Category: United States

Streaming Video Customer Satisfaction Highest When Paired with Pay TV Subscription, JD Power Finds

2016-08-24

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NEW YORK: 25 Aug. 2016 — Overall satisfaction with paid streaming video service is highest among cord stackers—customers who subscribe to a traditional cable/satellite service in addition to streaming video service—according to the JD Power 2016 Streaming Video Satisfaction Study,℠ released today.

The inaugural study measures overall satisfaction among customers who have used a subscription- or transaction-based streaming video service within the past six months. The study measures customer satisfaction by examining six key measures (listed in order of importance): performance and reliability; content; cost of service; ease of use; communication; and customer service. Scores for each measure are reflected in an index based on a 1,000-point scale.

The study finds that although the number of customers who cut the cord on pay TV is growing, the majority of streaming video customers still purchase a paid TV service in addition to a streaming video service. Three-fifths (60%) of streaming customers are cord stackers; 23% are cord shavers (those who still subscribe to TV but have downgraded their service package); 13% are cord cutters (those who have recently canceled TV service); and 4% are cord nevers (those who have never subscribed to pay TV and only subscribe to streaming video service).

Following are some of the study’s key findings:

Satisfaction Lowest among Cord Cutters: Overall satisfaction is lowest among cord cutters (802), followed closely by cord nevers (807), while satisfaction is highest among cord stackers (826) and cord shavers (822). Satisfaction in all measures is lower among customers who do not have cable/satellite TV than among those who do, with an especially wide gap between the two segments in the content measure (40 points).

Binge-Watching High: Nearly two-thirds (62%) of customers use a streaming service to binge watch—the act of watching multiple episodes in succession—TV programming. Overall satisfaction is 35 points higher among those who binge watch vs. those who do not (834 vs. 799, respectively). As binge-watching sessions increase in duration, so does overall satisfaction: 823 among those whose most recent session lasted less than four hours; 841 among those whose session lasted 4-8 hours; and 858 among those whose session lasted 8 or more hours.

Television Remains Primary Viewing Device: Nearly two-thirds (65%) of customers view streaming content through their TV; 55% view content on a laptop/desktop computer; and 48% view content on a mobile device. More than half (56%) of viewers use multiple devices to watch streaming video.

Original Content Viewership Higher among Streaming-Only Subscribers: More than half (54%) of cord nevers and 49% of cord cutters view original content vs. 43% of cord shavers and 41% of cord stackers.

“The streaming video customer experience appears to be stratifying across the different subscriber segments, with pay TV service still having a major effect on the overall streaming video experience,” said Kirk Parsons, senior director and technology, media & telecom practice leader at JD Power. “Part of the reason is demographics. Customers who only stream are younger than those who also have TV. Nearly two-fifths (37%) of customers who only stream are 18-34 years old, compared with 30% of those who also have TV. Notably, 52% of cord nevers are 18-34. Also, streaming-only customers are less likely to use transaction-based streaming services, which perform higher in the content measure.”

Study Rankings

Netflix ranks highest among the streaming video brands included in the study, with an overall score of 829. Netflix leads or ties with the highest score in five of the six measures, performing particularly well in performance and reliability and in customer service. Hulu follows closely at 821, which is 1 point above industry average. Cost of service and communication are strong measures of performance for Hulu.

About the Study
The 2016 Streaming Video Satisfaction Study is based on responses from 3,928 customers. The study was fielded in June-July 2016.

Media Relations Contact

Geno Effler; Costa Mesa, Calif.; 714-621-6224; [email protected]

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

About Dependability Ratings https://www.jdpower.com/cars/ratings/dependability.

 

Seats Critical to Vehicle Experience, Customer Loyalty, JD Power Study Finds

2016-08-24

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DETROIT: 25 August 2016 — Seat features improve the customer experience with their vehicle and seat quality enhances customer loyalty, according to the JD Power 2016 Seat Quality and Satisfaction Study,^SM released today.

“Consumers are focusing more attention on the interior design and comfort, and the seats are a critical element of the vehicle’s interior,” said Brent Gruber, senior director, global automotive division at JD Power. “Automakers and suppliers are responding by adding content and materials to the seats that create a sense of luxury and enhance the look and feel of the seating. Interior styling is an important consideration for consumers when shopping for a new vehicle.”

Among new-vehicle shoppers, 18% indicate they avoided a vehicle for purchase because of interior design.[1] The most often cited reason for avoiding a vehicle based on its interior is that it was “too bland or boring.”

