Category: United States

Primarily Driven by Challenges with Cost and Coverage, Dental Plan Customer Satisfaction Declines, JD Power Finds

2017-11-07

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COSTA MESA, Calif.: 8 Nov. 2017 — Driven by challenges with cost and in-network dentist availability,overall dental plan customer satisfaction is declining, according to the JD Power 2017 Dental Plan Satisfaction Report.^SM.

In the 2017 study, satisfaction declines to 770 (on a 1,000-point scale) from 781 in 2016. The decline in satisfaction is primarily driven by challenges with cost (755 in 2017 vs. 767 in 2016), and coverage (787 in 2017 vs. 802 in 2016). The biggest decline is with in-network dentist availability, down 1.29 satisfaction points from 2016.

“With healthcare becoming more consumer-focused, dental plans are coming face-to-face with new challenges and are having to adjust to accommodate this shift,” said Rick Johnson, Director of the Healthcare Practice at JD Power. “In addition to offering cost effect solutions, expanding coverage and effectively communicating with members will ensure increased levels of satisfaction as well as customer advocacy and loyalty.”

Following are some of the key findings of the study:

• Contact and problem resolution: The number of times a member has contacted the dental plan insurer to resolve their problem or question has decreased to 1.78 in 2017 from 2.46 in 2016.  However, the length of time to resolve the problem or question has increased to 4.61 days in 2017 from 3.53 days in 2016.

• Satisfied members get the word out: More than 9 in 10 (94%) delighted dental plan members (overall satisfaction scores above 900) say they “definitely will” recommend the insurer to others, compared with the report average of 44%.

• Satisfied members are loyal: Given the choice, more than half (93%) of delighted members say they “definitely will” select the same dental plan insurer, compared with the report average of 40%.

Study Rankings

DentaQuest ranks highest, performing particularly well in the cost and communications factors. Aetna Dental ranks second and UnitedHealthcareDental ranks third.

The 2017 Dental Plan Satisfaction Report is based on responses from roughly 2,100 dental plan members.

The study was fielded in October 2017. While most dental care providers included in the study typically provide insurance coverage through the customers’ employer, DentaQuest largely provides government plans.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts
Jillian Breska; Costa Mesa, Calif.; 714-481-9115; [email protected]
John Roderick; St. James, N.Y.; 631-584-2200; [email protected]

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

 

Vision Plan Coverage, Cost and Communication are Primary Drivers of Customer Satisfaction, JD Power Finds

2017-11-07

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COSTA MESA Calif.: 8 Nov. 2017 — Overall satisfaction among vision plan members increases to 757 (on a 1,000-point scale) in 2017, the highest level in the four years the study has been conducted, thanks to better coverage plans, costs and increased customer communication, according to the JD Power 2017 Vision Plan Satisfaction Report,^SM released today.

The report, now in its fourth year, measures customer satisfaction with vision plan providers based on five factors (in order of importance): coverage; cost; communications; customer service; and reimbursement.

“Vision plans have embraced the challenges that accompany a more customer-focused healthcare market. Improvements in communication are crucial in helping members better understand the value they are receiving, as well as how to use their plans,” said Rick Johnson, Director of the Healthcare Practice at JD Power.

Following are some of the key findings of the study:

• Satisfaction improves: Overall satisfaction among vision plan members increases to 757 in 2017 from 753 in 2016. Overall satisfaction was 707 in 2015 and 709 in 2014.

• Satisfied members get the word out: Nearly 9 in 10 (87%) satisfied vision plan members, with overall satisfaction scores above 900, say they “definitely will” recommend the provider to others, compared with the report average of 38%.

• Satisfied members are loyal: Given the choice, more than 9 in 10 (93%) of satisfied members say they “definitely will” select the same vision plan provider, compared with the report average of 38%.

Vision Plan Rankings

UHC/Optum ranks highest customer satisfaction with vision plan insurers at 780, performing particularly well in the coverage; cost; communication; and customer service factors. Highmark/Davis Vision/HM Insurance and Eyemed tie for second (765).

