Category: United States

Utilities Struggle to Deliver Customer Service via Mobile Websites

2015-03-17

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WESTLAKE VILLAGE, Calif.: 19 March 2015 —While the number of utilities deploying a mobile-enabled website or app continues to increase, customers who access their utility’s website via mobile have more difficulty than those using desktop, according to the JD Power 2015 Utility Website Evaluation Study^SM (UWES) released today.

The study, now in its fourth year, has been redesigned and now combines mobile enabled/app and desktop/laptop/tablet (desktop) into one index. The study explores the usability of utility websites by examining 12 tasks based on the type of utility: set up an online account; account log in; view consumption history; review account information; make a payment; research energy saving information; update service; report outages; view outages; locate contact information; perform account and profile maintenance; and locate gas leak information. The study provides utility companies with an objective assessment of the usability of their website; establishes performance benchmarks; provides improvement recommendations; and identifies best practices across the industry. Ease of use is calculated on a 500-point scale.

Of the 66 U.S. electric and natural gas utilities included in the study, 57 of them currently offer an online mobile channel for customers either through a mobile-enabled website or mobile app. However, satisfaction among customers using their utility’s mobile website/app is lower than among those using the website from a desktop (410 vs. 426, respectively). With 12 percent of electric utility residential customers[1] using their mobile device when interacting online with their utility, the underperforming mobile sites and apps lead to lower customer service satisfaction and, ultimately, overall satisfaction.

“Unfortunately, utilities are not meeting customer expectations when it comes to the mobile experience,” said Andrew Heath, senior director at JD Power. “To improve self-service, utilities need to make it easy for customers to complete the 12 key online tasks. The biggest challenge for the utility industry is to provide a mobile experience that is just as effective as the desktop experience. With so many savvy mobile customers, anything less is just not good enough.”

KEY FINDINGS

• Among the utility companies included in the study, AEP, OG&E and Westar Energy perform particularly well in overall ease of use of utility websites.
• Among the top quartile (scores of 430-438) brands in the study, 46 percent of customers say they “definitely will” recommend the utility website and 59 percent say they “definitely will” return to the website, with those percentages dropping to 37 percent and 50 percent, respectively, among the bottom quartile (scores of 392-412) brands.

The 2015 Utility Website Evaluation Study (UWES) is based on evaluations from more than 14,500 electric and/or gas residential customers, with 5,235 of these customers providing feedback about their online experience using a mobile device. The 66 largest U.S. electric and/or gas companies are included in the study, which was fielded from December 4, 2014, through January 16, 2015.

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

About McGraw Hill Financial www.mhfi.com 

 

New-Vehicle Sales Rebound in March to Highest Levels for the Month since 2005

2015-03-19

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WESTLAKE VILLAGE, Calif.: 20 March 2015 — U.S. total new-vehicle sales in March 2015 are bouncing back from last month and are expected to reach their highest levels for the month in a decade, according to a monthly sales forecast from JD Power and LMC Automotive.

After winter storms stymied sales in February, total new light-vehicle sales in March 2015 are expected to reach 1,539,600 units, a 4 percent increase on a selling-day adjusted basis compared with March 2014 and their highest levels for the month since March 2005 when 1,572,909 new vehicles were sold. 

Retail Light-Vehicle Sales

New-vehicle retail sales in March 2015 are projected to reach 1,234,700 units, a 4 percent increase on a selling-day adjusted basis compared with March 2014 (March 2015 has one fewer selling day than March 2014) and the highest retail sales volume for the month since March 2007 when sales hit 1,244,656.

The retail seasonally adjusted annualized selling rate (SAAR) in March is expected to be 13.6 million units, 449,000 units stronger than in March 2014 and the highest retail SAAR for the month since March 2002 (14.8 million).

U.S. Retail SAAR—March 2014 to March 2015
(in millions of units)

Source: Power Information Network^® (PIN) from JD Power

“Inclement weather in February caused many consumers to delay their new-vehicle purchase until March,” said John Humphrey, senior vice president of the global automotive practice at JD Power. “Other key industry metrics continue to demonstrate the industry’s underlying strength. The average new-vehicle transaction price so far in March is $30,530, the highest level ever for the month of March.”

The combination of strong sales and high transaction prices positions March to set a new record for the month for consumer spending on new vehicles at approximately $37.7 billion, according to the Power Information Network (PIN) from JD Power. 

Humphrey notes that elevated transaction prices continue to be enabled by extended term loans. Thus far in March, extended term financing (loans of 72 months or longer) has been used in more than 35 percent of retail deliveries, on pace to set a new record for any month. 

Total Light-Vehicle Sales

Fleet volume in March is projected to hit 304,900 units—accounting for 20 percent of total sales—which is consistent with the year-to-date level. Fleet volume is expected to fall as the year progresses.

