Service excellence, communication separate ‘best’ brands from the rest – J.D. Power

Lexus and Buick.

Brands that you wouldn’t necessarily think have much in common.

But one thing Lexus and Buick do share is J.D. Power recognition for highest customer satisfaction among luxury and mainstream brands, respectively, which could help steer savvy dealerships to greater success.

Customer service made a big difference for Buick in J.D. Power survey.

Customer service made a big difference for Buick in J.D. Power survey.

Power’s U.S. Customer Satisfaction Index (CSI) Study measures shoppers’ thoughts about service at franchised dealers or independent service facilities for maintenance or repair work on owned or leased vehicles ranging from one to five years old.

The survey provides insight for automakers and dealerships on customer-service issues affecting loyalty.

“The quality of work – doing the job right the first time – can noticeably affect customer satisfaction and loyalty,” said Chris Sutton, vice president, U.S. automotive retail practice at J.D. Power.

The vast majority (94 percent) of customers who take their vehicles in for service indicate that their dealer fixed the problem the first time. But among the 6 percent of customers indicating the service work was not completed right on the first visit, satisfaction drops more than 22 percent compared to those whose work was completed right on the first visit.

But what happens while getting to that satisfaction number also is important:

  • “Proactive communication with the customer, especially while the car is being serviced, is one element that has a direct influence on loyalty,” according to Sutton.
  • The study shows that among customers who are contacted by phone, 55 percent said they “definitely will” return for paid service, but that loyalty factor jumps to 67 percent when customers receive text message updates, according to J.D. Power.
  • And that preference is significantly higher among Gen Y and Gen X’ers (41 percent) compared to Baby Boomers (25 percent) and Pre-Boomers (10 percent).

“It’s not surprising to see the preference for receiving updates through text messages continue to rise, but only 3 percent of customers indicate they receive text message updates,” Sutton said. “Correcting that disconnect by adding more text message capability should be a priority with a service operation.”

Feedback on factors that go into customer satisfaction provide dealers insight into what currently influences overall satisfaction most and which other areas could use improvement: Service advisers scored 835 points on the J.D. Power 1,000-point scale, followed by service initiation (832), vehicle pickup (810), service quality (809) and the service facility itself (794).

Despite leading its category, Buick ranked just ninth among the top-10 brands scored by J.D. Power and its 1,000-point scale, with the remainder of the top brands falling in the luxury category.

However, Buick was the only manufacturer that received a perfect score (25/25) from owners and lessees for above criteria comprising an overall customer satisfaction score. Among all manufacturers, MINI received the second-highest overall customer satisfaction score (24/25), while Lexus scored highest (22/25) among luxury brands and third-highest satisfaction overall.

Among manufacturers, General Motors scored strongest with four brands in the top five of their respective categories – Cadillac, fifth among luxury brands, and Buick, first; GMC, third, and Chevrolet, fourth, among mainstream brands, according to J.D. Power.

The 2017 CSI Study is based on responses from more than 70,000 owners and lessees of 2012 to 2016 model-year vehicles between October and December 2016.

You can dig deeper into the brand-by-brand results at the J.D. Power website.

“Quality of automotive service continues to show significant improvement and is driving an increase in overall customer satisfaction,” according to J.D. Power.

It’s clearly something dealerships should have in mind before, during and after the sale.

Posted in News

Written by

Enjoy this Post?

Remember to subscribe to our RSS Feed and if you would like, please share this post.

Comments are closed.