Damage from Puncture is Reported as the Top Problem with Original Tires in China

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Yokohama Ranks Highest in Original Tire Customer Satisfaction in China

SHANGHAI: 25 September 2012 — One in five Chinese vehicle owners report damage from puncture as the top problem with their vehicle's original tires, according to the J.D. Power Asia Pacific 2012 China Original Equipment Tire Satisfaction Index StudySM

The China Original Equipment Tire Satisfaction Index Study measures satisfaction among original equipment tire owners during the first 12 to 24 months of ownership. The study measures overall satisfaction across four factors: appearance; durability; traction/handling; and ride.

Overall customer satisfaction with original tires averages at 801 on a 1,000-point scale. Of the four factors examined in the study, customers express the highest satisfaction toward appearance (814), followed by durability (807) and traction/handling (789). Customer satisfaction with ride is the lowest (788).
 
More than 20 percent of consumers (22%) experienced damage from puncture, topping the list of 19 problems examined in the study.

"The percentage of customers experiencing damage from puncture is quite alarming, considering the safety accidents such damage may bring about," said Dr. Mei Songlin, vice president and managing director of J.D. Power China Operations. "Tire manufacturers should focus on improvement in tire quality to reduce the safety risks."

Stones getting caught in the tread is reported as the second frequently experienced problem in among Chinese vehicle owners (9%), followed by road hazard damage (5%).

Most tire products in the market were originally designed overseas and imported to China, said Dr. Mei. In addition to improving tire manufacturing quality, he urges efforts in localizing the tire design in view of the local road conditions in China.

Yokohama ranks in customer satisfaction among the 19 tire brands examined in the study with an index score of 843.  Yokohama performs particularly well in the durability, traction/handling and ride factors. Dunlop ranks second at 837, followed by Bridgestone and Continental, in the tie, with 833.

When examining satisfaction by the tire brand origin, Japanese tire brands collectively achieve a satisfaction score of 834 points, the highest among all the tire brands in China. European brands and U.S. brands trail at 833 and 817 points, respectively. The study finds Japanese tire brands perform especially well in appearance, durability and ride.

The study also indicates that tire brands that achieve high levels of customer satisfaction benefit financially from higher levels of customer loyalty and advocacy. When car owners are more satisfied with their original tires, they are more likely to repurchase their same tire brand in the future. Among customers who are highly satisfied (856 points and higher), more than 36 percent claim they "definitely would" stay with their current tire brand. When overall satisfaction is low (683 points or less), only 5.3 percent of customers state they "definitely would" repurchase the brand of tire.

"Highly satisfied customers with original tires brings more after-sales business for dealers," says Liza Wang, senior analyst at J.D. Power Asia Pacific, Shanghai. "The study finds that replacement rate with the same tire brand is 26 percent higher among customers who are delighted with their original tires, compared with those who voiced disappointment."

The study is based on responses from 12,066 new-vehicle owners who purchased their vehicle between February 2010 and May 2011. The study was fielded between February and May 2012 in 37 major cities in China, covering 187 vehicle models in total.

The China Original Equipment Tire Satisfaction Index StudySM is one of eight consumer-based benchmark studies conducted by J.D. Power Asia Pacific in China. Other 2012 studies conducted by J.D. Power Asia Pacific in the country include:

  1. China New-Vehicle Intender Study (NVIS), which examines pre-purchase perceptions and considerations, was released in end June.
  2. The China Customer Satisfaction Index (CSI) Study, which examines satisfaction with the after-sales service experience among vehicle owners between 12 and 24 months of ownership, was released in late July.
  3. The China Sales Satisfaction Index (SSI) Study, which measures satisfaction with the new-vehicle sales process, was released in mid August.
  4. The China Initial Quality Study (IQS), which measures problems experienced by new-vehicle owners during the first two to six months of ownership, will be released in late October.
  5. The China Automotive Performance, Execution and Layout (APEAL) Study, which measures what excites and delights owners about their new-vehicle's performance and design during the first two to six months of ownership, will be released in late November.
  6.  The China Vehicle Dependability Study (VDS), which evaluates overall vehicle dependability during the first 25-36 months of ownership, will be published in mid December.
  7. China Service Loyalty Study (SLS), which measures customer loyalty toward authorized dealerships during the first 25 to 36 months of ownership. The study will be released in January 2013.

About J.D. Power Asia Pacific

J.D. Power Asia Pacific has offices in Tokyo, Singapore, Beijing, Shanghai and Bangkok that conduct customer satisfaction research and provide consulting services in the automotive, information technology and finance industries. Together, the five offices bring the language of customer satisfaction to consumers and businesses in China, India, Indonesia, Japan, Malaysia, Philippines, Taiwan and Thailand. Information regarding J.D. Power Asia Pacific and its products can be accessed through the Internet at www.jdpower.com. Media e-mail contact: ellen_wang@jdpa.com

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, Web intelligence 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

McGraw-Hill announced on September 12, 2011, its intention to separate into two companies: McGraw-Hill Financial, a leading provider of content and analytics to global financial markets, and McGraw-Hill Education, a leading education company focused on digital learning and education services worldwide. McGraw-Hill Financial's leading brands include Standard & Poor's Ratings Services, S&P Capital IQ, S&P Dow Jones Indices, J.D. Power and Associates and Platts, a leader in commodities information. With sales of $6.2 billion in 2011, the Corporation has approximately 23,000 employees across more than 280 offices in 40 countries. Additional information is available at http://www.mcgraw-hill.com/.

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