What J.D.Power had to say... .
WESTLAKE VILLAGE, Calif.: 15 November 2006 — Customer satisfaction with the new-vehicle sales process has reached a record high, according to the J.D. Power and Associates 2006 Sales Satisfaction Index (SSI) StudySM released today.
The study, now in its 20th year, is a comprehensive analysis of the new-vehicle purchase experience. Overall customer satisfaction is measured based on five factors: dealership facility, salesperson, paperwork/finance process, delivery process and vehicle price.
The industry achieves a record high overall SSI score of 847 on a 1,000-point scale—a 5-point improvement from 2005. However, a leading cause of lost sales at new-vehicle dealerships is poor customer treatment. Nearly one-half of all shoppers who walk away from a dealership cite poor treatment as a reason.
“Today’s vehicle shoppers are well armed with information before they even set foot inside a dealership,” said Jane Crane, director of automotive retail research at J.D. Power and Associates. “Equipped with readily available vehicle model/features, inventory and pricing information, more than one-half of new-vehicle buyers visit only their selling dealer. It’s more important than ever for dealers to be in sync with the changing needs of their customers, particularly with regard to the length of the sales process, the salesperson and negotiating the deal.”
The study finds that customers are particularly sensitive to time-related issues when purchasing a new vehicle. On average, the entire purchase process takes approximately 3 hours. Vehicle selection typically takes the most time, averaging 47 minutes, followed by negotiating the deal (38 minutes) and paperwork/finance (32 minutes). One area impacting sales satisfaction is the time customers wait between negotiating the deal and beginning the paperwork and financing process, which currently averages 31 minutes.
“Just sitting around waiting to begin the paperwork process is a slippery slope, which is why it is critical for the dealership to manage the buyer’s time productively,” said Crane. “When the finance department is unable to promptly meet with customers, the dealership should try to choreograph the process so that customers are not sitting around idly. Taking the opportunity to introduce the customer to the service department or acquainting the buyer with the features of the new vehicle can go a long way toward neutralizing negative feelings about the wait.”
Nearly one-third of all new-vehicle sales occur on either a Saturday or Sunday. However, satisfaction is consistently lower on the weekend compared to weekdays on every factor, primarily due to a longer process. Overall, it takes an average of 22 minutes longer to purchase a car on a Saturday or Sunday.
Jaguar ranks highest in satisfying buyers with the new-vehicle sales process, receiving the highest index score since the study was redesigned five years ago. With an SSI score of 912, Jaguar leads its closest competitor, Cadillac, by 21 points. Jaguar ranks highest for a third consecutive year.
The purchase experience sets the tone for the subsequent relationship with customers during the entire vehicle-ownership cycle, according to the study. While four of five new-vehicle buyers express a general interest to spend future service dollars at the selling dealer, less than one-half (45
indicate they “definitely” plan to do so. As sales satisfaction declines, the intention to return also declines.
The 2006 Sales Satisfaction Index Study is based on responses from 42,218 new-vehicle buyers who registered their vehicles in May of 2006.
>>>For Sale? Clicky!<<<
-----The orginal Mr.Goodwrench on the JBO since 11/99-----
Mitsu is the pinnacle of Suck.
I'm really shocked to see Jag up on top. Kinda strange if you ask me. Way to go Cadillac and Porsche. And, what happened to Toyota
dan
find it hard to believe that toyota is that low on the list...how are they below every american manufacturer on the list?
GO PATS!!!
If Suzuki could start selling their own vehicles, they would be much higher. I'd love to see an Alto of other JDM Suzuki in North America.
I'm alittle supprised at how low Mazda is, and how high Saab and Jaguar are.
eh, this thing is BS. honda and toyota are both at the bottom. but buick, hummer, gmc, chevy, and ford are above average? gimme a break.
GO PATS!!!
You do all realize it is SSI---Sales Satisfaction Index, not quality index?
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Quote:
The study, now in its 20th year, is a comprehensive analysis of the new-vehicle purchase experience. Overall customer satisfaction is measured based on five factors: dealership facility, salesperson, paperwork/finance process, delivery process and vehicle price.
>>>For Sale? Clicky!<<<
-----The orginal Mr.Goodwrench on the JBO since 11/99-----
BAM!! stick a dumbass stamp on my forehead. thats what i get for reading the graph and not the article. point for you.
GO PATS!!!
I'm still shocked to see Jag up there. How the hell did that happen? Did ford sell them off?
dan
VW is finally moving up hahahah, its funny VW just came out with a @!#$ load of recalls, JD power always slams us preaty good so in an atempt to get a better rating VW came out with tons and tons and tons of recalls. Every single new unsold car on the lot has at least 1 open recall and up to 5, radio flashes for software update, ECM flash for software update, rubber insulators on the fuel line to quit rattling, recoding the insturment cluster (they sent out a tons of cars with coding for european tire sizes so the odometer is off hahahha) lubing the seat rails, rubber insulators in the side view mirros to stop wind noise, all kindws of stuff..... they even have VW reps coming out to inspect the cars on the lot to make sure they are getting done, they are really puting effort into getting there quality ratings up (yet the fuel line insulator recall, the parts are so far on backorder you can't even order them
nice thinking VW)
I'm really interested in seeing how this effects the next couple sets of rating, well see what happens.
Every single GM brand is above industry average, wow. Good Job.
Darkstars wrote:VW is finally moving up hahahah, its funny VW just came out with a @!#$ load of recalls, JD power always slams us preaty good so in an atempt to get a better rating VW came out with tons and tons and tons of recalls. Every single new unsold car on the lot has at least 1 open recall and up to 5, radio flashes for software update, ECM flash for software update, rubber insulators on the fuel line to quit rattling, recoding the insturment cluster (they sent out a tons of cars with coding for european tire sizes so the odometer is off hahahha) lubing the seat rails, rubber insulators in the side view mirros to stop wind noise, all kindws of stuff..... they even have VW reps coming out to inspect the cars on the lot to make sure they are getting done, they are really puting effort into getting there quality ratings up (yet the fuel line insulator recall, the parts are so far on backorder you can't even order them nice thinking VW)
I'm really interested in seeing how this effects the next couple sets of rating, well see what happens.
Another one that needs one of these.
Mr.Goodwrench-G.T. wrote:You do all realize it is SSI---Sales Satisfaction Index, not quality index?
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Quote:
The study, now in its 20th year, is a comprehensive analysis of the new-vehicle purchase experience. Overall customer satisfaction is measured based on five factors: dealership facility, salesperson, paperwork/finance process, delivery process and vehicle price.
I think this is what you are all looking for err getting confused on. lol
2006 Vehicle Dependability Study
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2006 Initial Quality Study
>>>For Sale? Clicky!<<<
-----The orginal Mr.Goodwrench on the JBO since 11/99-----
Quote:
Every single GM brand is above industry average, wow.
Keep in mind this is initial staisfaction on a NEW car purchase. I'd like to see the numbers for these customers after a year or two. Especially if they've had problems and tried to get them fixed under warranty....
-John
You're the man as always!! Though, I must say... The reults of that surprise me.
-John
some people need to learn to read...
I just bought a Saturn, and let me say i am not surprised to see them up there, the service compared to the two chevy dealers i have dealt with is much better
hahaha your right, I totally didn't pay attention to that