The 2017 Vision Plan Satisfaction Report is based on responses from more than 1,300 vision plan members. The study was fielded in October 2017.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts
Jillian Breska; Costa Mesa, Calif.; 714-481-9115; [email protected]
John Roderick; St. James, N.Y.; 631-584-2200; [email protected]

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

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Online Buyers Beware! Dealers Are Crucial Part of Vehicle Purchases, JD Power Finds

2017-11-13

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COSTA MESA, Calif.: 15 Nov. 2017 — Car shoppers are arming themselves with more vehicle information before going into a dealership, but it’s the pre-purchase interaction with the salesperson that leads to high sales satisfaction, according to the JD Power 2017 U.S. Sales Satisfaction Index Study,^SM released today.

“While customers are preparing themselves online with the best information and negotiation tactics, they still prefer to interact with a salesperson or product specialist prior to buying a vehicle,” said Chris Sutton, Vice President of the Automotive Retail Practice at JD Power. “Dealers can’t control a customer’s pre-purchase activities, but they should be prepared to positively influence areas that will affect a customer’s likelihood to buy as well as their level of satisfaction. An example is to post photos of actual inventory to their website or engage with shoppers via text messaging or phone calls. Be sure that online specials are up to date and easy to access from the dealer’s site. These simple things go a long way toward earning a sale and satisfying a customer.”

Following are some of the study’s key findings:

• Demonstrations are key: As vehicle technology becomes more complex, shoppers rely on dealership experts to demonstrate how to use the new technology. In this case, 41% of mass market buyers and 33% of luxury buyers want to completely learn about a vehicle’s features and controls during the delivery process. Additionally, 65% of shoppers who have a sales consultant show them how to use features on their personal smartphone say it was a “very effective” tool and subsequently are more confident using apps and websites for vehicle interaction and maintenance.

• Follow through on the follow-up: After the purchase, 80% of mass market buyers and 87% of luxury buyers indicate they were contacted by the dealership. But only 32% of mass market buyers and 51% of luxury buyers receive a second follow-up explanation of vehicle features. That second follow-up improves satisfaction by as much as 100 points (on a 1,000-point scale) among both mass market and luxury buyers.

• Do it right the first time: The majority of new vehicles don’t have problems, but when they do the result is a negative effect on satisfaction. Dents, dings and scratches upon delivery can make satisfaction dip by 198 points.

Brand Sales Satisfaction Ratings

Lincoln and Mercedes-Benz rank highest in sales satisfaction among luxury brands, each achieving a score of 830. This is the first time Lincoln ranks highest. Mercedes-Benz previously ranked highest in 2014. Infiniti ranks third with a score of 821, followed by Porsche at 818.

Buick ranks highest in sales satisfaction among mass market brands for the second consecutive year, achieving a score of 808. MINI ranks second with a score of 803 and GMC ranks third with a score of 793.

The study—now in its 31st year and redesigned for 2017—measures satisfaction with the sales experience among new-vehicle buyers and rejecters, who are those who shop a dealership and purchase elsewhere. Buyer satisfaction is based on six measures: dealer personnel (28%); delivery process (21%); working out the deal (18%); paperwork completion (16%); dealership facility (13%); and dealership website (4%). Rejecter satisfaction is based on five measures: salesperson (40%); fairness of price (15%); experience negotiating (15%); variety of inventory (15%); and dealership facility (14%).

The 2017 U.S. Sales Satisfaction Index (SSI) Study is based on responses from 28,989 buyers who purchased or leased their new vehicle in April or May 2017. The study is a comprehensive analysis of the new-vehicle purchase experience and measures customer satisfaction with the selling dealer (satisfaction among buyers). The study also measures satisfaction with brands and dealerships that were shopped but ultimately rejected in favor of the selling brand and dealership (satisfaction among rejecters), and was fielded from July through September 2017.

To learn more about the U.S. Sales Satisfaction Index (SSI) Study, visit http://www.jdpower.com/resource/us-sales-satisfaction-index-ssi-study.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts
Geno Effler; West Coast; 714-621-6224; [email protected]
Shane Smith; East Coast; 424-903-3665; [email protected]

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

 

Airline Loyalty Program Customers Crave More than Just Miles, JD Power Finds

2017-11-13

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COSTA MESA, Calif.: 15 Nov. 2017 — Airline loyalty rewards program benefits that extend beyond airline services and ticket fees have a significant effect on customer satisfaction, according to the JD Power 2017 Airline Loyalty Program Satisfaction Study.^SM Overall satisfaction is considerably higher among program members earning rewards in restaurants, product purchases, and car rentals than among those just earning airline flights alone.

