Presentation Transcript

1. BMG Customer Satisfaction Q4-2013 In field October 2nd – October 20th
2. Respondent Demographics Self Identified Role Channel Distribution Q2-’13 Q2-’13 Q4-’13 Q4-’13 Geographic RepresentationBy BMS Sales Region Survey Metrics Northeast 14% Great Lakes 16% Northwest 7% Ohio Valley 8% Midwest 7% Length of Interview: 8min (email), 10 min (phone) Date in field: October 2nd – October 20th Sample: Transactional Customers Phone surveys conducted with retail customers Email surveys conducted with remaining customers Southeast 10% Pacific 9% South Atlantic 11% Southwest 8% = 10%
3. Customer Experience What is it? Customer experience is the overall essence of the impression a customer makes about Owens Corning. This impression which a customer makes is the sum total of all the process they go through, from communicating with sales reps to delivery of our products. Why do we measure it? Customer experience makes up a customers perception of Owens Corning. Measuring it allows us to learn and determine all individual customer needs and respond accordingly. How do you Calculate the Customer Experience? Measure the service they receive throughout various business interactions. Starting with Product Needs, Information Needs, Ease of Doing Business and Enjoyable Interactions and then drilling down into actionable follow-up questions.
4. The customer experience is getting better, but still just average. BMG Customer Experience Index Scores Excellent >85 Good 75-84 Average 65-74 Not Measured Not Measured
5. Owens Corning is delivering an average level of service. Customer Experience Company Benchmarks Excellent >85 Good 75-84 Average 65-74 Poor 55-64 Very Poor <55 BMG
6. Ordering and delivery score improvements are due to increases in roofing. Customer Touch Point Scores Indicates significant movement Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Very Poor (<60%) Q-wording: Using a scale of 1 to 10, how would you rate your experience with Owens Corning on the following?
7. Pipe insulation is thee only product to show a significant quality decrease. Quality Ratings by Product Indicates significant movement Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Very Poor (<60%) Question Wording: How would you rate the product quality of Owens Corning?
8. Product Performance scores have remained unchanged. Product Performance Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “THE PEOPLE DON'T LIKE THEM BECAUSE THEY'RE SOFT WALKING ON COMPARED TO OTHER BRANDS.” Menards “I have customers looking for shingle that are different in look. Looking for a Luxury Line.” ABC Supply “MORE HIGHER LEVEL SHINGLES.” Lowes “L77 blow Insulation does not perform as stated.” Austin Insulating “Customers complain at times about odor from batt products.” L&W Supply Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
9. Product sample scores have not significantly moved. Product Samples Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “Smaller hand held samples for homeowners.” Roof Depot “Should be an easier more efficient way to order sample books and shingle boards.” 84 Lumber “We should be able to order samples from customer service.” Albuquerque “This is for pipe insulation only. Other samples have been fine. We have been promoting new mandrel wound quality for larger sizes of No-Wrap. When we ordered samples to show clients they were all made with CMP or truck oven process which did not show the good quality. We did not send these samples to clients or we would've lost their business before we got it.” NU West CON Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
10. Roofing products became more available and raised the order score to nearly the same level as last year. Ordering Indicates significant movement Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “My only suggestion would be to have the customer's pricing show on the order confirmations.” Western Materials “Sometimes when faxing a group of orders, some get lost? unsure how this happens” ABC Supply “Less lead time to change order” Central Roofing ““Order confirmations- i do not receive them many times.” PrimeSource “I would like to see more detail in the order confirmations.” Holmes Drywall Supply Inc Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
11. While on time delivery scores improved, they were held back because of poor performance in residential insulation. Delivery Indicates significant movement Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “Our experiences have improved over the good service that we had received prior.” ABC Supply “Service failure 70003207. Wrong shingles shipped. Material is still here waiting to be picked up.” ABC Supply No one calls ahead to let me know that they will be here on time.” Hometown Insulation “We have received double shipments, shipments filled out with products we didn't order and drivers that refused to tailgate. L&W Supply “YOUR NEW SYSTEM START-UP MADE PROBLEMS WITH OUR ORDERS BEING DELIVERED ON TIME. THE ORDERS WERE 3 TO 5 DAYS LATE. THEY NOW SEAM TO BE ON TIME.” Casco Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
12. Price administration scores improved because of better invoicing. Customer Touch Point Scores Indicates significant movement Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Very Poor (<60%) Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
13. Retail continues to ask for better Owens Corning representation and training in the stores. Training Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “I THINK BETTER EDUCATION FOR BIG BOX STORES LIKE THIS. THE PEOPLE IN THE DEPARTMENT JUST DON'T KNOW ANYTHING ABOUT SHINGLES. THEY HAVE A HARD TIME SELLING THEM.” Lowes “MORE PRODUCT KNOWLEDGE WITH TEAM MEMBERS. PRODUCT KNOWLEDGE MEETINGS.” Menards “IN-STORE TRAINING WITH ASSOCIATES AND IN-STORE DEMOS WITH CUSTOMERS DURING BUSY TIME WHICH IS USUALLY ON WEEKENDS.” Home Depot “I THINK MORE TRAINING OF ASSOCIATES AND HAVING VENDORS COME OUT TO THE STORE TO MEET WITH MANAGEMENT AND ASSOCIATES.” Home Depot Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