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

	March 20151	February 2015	March 2014
New-Vehicle Retail Sales	1,234,700 units (4% higher than March 2014)2	968,316 units	1,231,905 units
Total Vehicle Sales	1,539,600 units (4% higher than March 2014)	1,255,769 units	1,534,381 units
Retail SAAR	13.6 million units	12.7 million units	13.1 million units
Total SAAR	17.0 million units	16.2 million units	16.4 million units

¹Figures cited for March 2015 are forecasted based on the first 11 selling days of the month.

²The percentage change is adjusted based on the number of selling days in the month (25 days in March 2015 vs. 26 days in March 2014).

Sales Outlook

LMC Automotive is holding its 2015 U.S. forecast at 14.0 million units for retail sales and 17.0 million for total light-vehicle sales, both an increase of 3 percent from 2014.

“Autos didn’t escape a weather-driven hit to the vigorous selling rate trend in February, but upward performance returns in March and is expected to continue throughout the year,” said Jeff Schuster, senior vice president of forecasting at LMC Automotive. “The U.S. continues to be one of the brighter spots in the global vehicle sales picture in 2015 with stable volume growth.”

North American Production

The West Coast port strike, slow ramp-ups of new launches, weather and inventory corrections led to a reduction in overall production in February, compared with a year ago.  Despite negative pressures, output declined by less than 1 percent to 1.38 million units,  signaling a stable environment for continued growth. Manufacturers were also able to clear a significant amount of inventory, as levels declined to a 69-day supply at the beginning of March, down from 82 days in February.

LMC Automotive production forecast for 2015 remains at 17.5 million units, a 3 percent gain from 2014. The small and compact segments will comprise more than 60 percent of the volume growth, with the compact premium car segment projected to have the largest volume growth at nearly 90,000 units.

About JD Power

JD Power is a global marketing information services company providing performance improvement, social media and customer satisfaction insights and solutions. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. Power Information Network (PIN) from JD Power has revolutionized the automotive industry by collecting and analyzing real-time transaction-level data for new and used vehicles.  PIN’s data and analytics help automakers and dealers manage risk, monitor metric performance and improve business results. Headquartered in Westlake Village, Calif., JD Power has offices in North/South America, Europe and Asia Pacific. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit www.JDPower.com. JD Power is a business unit of McGraw Hill Financial.

About McGraw Hill Financial 

McGraw Hill Financial  (NYSE: MHFI) is a leading financial intelligence company providing the global capital and commodity markets with independent benchmarks, credit ratings, portfolio and enterprise risk solutions, and analytics. The Company’s iconic brands include: Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries. Additional information is available at www.mhfi.com.

About LMC Automotive

LMC Automotive is the premier supplier of automotive forecasts and intelligence to an extensive client base of automotive manufacturer, component supplier, logistics and distribution companies, as well as financial and government institutions around the world. LMC’s global forecasting services encompass automotive sales, production and powertrain expertise, as well as advisory capability. LMC Automotive has locations in the United States, the UK, France, Germany, China, Japan and Thailand and is part of the Oxford, UK-based LMC group, the global leader in economic and business consultancy for the agribusiness sector.  For more information please visit 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

 

ProFlowers Ranks Highest in Customer Satisfaction with Online Flower Retailers

2015-03-20

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WESTLAKE VILLAGE, Calif.: 26 March 2015 — ProFlowers ranks highest among online flower retailers, performing well across all seven factors, especially in competitiveness of pricing and in-stock availability of merchandise, according to the JD Power 2015 Online Flower Retailer Satisfaction Report^SM released today.

The report measures overall satisfaction with online flower retailers among customers who completed a purchase from an online flower retailer website within the past 12 months. Satisfaction is examined in seven factors (listed in order of importance): competitiveness of pricing; online store services and delivery; in-stock availability of merchandise; usefulness of information; variety of merchandise offered; website/online store; and contact with customer service. Satisfaction is calculated on a 1,000-point scale.

“Customers indicate their past experience with the online flower retailer is the primary reason for selecting the retailer over their competitors,” said Dan Lawlor, director of global research operations at JD Power. “Online flower retailers that focus on improving overall customer satisfaction have a great opportunity to increase customer loyalty and repurchase intention.”

Online Flower Retailer Brand Satisfaction Rankings

• ProFlowers (799) ranks highest in customer satisfaction, performing well across all factors.
• 1-800-Flowers.com (797) ranks second, performing well in four of the seven factors: contact with customer service; usefulness of information; online store services and delivery; and variety of merchandise offered.
• Teleflora (792) ranks third.
• Overall customer satisfaction with online flower retailers across all brands is 789.

The 2015 Online Flower Retailer Satisfaction Report is based on responses from 2,000 customers who made an online purchase from an online flower retailer in the past 12 months. The report was fielded in February 2015. For more information about JD Power solutions for the home improvement industry: http://www.jdpower.com/industry/home-improvement

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

About McGraw Hill Financial www.mhfi.com 

 

Dealers, Do You Want to Boost Sales? Tune Up Your Service Center.

