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2010 Canadian New-Home Builder Customer Satisfaction Study - Ottawa
Home > News > Press Release
J.D. Power and Associates Reports:
Continued Focus on Warranty Service Leads to New-Homeowner
Satisfaction Improvements among Ottawa Production Builders
Monarch Corp. Ranks Highest in Satisfying New Homeowners for a Second Consecutive Year
TORONTO: 28 July 2010 — After a sharp decline in 2009, overall satisfaction with new-home builders has increased considerably in 2010 in Ottawa, according to the J.D. Power and Associates 2010 Canadian New-Home Builder Customer Satisfaction StudySM released today.
Overall satisfaction improves to 675 on a 1,000-point scale—an increase of 37 points from 2009 and driven primarily by improvements in home readiness and the level of warranty service after move-in. Among Ottawa homeowners, 13 percent report a defect-free home on delivery, increasing from 4 percent in 2009.
Builders have also made significant improvements in all service-related measures—in particular, the timeliness with which they respond to homeowner concerns and their commitment to the cleanliness of the home at the conclusion of the service visit.
The study finds that the frequency of follow-up communication by homebuilders to assess the customer’s satisfaction with their new home has increased to 55 percent from 49 percent in 2009. Among customers who receive this type of communication, overall satisfaction averages more than 250 points higher than that of customers who do not receive any builder follow-up.
Similarly, providing consistent communication to home buyers throughout the sales and building process has a considerable positive impact on minimizing perceived misrepresentation. The study finds that fewer homeowners perceive that an aspect of the experience was misrepresented—just 25 percent of homeowners in 2010, compared with more than 33 percent in 2009.
“Following up with a customer after move-in seems like such a simple gesture, but ultimately it reflects the conviction of the builder to deliver on the promises made to the customer at the time of sale,” said Adrian Chung, senior manager and Canadian real estate practice leader at J.D. Power and Associates. “Customers really appreciate when the builder cares enough to close this loop, and maintaining communication with home buyers throughout the entire process will have a positive impact on customer satisfaction.”
The study measures customer satisfaction of homeowners throughout the new-home purchase and early ownership experience across seven factors: construction and home readiness; service/warranty staff; quality; physical design elements; price; sales staff and design centre. This marks the fifth year that the study has been conducted in Ottawa.
Among production builders with a minimum of 150 closings in 2009, Monarch Corp. ranks highest in satisfying new homeowners in Ottawa, with an overall satisfaction score of 789. Monarch performs particularly well in sales staff; design centre; home readiness; design elements; customer service and quality. Minto (720) and Richcraft (699) follow Monarch in the Ottawa rankings.
New-home sales volumes decreased considerably in late 2008 and early 2009, and subsequently, the percentage of buyers who were offered price discounts has nearly doubled to 17 percent in the 2010 study.
“This is a clear sign of the impact of the recession and the resulting action that some builders were forced to take to salvage new home sales,” said Chung. “Despite these economic challenges, builders have been successful at not losing focus on what matters most to their homeowners as evidenced by the overall improvement in satisfaction.”
In addition, blog usage among homeowners to research their builders prior to purchase has doubled from 2008 to 22 percent in 2010, making this social media channel more influential on brand reputation and purchase decisions than ever before.
The 2010 Canadian New-Home Builder Customer Satisfaction Study is based on responses from 630 homeowners within Ottawa who purchased newly built single-family detached, semi-detached homes and townhomes. All buyers surveyed closed their home purchase in 2009. The study was fielded from April to June 2010. J.D. Power and Associates also measures customer satisfaction with new-home builders in Calgary, Edmonton and the Greater Toronto Area. For more comprehensive information on Ottawa and GTA builders, visit
http://www.jdpower.com/ca.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies:
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a global information and education company providing knowledge, insights and analysis in the financial, education and business information sectors through leading brands including Standard & Poor's, McGraw-Hill Education, Platts, and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2009 were $5.95 billion. Additional information is available at
http://www.mcgraw-hill.com/.
