Category: United States

Blood Glucose Meter Satisfaction Increases When Manufacturers Offer a Choice of Free Meters

2014-11-04

jdp-root

WESTLAKE VILLAGE, Calif: 6 November 2014 — It is a common practice for adults with Type 1 or Type 2 diabetes to receive an offer for a free blood glucose meter from manufacturers. However, satisfaction is significantly higher among meter users who are offered a choice from a selection of at least three free meter models than among those who are not offered a choice, according to the JD Power 2014 U.S. Blood Glucose Meter Satisfaction Study.^SM

The study measures customer satisfaction with blood glucose meters based on six factors (in order of importance): performance (26%); ease of use (24%); design (20%); features (19%); cost of test strips (6%); and training (5%). Satisfaction is calculated on a 1,000-point scale.

Overall satisfaction with blood glucose meters improves to 823, up 10 points from 2013, attributed to increases in satisfaction with design, features and cost of test strips. While 30 percent of users indicate that the primary reason for selecting their meter is that it was free, 77 percent overall do not pay for their meter. There is no difference in satisfaction between meter users who receive a free meter (826) and those who pay for one (827).

“Because of the disparate preferences among meter users, choice is a very important driver of satisfaction,” said Rick Johnson, director of the healthcare practice at JD Power. “There is no single design that can satisfy everyone, so manufacturers need to offer a full range of models, from meters with basic functions to those with the latest interactive features, innovations and technologies. By offering a choice of at least three free meter models and communicating that this choice is available, manufacturers are more likely to improve user satisfaction and brand loyalty.”

KEY FINDINGS

• When the meter is free, satisfaction is significantly higher among users who have a choice of between one and three additional model options than among those who do not have an option at all (849 vs. 818, respectively).
• Overall, 38 percent of meter users indicate having had multiple meters to choose from when they acquired their meter. 
• More than one-fourth (26%) of blood glucose meter users indicate that ease of using test strips was an important reason why they selected their particular model. Satisfaction with cost of test strips has improved to 741 in 2014 from 695 in 2013.
• When meter users select a meter based on lancet size, satisfaction is 75 points higher, on average, than when selection is not based on lancet size.
• While a doctor’s office remains the most common location to obtain a meter (23%), meter users have increasingly obtained their device during the past two years from a chain drug store (18% in 2014 vs. 12% in 2012) or mass merchandiser (13% in 2014 vs. 8% in 2012).

Blood Glucose Meter Ranking

Bayer ranks highest in satisfaction with a score of 843, performing particularly well in meter performance; ease of use; design; features; and cost of test strips. LifeScan (835) ranks second, followed by Abbott Laboratories (827) and Roche Diagnostics (823).

The 2014 U.S. Blood Glucose Meter Satisfaction Study is based on responses from 2,024 blood glucose meter users with Type 1 or Type 2 diabetes. The study was fielded in September 2014.

Media Relations Contacts

Anthony Popiel; Brandware Public Relations; Atlanta, Ga.; 770-649-0880; [email protected]

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 

 

A Satisfying Automotive Website Experience on a Smartphone Leads to Greater Sharing of Vehicle Information on Social Media, Benefiting the Brand and Website

2014-10-08

jdp-root

WESTLAKE VILLAGE, Calif.: 9 October 2014 — Auto shoppers using a smartphone are more likely to share vehicle information on social media when they have a satisfying online experience with an automotive manufacturer (OEM) or third-party automotive site, according to the JD Power 2014 Automotive Mobile Site Study.^SM

The study, now in its third year, has been redesigned to capture details on content and tool usage while measuring what content is most effective on OEM and third-party automotive websites on a smartphone during the vehicle-shopping process. The study examines website usefulness across four key measures (in order of importance): information/content, navigation, appearance and speed. Satisfaction is calculated on a 1,000-point scale.

One-third (33%) of shoppers say they “definitely will” share vehicle information via social media after an exceptional experience (overall scores of 901-1,000), compared with only 3 percent of shoppers after a poor experience (scores of 500 and lower). Among shoppers using an OEM or third-party automotive website, 45 percent say they either “probably will” or “definitely will” share information via social media about a vehicle they researched.

“When vehicle shoppers have a positive experience on an OEM or third-party site, they are more likely to share the content they find useful or interesting with others,” said Arianne Walker, senior director, automotive media & marketing at JD Power. “This provides auto brands a great opportunity to get their content out in front of consumers through social media. The challenge is not only having great content to encourage sharing, but also ensuring that consumers have an outstanding experience no matter what site they are accessing on their smartphone.”