2015-03-23

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WESTLAKE VILLAGE, Calif.: 24 March 2015 — Dealers wanting to increase their vehicle sales should focus on the back of their store, as sales are directly affected by customer experiences in the service department, according to the March 2015 PowerRater Consumer Pulse, a monthly analysis developed jointly by JD Power and DealerRater.

An alliance between JD Power and DealerRater integrates each company’s capabilities to gather comprehensive vehicle shopper feedback based on JD Power’s customer satisfaction research and DealerRater’s consumer ratings and reviews of car dealerships.

Key Findings

• A dealer’s ability to satisfy its service customers boosts its reputation for good service, which may ultimately lead to increased vehicle sales.   
• Highly satisfied service customers (overall satisfaction scores of 901-1,000 on a 1,000-point scale) are more likely to write a review about their experience, compared with those who are merely satisfied or indifferent (scores of 750-900), according to JD Power.[1] Among the 37 percent of highly satisfied customers, 4.3 percent indicate that they posted an online review of their experience. In contrast, less than 3 percent of service customers who are either merely satisfied or indifferent posted an online review.
• Among highly satisfied customers who posted an online review of their last service experience, 91 percent of the reviews were positive; among merely satisfied or indifferent customers who posted a review, only 71 percent of the comments were positive.
• According to data collected by DealerRater,[2] 40 percent of car buyers indicate that the service department’s reputation was significantly important in choosing the dealer they purchased from.

“Clearly, there is a strong incentive for dealers to maximize customer satisfaction as it leads to a greater likelihood that customers will post a positive review, helping to support the reputation of the dealer’s service department,” said Chris Sutton, vice president, U.S. automotive retail practice at JD Power.

As shown in data collected by DealerRater, improving its service reputation via positive reviews not only increases a dealership’s likelihood of new service business, but it also positively impacts its ability to sell vehicles.

“Considering how competitive the market is, and the tight profit margins that dealers are fighting, strengthening online reputation to maximize sales opportunities is becoming a critical business objective for new-vehicle dealers,” said Gary Tucker, chief executive officer of DealerRater.

Where Improvements Can Be Made

JD Power identifies the five processes with the highest potential impact on customer satisfaction with dealer service:

• Service advisor who focuses on customer’s needs (+73 points)
• Providing the customer with helpful advice (+55 points)
• Getting the vehicle fixed right the first time (+53 points)
• Access to the service advisor within two minutes of arrival (+45 points)
• Ensuring the vehicle is ready when originally promised (+41 points)

On average, dealers fix vehicles right the first time 93 percent of the time, and service advisors focus on customers’ needs 92 percent of the time. What’s left? Sutton noted that dealers can focus on improving timely access to advisors and setting realistic expectations for when vehicles will be ready, which are met only 73 percent and 77 percent of the time, respectively.

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

About McGraw Hill Financial www.mhfi.com 

About DealerRaterhttp://www.dealerrater.com/company/

Media Relations Contacts

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

Wendi McAden; DealerRater; 424-903-3644; [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 DealerRater. www.jdpower.com/corporate  www.DealerRater.com

 

JD Power Announces Launch of JD Power VoX;
Holistic Approach To the Customer Experience and an Innovative Technology Platform

2015-03-24

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WESTLAKE VILLAGE, Calif.: 25 March 2015 — JD Power today launches VoX (Voice of Experience), a holistic solution enabled by an innovative technology platform, designed for businesses to optimize their customer experience and drive financial results across industries.

Developed by JD Power, VoX leverages more than 45 years of JD Power experience in bringing together knowledge of the competitive landscape garnered from Voice of the Customer data, a wealth of industry expertise, and an international reputation as one of the world’s most trusted and recognized brands in consumer ratings.

Enabled by JD Power’s innovative platform, VoX displays interactive data in an intuitive user interface for all levels of an organization, from executives to the front-line staff interacting with customers, to determine how to improve the customer experience and drive loyalty, advocacy, sales and service. The VoX platform helps companies continuously measure and manage their performance to gather the right information needed to drive the right actions.

“JD Power’s VoX is our approach to managing the entire customer experience, combining our industry expertise, proprietary benchmarks and our VoX technology platform to empower companies with clear, actionable analyses of how best to exceed expectations, create loyal brand advocates and drive profitable growth,” said Rocky Clancy, vice president of financial services at JD Power. “Companies understand the importance of customer service and are searching for a set of solutions that generate quantifiable results.”

Clancy noted that across business sectors, a measurable financial return and competitive advantage can be delivered for companies that repeatedly offer a superior customer experience. Businesses with higher satisfaction have customers who are more willing to buy additional products and services and who are likely to recommend and repurchase from that brand, Clancy explained.