The study measures member satisfaction with airline loyalty and rewards programs based on four factors (in order of importance): earning and redeeming rewards; program benefits; account management; and member communication. Satisfaction is measured on a 1,000-point scale.

“As loyalty programs have exploded in popularity over the past several years, airline loyalty program managers understand the critical role that ancillary benefits that fall outside the airline industry can play and they devote careful attention to partners included in their programs,” said Michael Taylor, Travel Practice Lead at JD Power. “Flexibility in how miles are redeemed is valued by members. After all, if you win a pie-eating contest, you may want to be rewarded with something besides another pie.”

Following are some key findings of the study:

• Frequent fliers want more than miles: Overall satisfactionincreases by 77 points whenairline loyalty members earn rewards in restaurants. Rewards for product purchases result in a satisfaction increase of 68 points and car rentals result in an increase of 69 points. Earning airline flights only adds 2 points, on average, to loyalty members’ overall satisfaction with a program.

• Favorite benefits: When it comes to reaping the rewards of membership, “lowest price guarantee” accounts for a 109-point increase in customer satisfaction and “waiving a same-day change fee” based on loyalty status adds 104 points to overall customer satisfaction.

• Status members are more satisfied than general members: The average overall satisfaction score among airline loyalty rewards members who have a status above general membership is 814. That compares with an overall satisfaction score of 744 among those with general membership. Status members are also more likely to be brand advocates, with 59% of status members classified as “promoters” vs. 49% of general members.

• Minimize problems and offer extra bonus rewards: Basics matter. Overall satisfaction is 99 points higher among customers who have not experienced any problems with their loyalty rewards programs than among those who have. Likewise, when customers are offered extra points or bonus rewards miles, satisfaction increases by 52 points.

• Explain the process and recognize preferences: Simply understanding how to redeem awards has a 52-point positive effect on overall satisfaction, yet just 52% of program members say they fully understand the redemption process. Similarly, when an airline consistently recognizes a rewards member’s stated preferences, satisfaction scores jump by 48 points. However, just 26% of program members find their airline delivering on this performance metric.

Airline Loyalty Program Rankings

JetBlue Airways TrueBlue ranks highest in overall member satisfaction with airline loyalty/rewards programs, with a score of 800. Alaska Airlines Mileage Plan ranks second with a score of 796, followed by Southwest Airlines Rapid Rewards at 793.

The 2017 Airline Loyalty Program Satisfaction Study measures member satisfaction with airline rewards and loyalty programs. The study is based on 3,387 responses from rewards program members and was fielded in September 2017.

To learn more about the Airline Loyalty Program Satisfaction Study, visit http://www.jdpower.com/resource/us-airline-loyaltyrewards-program-satisfaction-report.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

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

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

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Mattress Customer Satisfaction Declines in 2017 Due to Comfort and Price, JD Power Finds

2017-11-14

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COSTA MESA, Calif.: 15 Nov. 2017 — Mattress customer satisfaction has declined from 2016, due to comfort levels and ineffective pricing according to the JD Power 2017 Mattress Satisfaction Report,^SM released today.

Satisfaction is highest among the 83% of customers who replaced their old mattress (848 on a 1,000-point scale). The most frequent reasons cited by customers for replacing their old mattress are old mattress/worn-out mattress (51%); wanted a more comfortable mattress (37%); and mattress had reached a certain age (32%).

“There’s a clear connection between a customer’s level of product knowledge and level of satisfaction,” said Greg Truex, Senior Director, At-Home Practice at JD Power. “Manufacturers and store salespeople who focus on product communications and effectively highlight features can have a strong influence on how satisfied the customer is with their mattress selection.”

Following are key findings of the report:

• Satisfaction drives loyalty, advocacy: Among highly satisfied customers (overall satisfaction scores above 900), 82% say they “definitely will” purchase the brand in the future, compared with the report average of 61%. Additionally, satisfied customers make an average of 4.2 positive recommendations, compared with the report average of 3.1.