KEY FINDINGS

• Shoppers who share vehicle information on social media are more likely to share imagery, such as exterior images (48%), interior images (42%) and videos (40%) than other less visual content, such as payment/lease (18%) or dealer information (25%).
• Use of videos, interior 360° and exterior 360° tools has a significant positive impact on satisfaction among smartphone shoppers when researching how a vehicle looks on both OEM and third-party websites.
• When researching vehicle information shoppers who access an OEM website on a smartphone are much more likely to use a build and price tool (43%) than those who shop on third-party sites. (30%). However, vehicle shoppers accessing a third-party website on a smartphone are more likely to use an inventory search tool (36%) than those on an OEM site (32%).
• The largest gap (90 points) in satisfaction between OEM (806) and third-party sites (716) is in appearance of the website.

Automotive Mobile Site Rankings

Among OEM websites, Acura ranks highest with a score of 811. Following Acura in the rankings are Cadillac (803), Porsche (802) and Chrysler (801). Among third-party automotive sites, U.S. News Best Cars ranks highest (771), followed by Cars.com (749), Kelley Blue Book (728) and Edmunds.com (726).

The 2014 Automotive Mobile Site Study examines the features and content of automotive manufacturer and third-party mobile websites and their usefulness in the vehicle-shopping process. The study includes 11,451 evaluations of automotive mobile websites from vehicle shoppers who intend to purchase or lease a vehicle within the next two years. The study was fielded in July and August 2014.

Media Relations Contacts

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

About JD Power and Advertising/Promotional Ruleswww.jdpower.com/about/index.htm

About McGraw Hill Financial www.mhfi.com 

 

September New Light-Vehicle Sales Up 5% Year-over-Year; Full-Year Forecast Raised to 16.4 Million Units

2014-09-25

jdp-root

WESTLAKE VILLAGE, Calif.: 25 September 2014 — New light-vehicle sales are showing no signs of slowing, with sales in September demonstrating continued strength with solid year-over-year growth, according to a monthly sales forecast developed jointly by JD Power and LMC Automotive.

Retail Light-Vehicle Sales

New-vehicle retail sales in September 2014 are projected to come in at 1.0 million units, a 94,000-unit increase from September 2013 and 6 percent growth on a selling-day adjusted basis (September 2014 has 24 selling days, compared with 23 in September 2013). The retail seasonally adjusted annualized rate (SAAR) in September is expected to be 13.5 million units—which is 1.2 million units more than in September 2013—marking the seventh consecutive month in which the SAAR has exceeded 13 million units. Retail transactions are the most accurate measure of true underlying consumer demand for new vehicles.

 

U.S. Retail SAAR—September 2013 to September 2014

(in millions of units)

 

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

 

The strong sales pace in September is noteworthy as it follows an exceptionally strong August when retail sales reached 1,378,588.

“Vehicle sales typically fall sharply immediately following the Labor Day holiday before recovering later in the month, but the decline this September has been smaller than in prior years,” said John Humphrey, senior vice president of the global automotive practice at JD Power. “While the strong sales pace is an indicator of the health of the industry, it is being complemented by record transaction prices for the month of September.”

The average new-vehicle retail transaction price in September is $30,100, the highest ever for the month and exceeding September 2013 by nearly $450. JD Power expects consumer spending on new vehicles (retail sales multiplied by the average transaction price) to exceed $30 billion in September, the highest level for the month of September since 2004.

Total Light-Vehicle Sales

Total light-vehicle sales in September 2014 are expected to reach 1.25 million units, a 5 percent increase from September 2013 (on a selling-day adjusted basis). Following two consecutive months of market share below 15 percent, fleet sales share of total light-vehicle sales is expected to rebound to 19 percent in September 2014, the same level as in September 2013.

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

	September 20141	August 2014	September 2013
New-Vehicle Retail Sales	1,011,600 units (6% higher than September 2013)2	1,378,588 units	917,334 units
Total Vehicle Sales	1,247,900 units (5% higher than September 2013)	1,583,396 units	1,136,354 units
Retail SAAR	13.5 million units	14.1 million units	12.3 million units
Total SAAR	16.5 million units	17.5 million units	15.4 million units

¹Figures cited for September 2014 are forecasted based on the first 16 selling days of the month.

²The percentage change is adjusted based on the number of selling days in the month (24 days in September 2014 vs. 23 days in September 2013).

Sales Outlook

LMC Automotive has increased its 2014 U.S. new-vehicle retail sales forecast to 13.6 million units from its previous expectations of 13.5 million units and has bumped up its total light-vehicle sales forecast to 16.4 million units from 16.3 million units.

“The strength in automotive sales is undeniable, as August sales performance was well above expectations and there is no evidence of a payback in September, suggesting that the auto recovery still has some legs,” said Jeff Schuster, senior vice president of forecasting at LMC Automotive. “On the heels of another increase in the 2014 expected volume, 2015 is expected to hit 16.7 million units with more upside potential than downside risk.”

North American Production

North American production volume in August 2014 increased less than 1 percent from August 2013, the lowest year-over-year increase since April 2014. The slowdown in production in August followed strong production in July, when volume was up more than 16 percent from 2013.