“Most companies understand the customer satisfaction performance equation,” said Clancy.  “Where many struggle is in trying to do too much, or focusing on the wrong things. As a result, they get frustrated with their lack of progress in delivering a higher quality customer experience, as well as in realizing the subsequent financial benefits associated with it.”

Six Barriers Preventing Meaningful Improvements in the Customer Experience

While most companies acknowledge the link between the customer experience and financial results, JD Power findings from customer research and consulting across multiple industries clearly show that there are six obstacles companies face in delivering an outstanding customer experience.

1. Focusing on the symptoms rather than the primary cause of the problem, which is most often a culture that is not customer-centric.
2. Missing critical trends in customer preferences, changing customer demographics and competitive reactions because of a too insular view of their customer.
3. Not really believing—based on inadequately prepared business cases—that an improved customer experience will actually drive better financial results.
4. Inability to focus sufficient attention on and execute the critical handful of improvement opportunities that will have the biggest impact.
5. Failing to deliver an optimal experience at critical “moments of truth.”
6. Measuring customer experience but not acting on the results and aggressively managing improvement.

“The JD Power VoX solution set with its industry benchmarks, customer experience consulting, channel interaction optimization services and range of tools for measuring and managing performance is specifically designed to help companies overcome these challenges,” said Clancy. 

Media Relations Contacts

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

Jeff Perlman; Brandware Public Relations; Woodland Hills, Calif.; 818-317-3070; [email protected]

About JD Power and Advertising/Promotional Rules http://www.jdpower.com/about/index.htm

About McGraw Hill Financial www.mhfi.com 

 

Run-Flat Tires Letting Air Out of Customer Satisfaction

2015-03-25

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WESTLAKE VILLAGE, Calif.: 26 March 2015 — Customers with run-flat tires are less satisfied overall and replace tires more frequently in the first two years of ownership than do those with non-run-flat tires, according to the JD Power 2015 U.S. Original Equipment Tire Customer Satisfaction Study^SM released today.

The study measures tire owner satisfaction in four vehicle segments: luxury, passenger car, performance sport and truck/utility.[1] Satisfaction is examined in four factors: tire wear; tire ride; tire appearance; and tire traction/handling. Rankings are based on owner experiences with their tires after two years of vehicle ownership.

The study finds that overall satisfaction among owners of run-flat tires lags that of owners of non-run-flat tires across the luxury, passenger car and performance sport segments, a pattern consistent with previous iterations of the study. The difference is most pronounced in the performance sport segment, where satisfaction with non-run-flat tires averages 685 points on a 1,000-point scale and satisfaction with run-flat tires averages 612. In the luxury segment, satisfaction with run-flat tires is 24 points lower than with non-run-flat tires (688 vs. 712, respectively).

In all three of the rank-eligible segments, the largest gaps in satisfaction are in tire ride and tire wear.

“The use of run-flat tires is likely to increase as automakers continue to view them as a viable option for improving fuel efficiency by eliminating the need for a spare tire, thereby reducing the weight,” said Brent Gruber, director, global automotive division at JD Power. “It’s vital that auto and tire manufacturers address the ride and wear issues, which are still not meeting customer expectations. Customers expect that run-flat tires won’t compromise tread life or the ability to provide a quiet and comfortable ride.”

Owners with run-flat tires also replace tires more frequently in the first two years of ownership than do non-run-flat customers. While the replacement rate for run-flat tires owners is slightly higher in the first year of ownership (10% vs. 7%, respectively), the discrepancy becomes more pronounced in the second year of ownership, when 27 percent of run-flat tire owners replaced at least one tire, compared with 16 percent of non-run-flat tire owners.

“While tire manufacturers have made improvements in addressing dealers’ reluctance to repair run-flat tires in the same way they would non-run-flat tires, customers with run-flat tires are still replacing them at a much higher rate,” said Gruber. “Manufacturers need to continue making progress in this area in order to increase satisfaction and loyalty among their run-flat tire customers.”

Key Findings

• ŸTire brand image influences customer satisfaction with the product. Manufacturers that convey an image of product value and environmental responsibility positively influence overall customer satisfaction. However, a customer’s image of the brand can erode over time if the product ultimately fails to meet their performance expectations. Projecting the right image for the brand is crucial, as 51 percent of customers who intend to purchase new tires cite brand reputation as a criterion for purchase, the highest among all purchase criteria.
• ŸFor owners who have replaced one or more of their original equipment tires within the last eighteen months, the most commonly cited criterion when selecting their new tires is that they match the other tires already on the vehicle. This is true for both purchase (32%) and lease (48%) customers. The second most frequently cited criterion is a recommendation from a sales or service person, cited by 11 percent of customers. Past experience with a tire brand and the advice from sales and service personnel are also very influential considerations when purchasing tires.
• ŸAmong generational groups,[2] Gen Y customers rely more heavily on their family and friends as a source of information for which replacement tire brand to purchase than do the older generations.