“Seats have always been an important styling element and touch point in the vehicle, but that importance is increasing as automakers try to differentiate their models in a competitive market,” said Gruber. “We expect that will continue as the industry moves toward autonomous vehicles and the seat becomes an integrated part of the evolving vehicle environment.”

Automotive suppliers are adding technology and materials to their seats in an effort to deliver comfort and luxury to vehicle owners. Including features such as leather and heated and ventilated/cooled seats not only boosts satisfaction, but it also enhances owners’ sense of luxury with their vehicle. For example, among owners of mass market vehicles, the addition of ventilated seats increases overall seat satisfaction by 0.53 points (on a 10-point scale), on average, and lifts the perception of the vehicle’s luxuriousness by 0.87 points (on a 7-point scale.)

Additionally, seat satisfaction has an impact on intended vehicle loyalty. Among owners who rate their overall seat satisfaction 10 (on a 10-point scale), 68% say they “definitely will” repurchase the same vehicle make again. When satisfaction slips to 9, intended loyalty drops to 45%, while only 32% of owners who rate their seat satisfaction 7 intend to purchase the same vehicle make again.

The study provides automotive manufacturers and suppliers with quality and satisfaction information related to seating systems. New-vehicle owners are asked to rate the quality of their vehicle’s seats and seat belts with respect to whether they have experienced defects/malfunctions or design problems during the first 90 days of ownership.

Seat Supplier Quality Rankings

Among seat suppliers, Johnson Controls, Inc. receives three segment awards for seat quality, while Lear Corporation receives two, and Delta Kogyo Co., Ltd., Toyota Boshoku Corporation and TS Tech Co., Ltd. receive one award each.

Johnson Controls, Inc. ranks highest in the mass market compact SUV/MPV segment for the Jeep Compass; the mass market midsize/large car segment for the Toyota Camry[2]; and the mass market truck/van segment for the Ford Super Duty (tie).

Lear Corporation ranks highest in the luxury car segment for the Porsche Cayman and the mass market truck/van segment for the Chevrolet Silverado (tie).

Delta Kogyo Co., Ltd. ranks highest in the mass market compact car segment for the Mazda MX-5 Miata. Toyota Boshoku Corporation ranks highest in the mass market midsize/large SUV segment for the Toyota 4Runner. TS Tech Co., Ltd. ranks highest in the luxury SUV segment for the Acura RDX.

The 2016 Seat Quality and Satisfaction Study is based on responses from more than 80,000 purchasers and lessees of new 2017 model-year cars and light trucks. The study was fielded from February through May 2016.

Media Relations Contacts

John Tews; Troy, Mich.; 248-680-6218; [email protected]

Geno Effler; Costa Mesa, Calif.; 714-621-6224; [email protected]

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

 

August Decline in New-Vehicle Sales Fourth in Last Six Months

2016-08-25

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DETROIT: 25 Aug. 2016 — New-vehicle retail sales in August are expected to drop 6.5% from a year ago, and total new-vehicle sales are expected to slip 5.2%, according to a monthly sales forecast developed jointly by JD Power and LMC Automotive.

Retail sales are on pace to reach 1,269,600 in August, while total sales are projected to hit 1,492,700. While August 2015 and August 2016 have the same number of selling days (26), last August started on a Saturday, which gave it an extra sales weekend. Retail sales year to date through August are expected to be down 1.2%, compared with the same period in 2015, while total sales are expected to be up 0.5%.

John Humphrey, senior vice president of the global automotive practice at JD Power, said: “Following 66 consecutive months of retail sales growth that began in September 2010, we’ve seen four declines in the past six months, and this much of a pullback in August will be a disappointment for the industry. Softening retail sales amid low interest rates, relatively cheap gas and automakers pushing more aggressive incentives may be an indicator that further growth in this cycle will be difficult. There is opportunity for some catch-up in the all-important Labor Day selling period, but as momentum slows, the industry will need to be cautious to balance volume and margin, as incentives are close to record levels.”

Jeff Schuster, senior vice president of forecasting at LMC Automotive, said: “As we look at the remainder of the year, the industry faces an uphill struggle to match last year’s performance. With mixed economic signals, it certainly looks like U.S. auto sales may have peaked in 2015. However, it is important to focus on the sustainable high level of demand. Peak does not mean doom and gloom, and while the industry faces risk, it is not destined for a pullback.”