Through August 2014, production volume has increased 4 percent, compared with the same period in 2013, with stronger demand, an increase in local sourcing and greater export volume the main drivers of this higher output. Mexico manufacturing growth is outperforming the rest of North America, with a 6 percent year-to-date increase. Production in the United States has increased 5 percent, while Canadian manufacturing is down 4 percent.

LMC Automotive expects North American production in 2014 to reach 16.8 million units—a 4 percent increase from 2013—and 2015 North American production to hit 17.1 million, surpassing 17 million units for the first time since 2000.

Vehicle inventory at the end of August dropped to a 56-day supply, compared with 61 days at the end of July. Both car and truck inventory are at below-normal levels, with a 53-day supply for cars and a 58-day supply for trucks.

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 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, JD Power and McGraw Hill Construction. The Company has approximately 17,000 employees in 29 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

 

Guardian Retirement Solutions’ Contact Center Recognized for Providing an Outstanding Live Phone Channel Customer Service Experience for a Fourth Consecutive Year

2014-09-29

jdp-root

WESTLAKE VILLAGE, Calif.: 1 October 2014 — The Guardian Insurance & Annuity Company, Inc. (GIAC), a wholly owned subsidiary of The Guardian Life Insurance Company of America, has been recognized for contact center operation customer satisfaction excellence with its live phone channel for a fourth consecutive year under the JD Power Certified Contact Center Program.^SM The Certified Contact Center Program distinction acknowledges a strong commitment by Guardian Retirement Solutions’ service contact center operations to provide “An Outstanding Customer Service Experience.” Guardian achieved certification for the live phone channel, including interactive voice response (IVR) routing and customer service representative (CSR).

To become certified, the contact center successfully passed a detailed audit of more than 100 practices that encompass their recruiting, training, employee incentives, management roles and responsibilities and quality assurance capabilities. As part of its evaluation, JD Power conducted a random survey of Guardian Retirement’s customers who recently contacted its contact center in Bethlehem, PA.

“Guardian Retirement Solutions has demonstrated a strong commitment to delivering outstanding service to its financial benefit plan customers contacting its call center and has achieved certification for a fourth consecutive year,” said Mark Miller, senior director at JD Power. “Consistent with last year, their customer service representatives are a notable strength, and they perform particularly well in resolving problems, questions, or requests in a timely manner, while also being courteous, showing concern and demonstrating knowledge.”

For certification status, a contact center must also perform within the top 20 percent of customer service scores, which are based on benchmarks established in JD Power’s cross-industry customer satisfaction research. The evaluation criteria include the customer service representative’s courtesy, knowledge and concern for the customer; promptness in speaking to a person; and timely resolution of the problem or request. Additionally, the experience with the automated phone system is evaluated based on the clarity of the information provided; the ease of navigating the phone menu prompts; and the ease of understanding the phone menu instructions.

“We believe that a key to exceptional customer service is building relationships with customers to serve their needs quickly and professionally. We focus on deepening customer understanding through multi-channel interactions and use each interaction as an opportunity to improve our process,” said Kim Flemm, vice president and head of operations, Guardian Retirement Solutions. “JD Power’s recognition of our contact center operations and customer satisfaction for a fourth consecutive year underscores Guardian’s core philosophy of building and growing client relationships.”

Launched by JD Power in 2004 to evaluate overall customer satisfaction with live phone interactions and to help organizations in various industries increase their efficiency and effectiveness by establishing and continually updating leading practices for handling service calls, the Certified Call Center Program is now called the Certified Contact Center Program, which certifies the live phone channel, the IVR self-service channel and the Web self-service channel.

About Guardian

A mutual insurer founded in 1860, The Guardian Life Insurance Company of America (Guardian) and its subsidiaries are committed to protecting individuals, business owners and their employees with life, disability income and dental insurance products, and offer funding vehicles for 401(k) plans, annuities and other financial products. Guardian operates one of the largest dental networks in the United States, and protects more than 8 million employees and their families at over 115,000 companies. The company has approximately 5,000 employees in the United States and a network of over 3,200 financial representatives in more than 80 agencies nationwide. For more information about Guardian, please visit www.GuardianLife.com.

Media Relations Contacts

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

Ana Sandoval; Guardian Life Insurance Company of America; 212-919-8551; [email protected]

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

About McGraw Hill Financial www.mhfi.com 

No advertising or other promotional use can be made of the information in this release without the express prior written consent of JD Power. www.jdpower.com

Follow us on Twitter @jdpower

 

Communication Breakdown: Voice Recognition No.1 Problem With New Vehicles

2014-08-27

jdp-root

WESTLAKE VILLAGE, Calif.: 28 August 2014 — In a climate of high consumer demand for increasing levels of technology in new vehicles audio, communication, entertainment and navigation (ACEN) systems are the most problematic component category in today’s new vehicles, according to the JD Power 2014 Multimedia Quality and Satisfaction Study^SM released today.