Study Rankings[3]

Michelin ranks highest in two of the three rank-eligible segments: luxury (745) and passenger car (714). Pirelli ranks highest in the performance sport segment (693).

Pirelli ranks second in the luxury segment (710), while Goodyear ranks second in the passenger car segment (669). In the performance sport segment, Michelin ranks second (692) and Goodyear third (691).

The 2015 U.S. Original Equipment Tire Customer Satisfaction Study is based on responses from more than 29,000 original owners of 2013 or 2014 model-year vehicles. The study was fielded in November and December 2014.

Media Relations Contacts

JD Power—John Tews, (248) 680-6218; [email protected]

About JD Power http://www.jdpower.com/about/index.htm

About McGraw Hill Financial www.mhfi.com

 

High Satisfaction with Automotive Third-Party Websites Drives Tenfold Increase In Shopper Requests for Information from Retail Dealerships

2015-03-27

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WESTLAKE VILLAGE, Calif.: 30 March 2015 — Vehicle shoppers who are highly satisfied with their shopping experience on an automotive third-party website are 10 times more likely to request information from a dealership than those who have a poor shopping experience, according to the JD Power 2015 Third-Party Automotive Website Evaluation Study^SM released today. 

The study, now in its third year, measures the usefulness of automotive third-party websites during the new- and used-vehicle shopping process by examining four key measures (in order of importance): information/content; appearance; navigation; and speed. Satisfaction is measured on a 1,000-point scale.

Among vehicle shoppers who are highly satisfied (scores of 901-1,000) with their shopping experience, 52 percent say they “definitely will” request more information from a dealership about the vehicle vs. just 5 percent of those who have a less satisfying experience (scores of 0-500). Slightly more than one-fourth (27%) of new-vehicle shoppers say they “definitely will” request information from a dealership, while 14 percent of used-vehicle shoppers say the same.  

“When shopping online, a positive automotive third-party website experience can influence shoppers’ inclination to reach out directly to a dealer to request information about the vehicle they are researching,” said Arianne Walker, senior director, automotive media & marketing at JD Power. “Both dealers and brands benefit by connecting shoppers to the ultimate point of purchase.”

KEY FINDINGS

• Overall, 79 percent of vehicle shoppers are looking for vehicle price when searching inventory. Used-vehicle shoppers (84%) are more interested in price, compared with new-vehicle shoppers (75%).
• The majority (67%) of vehicle shoppers prefer to be contacted by a dealership via email, followed by phone (18%) and mail (5%).
• When submitting a quote request to a dealership, Gen Y shoppers (born 1977-1994) are more willing to share personal information than those in the Boomer generation (1946-1964). Overall, the types of personal information vehicle shoppers are least willing to share include credit score, household income range, birth date and mobile phone number. 

Study Rankings

In 2015, overall satisfaction with automotive third-party websites averages 746. NADAguides ranks highest (768), followed by Cars.com (763) and The Car Connection (760).

The 2015 Third-Party Automotive Website Evaluation Study is based on evaluations from more than 5,000 new- and used-vehicle shoppers who indicate they will be in the market for a vehicle within the next 24 months. The study was fielded in January 2015.

Websites evaluated in the study were selected based on meeting the following criteria: must be an automotive third-party site; have the ability for consumers to shop for both new and used vehicles; and be among the most frequently visited sites based on behavioral data.

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

About McGraw Hill Financial www.mhfi.com 

 

Hotel Loyalty and Reward Program Features and Benefits Prove Key to Member Satisfaction Regardless of the Number of Hotel Brand Locations

2015-04-06

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WESTLAKE VILLAGE, Calif.: 8 April 2015 —Hotel loyalty and reward program features and benefits — earning and redeeming rewards — prove key to member satisfaction regardless of the number of hotel brand locations, according to the JD Power 2015 Hotel Loyalty/Rewards Program Satisfaction Report^SM released today.

The report measures customer satisfaction by examining six factors (in order of importance): account maintenance/management (23%); ease of redeeming points/miles (22%); ease of earning points/miles (18%); reward program terms (16%); variety of benefits (16%); and customer service (5%). Satisfaction is measured on a 1,000-point scale. Overall satisfaction with hotel loyalty/rewards programs improves to 701 in 2015 from 676 in 2014.

Although all brands ranked in the study have varying number of hotel locations, program loyalty/reward currency value resonates with program members driving satisfaction. For brands with many and convenient locations, members earn points each time they stay, and the points they accumulate can be redeemed for a variety of goods and services including future hotel stays, shopping, dining, travel and transportation, or the points may even be gifted/donated. Brands with a lesser number of locations may not have a point system, but might offer a tiered system whereby members can earn level-based privileges, such as free upgrades and hotel credit. 