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

	August 20161	July 2016	August 2015
New-Vehicle Retail Sales	1,269,600 units (6.5% lower than August 2015)1	1,307,996 units	1,358,251 units
Total Vehicle Sales	1,492,700 units (5.2% lower than August 2015)	1,520,679 units	1,574,938 units
Retail SAAR	13.2 million units	14.7 million units	14.2 million units
Total SAAR	16.8 million units	17.8 million units	17.7 million units

¹Figures cited for August 2016 are forecasted based on the first 17 selling days of the month.

• The average for new-vehicle retail transaction prices thus far in August are at $30,942—a record for the month— surpassing the previous high of $30,061 in August 2015.
• Consumers are on pace to spend $39.3 billion on new vehicles in August, slightly below the August record of $40.8 billion in 2015, but still the seventh highest for any month. The record for consumer spending on new vehicles in a month is $43.7 billion, set in December 2015.
• Incentive spending in August has averaged $3,559, the highest ever for the month. The previous high for August was $3,419, set in 2015. The highest incentive spending for any month is $3,753, set in December 2008. 
• Trucks are accounting for 59.6% of new-vehicle retail sales so far in August, up from 57.5% in the same month a year ago. Truck share is the highest for the month of August but below the record July 2016 record of 60.6%.
• The seasonally adjusted annualized rate (SAAR) for retail sales in August 2016 is projected to reach 13.2 million units, down from 14.2 million units in August 2015.
• The SAAR for total sales is projected at 16.8 million units in August 2016, down from 17.7 million units a year ago.
• Fleet sales are expected to reach 223,200 in August, a 3% increase from August 2015, and account for 15.0% of total light-vehicle sales.
• LMC Automotive’s forecast for full-year total light-vehicle sales forecast remains at 17.4 million units, 0.3% decline from 2015. The forecast for retail light-vehicle sales remains at 14.0 million units, down 1.6% from 2015.

U.S. Retail SAAR—August 2015 to August 2016

(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

John Tews; JD Power; Troy, Mich.; 248-680-6218; [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

 

Customer Satisfaction Remains High as Pharmacy Services, Delivery Methods Evolve

2016-08-26

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COSTA MESA, Calif.: 29 Aug. 2016 — High customer satisfaction with both mail order and brick and mortar pharmacies is reflective of an increased focus on customers and the growing trend of clinics being added to pharmacies, according to the JD Power 2016 U.S. Pharmacy Study,℠ released today.

Having prescriptions delivered by mail is convenient and cost effective, and more customers are turning to that method of delivery. At the same time, however, customers choosing to visit a pharmacy are often finding more available wellness services being provided.

“Increasingly, customers are turning two errands into one when, for example, they need to pick up a prescription and get a flu shot,” said Rick Johnson, director of the healthcare practice at JD Power. “Pharmacies that are cognizant of their customers’ needs—and their time—will likely continue to achieve high satisfaction.” Overall satisfaction with pharmacies where wellness services have been used is nearly 20 points higher than when those services have not been used.

Though mail order and in-person experiences are very different, the highest-scoring pharmacies share two traits. “Great staff and an easy, efficient ordering process are common traits of both types of pharmacy experiences,” Johnson said.

Key Findings by Segment

• Health Mart ranks highest overall among brick and mortar chain drug stores (898 on a 1,000-point scale), performing particularly well in the store; non-pharmacist staff; cost competitiveness; and pharmacist factors. Good Neighbor Pharmacy ranks second (896). Average overall satisfaction in the chain drug store segment is 863.
• Sam’s Club ranks highestoverall among brick and mortar mass merchandisers (883), performing particularly well in non-pharmacist staff; pharmacist; and prescription ordering/pick-up process. Costco ranks second (880). Average overall satisfaction in the mass merchandiser segment is 851.
• Publix ranks highest overall among brick and mortar supermarkets (912), performing particularly well in store; non-pharmacist staff; pharmacist; and prescription ordering/pick-up process. Wegmans ranks second (891). Average overall satisfaction in the supermarket segment is 874.
• Kaiser Permanente Pharmacy ranks highest overall in mail order (906), performing particularly well in prescription ordering process and non-pharmacist staff. Humana Pharmacy ranks second (890). Average overall satisfaction in the mail order segment is 869.

For the eighth consecutive year, the Veterans Administration mail order pharmacy (CMOP) is one of the highest-performing pharmacies in the mail order pharmacy segment. The Department of Veterans Affairs pharmacy service is open only to veterans of the U.S. military and their families and therefore is not included in the official rankings. 