The study measures the experiences and opinions of vehicle owners regarding the quality, design and features of their ACEN systems in the first 90 days of ownership. Multimedia system quality is determined by the number of problems experienced per 100 vehicles (PP100), with a lower score reflecting higher quality.

In recent years, problems with ACEN have become the most prevalent type of problem with new vehicles. Specifically, built-in voice recognition surpasses wind noise as the problem most frequently reported by new-vehicle owners[1]. Bluetooth connectivity is the second most frequently reported problem, followed by wind noise and navigation problems.

Problems with built-in voice recognition averages 8.3 PP100 this year, up from 7.6 PP100 in 2013.  The voice recognition problems customers cite most often relate to three built-in hands-free communication issues: doesn’t recognize/misinterprets verbal commands (63%); doesn’t recognize/misinterprets names/words (44%); and doesn’t recognize/misinterprets numbers (31%).

“Voice recognition and device connectivity are often inherent to the technology design and cannot be fixed at the dealership, creating a high level of angst among new-vehicle owners,” said Mike VanNieuwkuyk, executive director of global automotive at JD Power. “Problems such as wind noise can sometimes be adjusted at the dealership. With voice recognition and connectivity problems, owners have had to learn to live with the shortcomings of this feature and instead rely on such work-around options as knobs and controls on the steering wheel and head unit to offset the core problem. Despite having alternative controls, this problem still negatively impacts owner satisfaction.”

According to VanNieuwkuyk, auto manufacturers continue to produce built-in voice recognition and connectivity systems that are not in sync with consumer expectations. Manufacturers have good intentions, but ultimately their efforts yield poor results.

Although a majority of new-vehicle owners continue to express interest in having built-in voice recognition and connectivity, these same owners indicate their wireless phone is more robust than current built-in systems, and they are not eager to pay for technology they perceive will not work as needed or expected. Nearly three-fourths (70%) of new-vehicle owners indicate interest in built-in voice recognition. When given a cost of $500 for this technology, purchase interest drops to
44 percent.[2]

“Automotive manufacturers really need to go back to the basics and design these systems so drivers can keep their hands on the wheel, their eyes on the road and their mind on the drive,” said VanNieuwkuyk.

KEY FINDINGS

• Built-in Bluetooth—mobile phone/device frequent pairing/connectivity issues—is the second most frequently cited ACEN problem at 5.7 PP100, down from 6.3 PP100 in 2013. Owners indicate that 97 percent of the devices with which they have pairing/connectivity issues are their phones.  
• More than half (52%) of these owners indicate they use an iPhone OS and 41 percent indicate they use an Android phone.
• Considering that a majority (93%) of vehicle owners indicate built-in Bluetooth connectivity available and 86 percent of owners say they have connected through their Bluetooth, seamless connectivity between device and vehicle is crucial. 
• Among pairing/connectivity issues, the most common problems are the system won’t find/recognize their mobile phone/device (40%) and the phone won’t automatically connect when entering the vehicle (30%). 
• Built-in Bluetooth mobile phone/audio connectivity and steering wheel controls have the largest impact on satisfaction.

The 2014 Multimedia Quality and Satisfaction Study is based on responses from 86,118 new-vehicle owners surveyed between February 2014 and May 2014. The study allows for in-depth analyses of vehicle owners’ experiences with the quality, design and features of automotive multimedia systems including voice recognition, navigation, rear-seat entertainment and speakers. Additionally, the study contains sourcing information to allow subscribers to delve into the data and view more information on individual components and products.

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

About McGraw Hill Financial www.mhfi.com 

 

New-Vehicle Buyers Who Spend the Most Time Shopping Online Also Visit the Most Dealerships

2014-09-08

jdp-root

WESTLAKE VILLAGE, Calif.: 9 September 2014 — New-vehicle buyers who spend the most time on the Internet shopping for a vehicle also visit the most dealerships to shop prior to purchase, according to the JD Power 2014 New Autoshopper Study^SM released today.

“There may be a notion in the marketplace that the more auto shoppers use the Internet to determine which vehicle to buy, the fewer dealers they are inclined to shop, yet we see just the opposite” said Arianne Walker, senior director, automotive media & marketing at JD Power. “New-vehicle buyers who do a great deal of automotive Internet shopping also go to more dealerships to shop.”

The study analyzes how new-vehicle buyers use digital devices (computers, smartphones and tablets) to gather information prior to purchase, as well as which websites and apps they use during the shopping process. The study refers to new-vehicle buyers who use the Internet during their shopping process as automotive Internet users (AIUs).

AIUs spend on average nearly 14 hours on the Internet shopping for vehicles prior to purchase. AIUs who spend the most time shopping on the Internet (12 hours or more) visit more dealers (3.3) to shop prior to purchase than those who spend either a moderate (5 to 11 hours) or minimal (1 to 4 hours) amount of time on the Internet (2.5 and 2.0 dealers, respectively).

