After-Sales Service Standards Improve Notably at Authorized Service Centres of National Makes

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BMW Ranks Highest in Customer Service Satisfaction in Malaysia for a Second Consecutive Year

SINGAPORE: 17 August 2012 — Satisfaction with authorized service centres among new-vehicle owners of national makes has increased from 2011 due to the implementation of higher service standards at dealerships, according to the J.D. Power Asia Pacific 2012 Malaysia Customer Service Index (CSI) StudySM.

The study, now in its 10th year, measures overall customer satisfaction among vehicle owners who took their vehicle to their authorized service centre for maintenance or repair work during the first 12 to 24 months of ownership. The study evaluates new-vehicle owner satisfaction with the after-sales service experience by examining dealership performance in five factors (in order of importance): service quality; vehicle pickup; service initiation; service advisor; and service facility. Overall customer satisfaction averages 740 index points on a 1,000-point scale in 2012, an improvement of 22 points from 2011.

Of the 22 service standards examined in the study, authorized service centres of national makes implement 17.7 per visit, on average, an increase from 17.1 in 2011. Service standard implementation among non-national makes remains higher, with an average of 18.4, which is unchanged from 2011. Improvements cited by owners of national makes--Malaysia-branded vehicles--include essential customer-centric activities, such as explanations of work and physical inspection of vehicle both before and after service.

"Gaps in service satisfaction remain, but are narrowing between national and non-national makes in Malaysia," said Mohit Arora, executive director at J.D. Power Asia Pacific, Singapore. "While national makes still perform below industry average, there are remarkable improvements in performance due to a more systematic implementation of activities with high impact on customer satisfaction."

Among the 12 brands included in the study, BMW ranks highest for a second consecutive year with a score of 794. BMW performs particularly well in all five factors. Isuzu (782) ranks second, followed by Mercedes-Benz (780). Hyundai-Inokom (746) achieves the largest improvement in the study, with a 30-point increase. Perodua improves by 29 index points, and Proton by 26.

A majority (55%) of customers in 2012 schedule their visit through a phone appointment, a notable increase from 2011 (+5 percentage points). Customers who schedule a service appointment are considerably more satisfied with their service experience (744) than are those who drop by the dealership without an appointment (734).

"In times of market growth, it is important for dealers to better plan their resources in order to maintain high levels of customer satisfaction, and encouraging customers to make appointments is particularly useful in reaching this objective," said Arora. "This typically allows service advisors to demonstrate their familiarity with each customer's individual profile and service history, as well as reduce their wait time."

The proportion of customers who say they "definitely would" revisit the dealer for post-warranty service is more than four times higher among those who are "delighted1" (61%) with their dealer service experience, compared with customers who are either "indifferent2 or "disappointed3" (15%).
 
"Improving customer service is essential to increase post-warranty servicing volumes and boosting customer retention, thereby maximizing revenue for authorized service dealers," said Arora.

The 2012 study is based on responses from 2,836 new-vehicle owners who purchased their vehicle between February 2010 and May 2011 and took their vehicle for service to an authorized dealer or service centre between August 2011 and May 2012. The study was fielded between February and May 2012.

1 Customers providing a rating of 10 on a 10 point scale for overall satisfaction with the entire service experience.
2 Customers providing a rating of 6 - 7 on a 10 point scale for overall satisfaction with the entire service experience.
3 Customers providing a rating of 1 - 5 on a 10 point scale for overall satisfaction with the entire service experience.

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: xingti_liu@jdpower.com.sg

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, Platts energy information services and J.D. Power and Associates. 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/.

Media Relations Contacts:

XingTi Liu; J.D. Power Asia Pacific; 08-Shenton Way, #44-02/03/04; Singapore, 068811; Phone +65-67338980; xingti_liu@jdpower.com.sg

John Tews; J.D. Power and Associates; Troy, Mich.; (248) 680-6218; media.relations@jdpa.com

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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. www.jdpower.com/corporate

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