• In-store sample and adjustable base availability are impactful: Satisfaction is higher among customers who purchased from a retailer that had an in-store sample of the mattress they wanted than among those whose retailer did not have a sample available (858 vs. 809, respectively). Also, satisfaction is higher among customers who purchased a mattress with an adjustable base vs. those who did not (883 vs. 836, respectively).

• Mattress delivery matters: Satisfaction is higher among customers who received their mattress on the date promised vs. those whose mattress was delivered late (851 vs. 737, respectively) as well as among customers who received their mattress as ordered vs. those that did not (845 vs. 766).

Mattress Satisfaction Rankings

Tempur-Pedic ranks highest in customer satisfaction for the first time, with a score of 887, performing particularly well in the support, comfort and price factors. Sleep Number (867) ranks second and Serta (846) ranks third.

The 2017 Mattress Satisfaction Report, in its third year, measures customer satisfaction with mattress purchases based on seven factors (in order of importance): comfort, price, support, durability, features, warranty and customer service. Satisfaction is calculated on a 1,000-point scale.

The report is based on responses from 1,219 customers who purchased a mattress in the 12 months prior to fielding the survey. The report was fielded in October 2017.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts
Jillian Breska; Costa Mesa, Calif.; 714-481-9115; [email protected]
John Roderick; St. James, N.Y.; 631-584-2200; [email protected]

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

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Wireless Router Customer Satisfaction Declines in 2017 Due to Ineffective Customer Service, JD Power Finds

2017-11-14

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COSTA MESA, Calif.: 15 Nov. 2017 — Overall wireless router customer satisfaction declines in 2017 to 833, on a 1,000-point scale, from 847 in 2016. Satisfaction declines in all 10 factors measured in the study, with the largest decline in customer service (down 26 points on a 1,000-point scale), according to the JD Power 2017 Wireless Router Satisfaction Report.^SM Less than one-half (46%) of customers report their wireless router manufacturer has exceptional customer support, down from 50% in 2016.

The 10 factors measured in the 2017 report include (in order of importance) Wi-Fi range; reliability; speed of upload/download; restore connection easily; security capabilities; price; ease of use; variety of features; intuitive user interface; and customer service.

“As wireless device technology continues its rapid growth, consumers need to be able to rely on their wireless router when accessing the internet” said Peter Cunningham, Technology, Media, and Telecommunications Practice Lead at JD Power. “What’s most important to customers is the ability to easily establish a reliable online connection through their wireless router regardless of the type or number of wireless devices they are using. Router manufacturers providing a reliable product that’s intuitive to set up and operate and that has a large range of signal strength can increase levels of satisfaction as well as customer advocacy and loyalty.”

Following are some of the key findings of the report:

• Satisfied customers remain loyal: Overall satisfaction among customers who say they “definitely will” or “probably will” purchase the same wireless router brand they currently own is 228 points higher than among those who say they “definitely will not” or “probably will not” repurchase the same brand in the future (841 vs. 613, respectively). 

• Wireless router problems are infrequent: Fewer than 2 in 10 (16%) customers experience problems with their wireless router. The most frequently experienced problems reported include frequency of resetting router (38%); slow internet speeds (36%); initially connecting to the internet (36%); set-up/installation process (19%); slow speed of downloads/uploads (19%); limited Wi-Fi range (18%); and not working properly (18%).

• Smartphones are most connected: The percentage of customers who access the internet via a wireless router in their home varies by device. Most customers use a wireless router to connect their smartphone (83%), followed by laptop (81%), tablet (68%), desktop (55%), printer (53%), smart TV (53%) and streaming device/media player, such as Chromecast or Roku (48%).

• Price is impactful: Price is the primary reason for choosing a wireless router brand (42%), followed by range of signal strength (35%); past experience with product/brand (31%); brand reputation (29%); speed of downloads/uploads (27%); and ease of use (27%)—e.g., simple to understand and connect to the internet.

Wireless Router Satisfaction Rankings

TP-Link ranks highest in customer satisfaction with wireless routers for the first time, with a score of 839, performing particularly well in security capabilities; price; variety of features; and intuitive user interface. Belkin (835) ranks second, D-Link (834) ranks third, followed by Asus (831).

The 2017 Wireless Router Satisfaction Report is based on responses from 980 current owners of wireless routers who purchased their device during the 12-month period prior to report fielding in October 2017.

