Cadillac Nips At BMW’s Heels In Chinese 2013 J.D. Power Customer Service Index (CSI) Study
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Cadillac finished third among all luxury brands in the 2013 China Customer Service Index (CSI) study released by J.D. Power Asia Pacific on July 31. The Wreath and Crest brand’s score totaled 872 (out of 1,000), slightly below Audi’s 880 and only a single point below BMW’s 873.
However, Cadillac’s 872-point score was 23 points above the segment average, and GM’s own Buick marque — which has consistently been the top-selling brand in China — finished with a score of 859.
Now in its 13th year, the J.D. Power’s CSI Study measures satisfaction among vehicle owners who are between 12 and 24 months of ownership and who visited the service department of an authorized dealership for maintenance or repair work during the past six months. The study examines five factors, including service quality, service facility, vehicle pick-up, service advisor and service initiation, with the customer satisfaction score measuring the performance among authorized dealers on meeting customers’ expectations of their aftersales experience.
Cadillac has been actively developing what it refers to as “strict service standards” since entering the Chinese market in 2004. It launched the Cadillac PLUS aftersales service brand in China in 2004, which itself is made up of three pillars: Exclusive, Intelligent and Proactive. In 2013, the brand unveiled the E-Service intelligent electronic service system to extend and strengthen Cadillac PLUS. E-Service is focused on intelligent facilities, advanced management, seamless communication, and improved service transparency and efficiency, enabling Cadillac owners to enjoy premium reservation, reception, repair and delivery services.
As it develops and improves its range of services, Cadillac is also expanding its vehicle lineup while growing sales in China, with a 40.4% increase in sales in the first seven months of 2013 to 23,346 units. Currently, the brand offers the CTS sedan and coupe, SRX crossover, Escalade SUV, and the XTS luxury sedan.
In the future, Cadillac is expected to introduce its all-new sport-luxury models, including the 2013 ATS and 2014 CTS, as it completes construction of a new manufacturing facility that will eliminate the hefty tariff imposed on vehicles imported into China, which is currently the case with most of the brand’s lineup — a circumstance that has curtailed the brand’s sales success or stifled its growth in the country. Recently, GM CEO Dan Akerson pledged to make Cadillac successful in the country — a plan that’s vital to increasing GM’s profitability.
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Good news! Need some higher margin vehicles to sell well in China instead of only the lower end JV vehicles that have very little profit (that GM only gets 49% of).