About the Study

The 2016 U.S. Pharmacy Study, now in its eighth year, measures customer satisfaction with brick and mortar pharmacies across five factors: prescription ordering/pick-up process; store; cost competitiveness; non-pharmacist staff; and pharmacist. Satisfaction with mail order pharmacies is measured across five factors: prescription ordering process; prescription delivery; non-pharmacist staff; cost competitiveness; and pharmacist.

The study is based on responses from 14,789 pharmacy customers who filled a new prescription or refilled a prescription during the three months prior to the survey period of June 2016.

Media Relations Contacts

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

Geno Effler; JD Power; Costa Mesa, Calif.; 714-621-6224; [email protected]

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

 

XIO Group Completes Acquisition of JD Power and Associates

2016-09-07

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LONDON AND COSTA MESA (CA), September 7, 2016 — XIO Group, a global alternative investments firm  headquartered in London, today confirmed that it has completed its previously announced acquisition of JD Power and Associates, the leading provider of marketing data and analytics for businesses and consumers worldwide, from S&P Global (NYSE: SPGI) for $1.1 billion.  JD Power will remain headquartered in Costa Mesa, California and continue to be led by its existing senior management team.

The transaction represents a compelling opportunity for JD Power to accelerate core growth, further refine and develop innovative customer solutions, broaden its international reach, and leverage its access to proprietary data and analytics to enhance consumer decision-making.  XIO Group is committed to supporting JD Power in its mission to use data-driven knowledge to help consumers and companies navigate today’s complex business environment.

“We are delighted to be partnering with JD Power and working together to build on the company’s strong foundation,” said Joseph Pacini, Chief Executive Officer of XIO Group. “JD Power has excellent brand recognition supported by a first-class management team and we are extremely optimistic about the company’s long-term prospects.  We are particularly excited to continue working with Fin and his team to expand JD Power’s global business, specifically its capabilities for unique and proprietary big data and analytics solutions for blue-chip customers in many key international markets.”

“This is an exciting time for JD Power,” said Finbarr O’Neill, President of JD Power. “We are joining a firm with the resources and motivation we need to accelerate our growth, bolster our competitive position, and broaden our global footprint.  We believe that XIO Group is the ideal partner to help us expand our data and analytics capabilities globally, enhancing our customer solutions and meeting our clients’ needs in an increasingly mobile, connected world.”  

Carsten Geyer, Partner of XIO Group, commented, “The acquisition of JD Power underscores our focus of investing in market-leading businesses in North America and Europe with untapped potential for global expansion, and helping companies to capitalize on these opportunities in high growth markets.  JD Power is a perfect fit for this strategy and we have been impressed and appreciative of the company’s efficiency in establishing a standalone business and enabling a smooth transition ahead of executing new and exciting growth strategies.”    

About XIO Group 

Headquartered in London, XIO Group is a global alternative investments firm that employs an international team of more than 70 professionals. Representing more than 15 nationalities among its employees and its network of advisors, the firm has operations in the United Kingdom, Germany, Switzerland, Hong Kong and mainland China. With a seasoned international investment team that includes professionals with experience working at many of the world’s leading private equity firms, XIO Group seeks to deploy over $5 billion of committed capital for global transactions. XIO Group’s strategy is to identify and invest in market-leading businesses located across North America and Europe and help these companies to capitalize on untapped opportunities in fast growing markets, particularly in Asia.

About JD Power 

JD Power, headquartered in Costa Mesa, California, is a world leader in consumer data and analytics that has been representing the voice of the consumer since 1968. The company is known for its independent consumer surveys of product and service quality, customer satisfaction, and buyer behavior in more than a dozen industries including automotive, financial services, insurance, energy, and telecommunications. For more than forty years, JD Power has been listening to consumers and business customers, analyzing their opinions and perceptions, and refining research techniques and study methodologies to offer essential market intelligence. The company’s quality and customer satisfaction measurements are based on responses from millions of consumers annually. Established in 1968 and headquartered in Costa Mesa, California, JD Power has 16 locations serving North and South America, Europe, and the Asia Pacific region.