14. While marketing materials did not significantly change, they are trending downward. Marketing Materials Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “QTy of Literature that a distributer can order at one time should be increased.” ABC Supply “TAKES WHILE TO GET BROCHURES, WOULD LIKE TO RECEIVE IN TIMELY FASHION. WOULD LIKE SAMPLES (ALWAYS RUNNING SHORT) TO GIVE TO CUSTOMERS.” Menards “(Need) a BIGGER PRESCENCE IN THE AREA.” ABC Supply – Pacific Region “DOES OC CARRY ECO FRIENDLY FIBERGLASS INSULATION WHICH HAS LOWER CARCINOGENS? NEED BROCHURES ON INSTALLING BASEMENT INSULATION BOARDS.” Home Depot Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
15. Value and speed of decision making was up across all businesses. Price Administration Indicates significant movement Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “Get discounts correct on the face of invoice.” Richards Supply “Decide whether you want to sell thru Roofing distribution. Or your big box Buddies at Lowes who ruin the integrity of the pricing in west Texas.” “The demand for OC is lower than the rest of the brands we carry, I believe mainly because our in-ability to be price competitive and still retain a reasonable margin.” Dealers Service “We just need help staying competitively priced with the big national guys.” Chris Mullins Co. “Corporate holds up timely responses for customers and when changes are made invoices are not correctly billed, specials left off, etc.” Ace Hardware Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
16. Scores for OC.com remained statistically flat despite the new roofing site release in July. OwensCorning.com Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “Need to somehow mark East coast products & West coast products, for retail customers to easily tell what is available where, not just a general product chart.” Meeks “Internet. Make sure people understand that some material is not available In all areas.” ABC Supply ““Locating Submittal info on website.” SPI “Better web site for spec and data.” Home Acres Building Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
17. Warranty Resolution experienced a significant increase this quarter. Customer Touch Point Scores Indicates significant movement Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Not Measured Not Measured Very Poor (<60%) Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
18. All aspects of the warranty resolution process were up. Warranty Resolution Indicates significant movement Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “Mostly incidental problems nothing drastic.” Modern Builders Supply Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
19. All aspects of the issue resolution process are trending downward. Issue Resolution Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) BMG Avg: 70% BMG Avg: 69% BMG Avg: 58% Customer Comments “Easy to report, too much time involved with reporting all the error that the new system has caused. As far as I can see, not resolutions have happened.” Service Partners “Had a bad run of shingles. Was resolved very quickly and accurately.” ABC Supply “Start over... too many layers to go through to get answers. empower your people to make quick decisions” Primesource Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
20. Only 11 respondents were familiar with ProConnect. Customers feel it is fairly easy to use but navigation could be improved. ProConnect Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments None Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
21. Customer Service and Account Rep scores showed no significant changes. Customer Touch Point Scores Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Very Poor (<60%) Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
22. The SAP rollout has directly impacted customer service, however scores remain flat which is an accomplishment. Customer Service Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) BMG Avg: 74% BMG Avg: 76% Customer Comments “Call back when you say you will and have answers asap.” PrimeSource “Experience will solve many of your problems. Have team leaders immediately available when less experienced get stuck.” SRS “Very few customer service personnel have great product knowledge.” Harrison Wholesale “Inside support is tops.” ABC Supply “It is excellent now. No changes required.” Allroc Western “I like to deal sirevtly with Michelle Moore. I trust her knowledge of products and service. I don't have a lot of faith in some of the newer people there.” DAW Construction Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
23. Customers would like to see Owens Corning representatives more often. Account Reps/Sales Average (70-79%) Good (80-89%) Excellent (>90%) Very Poor (<60%) Poor (60-69%) Customer Comments “Help our company grow with Rsa by going out and meeting our customers that might not use OC as much.” RSG “At least twice a month should contact us for any needs.” Modern Builders Supply “Make sales rep territory smaller. Rarely see our sales rep.” ABC Supply “A visit once every other couple of years.” Home Hardware “Sometimes they seem like they are stretched too thin with the size of their territories.” Gypsum Supply “None. Our reps turn over too often to offer any advice.” E.J. Davis Question Wording: Using a scale of 1 to 10 where 1 is very negative and 10 is very positive, how would you rate your experience with Owens Corning on the following?
