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|Los Angeles, California (1968)|
|Costa Mesa, California, United States|
J.D. Power and Associates is an American-based global marketing information services company founded in 1968 by James David Power III. The company conducts surveys of customer satisfaction, product quality, and buyer behavior for industries ranging from cars to marketing and advertising firms. The firm is best known for its customer satisfaction research on new-car quality and long-term dependability. Its service offerings include industry-wide syndicated studies, proprietary research, consulting, training, and automotive forecasting. It was ISO 9001 certified in 2002; however, this certification has expired. McGraw Hill Financial purchased it from James David Power III in April 2005. The firm is headquartered in Costa Mesa, California. Private investment group XIO Group acquired J.D. Power in 2016.
J.D. Power and Associates' marketing research consists primarily of consumer surveys. J.D. Power ratings are based on the survey responses of randomly selected and/or specifically targeted consumers. J.D. Power relies on consumer reporting for study results as well as in-house vehicle testing for opinion based reviews in blogs.
Although publicly known for the endorsement value of its product awards, J.D. Power obtains the majority of its revenue from corporations that seek the data collected from J.D. Power surveys for internal use. Companies which have used J.D. Power surveys range from automotive, cellphone, and computer manufacturers to home builders and utility companies. To be able to use the J.D. Power logo and to quote the survey results in advertising, companies must pay a licensing fee to J.D. Power. These advertisement licensing fees, however, form a small part of J.D. Power's revenues, but a substantial portion of earnings.
J.D. Power conducts multiple annual surveys of the automotive industry in the U.S. as well as in other countries. The Vehicle Dependability Study (VDS) is a measure of problems experienced after three years of ownership, while the Initial Quality Study (IQS) is a measure of problems experienced within the first 90 days of ownership. Other surveys include the APEAL survey, reflecting consumer's attitudes towards a vehicle's attributes, dealership service surveys, and customer purchasing experience surveys. Similar versions of the Vehicle Dependability and Initial Quality Studies are performed internationally, and usually released with the country's name, followed by the same title, e.g. China Initial Quality Study.
In the United Kingdom, the J.D. Power UK Car Customer Satisfaction Index reviews all cars that have reached two years of age at the time of publication. Surveys are conducted in partnership with UK automotive publication What Car?, which publishes the survey results. The UK car survey consists of comments and ratings entirely from the members of the public who bought the cars new two years previously. Satisfaction is based on a number of different criteria, and when the many thousands of marks in each area for each car are added up to form an overall score. The list usually comprises about 130 cars and is published every year in the United Kingdom. The survey was produced in conjunction with the BBC's Top Gear Magazine for many years until the mid-2000s (decade).
J.D. Power research surveys are conducted using local languages in Brazil, India, Japan, Taiwan, China, Philippines, Indonesia, Singapore, Thailand, Malaysia, Vietnam, Canada, Mexico, Europe, Australia, Germany, and the UK.