No advertising or other promotional use can be made of the information in this release without the express prior written consent of J.D. Power and Associates.
www.jdpower.com/corporate
# # #
2010 Canadian New-Home Builder Customer Satisfaction Study - Ottawa
Home > News > Press Release
J.D. Power and Associates Reports:
Continued Focus on Warranty Service Leads to New-Homeowner
Satisfaction Improvements among Ottawa Production Builders
Monarch Corp. Ranks Highest in Satisfying New Homeowners for a Second Consecutive Year
TORONTO: 28 July 2010 — After a sharp decline in 2009, overall satisfaction with new-home builders has increased considerably in 2010 in Ottawa, according to the J.D. Power and Associates 2010 Canadian New-Home Builder Customer Satisfaction StudySM released today.
Overall satisfaction improves to 675 on a 1,000-point scale—an increase of 37 points from 2009 and driven primarily by improvements in home readiness and the level of warranty service after move-in. Among Ottawa homeowners, 13 percent report a defect-free home on delivery, increasing from 4 percent in 2009.
Builders have also made significant improvements in all service-related measures—in particular, the timeliness with which they respond to homeowner concerns and their commitment to the cleanliness of the home at the conclusion of the service visit.
The study finds that the frequency of follow-up communication by homebuilders to assess the customer’s satisfaction with their new home has increased to 55 percent from 49 percent in 2009. Among customers who receive this type of communication, overall satisfaction averages more than 250 points higher than that of customers who do not receive any builder follow-up.
Similarly, providing consistent communication to home buyers throughout the sales and building process has a considerable positive impact on minimizing perceived misrepresentation. The study finds that fewer homeowners perceive that an aspect of the experience was misrepresented—just 25 percent of homeowners in 2010, compared with more than 33 percent in 2009.
“Following up with a customer after move-in seems like such a simple gesture, but ultimately it reflects the conviction of the builder to deliver on the promises made to the customer at the time of sale,” said Adrian Chung, senior manager and Canadian real estate practice leader at J.D. Power and Associates. “Customers really appreciate when the builder cares enough to close this loop, and maintaining communication with home buyers throughout the entire process will have a positive impact on customer satisfaction.”
The study measures customer satisfaction of homeowners throughout the new-home purchase and early ownership experience across seven factors: construction and home readiness; service/warranty staff; quality; physical design elements; price; sales staff and design centre. This marks the fifth year that the study has been conducted in Ottawa.
Among production builders with a minimum of 150 closings in 2009, Monarch Corp. ranks highest in satisfying new homeowners in Ottawa, with an overall satisfaction score of 789. Monarch performs particularly well in sales staff; design centre; home readiness; design elements; customer service and quality. Minto (720) and Richcraft (699) follow Monarch in the Ottawa rankings.
New-home sales volumes decreased considerably in late 2008 and early 2009, and subsequently, the percentage of buyers who were offered price discounts has nearly doubled to 17 percent in the 2010 study.
“This is a clear sign of the impact of the recession and the resulting action that some builders were forced to take to salvage new home sales,” said Chung. “Despite these economic challenges, builders have been successful at not losing focus on what matters most to their homeowners as evidenced by the overall improvement in satisfaction.”
In addition, blog usage among homeowners to research their builders prior to purchase has doubled from 2008 to 22 percent in 2010, making this social media channel more influential on brand reputation and purchase decisions than ever before.
The 2010 Canadian New-Home Builder Customer Satisfaction Study is based on responses from 630 homeowners within Ottawa who purchased newly built single-family detached, semi-detached homes and townhomes. All buyers surveyed closed their home purchase in 2009. The study was fielded from April to June 2010. J.D. Power and Associates also measures customer satisfaction with new-home builders in Calgary, Edmonton and the Greater Toronto Area. For more comprehensive information on Ottawa and GTA builders, visit
http://www.jdpower.com/ca.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies:
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a global information and education company providing knowledge, insights and analysis in the financial, education and business information sectors through leading brands including Standard & Poor's, McGraw-Hill Education, Platts, and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2009 were $5.95 billion. Additional information is available at
http://www.mcgraw-hill.com/.
No advertising or other promotional use can be made of the information in this release without the express prior written consent of J.D. Power and Associates.
www.jdpower.com/corporate
# # #