Customer Delight More Important To Customers Of Hispanic Descent

Ipsos Study Compares Differences In Opinions About Customer Service And Word Of Mouth Between Hispanic And Non-Hispanic Households

Monday, June 13, 2005

Los Angeles, CA — Customers of Hispanic descent are more avid and passionate in their relationships with brands and stores than customers of non-Hispanic descent, say Tim Keiningham and Terry Vavra, keynote speakers at the Strategic Research Institute’s 6th Annual U.S. Hispanic Marketing Boom & Profitable Customer Relationship Strategies Conference.

In their presentation made today in Los Angeles, Keiningham and Vavra, authors of the book, The Customer Delight Principle, and the upcoming book, Loyalty Myths, reported the findings of a new survey conducted among 100 Hispanic and 100 non-Hispanic female heads of households to test the differences in opinions about customer service, word of mouth and acting on bad service.

The results provide dramatic evidence that marketers appealing to Hispanic households need to be even more concerned about delighting these customers than marketers serving the general U.S. market. Among the findings of the Ipsos survey:

  • Hispanics are 50% more likely to report having stopped shopping at a store because they felt they were treated rudely.
  • Hispanics are 34% more likely to admit they’d stopped using a particular brand because they were not “delighted” by the brand.
  • Hispanics were 40% more likely to report they’d told a friend not to shop at a store where they felt they were treated rudely.

There is a stronger bond between Hispanics and smaller, neighborhood retailers than among non-Hispanics, Keiningham and Vavra showed:

  • Hispanics are 79% more likely to completely agree that “big stores don’t treat you as well as smaller, neighborhood stores.”
  • Hispanics are 130% more likely to feel that when they shop at a big store (employees at these big stores) sometimes are not being as nice as should be.

“The conventional wisdom that Hispanics are more loyal and expect more personal treatment by businesses and retailers are supported by the findings of this survey,” the speakers told the conference audience today.

The findings are based on a national random probability sample of female heads of households of Hispanic and non-Hispanic descent polled nationwide between June 3 and 5 by Ipsos. All differences of + 6% are statistically significant.

For more information on this press release, please contact:
Elen Alexov
Director, Marketing Services
Ipsos
+1.778.373.5136

About The Authors
Timothy L. Keiningham is Senior Vice President and Head of Consulting for Ipsos Loyalty, a global, specialized practice dedicated to helping companies improve business performance, through customer satisfaction management, customer relationship management, and employee climate management. He is author of several books and articles on customer satisfaction and loyalty, and has won best paper awards from the Journal of Marketing and the Journal of Service Research.

Terry G. Vavra is Chairman Emeritus of Ipsos Loyalty. He is a customer satisfaction and loyalty consultant; he is a speaker and author of four books in these fields (including one of the first CRM books) and numerous articles. He has also served as an educator, having taught at the graduate level.

About Ipsos Loyalty
Ipsos Loyalty is a global research and consulting company dedicated to helping companies improve business performance through customer satisfaction and loyalty, using advanced methods of customer satisfaction management, customer relationship management, and employee climate management. Ipsos Loyalty is a member of the Ipsos Group, a leading global survey-based marketing research company.

Visit www.ipsosloyalty.com/us

to learn more about the company’s services and capabilities.

About Ipsos
Ipsos is a leading global survey-based market research company, owned and managed by research professionals. Ipsos helps interpret, simulate, and anticipate the needs and responses of consumers, customers, and citizens around the world. Ipsos member companies offer expertise in advertising, customer loyalty, marketing, media, and public affairs research, as well as forecasting, modeling, and consulting. Ipsos has a full line of custom, syndicated, omnibus, panel, and online research products and services, guided by industry experts and bolstered by advanced analytics and methodologies. The company was founded in 1975 and has been publicly traded since 1999. In 2004, Ipsos generated global revenues of € 605.6 million ($752.8 million U.S.).

To learn more, visit: www.ipsos.com.

Ipsos is listed on the Euronext Paris Premier Marché, and is part of the SBF 120 and Next Prime Indices as well as eligible to the Deferred Settlement System (SRD). Euroclear code 7329, Reuters ISOS.LN, Bloomberg IPS


Customer Delight More Important To Customers Of Hispanic Descent

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Contact

Elen Alexov
Director, Marketing Services,
North America

Ipsos
1.778.373.5136
elen.alexov@ipsos.com