J.D. Powers ranks Scion "Most Improved"
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J.D. Powers ranks Scion "Most Improved"
http://www.aiada.org/article.asp?id=52821&cat=Dealers
Jaguar ranks highest in overall sales satisfaction for a second consecutive year, according to the J.D. Power and Associates 2005 Sales Satisfaction Index (SSI) Study(SM) released today.
Jaguar, which tied with Lexus for the highest ranking in 2004, receives an overall SSI index score of 889 (on a 1,000-point scale). Jaguar performs particularly well in the salesperson and finance process factors. Lexus (88
follows Jaguar in the rankings, while Buick and Porsche tie to rank third overall at 878. Although still ranking below the industry average, Scion receives the most improved score in the study, increasing 21 index points from 2004. Scion receives considerably higher ratings from customers in the delivery process, working with the salesperson, paperwork/finance and especially vehicle price measures.
According to the study, not finding a new vehicle that is equipped with the exact features desired is having a significant impact on overall satisfaction with the sales process. While 73 percent of new-vehicle buyers purchased their vehicle with the exact features they wanted, 11 percent said they ended up paying for features they didn’t want. Buyers who are not able to equip their new vehicle exactly the way they want shop more dealers and spend more time at the dealer they purchase from trying to find the vehicle that will best meet their needs. This extra time spent lowers overall satisfaction compared to consumers who find a vehicle equipped exactly how they wanted.
"Whether buyers end up sacrificing a preferred color or paying for options they didn’t necessarily want, having to settle for a vehicle that is not equipped as expected not only affects satisfaction with the vehicle itself, but also affects customer satisfaction with the overall sales experience," said Steve Witten, executive director of automotive retail at J.D. Power and Associates. "Although dealers use several resources to find the vehicle a consumer wants, manufacturers have to come up with more effective solutions for matching buyer expectations."
Satisfaction also falls significantly when the amount of time spent at the dealership exceeds one hour. Customer satisfaction drops by 59 index points when comparing customers who spend one hour or less at the dealership to those who spend two or three hours. The average consumer spends approximately three hours at the dealership when purchasing their vehicle, and more than 15 percent of consumers spend four hours or more.
"Dissatisfaction with the amount of time spent on the sales process is mostly attributed to the negotiation process," said Witten. "Buyers typically talk to several dealership personnel before finally driving off the lot with their new vehicle. Dealerships should work more efficiently and cut down the number of personnel a customer must deal with during the sales process, because satisfaction with the sales experience heavily impacts the likelihood of the customer using the same dealership for vehicle maintenance service in the future."
The study, which includes responses from buyers who purchased a new vehicle in May, just prior to the introduction of employee price discount programs in June, finds that satisfaction has dropped substantially in the area of price compared to 2004. New-vehicle buyers who made their purchase in May perceived they were not getting a good price for their vehicle when compared to those who made their purchase in June. However, according to data from the Power Information Network (PIN), a division of J.D. Power and Associates, the average retail price of a new vehicle in June only decreased slightly compared to May.
"Consumers tend to walk into a dealership with a preconceived idea as to how much they are willing to spend for a new vehicle," said Witten. "While this summer’s employee discount incentive programs lowered new-vehicle pricing, buyers often reinvested those savings into additional options and features, raising the average retail price to pre-incentive levels in many cases. We expect that the new round of incentives, such as the GM Red Tag Event, will have a similar effect on consumers."
The 2005 Sales Satisfaction Index is based on responses from 37,296 new-vehicle buyers who purchased their vehicles in May of 2005. The study provides the automotive industry with a comprehensive analysis of the new-vehicle purchase experience.
AIADA summary
Jaguar ranks highest in overall sales satisfaction for a second consecutive year, according to the J.D. Power and Associates 2005 Sales Satisfaction Index (SSI) Study(SM) released today.
Jaguar, which tied with Lexus for the highest ranking in 2004, receives an overall SSI index score of 889 (on a 1,000-point scale). Jaguar performs particularly well in the salesperson and finance process factors. Lexus (88 follows Jaguar in the rankings, while Buick and Porsche tie to rank third overall at 878. Although still ranking below the industry average, Scion receives the most improved score in the study, increasing 21 index points from 2004. Scion receives considerably higher ratings from customers in the delivery process, working with the salesperson, paperwork/finance and especially vehicle price measures.
Jaguar ranks highest in overall sales satisfaction for a second consecutive year, according to the J.D. Power and Associates 2005 Sales Satisfaction Index (SSI) Study(SM) released today.