Contacts

FTI Consulting for XIO Group: 

New York

Brian Shiver 

+1 212 850 5683

[email protected]

Alyssa LaCorte 

+1 212 850 5636

[email protected]

London

Fergus Wheeler

+44 020 3727 1522

[email protected]

Hong Kong

Christine Wood

+852 3768 4557

[email protected] 

For JD Power: 

Detroit

John Tews

+1 248 680 6218

[email protected]

Los Angeles

Geno Effler

+1 714 621 6224

[email protected]

 

Even After Headlines Fade from Natural Gas Accidents, Customer Perceptions of Gas Utility Safety Can Take Years to Recover

2016-09-13

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COSTA MESA, Calif.: 14 Sept. 2016 — In a year when a natural gas-related accident has made national news, customers’ impressions of media stories about their gas provider are increasingly positive nationally. However, customer concerns regarding safety and reliability can linger for years after a major incident, according to the JD Power 2016 Gas Utility Residential Customer Satisfaction Study,^SM released today.

The study, now in its 15^th year, finds that despite incidents such as the recent Aliso Canyon, Calif., methane gas leak that grabbed national media attention beginning in late 2015, the negative impact on customers’ impressions of media news toward their utilities was fairly short-lived. Overall, 46% of customers of natural gas providers have a positive impression of media news toward their utility, up from 41% in 2015. While these positive impressions took a dip among customers surveyed during the spring when national media stories about the accident were at their height, they rebounded quickly.

Over the past six years, the study has found that customer recall of negative news stories fade approximately six months after big headline news about safety. However, the negative effect of those stories lingers in customers’ minds for much longer in terms of their ratings for their utility’s ability to maintain a safe gas system. For example, ratings plummeted after a gas explosion in San Bruno, Calif., in 2010 and have just now, in 2016, recovered to their 2010 levels.

“Perhaps gas providers can learn from the automotive industry—another industry where safety is paramount,” said Carl Lepper, industry analyst in the utility and infrastructure practice at JD Power. “When safety issues arise that put customers’ lives and property at stake, automakers proactively and publicly reach out to customers and media to communicate what they are doing to remedy the issue. Gas providers should consider taking a similar approach in communicating what they will do immediately following an incident to keep accidents from recurring.”

Reflecting the importance gas customers place on issues surrounding safety, for the first time in this study all safety-related questions are measured as part of a dedicated safety and reliability factor. The study measures residential customer satisfaction with gas utility companies across six factors (in order of importance): safety and reliability; billing and payment; price; corporate citizenship; communications; and customer service. Satisfaction is calculated on a 1,000-point scale.

Customer satisfaction with residential gas utilities averages 706 index points. While the overall scores for 2016 cannot be directly compared to previous years due to a new study model, the current industry-wide average score represents a 17-point[1] overall increase from 2015. This increase is driven primarily by customer satisfaction with price—as the cost of natural gas has remained low—and communications.

Following are some of the key findings of the study:

• Average Monthly Bills Continue to Fall: The average reported monthly bill amount continues on a downward trend, averaging $73 in 2016, down from $80 in 2015 and $81 in 2014. Satisfaction in the price factor is improving, averaging 652 index points in 2016, compared with 620 in 2015 and 590 in 2014.
• Service Interruptions: In 2016, 10% of customers say they had an interruption with their gas service; when providers proactively notify customers about the interruption, satisfaction in the safety and reliability factor remains fairly high, averaging 822 points. This compares with 775 when they are notified through mass media. Satisfaction in the factor drops to 699 among customers who are not notified at all.

Study Rankings

The study ranks large and midsize utility companies in four geographic regions: East, Midwest, South and West. Companies in the midsize utility segment serve between 125,000 and 399,000 residential customers, and companies in the large utility segment serve 400,000 or more residential customers.

The following utilities rank highest in customer satisfaction in their respective regions:

• East Large: New Jersey Natural Gas
• East Midsize: Elizabethtown Gas
• Midwest Large: MidAmerican Energy
• Midwest Midsize: Louisville Gas & Electric
• South Large: PSNC Energy
• South Midsize: TECO Peoples Gas
• West Large: NW Natural
• West Midsize: Cascade Natural Gas

The 2016 Gas Utility Residential Customer Satisfaction Study is based on responses from more than 62,000 online interviews conducted between September 2015 through July 2016 among residential customers of 82 large and midsize gas utility brands across the continental United States.

Media Relations Contacts

John Tews; Troy, Mich.; 248-680-6218; [email protected]

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

 

Box Ranks Highest in Customer Satisfaction with Cloud Storage Services

2016-09-13

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COSTA MESA, Calif.: 15 Sept. 2016 — Box ranks highest among fee-based cloud storage service providers and performs particularly well in the price of service, storage capacity, variety of features offered, speed of downloading/uploading files and security factors, according to the JD Power 2016 Cloud Storage Satisfaction Report^SM released today.