24. Roofing was the only business unit to show a significant increase for customer satisfaction. Overall Satisfaction By Business Unit Indicates significant movement Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Very Poor (<60%) Question Wording: All things considered how would you rate your overall satisfaction with Owens Corning using a scale of 1 to 10 where 1 is Not at all Satisfied and 10 is Completely Satisfied?
25. Retail continues to have the highest level of satisfaction. Overall Satisfaction By Channel Excellent (>90%) Good (80-89%) Average (70-79%) Poor (60-69%) Very Poor (<60%) Question Wording: All things considered how would you rate your overall satisfaction with Owens Corning using a scale of 1 to 10 where 1 is Not at all Satisfied and 10 is Completely Satisfied?
26. Net Promoter Score What is it? The Net-Promoter Score (NPS) is a loyalty metric developed by Fred Reichheld. In Reichheld’s book, The Ultimate Question, NPS is touted as the most important metric for a  business to understand. Why do we measure it? The Net-Promoter Score tracks how customers represent a company to their friends, associates, and colleagues. This consumer representation can positively or negatively influence business growth based on satisfaction with a company. How do you Calculate the Net-Promoter Score? Ask your  customers, “How likely are you to recommend Owens Corning to a colleague or friend?” using a scale from 0 (Not at all likely) to 10 (Extremely likely). Then you bucket the respondents in the following classifications: NET PROMOTER SCORE
27. The BMG NPS score is at the highest level recorded. Net Promoter Score TrendBuilding Materials Group Indicates significant movement Promoters Promoters Promoters Promoters Promoters Passives Passives Passives Passives Passives Detractors Detractors Detractors Detractors Detractors Question Wording: “How likely are you to recommend Owens Corning to a colleague or friend?”
28. Roofing Net Promoter Satisfaction Levels 100 Growth to Raving Fan 60% NPS N=1155% NPS N=11 Last Survey 60% NPS N=4068% NPS N=40 Last Survey 50 50% NPS N=633% NPS N=6 Last Survey 50% NPS N=6-33% NPS N=12 Last Survey Stable to Growth 40% NPS N=35-6% NPS N=71 Last Survey 33% NPS N=6-6% NPS N=12 Last Survey 20 Risk to Stable 0 0% NPS N=8 Beacon High Risk DIFFENCEFROM LAST SURVEY Up 10+%pts. -100 Down 10+%pts.