More than one-third (34%) of AIUs use either a smartphone or tablet while shopping at a dealership, up from 29 percent in 2013. Vehicle pricing is the most frequently accessed content while at a dealership (61%), followed by model information (42%), searching inventory (40%) and special offers/incentives (36%). Furthermore, the study shows that among AIUs who use these mobile devices to access vehicle pricing information at their dealership of purchase, 84 percent leverage this pricing information in the negotiation process and 73 percent perceive having obtained a better deal as a result.

According to Walker, “The phenomenon of ‘showrooming’ at new vehicle dealerships, where potential buyers use their mobile devices to verify information and price shop while at the dealership, will continue to grow. Shoppers are gathering information digitally up to moment the deal is signed, which underscores the need for ensuring mobile websites and apps have up-to-date and accurate information. Dealers need to    accept and embrace this practice as the new status quo and provide complete transparency with price, value and product offering in order to build trust with these savvy new-vehicle shoppers. If not, dealers could lose these customers to the competition.”

KEY FINDINGS

• Devices Used for Automotive Shopping
• The majority (96%) of AIUs use their desktop/laptop computer for automotive research.
• Nearly one-third (28%) of AIUs use a smartphone to conduct automotive research in 2014, up from 23 percent in 2013; and 30 percent use a tablet device, up from 25 percent year over year.
• Forty-one percent of AIUs use multiple devices during the new-vehicle shopping process, which is an increase from 34 percent in 2013.

• Types of Websites Used for Automotive Shopping
• A majority of AIUs visit at least one manufacturer brand website when shopping for a vehicle. Site visitors find manufacturer brand websites to be most useful for their model information, vehicle configurators and photo galleries.
• Nearly 80 percent of AIUs visit a third-party site to obtain automotive information. In 2014, the most frequently visited third-party sites are consistent with the 2013 study results: (listed in alphabetical order) Car and Driver, Cars.com, Consumer Reports, Edmunds.com and Kelley Blue Book. 
• Users of third-party sites indicate vehicle pricing and vehicle ratings and reviews are the most useful information listed on the sites.

The 2014 New Autoshopper Study is based on responses from more than 15,300 purchasers and lessees of new 2012 to 2014 model-year vehicles who used information gathered digitally during the shopping process. The study was fielded between February 25, 2014 and July 9, 2014.

About JD Power and Advertising/Promotional Ruleswww.jdpower.com/about/index.htm

About McGraw Hill Financial www.mhfi.com 

 

Customer Satisfaction with Residential Gas Utilities Improves
For a Third Consecutive Year

2014-09-15

jdp-root

WESTLAKE VILLAGE, Calif: 17 September 2014 —Even though the U.S. faced another harsh winter and an increase in the average monthly gas bill this past season, customer satisfaction with residential gas utilities improves for a third consecutive year, according to the JD Power 2014 Gas Utility Residential Customer Satisfaction Study^SM released today.

The study, now in its 13th year, measures residential customer satisfaction with gas utility companies across six factors: billing & payment; price; corporate citizenship; communications; customer service; and field service.

“Although average gas bill amounts have increased due to the colder-than-usual winter, natural gas utilities have offset the negative effect by improving engagement with their customers,” said Andrew Heath, director of the energy practice at JD Power. “That engagement isn’t just about the bill and responding to customer service questions, but it’s also about effective communication on topics that matter to customers and demonstrating leadership in the local community.”

KEY FINDINGS

• Overall satisfaction with natural gas utility companies averages 644 (on a 1,000-point scale), continuing a steady year-over-year improvement from 627 in 2011.
• Payments made online at a utility’s website are the most satisfying to customers, compared with all other payment types (743 vs. 718, respectively). Satisfaction is significantly higher among customers who receive an electronic bill statement than among those who receive a traditional paper statement (743 vs. 715, respectively).
• While more than one-half (51%) of customers indicate having an online account set up on their utility’s website, up from 48 percent in 2013, only 3 in 10 customers receive their monthly bill electronically.
• Communication from gas utilities informing customers about efforts to keep energy costs low is a key driver of satisfaction.
  • Educated customers have higher price satisfaction when they are familiar with conservation programs and when they take action to lower their bills (familiar with and take action 712 vs. not familiar with and take no action 553).
  • Slightly less than one-fifth (18%) of gas customers take action to save energy, up from 13 percent in 2013.
  • Price satisfaction is a significant 232 points higher when customers are very familiar with their utility’s conservation programs, compared with when they are not at all familiar (760 vs. 528, respectively).
• Corporate citizenship satisfaction is 602, up 6 points year over year, driven primarily by utility efforts to maintain a safe gas system. Satisfaction ratings for utility efforts to maintain a safe gas system is 6.54 (on a 10-point scale) in 2014, compared with 6.47 in 2013.
• The average reported monthly bill amount has increased in 2014 to $81, up from $75 in 2013 but lower than in 2010 at $90.