The report measures overall satisfaction with cloud storage service providers among customers who currently subscribe to a cloud storage service to store data files, provide storage back-up access and help with media downloads/storage. Satisfaction is measured across nine factors (listed in order of importance): price of service; storage capacity; ease of use; variety of features offered; reliability of service; speed of downloading/uploading files; functionality across different devices; security; and consistency across operating systems. Overall satisfaction, which is calculated on a 1,000-point scale, is 860.

“The cloud storage service industry is growing as consumers want to store and readily access more data files, music, video and images than ever before,” said Kirk Parsons, senior director and telecom, media & technology practice leader at JD Power. “It’s important that cloud storage providers offer a service that’s easy to access and to store media across multiple devices and platforms at a price consumers perceive as a good value. Providers that do so—plus continuously offer new services and upgrades—are well-positioned to increase satisfaction, customer loyalty and repurchase intention.”

Cloud Storage Service Brand Satisfaction Rankings

• Box (879) ranks highest in customer satisfaction, ranking highest in five factors.
• Microsoft OneDrive (872) ranks second, performing above the report average in all nine factors.
• AmazonCloud Drive (870) ranks third, performing well in the reliability of service and functionality across different devices factors.

Key Report Findings

• On average, 39% of cloud storage subscribers indicate having 50 gigabits of data storage with their current service plan. An additional 32% indicate having one terabyte of storage available. A further 17% have an unlimited file storage plan either associated with certain file types (e.g., photos) or with all file types.
• Devices used most often when accessing cloud-based files are laptops/desktop computers (69%); Apple iPhones (56%); Apple iPads (40%); Android smartphones (30%); Android tablets (25%); and smart TVs (17%).
• The most common reasons cited by customers for selecting their current cloud storage provider are ease of use (46%); price of subscription (41%); brand reputation (38%); ability to sync with various devices (33%); and storage amount size offered (33%).

The 2016 Cloud Storage Satisfaction Report—fielded in July 2016—is based on responses from 2,865 customers who currently subscribe to and pay a recurring fee for cloud storage services.

Media Relations Contact

Geno Effler; Costa Mesa, Calif.; 714-621-6224; [email protected]

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

 

Social Media Usage During New-Vehicle Shopping Process Increases, JD Power Study Finds

2016-09-14

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COSTA MESA, Calif.: 15 Sept. 2016 — Consumers who use the internet during their new-vehicle shopping process are increasingly turning to social media websites as a source of information, according to the JD Power 2016 New Autoshopper Study,^SM released today.

The study analyzes how new-vehicle buyers use digital devices—tablets, smartphones and computers—to gather information prior to purchase, as well as which websites and apps they use during the shopping process. The study also examines which types of content new-vehicle buyers access during their shopping process and which content they find most useful.

Among automotive internet shoppers, 22% use a social media site as a source while shopping for their new vehicle, up from 16% in 2015. The most popular social media sites used by auto internet shoppers during the shopping process are YouTube (13%), DealerRater (7%) and Facebook (5%). 

“Social media plays a large role in many consumers’ lives, so it’s not surprising that it’s one of the tools they’re using during the vehicle-shopping process,” said Mike Battaglia, vice president, automotive retail at JD Power. “While we would not expect social media sites to compete head-on with designated auto shopping sites like Toyota.com and Kelley Blue Book, it’s easy to understand the role and relevance social plays in the automotive shopping process.”

Among automotive internet shoppers who use social media, only 13% indicate that the information posted on social media sites influenced their purchase decision, and only 2% say a social site was the “most useful site” they visited. 

“Social media platforms aren’t as useful as automotive shopping websites for automotive information, but they do serve the needs of consumers for unbiased dealer reviews, affirmations from other vehicle owners, accessing automotive-related videos and exchanging ideas and opinions with friends and family members,” said Battaglia.

Slightly more than one-third (34%) of new-vehicle buyers using social media for automotive information post a picture of their new vehicle on a social site. Facebook is by far the most posted site at 88%, followed by Instagram at 21%.

While the use of social media in the automotive research process is increasing, it still does not rival the traffic to auto shopping websites. The study finds that more than nine out of 10 automotive internet shoppers visit at least one automaker’s site during the shopping process, while 84% visit a dealer site and 79% visit a third-party site. On average, internet shoppers visit 10 automotive websites in their shopping process: four automotive manufacturer websites, three third-party websites and three dealership websites.

