Jaguar Ranks Highest in Customer Satisfaction with Dealer Service for a Second Consecutive Year WESTLAKE VILLAGE, Calif., July 17
WESTLAKE VILLAGE, Calif., July 17 /PRNewswire/ -- Overall customer
satisfaction with dealer service improves considerably in 2008 -- with more
than two-thirds of the 37 ranked brands demonstrating gains -- according to
the J.D. Power and Associates 2008 Customer Service Index (CSI) Study(SM)
released today.
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The study, now in its 28th year, measures satisfaction among vehicle
owners who visit the dealer service department for maintenance or repair work
during the first three years of ownership, which typically represent the
majority of the vehicle warranty period.
After remaining relatively flat since 2005, overall satisfaction with
dealer service increases to 882 on a 1,000-point scale in 2008 -- an
improvement of 6 points from 2007. The improvement is primarily due to a
combination of an increase in the proportion of maintenance work performed and
improvements in satisfaction with repair work. Customers who visit the dealer
for routine maintenance tend to be more satisfied (894), on average, than are
repair customers (862). The proportion of customers bringing their vehicles to
the dealer for repair work has declined to a historic low in 2008, averaging
35 percent. Customer satisfaction with repair work increases notably --
improving by 9 points since 2007 -- with gains made by both premium and
non-premium brands. However, satisfaction with maintenance work increases only
slightly in 2008.
"Improved levels of vehicle quality have led to a decline in the need for
vehicle repairs during the first three years of ownership," said David Sargent,
vice president of automotive research at J.D. Power and Associates. "Despite
the fact that the majority of service visits -- 65 percent -- are for
maintenance work, dealers are very focused on the need to satisfy their repair
customers. Given today's market conditions -- where dealers are finding it
extremely difficult to achieve profitability -- it is vital that they not
overlook the importance of ensuring their service customers are satisfied. Not
only does meeting and exceeding the expectations of customers through
after-sales service result in increased likelihood that those customers will
return for service, but it also results in increased likelihood that those
customers will stay loyal to the brand when they are next in the market for a
vehicle."
For a second consecutive year, Jaguar ranks highest in customer
satisfaction with dealer service. Jaguar achieves an overall CSI score of 923
and is closely followed in the rankings by Cadillac (922) and Buick (919).
"Jaguar dealers receive very high satisfaction scores among repair
customers, particularly in the service initiation, service advisor and
user-friendly service measures," said Sargent. "Cadillac improves by one rank
position in 2008. This is also attributable to its particularly high levels of
satisfaction among repair customers. Buick has strong performance among
non-premium brands, and its continuing efforts to improve quality have
resulted in a decreasing incidence of repair visits among the brand's
customers."
The study also finds that communicating with customers after service work
has been completed has a notably strong impact on satisfaction particularly
through increasing customer perceptions of fairness of charges and the value
of service received. For customers that receive an explanation of work
performed or an explanation of charges, satisfaction is approximately 100
points higher, on average, than if no explanations were provided.
Approximately 82 percent of customers report that they received explanations
of the work performed on their vehicle, while 58 percent say they received an
explanation of charges, when necessary.
"Many times, it is the quality of communication provided by service
personnel that makes the difference between a satisfied customer and a true
advocate," said Sargent. "When customers are provided with clear explanations
as to why the work performed on their vehicle was necessary, as well as the
reasoning behind the charges, it improves satisfaction with the value of the
work performed, as well as perceptions of the fairness and honesty of the
dealer. Consistently following these relatively simple steps helps to foster
trust among customers, which is critical to building loyalty for future
service work as well as future sales. For example, 78 percent of customers who
rate the fairness of charges as 'outstanding' say that they will return to the
dealership for routine maintenance after the warranty expires, while only 49
percent of customers who provide 'average' fairness ratings say the same."
The study also finds the following key patterns:
-- While 5 percent of customers say that they would prefer to schedule
their service visit with the dealer via the Internet, only 1 percent of
customers actually do so. The vast majority of customers -- 74 percent -- call
the dealership to schedule an appointment, while 25 percent of customers just
drop in.
-- When vehicles are returned to the customer cleaner than they were when
received by the dealer, satisfaction scores average 48 points higher than
scores provided by customers whose vehicles showed no difference in
cleanliness. However, there is a particularly large decline in satisfaction --
202 points, on average -- if vehicles are returned less clean than when they
were received.
-- Among customers who report speaking to a service advisor immediately
upon arriving at the dealership, satisfaction scores average 927-224 points
higher than among customers who say they waited more than 5 minutes to speak
to a service advisor.
The 2008 CSI Study is based on responses from 87,302 owners and lessees of
2005 to 2007 model-year vehicles. The study was fielded between January and
April 2008. J.D. Power and Associates measures dealer service in various
countries around the world, including Australia, Canada, China, France,
Germany, India, Indonesia, Japan, Malaysia, Mexico, New Zealand, the
Philippines, South Africa, Taiwan, Thailand and the UK.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a
global marketing information services company operating in key business
sectors including market research, forecasting, performance improvement,
training and customer satisfaction. The company's quality and satisfaction
measurements are based on responses from millions of consumers annually. For
more information on car reviews and ratings, car insurance, health insurance,
cell phone ratings, and more, please visit JDPower.com. J.D. Power and
Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a leading global
information services provider meeting worldwide needs in the financial
services, education and business information markets through leading brands
such as Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power
and Associates. The Corporation has more than 280 offices in 40 countries.
Sales in 2007 were $6.8 billion. Additional information is available at
http://www.mcgraw-hill.com.
J.D. Power and Associates Media Relations Contacts:
John TewsSyvetril Perryman
Troy, Mich. Westlake Village, Calif.
(248) 312-4119 (805) 418-8103
john.tews@jdpa.com syvetril.perryman@jdpa.com
No advertising or other promotional use can be made of the information in
this release without the express prior written consent of J.D. Power and
Associates. http://www.jdpower.com/corporate
Customer Satisfaction Index RankingJ.D. Power.com Power Circle Ratings
(Based on a 1,000-point scale) For Consumers
Jaguar 923 5
Cadillac 922 5
Buick 919 5
Lexus 915 5
Lincoln913 5
Mercury908 4
Acura 904 4
Infiniti 903 4
BMW901 4
Honda 897 4
Saturn 897 4
Chevrolet 896 3
GMC896 3
SAAB 896 3
Pontiac895 3
HUMMER 892 3
MINI 890 3
Volvo 888 3
Audi 887 3
Mercedes-Benz 884 3
Chrysler 882 3
Industry Average 882 3
Hyundai880 3
Mitsubishi 880 3
Subaru 878 3
Ford 875 3
Porsche873 3
Toyota 871 3
Land Rover 863 3
Dodge 858 3
Jeep 858 3
Nissan 857 3
Mazda 851 2
Suzuki 846 2
Scion 845 2
Kia844 2
Volkswagen 842 2
Isuzu 782 2
NOTE: Maserati is included in the study, but not ranked due to small
sample size.
Power Circle Ratings Legend:
5 - Among the best
4 - Better than most
3 - About average
2 - The rest
SOURCE J.D. Power and Associates