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 399,999 residential customers, and companies in the large utility segment serve 400,000 or more residential customers.

East Region

Among large utilities in the East region, UGI ranks highest with a score of 662 for a second consecutive year. Following in the segment rankings are New Jersey Natural Gas (653) and National Fuel Gas (646).

In the East region midsize utility segment, Columbia Gas of Pennsylvania ranks highest (641), followed by NSTAR (631) and Rochester Gas & Electric (630).

Midwest Region

DTE Energy ranks highest among large utilities in the Midwest region, with a score of 676. Consumers Energy ranks second (666) and MidAmerican Energy ranks third (664).

Among midsize utilities in the Midwest region, Madison Gas & Electric ranks highest with a score of 662.  Alliant Energy ranks second (648), followed by Louisville Gas & Electric (645).

South Region

Oklahoma Natural Gas ranks highest in the large utility segment in the South region for a third consecutive year, with a score of 676. CenterPoint Energy-South ranks second (665), and Texas Gas Service ranks third (663).

Among midsize utilities in the South region, TECO Peoples Gas ranks highest with a score of 680 for a second consecutive year. Following in the segment rankings are South Carolina Electric & Gas (663) and Virginia Natural Gas (658).

West Region

NW Natural ranks highest among large utilities in the West region for a second consecutive year, with a score of 678. Following in the segment rankings are Southern California Gas Company (670) and Southwest Gas (661).

Among midsize utilities in the West region, Colorado Springs Utilities ranks highest with a score of 669. Cascade Natural Gas ranks second (660), followed by Intermountain Gas Company (658).

The 2014 Gas Utility Residential Customer Satisfaction Study is based on more than 69,800 responses from residential customers of 83 large and midsize gas utilities across the continental United States. The study was fielded between September 2013 and July 2014.

Media Relations Contacts

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

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

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

About McGraw Hill Financial www.mhfi.com 

 

 

Appliance Shoppers Find Retailer Websites Highly Useful, with Product Reviews Increasingly Important

2014-09-16

jdp-root

WESTLAKE VILLAGE, Calif.: 17 September 2014 — Appliance shoppers find retailer websites highly useful, with product reviews—a feature not often included on appliance brand websites—becoming increasingly important, according to the JD Power 2014 Appliance Shopper Website Evaluation Study^SM released today.

Now in its second year, the study evaluates the usability of appliance brand and retailer websites based on four factors that comprise the overall service experience (in order of importance): information/content; navigation; appearance; speed. Satisfaction is calculated on a 1,000-point scale.

Retailer websites are highly useful to consumers, especially when they include consumer product reviews, while brand websites are highly influential in the pre-selection of appliance models and features.

“Often, brand websites are considered a trusted place for consumers to begin their research process when shopping for an appliance; however, the sites don’t always emphasize the importance of product reviews,” said Dan Lawlor, director of research operations at JD Power. “Retailer websites focus less on features and add-ons but highlight product reviews. Brands are missing a great opportunity to satisfy customers by highlighting the relevant product reviews in addition to product, model and feature information.

Overall satisfaction with appliance brand websites is higher when shoppers access a website using a desktop/laptop (809) vs. a smartphone (796) or tablet (799). In contrast, satisfaction with retailer websites is higher when accessed using a tablet (831), compared with a desktop/laptop (827) or smartphone (810).

KEY FINDINGS

• The incidence of using a smartphone or tablet to research information online has increased to 26 percent, up from 20 percent in 2013.
• More than three-fourths (76%) of shoppers indicate retailer websites are highly useful when shopping for appliances.
• Among smartphone/tablet owners, 57 percent access online content while at a physical store location.
• Seven in eight retailer websites employ a dedicated mobile website for smartphone users, while tablet users are directed primarily to the desktop/laptop website. Only one retailer, The Home Depot, directs tablet users to a tablet-specific site.

Study Rankings

h.h. gregg ranks highest among appliance retailer websites, with a score of 865, up by a  significant 41 points from 2013. h.h. gregg’s improvement is attributed to an increase in the speed of the website, up 63 points to 875 and a redesign of the website review section to include the highest and lowest customer appliance ratings at the top of the site. Following h.h. gregg in the rankings are The Home Depot (842) and Best Buy and Lowe’s in a tie (839).

Among appliance brand websites, GE Appliances ranks highest (835), followed by Frigidaire (824) and Bosch (821). Frigidaire is the only brand to improve significantly year over year (up 24 points from 2013; moving to second place from eighth). Frigidaire’s improvement is attributed to an increase in information/content satisfaction, up by a significant 32 points to 818. The site now includes a tab for special offers and additional product images.

The JD Power 2014 Appliance Shopper Website Evaluation Study is based on responses from more than 3,000 major appliance purchase intenders who evaluated both brand and retailer websites. The study was fielded from June 24, 2014, through July 9, 2014.