The most frequently accessed content on automotive shopping websites are model information (89%), vehicle pricing (88%) and photo galleries (81%). Yet, automotive internet shoppers find different types of sites more useful for different reasons. For example, automotive internet shoppers find that automotive brand sites are most useful for their model information, vehicle configurators and photo galleries, whereas dealer websites are found to be most useful for inventory searches, and vehicle pricing and third-party sites are most useful for vehicle ratings/reviews and vehicle comparisons.

Other key findings of the study include:

• Smartphones Surpass Tablets for Automotive Research: More than half (53%) of automotive internet shoppers use a mobile device in their quest for automotive information. For 2016, smartphone usage surpasses tablet usage (37% vs. 33%, respectively). The use of desktop or laptop computers remains most common at 92%, but has been steadily decreasing from 99% in 2012.  Consequently, the proportion of time spent shopping on mobile devices continues to increase, with 33% of the total shopping time now conducted on a mobile device. 
• Third-Party Website Leaders Continue Reign: The three most frequently visited third-party sites have remained consistent since 2012 (listed in alphabetical order): Consumer Reports, Edmunds.com and Kelley Blue Book. Among the 37 third-party websites measured in the study, TrueCar experiences the largest increase in site visitation for a second consecutive year.

The 2016 New Autoshopper Study is based on responses from 17,349 purchasers and lessees of new 2014 to 2016 model-year vehicles who used information gathered digitally during the shopping process. The study was fielded from February through June 2016.

See the online press release at http://www.jdpower.com/pr-id/2016272.

Media Relations Contacts

John Tews; Troy, Mich.; 248-680-6218; [email protected]

Geno Effler; Costa Mesa, Calif.; 714-621-6224; [email protected]

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

 

JD Power Finds Wireless Customers More Satisfied When Using Online Customer Care Channels, Via Mobile Devices

2016-07-27

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COSTA MESA, Calif.: 28 July 2016 — Customer contact with wireless carriers via online self-service is at an all-time high, as a growing shift in mobile device usage is affecting the way customers contact their providers with service inquiries, according to the JD Power 2016 U.S. Wireless Customer Care Full-Service Performance Study^SM—Volume 2 and the JD Power 2016 U.S. Wireless Customer Care Non-Contract Performance Study^SM—Volume 2, both released today.

Now in their 14th year, the semiannual studies examine how well wireless carriers provide customer service via the following contact channels: phone, which consists of two subchannels (automated response system (ARS), then customer service representative (CSR) and ARS only); walk-in (retail store); and online (website, online chat and social media). The studies measure satisfaction with each contact method and analyze processing issues, such as the efficiency of problem resolution and the duration of hold times. Satisfaction is calculated on a 1,000-point scale.

Wireless carrier customers have a variety of service channels to choose from when they experience an issue or have a question. Based on contact occurrences in the study, the frequency of using the online channel has increased considerably from last volume. Nearly half (47%) of customers who had a customer service contact during the previous three months used the channel, compared with 42% just six months ago. This represents the biggest increase among the three largest contact channels examined in the study. 

More than half (53%) of full-service customers had a walk-in service contact, compared with 49% over the previous six-month period, while 42% had an ARS, then CSR contact, compared with 43% in the previous six months. Part of the reason behind the rise in contact frequency via the online channel is the increasing use of mobile devices. Nearly three-fourths (72%) of customers who contact their carrier online use a smartphone or tablet to do so. In most cases where a mobile device is used (85%), the device is associated with the customer’s account.

“Given the number of dedicated contact channels available, the self-service channels generate the largest increases in contact volume over time and represent a growing trend among customers who prefer that experience vs. more in-person contact,” said Kirk Parsons, senior director and technology, media & telecom practice leader at JD Power. “Some of the main influences contributing to the frequency gains in self-service channels are the proliferation of mobile device usage and the improved experience in user interface and technology that allow for multiple inquiries, faster response and higher overall satisfaction.”

Online satisfaction is considerably higher when using a smartphone or tablet for online care, compared with using a desktop or laptop computer (835 vs. 766, respectively). Online satisfaction is especially high when a customer uses a mobile device associated with their account (840).

More importantly, overall resolution times to an online inquiry are shorter among those who  use a mobile device rather than a desktop/laptop computer (11.8 minutes vs. 13.4 minutes, respectively).

“As customer care usage patterns continue to change, it’s important for wireless carriers to meet or exceed the service expectations of the growing self-service channels and the different platforms and devices that can access customer information and help assist when problems arise, which can lead to increased satisfaction and future loyalty,” Parsons said.

