Auto Navigation Systems Gaining Popularity
31 October 2000
J.D. Power and Associates Reports: Auto Navigation Systems Gaining Popularity, According to 2000 Navigation Usage and Satisfaction Study
AGOURA HILLS, Calif.--Oct. 30, 2000--More than one-half of consumers who purchase a vehicle with a factory-installed navigation system report using it at least once a week, according to the J.D. Power and Associates 2000 Navigation Usage and Satisfaction Study(SM) released today.
With an increasing numbers of cars, vans and light trucks on the market with factory-installed navigation systems, more and more people are using navigation systems to reach their destinations and find restaurants and entertainment venues.
The number of new vehicles with factory-installed navigation systems has increased to an estimated 135,000 for 2000 model-year vehicles. In addition, the number of vehicle models offering navigation systems also increased from 10 to 26 during the same time period. The variety of products also increased in 2000, with the first DVD systems, 3-D graphics and systems with turn-by-turn driving instructions.
"The volume of new vehicles with factory-installed navigation systems is still less than 1 percent of the total market," said Frank Forkin, partner and executive director of automotive research at J.D. Power and Associates. "But the numbers are steadily increasing each year. And what we're finding is that the majority of consumers buying or leasing those vehicles are very satisfied with the navigation systems."
Nearly one-half of consumers purchasing a vehicle equipped with a navigation system rate it "truly outstanding" or "excellent." The majority of consumers surveyed indicate they would recommend their system to others, with many indicating that if a navigation system were not offered, it would have a negative impact on their purchase decision.
Women tend to be more satisfied with their navigation systems than men, and younger consumers report much higher satisfaction than their older counterparts, according to the study. Younger consumers are also much more likely to use their systems on a regular basis.
"One interesting finding is that less than one in four people who purchase a vehicle with a navigation system have used one before," Forkin said. "The majority of those who had used a navigation system before had used one in a rental vehicle."
Most consumers use their navigation system to find the shortest route to a destination, search for residential addresses or use it in work-related travel, according to the study. Consumers use the "points of interest" feature on their navigation systems primarily to locate restaurants, airports, hotels, gas stations, entertainment shopping venues, banks and automated teller machines. The study also indicates that there is very high interest in real-time road construction and traffic information on their next system.
For 2000, Alpine Electronics ranks highest in navigation system customer satisfaction based on the performance of its new DVD system in the Acura RL. The award for highest-ranking navigation system is given to the supplier of the vehicle with the highest score in overall navigation system satisfaction and is based not only on the navigation system model's performance, but its layout and design within the particular vehicle.
"DVD-based navigation systems offer greater geographical coverage, more detailed `points of interest' information and increases the speed to calculate a route," Forkin said. "The quality of navigation systems is generally quite high, with less than one-half of the vehicle owners reporting a problem."
Closely following Alpine Electronics in the ranking is Denso's CD-ROM based navigation system for the Lexus GS.
The study indicates that the primary reasons consumers are dissatisfied with their navigation systems are due to issues concerning speed, accuracy and user-friendly operation.
"Many user manuals are difficult to understand, and dealership personnel are often not qualified to answer even the most basic questions about the system," Forkin said. "Consumers get frustrated very quickly when they can't get their questions answered from the dealership personnel who sold them their vehicle."
The study includes responses from 4,900 consumers who recently purchased or leased vehicles with a factory-installed navigation system.
J.D. Power and Associates
2000 Navigation Usage and Satisfaction Study(SM)
Overall Satisfaction of Navigation Systems by Model
Model Supplier
------ --------
Acura RL Alpine
(DVD) .........................................
Lexus GS Denso ........................................
Acura TL Alpine
(DVD) .....................................
Infinity QX4 Xanavi ................................
Jaguar XK8 Alpine
(DVD) ...............................
Honda Odyssey Alpine
(DVD) ..............................
Cadillac Seville Denso ...................
BMW X5 VDO .................
Cadillac Deville Denso ................
Lexus LS400 Denso ................
Jaguar S-Type Denso ..............
Study
Avg. ............
3.8 3.9 4.0 4.1 4.2 4.3 4.4 4.5 4.6 4.7
Not Very Good .................................... Truly
Outstanding
Note: Finishing below industry average, in alphabetical order are:
Alpine (Jaguar XJ), Alpine (Mercedes M-Class), Bosch (Mercedes
S-Class), Mitsubishi Electronics (Volvo S80), Siemens (Porsche 911),
VDO (BMW 5-Series), VDO (BMW 7-Series) and VDO (Land Rover Range
Rover).
Note: Included in the study, but not ranked due to small sample size
are: Bosch (Audi A4), Bosch (Audi A6), Bosch (Audi A8), Bosch (Audi
TT), Xanavi (Infinity I30) and Xanavi (Infinity Q45).
Source: J.D. Power and Associates 2000 Navigation Usage and
Satisfaction Study(SM)
Charts and graphs extracted from this news release must be accompanied
by a statement identifying J.D. Power and Associates as the publisher
and the J.D. Power and Associates 2000 Navigation Usage and
Satisfaction Study(SM) as the source. 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.
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J.D. Power and Associates
2000 Navigation Usage and Satisfaction StudySM
Indicators of Future Intention
Would You Recommend A Navigation If Not An Option On Your Next
System Like Yours? Vehicle, Would This
Negatively Impact Your
Purchase Decision?
Definitely Will 51% Probably Will 36%
Probably Will 36% Definitely Will 27%
Probably Will Not 8% Probably Will Not 26%
Definitely Will Not 5% Definitely Will Not 11%
Source: J.D. Power and Associates 2000 Navigation Usage and
Satisfaction Study(SM)
Charts and graphs extracted from this news release must be accompanied
by a statement identifying J.D. Power and Associates as the publisher
and the J.D. Power and Associates 2000 Navigation Usage and
Satisfaction Study(SM) as the source. 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.
-0-
J.D. Power and Associates
2000 Navigation Usage and Satisfaction Study(SM)
How Often Do You Use Your Navigation System For...
Finding Shortest Route 33%
Work Related Travel 31%
Finding Residential Addresses 27%
Locating Restaurants 18%
Finding Local Retail Stores 18%
Finding Alternate Routes/Construction 16%
Leisure Related Travel/Vacation 13%
Children Related Travel 13%
Locating Entertainment Venues 10%
Locating Banks/Teller Machines 8%
(NOTE: Sample based on people who use their navigation system at least
1-2 times a week)
Source: J.D. Power and Associates 2000 Navigation Usage and
Satisfaction Study(SM)
Charts and graphs extracted from this news release must be accompanied
by a statement identifying J.D. Power and Associates as the publisher
and the J.D. Power and Associates 2000 Navigation Usage and
Satisfaction Study(SM) as the source. 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.