Media Relations Contacts

John Tews; JD Power; MI, USA; Tel: +1-248- 580-6218; [email protected]

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

About McGraw Hill Financial www.mhfi.com 

 

Gen Y Least Satisfied among Generational Segments with Homeowners and Renters Insurance

2014-09-17

jdp-root

WESTLAKE VILLAGE, Calif.: 18 September 2014 — Gen Y customers—or Millennials—who comprise the largest group of homebuyers and renters in the United States, are more critical of their homeowners and renters insurance experiences than any other generational group, according to the JD Power 2014 U.S. Household Insurance Study^SM released today.

The study examines overall customer satisfaction with three distinct personal insurance product lines: homeowners, renters and individual life insurance. Satisfaction in the homeowners and renters insurance segments is measured by examining five factors: interaction; policy offerings; price; billing and payment; and claims. Satisfaction in the individual life insurance segment is measured by examining four factors: price; policy offerings; interaction, which includes three subfactors—call center, website and local agent/financial advisor; and billing and payment.

Gen Y consumers—those born between 1977 and 1994—are the least satisfied among the generational groups with their homeowners insurance experience. Satisfaction with their homeowners insurer among Gen Y customers averages 755 (on a 1,000-point scale), while satisfaction with their renters insurance provider averages 784. In contrast, satisfaction with homeowners insurance is highest among Pre-Boomers (born before 1946) at 846, and satisfaction with renters insurance is highest among Boomers (born 1946-1964) at 829.

Comparing the two largest generational segments, homeowners satisfaction among Gen Y customers is lower across all five study factors than among Boomers, most notably in interaction (-63 points) and claims (-59).

Although Gen Y is not the least satisfied generational group when it comes to the individual life insurance experience, customers in this segment represent the largest percentage of first-time purchasers of a life product. They have demonstrably different service expectations and are more apt to use online purchase channels that other generational groups.

“Millennials are a critical demographic for insurance companies, given that they are the largest group of homebuyers and renters, as well as the largest group of prospective life customers,” said Valerie Monet, director of the insurance practice at JD Power. “Insurers in one or all of these product categories need to pay very close attention to Millennials and adapt their business model to meet the needs of this large segment, which often involves evaluating the usability of their website and finding new ways to communicate with customers, such as through the use of email, apps and online chat.”

Insurers that are most successful in understanding and meeting the expectations of Gen Y customers have a higher rate of executing on the following service practices than insurers less successful in understanding Gen Y needs: informing customers of other products and services; providing access to policy information online; ensuring complete understanding of the bill; limiting bill errors; resolving issues in one contact; and limiting customer-reported problems.

“In short, insurers benefit from ensuring that their Gen Y customers are well informed, and that there are no issues or problems in servicing their policy,” said Monet.

KEY FINDINGS

Homeowners Insurance

• Overall customer satisfaction with homeowner insurers improves to 790 in 2014, up from 787 in 2013.
• ŸThe increase in satisfaction in 2014 is driven largely by a significant 7-point improvement in the price factor.
• ŸThe study finds that 60 percent of customers in 2014 indicate their homeowners insurance premiums have remained the same during the past 12 months, up from 58 percent in 2013.
• ŸThe proportion of customers who experience an insurer-initiated premium increase drops slightly to 29 percent in 2014 from 30 percent in 2013.
• ŸInteraction, the leading driver of customer satisfaction with an insurer, has an overall score of 832. However, 27 percent of customers in 2014 have to wait to speak with an agent when they call, up from 22 percent in 2013; and 13 percent of customers are transferred to another agency representative, an increase from 10 percent in 2013.

Renters Insurance

• ŸOverall satisfaction among renters insurance customers drops to 802 in 2014 from 809 in 2013. The leading drivers of that decline are lower scores in the interaction and billing and payment factors.
• ŸThe largest gaps in satisfaction between renter and homeowner insurance customers are in the price and policy offerings factors: price satisfaction is 35 points higher among renters insurance customers, and policy offerings satisfaction is 16 points higher among homeowners insurance customers.

Life Insurance

• ŸOverall customer satisfaction among individual life insurance customers averages 763 in 2014.
• ŸSatisfaction among Pre-Boomers and Gen Y are similar across most factors. Among the subfactors, satisfaction among Pre-Boomers and Gen Y is highest in local agent/financial advisor.
• ŸAmong Gen Y customers, 60 percent indicate that they have shopped for life insurance coverage in the past three years. Among those who have shopped, 50 percent of Gen Y customers obtained quotes from at least two insurers.
• While 86 percent of Boomers don’t plan to increase their individual life insurance coverage in the future, 33 percent of Gen Y customers plan to convert or upgrade their current policy and another 19 percent plan to add a policy with their insurer.