“Given that the ease of redeeming and earning points/miles are two the of the top three factors driving satisfaction across all hotel loyalty/rewards programs, it’s important to recognize the power of perception when it comes to program benefits,” said Rick Garlick, global travel and hospitality practice lead at
JD Power. “Loyalty/Rewards brands that satisfy the needs of their members are more likely to build loyalty and drive recommendations via word of mouth and positive reviews.”

Report Rankings

• Delta Privilege[1] and Hilton HHonors[2] rank highest in a tie among hotel loyalty/rewards programs with an overall satisfaction score of 727 each.
• Delta Privilege performs particularly well in the ease of redeeming points/miles, variety of benefits and reward program terms factors.
• Hilton HHonors performs particularly well with ease of redeeming points/miles and ease of earning points/miles factors.
• Following Delta Privilege and Hilton HHonors in the rankings are Best Western Rewards (722) and IHG Rewards Club[3]  (721). 

Key Findings

• There is a significant 134 point gap in overall satisfaction between members who have the ability to earn points when making product and/or service purchases (819) and those who do not (685); the next largest gap (119 points) is in the ability to earn points at restaurants (802 vs. 683, respectively).
• Word of mouth is a key driver of member satisfaction. Satisfaction is highest among the 11 percent of members who choose their loyalty program based on positive reviews—award or online ratings—(815) and is second highest among the 14 percent of members who choose based on the program’s reputation (800). 
• Convenience of location is the primary reason customers enroll in hotel loyalty/rewards programs, with 41 percent of members choosing their program based on convenience of locations where they travel.  
• Satisfaction with loyalty programs is highest among Gen Y[4] members (745), compared with an average of all other generational groups in the study (692), which includes Pre-Boomers, Boomers, Gen X and Gen Z. Additionally, satisfaction among Gen Y members is highest across all factors, averaging 28 points higher than the other generations. Further, their loyalty is on par with other generational groups.
• Recommendation from hotel staff continues to be a key driver of customer awareness and adoption of hotel loyalty programs, with 41 percent of members learning of their rewards program from a hotel employee during check-in/check-out, down from 43 percent in 2014.
• Among members who are “delighted” (providing a rating of 10 on a 10-point scale) with the variety of program benefits available, 86 percent say they “definitely will” recommend their loyalty/rewards program.

The 2015 Hotel Loyalty/Rewards Program Satisfaction Report is based on responses from more than 2,900 U.S. consumers who have joined a hotel loyalty plan. Invitations to participate in the online survey were sent via email to panelists in February 27, 2015, through March 9, 2015.

Visit JD Power.com for the list of hotels that are associated with the corresponding loyalty programs ranked in the report.

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

About McGraw Hill Financial www.mhfi.com 

Hotels Associated with the Corresponding Hotel Loyalty Programs

Choice Privileges is the rewards program for Choice Hotels, which represents the following hotel brands: Ascend, Cambria Suites, Clarion, Comfort Inn, Comfort Suites, Econo Lodge, MainStay Suites, Quality, Rodeway Inn, Sleep Inn and Suburban Extended Stay.

Club Carlson is the rewards program for Carlson Rezidor, which represents the following hotel brands: Country Inns & Suites, Park Inn by Radisson, Park Plaza, Radisson, Radisson Blu, and Quorvus Collection.

Hilton HHonors is the rewards program for Hilton Worldwide, which represents the following hotel brands: Conrad Hotels & Resorts, Canopy by Hilton, Curio Collection, DoubleTree by Hilton, Embassy Suites, Hampton Inn, Hampton Inn & Suites, Hilton Garden Inn, Hilton Grand Vacations, Hilton Hotels & Resorts, Home2 Suites by Hilton, Homewood Suites and Waldorf Astoria Hotels & Resorts.

Hyatt Gold Passport is the rewards program for The Hyatt Corporation, which represents the following hotel brands: Andaz, Grand Hyatt, Hyatt, Hyatt House, Hyatt Place, Hyatt Regency, Hyatt Residence Club, Hyatt Zilara and Hyatt Ziva and Park Hyatt Hotels.

IHG Rewards Club is the rewards program for the InterContinental Hotels Group, which represents the following hotel brands: Candlewood Suites, Crowne Plaza Hotels & Resorts, EVEN Hotels, Holiday Inn, Holiday Inn Express, Hotel Indigo, InterContinental Hotels & Resorts and Staybridge Suites.

Marriott Rewards is the rewards program for Marriott International, which represents the following hotel brands: AC Hotels, Autograph Collection Hotels, Courtyard, Edition, Fairfield Inn & Suites, Gaylord Hotels, JW Marriott, Marriott Executive Apartments, Marriott Hotels & Resorts, Marriott Vacation Club, Moxy Hotels, Renaissance Hotels, Residence Inn, SpringHill Suites, The Ritz-Carlton and TownePlace Suites.