The report, now in its third year, measures overall satisfaction with wireless router manufacturers among consumers who purchased a router during the 12-month period prior to responding to the report survey.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts
Jillian Breska; Costa Mesa, Calif.; 714-481-9115; [email protected]
John Roderick; St. James, N.Y.; 631-584-2200; [email protected]

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

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JD Power Hires Tom Super as Director of Property & Casualty Insurance Practice

2017-11-16

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COSTA MESA, Calif.: 17 Nov. 2017 — Tom Super, a well-established expert in insurance and corporate strategy, has been hired as Director of Property and Casualty Insurance at JD Power, the global leader in consumer data & analytics and advisory services.

In this role, Super will report directly to Greg Hoeg, Senior Vice President, U.S. Insurance Operations, and will be responsible for leading the continued expansion of the Insurance Practice.

“JD Power is extremely excited to add someone of Tom Super’s caliber to our leadership team,” Hoeg said. “Insurance is a highly competitive space where consumer insights are driving more and more “C-suite” decisions, and Tom’s ability to make that connection will add immense value for our clients.“

Super, who most recently worked as Director of Strategy for Farmers Insurance Group, has spent 15 years in strategy and general management for such high-profile companies as Booz & Company, The White House and AT&T Corp. While at Farmers, he was a key contributor to the revitalization of the brand, serving in strategy and consumer research areas during his tenure.  Prior to joining Farmers, Super was a consultant with Booz & Company as part of the firm’s premier organization and strategy management team.  There he advised clients across several industries including consumer, retail, financial services, automotive, media, transportation, health, bio-tech and defense. As an Aide in the White House, Super worked on a wide range of economic and budgetary policy issues on behalf of the President George W. Bush. Tom has a master’s degree in public administration from the American University School of Public Affairs and received his bachelor’s degree in business from Robert Morris University.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

Media Relations Contacts
Geno Effler; JD Power; 714-621-6224; [email protected]  
Brian Shiver; XIO Group; 212-850-5683; [email protected]

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

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November New Vehicle Retail Sales Pace to Decline for Seventh Time This Year

2017-11-22

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DETROIT: 27 Nov. 2017 — For the seventh time this year, the new vehicle retail sales pace in November is expected to fall from year-ago levels, according to a forecast developed jointly by JD Power and LMC Automotive.  The seasonally adjusted annualized rate (SAAR) for retail sales is expected to be 13.4 million units, down 300,000 from a year ago.  Retail sales in November are anticipated to reach 1,119,600 units, a 0.1% decrease (selling days adjusted) compared with November 2016.

“The need to clear out record inventories of prior model-year vehicles continues to keep incentive spending aggressive in November,” said Thomas King, Senior Vice President of the Data and Analytics Division at JD Power. New model-year vehicles account for just 44% of month-to-date sales compared with 53% in November 2016.  Average incentive spending per unit to date in November is at $4,065, just shy of the record $4,091 set in September.

“Savvy car shoppers took advantage of additional discounts over the Thanksgiving weekend, and that sales bump will likely push spending to a new all-time high,” King said. Last year, retail sales after Thanksgiving accounted for 32% of November sales, while spending also subsequently rose by nearly 11% over the same period.

JD Power and LMC Automotive U.S. Sales and SAAR Comparisons

	November 20171	October 2017	November 2016
New-Vehicle Retail Sales	1,119,618 units (-0.1% lower than November 2016)2	1,066,310 units	1,121,278 units
Total Vehicle Sales	1,374,102 units (-0.2% lower than November 2016) 2	1,353,420 units	1,377,220 units
Retail SAAR	13.4 million units	14.1 million units	13.7 million units
Total SAAR	17.3 million units	18.1 million units	17.6 million units

¹Figures cited for November 2017 are forecasted based on the first 16 selling days of the month.
²November 2017 has 25 selling days, while November 2016 had 25 selling days in the month.