29. Residential Net Promoter Satisfaction Levels 100 80% NPS N=3069% NPS Last Survey Growth to Raving Fan 13% NPS N=850% NPS Last Survey 50 57% NPS N=733% NPS Last Survey 36% NPS N=1136% NPS Last Survey Stable to Growth 23% NPS N=13 20 Risk to Stable 17% NPS N=6 0 0% NPS N=50% NPS Last Survey High Risk -100
30. EIS Net Promoter Satisfaction Levels 100 Growth to Raving Fan 67% NPS N=1563% NPS Last Survey 67% NPS N=3 67% NPS N=3 67% NPS N=320% NPS Last Survey 50 100% NPS N=450% NPS Last Survey HINKLE METAL & SUPPLY Stable to Growth 33% NPS N=375% NPS Last Survey 30% NPS N=1025% NPS Last Survey 100% NPS N=4 20 Risk to Stable 83% NPS N=6 0 0% NPS N=540% NPS Last Survey High Risk -33% NPS N=3 -100
31. How do we compare? Competitive Benchmarks
32. CertainTeed owns the advantage over Owens Corning for meeting product needs. ROOFING BENCHMARKS (% change) since last survey (+13%) (-8%) (-5%) (-17%) (-1%) (+18%) (-22%) (-1%) (+23%) (-13%) (+7%) (+6%) (+12%) (-4%) (-8%) (0%) (+34%) (-34%) Customer Comments “(CertainTeed) Easy to work with. They don't let systems run their business or make final decisions. Turn on a dime whenever we are in need.” SRS “CT advantage would be in the specialty shingle offering.” Roofing Supply Group “Credits and billing- If there is an issue, it is resolved in a timely manner by (CertainTeed). Beacon Seem to handle phone interactions slightly better. With CertainTeed they can give an instant answer of when something will ship. OC has complicated some transactions with multiple plants. Could also use a product catalog describing all details.” ABC Supply Question Wording: How does the competitor compare with Owens Corning in the following areas?
33. Customer do not see much difference between Owens Corning and GAF. ROOFING BENCHMARKS (% change) since last survey (0%) (-20%) (+20%) (1%) (-13%) (+12%) (+9%) (-14%) (+5%) (-6%) (-7%) (+12%) (-8%) (-+10%) (-2%) (-11%) (-6%) (+16%) Customer Comments “I would like to share that GAF actually shows interest in wanting out business. I have seen our rep for OC this year a total time of 0. Yes that's correct I said 0. Of someone that has bought over 145 trucks of shingles this year you would expect more face time with someone.” 84 Lumber “Service on the local levels by GAF reps is far better than OC. Actually never met our local OC rep.” Richards-Supply “(GAF) CONFIRMATIONS MUCH MORE TIMELY.” Seven D Wholesales “GAF treats us as if they are doing us a favor by selling to us. When GAF purchased ELK, all of the people changed and the years of marketing, which we did, was irrelevant to them.” DRI Supply Question Wording: How does the competitor compare with Owens Corning in the following areas?
34. Owens Corning owns the edge versus CertainTeed for quality. RESIDENTIAL INSULATION BENCHMARKS (% change) since last survey (+7%) (-7%) (0%) (-4%) (+1%) (+3%) (+1%) (+6%) (-7%) (+4%) (+6%) (-9%) (+3%) (-13%) (+10%) (1%) (-13%) (+11%) Customer Comments “OC HAS HAD CONSIDERABLE SHIPPING ISSUES RECENTLY AND CUSTOMER SERVICE HAS NOT BEEN VERY HELPFUL IN RESOLVING THE ISSUES. THIS IS NOT THE WAY OC HAS BEEN IN THE PAST.” Masco “Service is the same as CertainTeed.” Masco Question Wording: How does the competitor compare with Owens Corning in the following areas?
35. Customer don’t see a difference between JM and Owens Corning. RESIDENTIAL INSULATION BENCHMARKS (% change) since last survey (+2%) (-6%) (+4%) (-7%) (-16%) (+23%) (-21%) (-11%) (+32%) (-11%) (+32%) (-20%) (-3%) (-20%) (+24%) (-15%) (+22%) (-7%) Customer Comments “Johns Manville allows small companies to buy direct, Owens Corning prefers small businesses to buy thru distribution. I was approved to purchase direct from OC but can't due to being required to purchase from a middle man! I buy direct from JM” “Response is immediate from customer service with JM. I've had to call back to OC several times over the past month following up on po's I sent.” Kinzler Construction “JM offer r28 12" they also have perforated batts.” ILDC Question Wording: How does the competitor compare with Owens Corning in the following areas?