Starwood Preferred Guest is the rewards program for Starwood, which represents the following hotel brands: aloft, element, Four Points by Sheraton, Le Méridien, Sheraton Hotels & Resorts, St. Regis Hotels & Resorts, The Luxury Collection, W Hotels and Westin Hotels & Resorts.

Wyndham Rewards is the rewards program for Wyndham, which represents the following hotel brands: Baymont Inn & Suites, Days Inn, Hawthorn Suites by Wyndham, Howard Johnson, Knights Inn, Microtel Inn & Suites by Wyndham, Ramada, Ramada Limited, Ramada Plaza, Super 8, Travelodge, Tryp by Wyndham, Wingate by Wyndham, Wyndham Garden Hotels, Wyndham Grand Hotels and Resorts and Wyndham Hotels and Resorts.

 

Vehicle Sales Forecast Increases for 2014 and 2015;
December Retail SAAR Highest Since 2006

2014-12-18

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WESTLAKE VILLAGE, Calif.: 18 December 2014 — New-vehicle retail sales in December are expected to reach the highest levels on a seasonally adjusted annualized rate (SAAR) basis since 2006, according to a monthly sales forecast developed jointly by JD Power and LMC Automotive.

Retail Light-Vehicle Sales

New-vehicle retail sales in December 2014 are projected to reach 1.3 million units, a 7 percent increase on a selling-day adjusted basis compared with December 2013 (December 2014 has one more selling day than December 2013). The retail seasonally adjusted annualized selling rate (SAAR) in December is expected to be above the 14 million unit level for the third time this year, with a rate of 14.2 million units, which is 1.4 million units stronger than in December 2013. The most recent month in which the retail SAAR was 14.2 million units was in August 2006. Retail transactions are the most accurate measure of consumer demand for new vehicles.

U.S. Retail SAAR—December 2013 to December 2014
(in millions of units)

Source: Power Information Network^® (PIN) from JD Power

“The industry continues to demonstrate strong sales growth as the year comes to a close,” said John Humphrey, senior vice president of the global automotive practice at JD Power. “The end of the year typically drives more showroom traffic as customers seek to take advantage of better deals used to clear out inventory in preparation for the new year. In fact, December 31 was the strongest sales day of the year in 2013, bringing in more than 118,000 units or 10 percent of the month’s sales.”

So far in 2014, May 31 was the strongest selling day of the year with more than 111,200 sales.

Total Light-Vehicle Sales

Total light-vehicle sales in December 2014 are expected to reach 1.5 million units, a 6 percent increase, compared with December 2013. Fleet volume in December is projected to come in at 233,000 units, or 16 percent of total sales, which is below the year-to-date trend of 18 percent.

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

	December 20141	November 2014	December 2013
New-Vehicle Retail Sales	1,265,000 units (7% higher than December 2013)2	1,094,858 units	1,139,868 units
Total Vehicle Sales	1,498,200 units (6% higher than December 2013)	1,299,474 units	1,357,044 units
Retail SAAR	14.2 million units	13.7 million units	12.8 million units
Total SAAR	16.7 million units	17.1 million units	15.4 million units

¹Figures cited for December 2014 are forecasted based on the first 11 selling days of the month.
²The percentage change is adjusted based on the number of selling days in the month (26 days in December 2014 vs. 25 days in December 2013).

Sales Outlook

LMC Automotive’s 2014 U.S. light-vehicle retail sales forecast remains at 13.6 million units, but robust sales in November and December have pushed the total light-vehicle forecast to 16.5 million units. The previous total light-vehicle sales forecast was 16.4 million.

Additionally, LMC Automotive has raised its retail sales forecast for 2015 to 14.0 million units from 13.9 million and increased its total light-vehicle sales forecast to 17.0 million units from 16.8 million.

“The prospects for auto sales to overachieve in 2015 are moving closer to reality as 2014 goes out on a high note,” said Jeff Schuster, senior vice president of forecasting at LMC Automotive. “Economic bliss, driven by job creation, wage growth and low gas prices may drive consumers to showrooms at a faster pace, emphasizing the notion that this recovery may not be over quite yet.”

North American Production

New-vehicle production in North America in November 2014 was at 1.37 million units, a 2 percent decline from November 2013. Production in North America in 2014 is up 4 percent through November, compared with the same period in 2013. LMC Automotive’s 2014 North American production forecast remains at 16.9 million units, a 5 percent increase from 2013.

Vehicle inventory levels at the start of December 2014 were at a 71-day supply, five days lower than in November and six days lower than in December 2013.

For 2015, LMC Automotive has raised its forecast to 17.4 million units from 17.2 million, which is a 3 percent growth from 2014. Investment in the region will increase overall capacity by nearly 500,000 units, and, coupled with strong regional vehicle demand, a more positive production outlook is expected.

About JD Power

JD Power is a global marketing information services company providing performance improvement, social media and customer satisfaction insights and solutions. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. Headquartered in Westlake Village, Calif., JD Power has offices in North/South America, Europe and Asia Pacific. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit www.JDPower.com. JD Power is a business unit of McGraw Hill Financial.

