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J.D. Power: Indian Consumers Rank Mahindra Ford Highest in Customer Satisfaction

8 December 1997




TOKYO, Dec. 8 -- Mahindra Ford -- the joint venture between
Mahindra & Mahindra and Ford Motor Company -- has taken the top spot in the
J.D. Power Japan 1997 Indian Customer Satisfaction Index study (CSI) with a
score of 112.  Second place is shared by Maruti Udyog -- the 50/50 joint
venture between Suzuki and the Indian government -- and General Motors India
with DCM-Daewoo and Premier Automobiles rounding out the above-industry
average performers.  The distinction between Mahindra Ford and the rest of the
competition shows that Mahindra Ford has differentiated the quality of its
dealer service from other makes within the industry.

"According to the study, customers in India are more concerned with
services that are performed in a timely manner than the cost of the service,"
commented Chris Bonsi, director of the India CSI study at J.D.. Power Japan.
"Providing a positive purchase experience for new-vehicle owners is the first
step in developing a loyal service relationship.  And since a new-vehicle
ownership experience usually begins at the dealership, dealers hold an
advantage when it comes time for consumers to choose a facility to service
their vehicle.  It is critical that dealers develop programs to take advantage
of this opportunity," Mr. Bonsi said.

The J.D. Power Japan 1997 Indian Customer Satisfaction Index study is
comprised of six main factors that make up customers overall satisfaction with
repair service:

    * The Service Advisor -- (49%)
    * Problems Experienced -- (31%)
    * Service Timing -- (10%)
    * Service Performance -- (6.5%)
    * Service Explanation -- (2%)
    * Loaner Vehicle Provided -- (1.5%)

The study reveals that point-of-contact personnel are the key to
establishing and developing customer relationships.  Among the individual
factors, the person with the greatest impact on CSI is the service advisor.
The service advisor factor highlights the pivotal role service personnel play
in influencing customer satisfaction.

The problems-experienced factor focuses on both problems at the time of
delivery and problems that are experienced during the warranty period.  Due to
the harsh condition of Indian roads and present quality of Indian cars, after-
service is essential in keeping cars running with minimal downtime.  Service
timing and service performance have less of an impact on the overall CSI score
than those factors that focus on customer handling and problems at delivery or
problems during the warranty period.

"The process for improving customer satisfaction begins with a systematic
review of dealer service activities," continued Mr. Bonsi.  "Manufacturers and
dealers need to identify which dealer activities are expected by the customer,
i.e., what are the majority of dealers doing in India.  The next step for the
manufacturer is to ensure that their dealers conduct these activities 100
percent of the time.

"Mahindra Ford has taken the systematic approach to improving customer
satisfaction, and the results show clearly that in areas where the industry
performs a service activity 60 to 70 percent of the time, Mahindra Ford is
performing these same activities 80 to 90 percent of the time.  However, there
are still many areas where even Mahindra Ford can improve," Mr. Bonsi
concluded.

The J.D. Power Japan 1997 India Customer Satisfaction Index study includes
nine manufacturers with primary analysis conducted at the manufacturer level.
Roughly 2,400 samples were taken from vehicle owners in Mumbai (Bombay), New
Dehli, Chennai (Madras), and Calcutta.

J. D. Power Japan, Inc. was established in 1990 as the Asia and Oceania
branch of J.D. Power and Associates (headquartered in Agoura Hills,
California).  J. D. Power Japan, Inc. conducts customer satisfaction research
and consulting in the automobile, information technology and finance
industries.

J.D. Power and Associates is an international firm best known for its
marketing information services in key business sectors including market
research, forecasting and customer satisfaction.  The firm's quality and
satisfaction measurements are based on actual customer responses from over a
million consumers annually.  With its headquarters in Agoura Hills,
California, the firm also has U.S. offices in Torrance, California; Michigan;
and Connecticut.  Its international locations include Japan, Korea, England,
Canada and Brazil.

J.D. Power and Associates can be accessed through the World Wide Web at
http://www.jdpower.com.  Email: info@jdpower.com.

No advertising or other promotional use can be made of the information in
this release or J.D. Power and Associates survey results without the express
prior written consent of J.D. Power and Associates.

                     J.D. Power Japan 1997 India Customer
                              Satisfaction Index

    Mahindra Ford                     112
    General Motors                    103
    Premier Automobiles               103
    Maruti Udyog                      102
    Daewoo Motors                     101
    Industry                          100

Finishing below industry average in alphabetical order, are: Mahindra &
Mahindra, Hindustan Motors, Pal Peugeot and Tata.

Charts and graphs extracted from this press release must be accompanied by
a statement identifying J.D. Power and Associates as the publisher, and the
J.D. Power Japan 1997 India Customer Satisfaction Index study as the source.

SOURCE  J.D. Power and Associates