36. Customers feel we have better quality than CertainTeed but see no difference in services. EIS GLASS BENCHMARKS (% change) since last survey (+12%) (-11%) (-1%) (14%) (-2%) (-12%) (+19%) (-12%) (-7%) (+18%) (-12%) (-6%) (+4%) (-7%) (+3%) (-7%) (-11%) (+18%) Customer Comments “I have no idea who my OC rep is. I've never met him/her, or ever talked with them. I know exactly who I am dealing with at CertainTeed” Gemaire Distributor “Deal with 1 sales assoc (at CertainTeed).” Hinkle Metals “I like the quick delivery of CertainTeed materials. It can be delivered from a closer location.” DAW Construction “Yes there is. CertainTeed respects my business enough to assign one person to handle all of my needs. This is the way I prefer to do business.” Hinkle Metals Question Wording: How does the competitor compare with Owens Corning in the following areas?
37. Customers give JM a slight edge for quality. EIS GLASS BENCHMARKS (% change) since last survey (-3%) (0%) (+3%) (-11%) (+3%) (+8%) (-6%) (+4%) (+2%) (+3%) (-2%) (-1%) (-7%) (-3%) (+10%) (+6%) (-8%) (+2%) Customer Comments “(JM) responding to problems. Whether it is insulation quality or loading of trucks they run circles around OC.” Therm All “WE RECEIVE OUR INVOICES EARLY OR ON TIME (from JM). WE HAVE BEEN WAITING LONG LENGTHS OF TIME FOR OUR INVOICES (from OC).” Trident Distribution “You are weaker than all other manufacturers right now on service, quality & competitive pricing.” Specialty Products “JM has inside sales folks working with their sales reps.” Selle Insulation Question Wording: How does the competitor compare with Owens Corning in the following areas?
38. Knauf is trailing Owens Corning for product and services. EIS GLASS BENCHMARKS (% change) since last survey (-6%) (-6%) (+12%) (+2%) (-11%) (+9%) (-4%) (-4%) (+8%) (+1%) (+7%) (-8%) (-4%) (-11%) (+15%) (-12%) (+16%) (-4%) Customer Comments “Knauf is able to get truckload job pricing with in 24 hours. OC takes several weeks in which we do not have the time to wait when quoting large projects.” MacArthur Co. “Quicker at getting answers to questions regarding lead times / scheduling. More flexible with scheduling.” Volunteer Metals “They have listed on the box that their product is rated to 1000 degrees. Owens Corning only lists 850. Unfortunately, even with a letter, on a job people see what's on the box and assume that our company is cutting costs .. We could do away with Knauf if OC printed this on their box too.” M&O Insulation Question Wording: How does the competitor compare with Owens Corning in the following areas?
39. Customers see little difference between OC and Dow for quality but give OC the edge for service and interactions. EIS FOAM BENCHMARKS (% change) since last survey N=33 (-11%) (+3%) (+8%) (-6%) (+9%) (-3%) (+1%) (+6%) (-7%) (+4%) (+6%) (-9%) (+3%) (-13%) (+10%) (1%) (-13%) (+11%) Customer Comments “1. Dow order confirmations are sent directly to CSR who placed order vs OC, who sends to only one location 2. Dow order confirms have quantity & pricing for product on them 3. Dow invoices are easier to understand, with better descriptions of product than OC's invoices” Sika Sarnaf “OC gets quotes back to us faster than Dow ever did.” MacArthur Co. “Dow Product is specified everywhere.... Foamular isnt” Extol of Ohio “Currently Dow offers a 1" 4x10 board that I require.” Home Hardware Question Wording: How does the competitor compare with Owens Corning in the following areas?
40. Directionally OC has better quality and service than Pactiv. EIS FOAM BENCHMARKS (% change) since last survey N=9 (+15%) (+8%) (-23%) (+8%) (-9%) (+1%) (19%) (+1%) (-20) (-15%) (-10%) (26%) (+3%) (32%) (-35%) (-22%) (-4%) (+26%) Customer Comments “I'm not downing OC but your have too many distributors in one territory. Pactiv protects their distributors better.” Williams Equipment “Pactiv drop size was very easy to work with in the past. This was part of the success. They have since increased the drop size and sales have decreased.” DW Distribution “We request a truck and it is there in a much more timely fashion than OC. If there are changes needed to be made 2 days before a delivery, they actually gladly make the changes and still deliver on the date promised.” Thermal Foams Question Wording: How does the competitor compare with Owens Corning in the following areas?