About McGraw Hill Financial 

McGraw Hill Financial  (NYSE: MHFI) is a leading financial intelligence company providing the global capital and commodity markets with independent benchmarks, credit ratings, portfolio and enterprise risk solutions, and analytics. The Company’s iconic brands include: Standard & Poor’s Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, Platts, CRISIL and JD Power. The Company has approximately 17,000 employees in 30 countries. Additional information is available at www.mhfi.com.

About LMC Automotive

LMC Automotive is the premier supplier of automotive forecasts and intelligence to an extensive client base of automotive manufacturer, component supplier, logistics and distribution companies, as well as financial and government institutions around the world. LMC’s global forecasting services encompass automotive sales, production and powertrain expertise, as well as advisory capability. LMC Automotive has locations in the United States, the UK, France, Germany, China Japan and Thailand and is part of the Oxford, UK-based LMC group, the global leader in economic and business consultancy for the agribusiness sector.  For more information please visit 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

 

Electric Utilities Achieve Highest Level of Business Customer Satisfaction since 2009

2015-01-12

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WESTLAKE VILLAGE, Calif.: 14 January 2015 — Business customer satisfaction with their electric utility has hit its highest mark since 2009, based primarily on a substantial year-over-year increase in satisfaction with power quality and reliability, which, in turn, is driven by a significant improvement in utilities’ efforts to provide more accurate outage information, according to the JD Power 2015 Electric Utility Business Customer Satisfaction Study^SM  released today.     

The study measures satisfaction among business customers of 101 U.S. electric utilities, each of which serves more than 25,000 business customers. In aggregate, these utilities provide electricity to more than 12 million customers. Overall satisfaction is examined across six factors (listed in order of importance): power quality and reliability; billing and payment; corporate citizenship; price; communications; and customer service. Satisfaction is calculated on a 1,000-point scale.

Reaching its highest score in the past seven years, overall satisfaction among electric utility business customers is 677 in 2015, compared with 617 in 2009—a significant 60-point increase. Additionally, satisfaction increases by 15 points from 2014 (662). Performance improvement in 2015 is driven by a sharp year-over-year rise in satisfaction with power quality and reliability (+19 points), which is bolstered by a notable improvement in utilities’ efforts to provide more accurate information about outages.

In addition, this is the second consecutive year of improvement for more than 80 percent of the electric utilities included in the study, regardless of whether they rank among the highest- or lowest-performing companies.

“It’s important to note that many electric utilities that have traditionally ranked at the low end of the overall index now include in their business goals initiatives that are aimed at improving customer satisfaction,” said Andrew Heath, director of the energy practice at JD Power. “Among those utilities, several are posting substantial increases in satisfaction as a result. When utilities highly satisfy its customer base, there is a quantifiable positive impact on profitability and credit ratings for the utility.”

KEY FINDINGS

• Power quality and reliability satisfaction among business customers who receive outage information (713) is 143 points higher than among those who do not receive such outage information (570). 
• Utility communications positively impact satisfaction. Overall communications satisfaction among customers who recall receiving a communication from their utility is 74 points higher than among those who do not recall any communication. The percentage of business customers recalling a communication from their utility has increased to 55 percent in 2015 from 51 percent in 2014.
• Online account setup among business customers has grown to 57 percent in 2015 from 33 percent in 2009. Nearly three-fourths (72%) of business customers resolve their problem or issue online during the first contact, compared with 69 percent of those who resolve their problem by phone during the first contact.
• Overall satisfaction is highest among industrial business customers (682) and lowest among healthcare customers (675).

Study Rankings

Within each of the four geographic regions included in the study, utility providers are classified into one of two segments: large (serving 85,000 or more business customers) and midsize (serving between 25,000 and 84,999 business customers). Rankings within each region and segment are as follows:

East Region

PSE&G ranks highest among large electric utility providers in the East Region, with a score of 685. Among midsize electric utilities in the East Region, Delmarva Power ranks highest with a score of 691.

Midwest Region

In the Midwest Region, MidAmerican Energy (718) ranks highest among large electric utilities for a second consecutive year. Omaha Public Power District (728) ranks highest among midsize utilities.

South Region

Georgia Power (731) ranks highest among large utilities in the South Region for a third consecutive year. Among midsize electric utilities, Gulf Power ranks highest (731).

West Region

SRP (Salt River Project) ranks highest among large electric utilities in the West Region for a second consecutive year, with a score of 741. Among midsize electric utility providers, Seattle City Light ranks highest with a score of 716.

The 2015 Electric Utility Business Customer Satisfaction Study is based on responses from 22,857 online interviews with business customers who spend at least $200 monthly on electricity. The study was fielded from April through June 2014 and July through November 2014.

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

About McGraw Hill Financial www.mhfi.com