• The average new-vehicle retail transaction price to date in November is $32,344, a record for the month, surpassing the previous high for the month of $31,573 set in November 2016.
• Consumers are on pace to spend $36.2 billion on new vehicles in November, up nearly $800 million from last year’s level.
• Average incentive spending per unit to date in November is $4,065 per unit, surpassing the previous high for the month of $4,024 set in November 2016. Spending on trucks and SUVs is $3,947, up $17 from last year. Spending on cars is $4,286, up $100.
• Incentives as a percentage of MSRP are at 10.8% so far in November, exceeding the 10% level for 16th time in the past 17 months.
• Trucks account for 66% of new-vehicle retail sales through Nov. 19—the highest level ever for the month of October—making it the 17th consecutive month above 60%.
• Days to turn, the average number of days a new vehicle sits on a dealer lot before being sold to a retail customer, is 74 through Nov. 19.
• Fleet sales are expected to total 254,500 units in November, down 0.6% from November 2016.  Fleet volume is expected to account for 19% of total light-vehicle sales, flat from last year.

Jeff Schuster, Senior Vice President of Forecasting at LMC Automotive, said, “Thanks to incentive levels and some timed fleet sales, the sales rate in the second half of the year has remained ahead of expected natural demand, with the overall decline remaining primarily a downward adjustment to fleet mix. We believe risk heading into next year is balanced. However, without incentive intervention or a return to higher rental car fleet sales, demand is expected to contract for the second year in a row.”

LMC’s outlook for 2017 total light-vehicle sales rounds up to 17.2 million units, a decrease of 2.1% from 2016. The outlook for retail light-vehicle remains at 13.9 million, down 1.4% from 2016. Looking forward to 2018, total light-vehicle sales are forecasted at just under 17.0 million unit a decline of 1%. Retail light-vehicles are expected to be at 13.8 million units for 2018, a decline of 1.1%.

U.S. Retail SAAR— November 2016 to November 2017

(in millions of units)
Source: Power Information Network^® (PIN) from JD Power

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

About LMC Automotive www.lmc-auto.com.

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

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

 

Hotel Loyalty Program Partnerships Critical to Customer Satisfaction, JD Power Finds

2017-11-28

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COSTA MESA, Calif.: 29 Nov. 2017 — Having a diverse portfolio of reward options withhotel loyalty rewards programs is a key driver of member satisfaction. According to the JD Power 2017 Hotel Loyalty Program Satisfaction Study,^SM overall satisfaction is higher among program members who redeem rewards for dining, product purchases and special events than among those redeeming rewards for hotel stays alone.

The study measures customer satisfaction by examining four factors (in order of importance): ease of earning and redeeming rewards (35%); program benefits (27%); account management (22%); and member communication (16%). Satisfaction is measured on a 1,000-point scale.

“As loyalty and rewards programs of every type continue to saturate virtually every consumer market, the key to success for hotel loyalty programs is variety of reward offerings,” said Rick Garlick, Travel and Hospitality Practice Lead at JD Power. “Flexibility in how to redeem points and the ease with which customers can redeem those points are the key drivers of customer satisfaction in this space, which makes forming strong partnerships with third-party service providers a priority for hotel loyalty programs.”

Following are some key findings of the study:

• Frequent travelers want more than hotel stays: Overall satisfaction is 138 points higher among hotel loyalty members redeeming rewards for product purchases at retailers. Satisfaction also is higher for redemptions involving special events (+124 points); car rentals (+103 points); and dining (+86 points).  Redeeming for hotel stays adds only 4 points, on average, to loyalty members’ overall satisfaction with a program.

• Many customers do not understand how to redeem rewards: Among customers who say they fully understand how to redeem their points, overall satisfaction is 147 points higher than those who say they do not fully understand the process. Despite this powerful effect on satisfaction, nearly half of all loyalty program members indicate a less-than-clear understanding of how to earn their points and only 50% know how to redeem them.

• Loyalty program satisfaction boosts brand loyalty: Of hotel stays booked in the past 12 months, 47% were booked with a brand affiliated with the member’s loyalty program. That percentage increased to 52% among members who say they are delighted with their loyalty program.

Hotel Loyalty Program Rankings

Marriott Rewards ranks highest in the 2017 study, and receives the Gold award for overall member satisfaction with a score of 806. World of Hyatt is the Silver award recipient with a score of 805, followed by Hilton HHonors, the Bronze award recipient, with a score of 793.