Insurance Rankings:

Amica Mutual ranks highest in the homeowners insurance segment with a score of 839. Amica Mutual performs particularly well in all five factors of overall satisfaction. Auto-Owners Insurance ranks second (829), followed by State Farm (813), Erie Insurance (810) and American Family (805).

GEICO ranks highest in the renters insurance segment with a score of 811, followed closely by State Farm at 810. GEICO performs particularly well in the policy offerings, price and billing and payment factors, while State Farm performs particularly well in the interaction factor.

State Farm ranks highest in the life insurance segment with a score of 823, performing particularly well in all four factors. Northwestern Mutual ranks second (815), followed by Pacific Life Group (792), Allstate (785) and Nationwide (783).

The 2014 U.S. Household Insurance Study is based on 22,934 responses from customers who have one or more of the following insurance product lines: homeowners; renters; and individual life insurance. The study was fielded in June and July 2014.

Media Relations Contacts

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

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 

 

Performance and Reliability Problems Decline in Both Residential TV and Internet Services; Quality and Connection Speeds Continue to Improve

2014-09-23

jdp-root

WESTLAKE VILLAGE, Calif: 25 September 2014  — The number of performance quality, reliability and connection speed problems has declined from last year as TV and Internet service providers (ISP) continue to upgrade their networks to newer technology and faster connection speeds, according to the three U.S. wireline studies released today: the JD Power 2014 U.S. Residential Television Service Provider Satisfaction Study^SM; the JD Power 2014 U.S. Residential Internet Service Provider Satisfaction Study^SM; and the JD Power 2014 U.S. Residential Telephone Service Provider Satisfaction Study.^SM

The annual wireline studies evaluate residential customers’ experiences with TV, Internet and phone services in four regions: East, South, North Central and West. The studies measure customer satisfaction   based on five factors: performance and reliability; cost of service; programming (TV only); billing; communication; and customer service. Satisfaction is calculated on a 1,000-point scale.

“The ability to provide a high-quality experience with all wireline services is paramount as performance and reliability is the most critical driver of overall satisfaction,” said Kirk Parsons, senior director of telecommunications at JD Power. “While customers may be leveraging the same network or connection across multiple services, their experience can be different given the equipment type, connection to the home, service plans used and the different activities performed on each.”

According to Parsons, as expectations regarding usage, performance quality and reliability continue to evolve, companies that understand these dynamics will be better positioned to provide a more satisfying customer experience, which can lead to higher levels of overall satisfaction and higher rates of retention, advocacy, and return on investment.

KEY FINDINGS

Residential Television Service Provider Satisfaction Study

• DIRECTV and Verizon FiOS (738) rank highest (in a tie) in TV customer satisfaction in the East region; AT&T U-verse (750) ranks highest in the North Central region; Verizon FiOS (751) ranks highest in the South region; and DISH Network (739) ranks highest in the West region.
• Satisfaction with performance and reliability has improved to 743 in 2014, an increase of 17 points from 726 in 2013.
• Customers experience fewer television service quality problems in 2014. For example, 31 percent
  of customers have experienced picture freezing in the past 3 months, down from 38 percent in 2013. Moreover, just 46 percent of customers have experienced a temporary loss of signal, a decrease from 51 percent year over year.   
• Slightly fewer customers have experienced a television outage in 2014, compared with 2013 (28% vs. 30%, respectively). That 2 percent improvement positively impacts overall satisfaction by 89 points among customers who do not experience an outage, compared with those who do experience one.

Residential Internet Service Provider Satisfaction Study

• Verizon ranks highest in ISP customer satisfaction in the East (712) and South (725) regions; WOW! (Wide Open West) scores 728 ranking highest in the North Central region; and AT&T (704) ranks highest in the West region.
• Satisfaction with performance and reliability has improved to 700 in 2014, an increase of 37 points from 663 in 2011.
• ISPs have reduced the average number of website connection errors experienced by customers in the past 3 months to 2.9 from 4.4 in 2013, a 35 percent improvement. Providers have also reduced general service outages by 31 percent year over year (1.1 vs. 1.6, respectively).
• Customers have experienced fewer Internet speed problems, with just 2.1 instances of excessively slow loading during the past 3 months, compared with 3.0 in 2013.

Residential Telephone Service Provider Satisfaction Study

• AT&T (740) ranks highest in telephone customer satisfaction in the East region; WOW! (Wide Open West) scores 767 ranking highest in the North Central region; Bright House Networks (751) ranks highest in the South region; and Cox Communications (739) ranks highest in the West region.
• Overall satisfaction with performance and reliability is 754, up from 749 in 2013.
• The incidence of general outages with phone service has declined, affecting 17 percent of households in 2014, compared with 21 percent in 2013.

The 2014 U.S. wireline studies are based on responses from 30,358 customers nationwide who evaluated their cable/satellite TV, high-speed Internet and telephone service providers. The studies were fielded in four waves: December 2013, February 2014, May 2014 and July 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