Additional key findings of the 2016 studies include:

• Wireless Care Satisfaction Improves: Overall satisfaction among wireless full-service customers is 804, an improvement of 16 points from the 2016 Full-Service Study—Vol 1. Satisfaction among non-contract wireless customers is 761, a significant 23-point increase from the 2016 Non-Contract Study—Vol 1.
• Overall Satisfaction by Contact Type: Overall satisfaction is highest among customers whose online contact was via a user forum (838), followed by social media (836), email (827), carrier website (826) and online chat (813).
• Online Contact Channels: Researching information on the carrier’s website (51%) is the most common activity via online contact, followed by online chat (44%), email (26%), user forums (23%), and social media (7%).
• Reasons for Contact Vary by Channel: Among wireless customers contacting their carrier by telephone, billing (44%) is the most frequently reported reason for contact. The same is true for customers contacting via the online channel (52%). The majority of wireless customers visiting a retail facility for customer service do so for service options and equipment issues (40%).

Study Rankings

AT&T ranks highest among wireless full-service carriers, with an overall score of 820. AT&T performs particularly well in the walk-in (retail stores) and online channels, and performs above the full-service average in all four service channels.

Consumer Cellular ranks highest for the first time among wireless non-contract carriers, scoring 878. Consumer Cellular performs above the non-contract average in all four service channels, especially in the ARS, then CSR channel.

The 2016 U.S. Wireless Customer Care Full-Service Performance Study—Volume 2 is based on responses from 7,556 full-service wireless customers, and the 2016 U.S. Wireless Customer Care Non-Contract Performance Study—Volume 2 is based on responses from 2,543 non-contract wireless customers. The studies are based on the experiences of current customers who contacted their carrier’s customer care department within the past three months. The studies were fielded from January through June 2016.

Media Relations Contacts

Geno Effler; Costa Mesa, Calif.; 714-621-6224; [email protected]

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

 

Samsung Ranks Highest in Customer Satisfaction with 50-Inch or Larger TVs, While Sony Ranks Highest for TVs Smaller Than 50 Inches, JD Power Study Finds 

2016-07-27

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COSTA MESA, Calif.: 28 July 2016 — Samsung ranks highest in customer satisfaction with 50-inch or larger TVs, while Sony ranks highest in satisfaction with TVs smaller than 50 inches, according to the JD Power 2016 Television (TV) Satisfaction Report,^SM released today.

Regardless of the size of the TV they purchase, shoppers focus on finding value. Among customers who recently purchased a television, 67% of those with a TV smaller than 50 inches and 55% of those with a TV 50 inches or larger cite price as the primary reason for their selection. 

“Price is always a factor when selecting a television, but consumers should also consider how they plan to use the TV and select a model that will meet their needs, whether it is watching sports, playing video games or enjoying movies,” said Greg Truex, senior director of service industries at JD Power. “There are several TV technologies available, each with their own pros and cons. Picture resolution, processor speed and sound quality all affect satisfaction with the TV.”

Samsung ranks highest in the 50-inch or larger TV segment with a score of 859. Sony ranks highest in the smaller than 50-inch TV segment with a score of 843.

The report measures satisfaction with TVs among customers who purchased one in the past 12 months. Satisfaction is evaluated across seven factors: performance/reliability; features; price; ease of operation; built-in online capabilities; customer service; and warranty. Satisfaction is calculated on a 1,000-point scale.

KEY FINDINGS

• Overall satisfaction is higher among customers who purchased a TV 50 inches or larger (845) than among those who purchased a TV smaller than 50 inches (812).
• Both groups of customers indicate that the in-store display was their primary source of information during the shopping process, with 22% saying they relied primarily on the in-store displays.
• The report finds that 80% of customers with TVs 50 inches or larger and 59% of those with TVs smaller than 50 inches have a smart TV.
• Customers with a TV 50 inches or larger are more likely to access video on demand, social media, cloud storage and Web browsers than are those with a TV smaller than 50 inches.
• More customers with a TV 50 inches or larger indicate they purchased one with a curved screen or 4K Ultra HD, compared to those with a TV smaller than 50 inches (27% vs. 17%, respectively, for curved screens and 52% vs. 25% for 4K Ultra HD).
• The most common problems customers report with their TV are glare and/or reflection (25%); the TV doesn’t connect to Wi-Fi (18%); the remote control does not work properly (13%); and the sound is distorted, low or missing (13%). 

The 2016 Television (TV) Satisfaction Report is based on responses from more than 3,733 customers who purchased a TV in the past 12 months. The study was fielded in June 2016.

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