SÃO PAULO: 30 July 2015 — Toyota ranks highest among automotive manufacturers in customer satisfaction with vehicle service at a franchised dealer facility for maintenance and repair work, according to the J.D. Power 2015 Brazil Customer Service Index (CSI) StudySM released today.
The CSI Study is a comprehensive analysis of the vehicle service experience, and is conducted by J.D. Power in 16 countries worldwide. This is the inaugural edition in Brazil, which replaces the J.D. Power Brazil Vehicle Ownership Satisfaction StudySM (VOSS), providing a deeper and more detailed after-sales solution for automakers and dealerships.
The study explores customer satisfaction with their service dealer by examining five measures (listed in order of importance): service advisor (22%); service initiation (22%); service quality (22%); service facility (18%); and vehicle pick-up (17%). Satisfaction is calculated on a 1,000-point scale.
Toyota ranks highest in satisfaction with a score of 789. Toyota, which also ranked highest in the J.D. Power 2015 Brazil Sales Satisfaction Index (SSI) Study,SM performs particularly well in all five measures in the CSI Study. Hyundai-HMB (740) ranks second, followed by Mitsubishi (739), Chevrolet (737) and Honda (732).
“Toyota’s performance in both the CSI and SSI studies demonstrates the brand’s commitment to its customers in Brazil,” said Jon Sederstrom, country manager, J.D. Power do Brasil. “Toyota, along with several other Asian brands, is focused on providing consistently positive customer experiences in order to chip away at the market share traditionally held in Brazil by Fiat, Volkswagen and Chevrolet.”
Importance of Service in Slow Market
New-vehicle sales in Brazil are down 20 percent through the first six months of 2015, compared with the same period a year ago, and, as a result, more than 200 dealerships have already closed their doors this year.
“Selling new vehicles in these tough market conditions is a challenge, as dealers are fighting just to stay in business,” said Sergio Sanchez, research manager at J.D. Power do Brasil. “Automakers and dealers must focus on providing outstanding customer service. They should do this to increase revenue in the short term and build customer loyalty in the long term so they can be better positioned when the market turns around.”
The 2015 Brazil CSI Study finds that satisfaction with dealer service leads to customer loyalty and advocacy. Among the 17 percent of customers who are highly satisfied with their dealer service (overall satisfaction scores of 900 and above), 74 percent say they “definitely will” purchase their next vehicle from that dealer and 75 percent “definitely will” recommend the dealer to friends and family. In contrast, among customers less satisfied (score of 700-899), only 33 percent indicate an intention to purchase their next vehicle from that dealer, and only 31 percent say they “definitely will” recommend the dealer to others.
- During the first 12 to 36 months after purchase, 70 percent of customers in Brazil have their service performed at the dealer from which they purchased their vehicle, slightly lower than in the United States (81%) and the United Kingdom (78%), despite automaker requirements in Brazil that all maintenance take place at an authorized dealership to protect the warranty.
- The No. 1 reason for choosing a service facility is its location (44%), followed by the ability to get service right away (24%) and prior experience with the service department (24%). Less than 5 percent of customers indicate selecting their service facility due to advertising or promotions/coupons.
- Only 7 percent of customers in Brazil schedule their vehicle service appointment via the Internet; however, service initiation satisfaction is highest among these customers (768). The study finds that 42 percent of customers prefer to schedule their appointment over the Internet, but many dealerships do not have that option available.
- Despite the importance of the customer-advisor relationship in Brazil, most key service advisor processes are completed far less often than in the United Kingdom or the United States. For example, only 68 percent of service advisors in Brazil offer their customers helpful advice, compared with 87 percent in the United Kingdom and 86 percent the United States. In addition, only 63 percent of service advisors in Brazil keep their customers informed of the vehicle status while the service is performed, compared with 76 percent in the United Kingdom and 73 percent in the United States.
The 2015 Brazil Customer Service Index (CSI) Study is based on the evaluations of more than 4,000 interviews with Brazilian new-vehicle owners 12 to 36 months after purchase. The study was fielded from March through May 2015.
About J.D. Power do Brasil
Established in São Paulo in 2010, J.D. Power do Brasil conducts customer satisfaction research and provides market intelligence and consulting services for the automotive industry—manufacturers and dealers. Information regarding J.D. Power do Brasil and its products can be accessed through the Internet at http://brasil.jdpower.com.
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