The 2017 Hotel Loyalty Program Satisfaction Study measures member satisfaction with hotel rewards and loyalty programs. The study is based on 4,682 responses from rewards program members who experienced five or more trips in the past 12 months and was fielded in September-October 2017.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

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

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

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Diversity of Offerings Becomes Key Differentiator for Large Commercial Insurers, JD Power Finds

2017-12-01

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COSTA MESA, Calif.: 4 Dec. 2017 — Overall customer satisfaction with large commercial insurers has increased in 2017, driven primarily by intensified focus among insurers on diversified product offerings tailored to the needs of their customers. That’s the core finding of the JD Power 2017 Large Commercial Insurance Study.^SM

The study, now in its fourth year, measures customer satisfaction with commercial insurers and insurance brokers. Commercial insurer satisfaction is based on five factors: service interaction; program offerings; price; billing process; and claims. Satisfaction with commercial insurance brokers is based on nine attributes: quality of advice and guidance provided; reasonableness of fees; ease of the renewal process; effectiveness of risk control services; variety of program offerings; effectiveness of program review; price, given services received; billing and payment process; and claims process. The study was conducted in conjunction with RIMS (the Risk Management Society^TM), a global not-for-profit organization with a membership of more than 11,000 risk management professionals located in more than 60 countries.

“Amid a sustained period of stagnant rates, top-performing large commercial insurers have set themselves apart from the competition by offering a wider variety of coverage options and services to meet the specific risk needs of their customers,” said David Pieffer, P&C Insurance Practice Lead at JD Power. “While we expect rates to start rising in certain catastrophe-exposed lines for 2018 after the heavy catastrophic losses experienced during the 2017 hurricane season, the customer expectation for tailored product offerings has now become a critical part of the business insurance product mix.”

“A big part of developing a successful insurance program hinges on the strong relationships risk professionals can build both inside and outside of the organization,” said RIMS CEO Mary Roth. “Brokers and insurance providers play a pivotal role, helping organizations anticipate and prepare for loss exposures. The RIMS and JD Power study highlights the importance of this relationship and sets a standard for others in the industry.”

Following are some key findings of the study:

• Variety of program offerings drives overall increase in customer satisfaction: Overall customer satisfaction with large commercial insurers is 761 (on a 1,000-point scale), up 7 index points from 2016. The overall improvement is largely due to a 10-point increase in satisfaction with program offerings.

• Cyber insurance presents challenges, opportunity: P&C insurers wrote $1.35 billion in premiums for cyber insurance in 2016, a 35% increase from 2015. Yet, data breach/cybercrime programs are among the lowest-rated programs in 2017, averaging 7.56 on a 10-point scale. Among top concerns of commercial insurance customers are gaps related to security; loss prevention and risk control; business interruption; and remediation.

• Commercial insurance customers less likely to become brand advocates: Net Promoter Scores,^® which measure the likelihood that a customer will recommend a product or service, are much lower among commercial insurance customers than they are for services such as business utilities or personal auto insurance.

• Understanding business needs makes big impression: Demonstrating an understanding of customers’ business needs is one of the most significant performance metrics for large commercial insurers, and is associated with a 141-point improvement in customer satisfaction among those who say their insurer completely understands their business vs. those who say their insurer does not understand or only partially understands their businesses (827 vs. 686, respectively).

Study Rankings

XL Catlin ranks highest among large commercial insurers with a score of 806. Chubb ranks second with ascore of 783 and The Hartford ranks third with a score of 772.

Lockton ranks highest among large commercial insurance brokers with a score of 856. Arthur J. Gallagher & Co. ranks second with a score of 855 and Aon ranks third with a score of 822.

The 2017 Large Commercial Insurance Study provides an independent and objective measure of overall satisfaction among large commercial insurance risk professionals in the United States and Canada. The study is based on 2,506 evaluations from risk professionals or employees who provide oversight for their organization or are members of their organization’s risk management team. Organizations included in the study have at least $100 million in annual revenue or operating budget and have purchased a commercial insurance policy from one of the profiled insurers or brokers.

JD Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable JD Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, JD Power is headquartered in Costa Mesa, Calif., and has offices serving North/South America, Asia Pacific and Europe. JD Power is a portfolio company of XIO Group, a global alternative investments and private equity firm headquartered in London, and is led by its four founders: Athene Li, Joseph Pacini, Murphy Qiao and Carsten Geyer.

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

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