales platform.”

Following are key findings of both studies:

• Overall customer satisfaction improves: Overall customer satisfaction with the wireless purchase experience improves eight points (on a 1,000-point scale) vs. a year ago, driven by improved satisfaction with the cost of service and interactions with phone-based sales representatives.
   
• Brick-and-mortar remains leading sales channel: Brick-and-mortar stores saw the highest overall volume in sales, accounting for 63% of sales among full-service customers. However, phone and online sales channels saw the largest year-over-year growth in volume, up 6% and 7%, respectively.
   
• Carriers struggle to convert online sales: Although growing numbers of wireless customers are turning to the carrier website first, they are still reaching out to a representative to make a purchase. Overall, 20% of customers who made a purchase via phone started their shopping process online.

Study Results

Among full-service carriers, T-Mobile ranks highest for a sixth consecutive volume, with a score of 863. AT&T (853) ranks second.

Among non-contract full-service carriers, Cricket ranks highest for a third consecutive volume, with a score of 860. Metro by T-Mobile (851) ranks second.

For non-contract value carriers, Consumer Cellular ranks highest for a ninth consecutive volume, with a score of 877. Straight Talk (845) ranks second.

Now in the 17th year of publication, the U.S. Wireless Purchase Experience Full-Service Performance Study and U.S. Wireless Purchase Experience Non-Contract Performance Study are based on responses from 13,368 customers who use any one of three purchase channels and evaluate the wireless purchase experience of: phone calls with sales representatives; visits to a retail wireless store; or online/website contact with sales representatives. Overall purchase experience satisfaction with both full-service and non-contract carriers is based on responses from 13,368 wireless measured in six factors (in order of importance): store sales representative; website; phone sales representative; offerings and promotions; store facility; and cost of service. Both studies were fielded from January through June 2020.

For more information about both U.S. Wireless Purchase Experience studies, visit https://www.jdpower.com/business/resource/us-wireless-purchase-experience-performance-studies

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
Geno Effler, JD Power; Costa Mesa, Calif.; 714-621-6224; [email protected]
John Roderick; Huntington, NY.; 631-584-2200; [email protected]

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

 

Customers Losing Faith in Credit Card Issuers as COVID-19 Pandemic Lingers, JD Power Finds

2020-08-17

jillian.breska

U.S. credit card customers appear to be losing faith that their card issuers will be there for them when they need it most as the COVID-19 pandemic continues to drag on consumer confidence. The JD Power 2020 U.S. Credit Card Satisfaction Study,^SM released today, finds a significant decline in key cardholder satisfaction metrics since the pandemic began.

“Through the first two months of 2020, credit card customer satisfaction was on track to set record highs,” said John Cabell, director of banking and payments intelligence at JD Power. “That all reversed course when COVID-19 entered the equation, with satisfaction, trust, advocacy and brand image attributes resulting in sharp declines in May 2020. We’re living in a moment of truth for card issuers, and results in the next few months will be key to determining whether this decline constitutes a lasting trend. Issuers’ ability to communicate proactively and work closely with customers to address their pain points and fears will be critical to their long-term viability.”

Following are some key findings of the 2020 study:

• Key cardholder satisfaction metrics plummet during pandemic: Credit card issuers were on the path to earning record high levels of customer satisfaction during the first three waves of the 2020 study, which were all conducted prior to the pandemic. Those gains were cut in the final wave of the study, with overall satisfaction falling 10 points (on a 1,000-point scale), led by declines in satisfaction with credit card terms and communications. Boosted by pre-pandemic gains, overall satisfaction for the entirety of the 2020 study results in an overall increase of just 6 points from 2019.
• Pandemic-linked declines in customer satisfaction unique to credit card issuers: JD Power has been tracking customer satisfaction and overall consumer sentiment in response to the pandemic across several industries. Among credit cardholders, the recent declines across all key metrics are unique. Satisfaction among customers of other consumer financial services, such as retail banks and primary mortgages, have improved during the pandemic.
• Affluent and financially affected customers show sharpest declines: Some of the largest declines in credit card customer satisfaction are in the affluent/mass affluent segment, in which overall satisfaction scores have declined 14 points since the beginning of the pandemic. Customers in this segment are typically some of the most financially important to credit card companies. Also, customers who have been financially affected by the pandemic have overall satisfaction that is 14 points lower than those who have not been financially affected.
• Card issuers lag banking and mortgage industry on proactive customer outreach: Just 36% of credit card customers indicate they’ve been proactively contacted by their card issuer during the past 12 months. That compares with 60% of mortgage customers and 48% of retail banking customers during a similar timeframe. Communication with customers is critical to building trust and brand loyalty during uncertain economic times and, at the same time, customers should always contact their card issuer if they have questions or need assistance with their account.
• Few customers planning to switch cards: In the midst of the pandemic, 89% of credit card customers say their current card fully meets their needs. This fact is a silver lining for issuers, because the decline in satisfaction is not an indicator of near-term defection by customers. However, issuers should ensure that customers understand the terms and benefits associated with their cards, and customers, in turn, should be willing to change cards if fee-based perks or travel points are no longer relevant in the current environment.

Study Rankings 

American Express ranks highest in customer satisfaction among national issuers, with a score of 838. Discover (837) ranks second and Bank of America (812) ranks third.

Regions Bank ranks highest in customer satisfaction among regional bank issuers, with a score of 816. BB&T and PNC rank second in a tie, each with a score of 815.

The U.S. Credit Card Satisfaction Study, now in its 14th year, measures customer satisfaction with credit card issuers by examining six factors (in descending order of importance): interaction; credit card terms; communication; benefits and services; rewards; and key moments. The study includes responses from 29,106 credit card customers and was fielded in four waves from September 2019 through June 2020 (Wave 1—September 2019; Wave 2—November-December 2019; Wave 3—February-March 2020; Wave 4—May-June 2020).

For more information about the 2020 U.S. Credit Card Satisfaction Study, visit

https://www.jdpower.com/business/resource/us-credit-card-satisfaction-study.

JD Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, JD Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on JD Power to guide their customer-facing strategies.

JD Power is headquartered in Troy, Mich., and has offices in North America, Europe and Asia Pacific. To learn more about the company’s business offerings, visit JDPower.com/business. The JD Power auto shopping tool can be found at JDPower.com.

Media Relations Contacts
John Roderick; East Coast; 631-584-2200; [email protected] Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]
 

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