The outlook for the retail trade sector is promising, with overall customer satisfaction surging 4% to a score of 78.0 (out of 100), according to the American Customer Satisfaction Index (ACSI) Retail and Consumer Shipping Study 2023-2024.
More than 60% of retailers measured see their individual ACSI scores improve in 2024, while better prices at the pump send consumer perceptions of value soaring, catapulting satisfaction with gas stations 15% to a score of 75 — its highest level in more than five years.
“As seen across other sectors of the economy, issues stemming from the pandemic, including supply disruptions and uneven service quality, are dissipating,” says Forrest Morgeson, Assistant Professor of Marketing at Michigan State University and Director of Research Emeritus at the ACSI. “For industries like supermarkets and gas stations, moderating inflation is helping to improve the value proposition. And leading up to the holiday season, consumers looking to stretch their dollars responded positively to discounters and retailers that excelled in sales and promotions or pumped more value into the experience through private label offerings.”
Chewy leads online retailers
Customer satisfaction with online retailers remains unchanged at an ACSI score of 80.
Despite slipping 1%, Chewy backs up its impressive 2023 debut to earn a second straight industry win with a score of 84. The online pet supply store continues to delight its customers, receiving top marks for both quality and value.
Meanwhile, second place Amazon, down 1% to 83, remains the gold standard in various key aspects of the online shopper experience, including ease of navigation and the checkout process. Costco (up 3%), eBay (up 7%), and HP Store (up 7%) tie for third at 81.
Nike (up 4%), Nordstrom (up 1%), and Etsy (unchanged) all finish with an industry average score of 80. Groupon, Staples, and Walgreens each experience a substantial 7% satisfaction increase, but despite the improvement, Walgreens’ score of 74 is the lowest mark in the industry.
Customer satisfaction with general merchandise retailers climbs 3% to an ACSI score of 77.
Macy’s (up 4%) and Costco (unchanged) top general retailers with ACSI scores of 82. Like its wholesale counterpart, Sam’s Club — unchanged at 81 to match Target (up 4%) — also sees a gravitational pull toward its private label. Member’s Mark now accounts for 30% of its total sales.
BJ’s Wholesale Club, unchanged at 80, sits toward the top of the industry too, while Belk (79) and Big Lots (78) experience the largest gains, climbing 5% and 7%, respectively. Walmart (up 4% to 73) and Dollar General (up 3% to 72) finish at the bottom despite moderate year-over-year gains.
Crowded at the top of specialty retailer industry
Customer satisfaction with specialty retailers stays pat at an ACSI score of 79. There’s a logjam, however, at the top of the industry.
ACSI newcomer Tractor Supply Company and Ace Hardware (up 3%) outperform fellow hardware and home improvement stores at 82, while Pet Supplies Plus debuts with the same score thanks to its value proposition and best-in-class sales and promotions.
O’Reilly Auto Parts meets them at 82 following a 5% surge at a time when rising used car prices are prompting drivers to keep their cars longer.
American Eagle Outfitters (down 2%), Menards (up 1%), and Apple Store (unchanged) each score 81. Six brands sit at 80: Home Depot (up 3%), Hobby Lobby (down 1%), Bath & Body Works (down 2%), Sephora (up 3%), Ulta Beauty (down 1%), and PetSmart (unchanged).
ODP (Office Depot, OfficeMax) drops 1% to 75, yet still outperforms last place GameStop, unchanged at 74. Costco, H-E-B, and Publix in 3-way tie atop supermarkets, ending Trader Joe’s long reign
Satisfaction among supermarkets skyrockets 4% to an ACSI score of 79 as food inflation slows and consumers perceive stronger value through better sales and promotions.
Costco (up 4%), H-E-B (up 5%), and Publix (up 4%) share a three-way tie atop the industry at 85, upending Trader Joe’s multiyear winning streak. The former leader is next with a steady ACSI score of 84.
Sam’s Club (Walmart), just off the leaders, climbs 5% to 83. Meijer and ShopRite experience the biggest gains, each improving 7% to 80. Meanwhile, Walmart, despite improving 4%, finishes last with an ACSI score of 74.
The American Customer Satisfaction Index (ACSI) has been a national economic indicator for over 25 years. It measures and analyzes customer satisfaction with more than 400 companies in approximately 40 industries and 10 economic sectors, including various services of federal and local government agencies. Reported on a scale of 0 to 100, scores are based on data from interviews with approximately 200,000 customers annually. For more information, visit www.theacsi.org.
Article provided with permission from AppleWorld.Today