Jaguar, which tied with Lexus for the highest ranking in 2004, receives an overall SSI index score of 889 (on a 1,000-point scale). Jaguar performs particularly well in the salesperson and finance process factors. Lexus (88
follows Jaguar in the rankings, while Buick and Porsche tie to rank third overall at 878. Although still ranking below the industry average, Scion receives the most improved score in the study, increasing 21 index points from 2004. Scion receives considerably higher ratings from customers in the delivery process, working with the salesperson, paperwork/finance and especially vehicle price measures.
Jaguar, which tied with Lexus for the highest ranking in 2004, receives an overall SSI index score of 889 (on a 1,000-point scale). Jaguar performs particularly well in the salesperson and finance process factors. Lexus (88
follows Jaguar in the rankings, while Buick and Porsche tie to rank third overall at 878. Although still ranking below the industry average, Scion receives the most improved score in the study, increasing 21 index points from 2004. Scion receives considerably higher ratings from customers in the delivery process, working with the salesperson, paperwork/finance and especially vehicle price measures.According to the study, not finding a new vehicle that is equipped with the exact features desired is having a significant impact on overall satisfaction with the sales process. While 73 percent of new-vehicle buyers purchased their vehicle with the exact features they wanted, 11 percent said they ended up paying for features they didn’t want. Buyers who are not able to equip their new vehicle exactly the way they want shop more dealers and spend more time at the dealer they purchase from trying to find the vehicle that will best meet their needs. This extra time spent lowers overall satisfaction compared to consumers who find a vehicle equipped exactly how they wanted.
"Whether buyers end up sacrificing a preferred color or paying for options they didn’t necessarily want, having to settle for a vehicle that is not equipped as expected not only affects satisfaction with the vehicle itself, but also affects customer satisfaction with the overall sales experience," said Steve Witten, executive director of automotive retail at J.D. Power and Associates. "Although dealers use several resources to find the vehicle a consumer wants, manufacturers have to come up with more effective solutions for matching buyer expectations."
Satisfaction also falls significantly when the amount of time spent at the dealership exceeds one hour. Customer satisfaction drops by 59 index points when comparing customers who spend one hour or less at the dealership to those who spend two or three hours. The average consumer spends approximately three hours at the dealership when purchasing their vehicle, and more than 15 percent of consumers spend four hours or more.
"Dissatisfaction with the amount of time spent on the sales process is mostly attributed to the negotiation process," said Witten. "Buyers typically talk to several dealership personnel before finally driving off the lot with their new vehicle. Dealerships should work more efficiently and cut down the number of personnel a customer must deal with during the sales process, because satisfaction with the sales experience heavily impacts the likelihood of the customer using the same dealership for vehicle maintenance service in the future."
The study, which includes responses from buyers who purchased a new vehicle in May, just prior to the introduction of employee price discount programs in June, finds that satisfaction has dropped substantially in the area of price compared to 2004. New-vehicle buyers who made their purchase in May perceived they were not getting a good price for their vehicle when compared to those who made their purchase in June. However, according to data from the Power Information Network (PIN), a division of J.D. Power and Associates, the average retail price of a new vehicle in June only decreased slightly compared to May.
"Consumers tend to walk into a dealership with a preconceived idea as to how much they are willing to spend for a new vehicle," said Witten. "While this summer’s employee discount incentive programs lowered new-vehicle pricing, buyers often reinvested those savings into additional options and features, raising the average retail price to pre-incentive levels in many cases. We expect that the new round of incentives, such as the GM Red Tag Event, will have a similar effect on consumers."
The 2005 Sales Satisfaction Index is based on responses from 37,296 new-vehicle buyers who purchased their vehicles in May of 2005. The study provides the automotive industry with a comprehensive analysis of the new-vehicle purchase experience.
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From: Fitzgerald Scion (MD)
There are not enough Scions being sold to justify the expense to build stand alone dealers. The better move would be for all Toyota dealers to have Pure Pricing 
With the release of the Yaris and Fj Cruiser, Toyota anticipates Scion sales to fall next year.
With the release of the Yaris and Fj Cruiser, Toyota anticipates Scion sales to fall next year.
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Joined: Jul 2004
Posts: 661
From: Sheboygan, WI
my opinion is scion would be better if they just dumped scion name and were sold under toyota name. then every toyota dealer would sell them and would have to do warranty work or fix them.
my local toyota doesnt sell scions, so they wont touch them. its not feasable for me to drive an hr away or more anytime i need something fixed. thats why i traded mine in and wont buy another until then
my local toyota doesnt sell scions, so they wont touch them. its not feasable for me to drive an hr away or more anytime i need something fixed. thats why i traded mine in and wont buy another until then
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