Abstract:

This paper describes the limitations of current quality tracking measurements and reporting in effectively differentiating vehicle quality using a tally of incidence of Things Gone Wrong (TGW). The authors propose a new framework for measuring and tracking quality that incorporates the differing impact of various TGW on customer perceptions of quality. Using results from an empirical analysis of Quality Tracking data, this paper demonstrates that the proposed metric will not only provide a more accurate differentiation of customer perceptions of vehicle quality across different vehicle lines/manufacturers, but also correlate more strongly with vehicle repurchase intention. The authors contend that a customer-based definition of quality should go beyond TGW incidence and encompass a more comprehensive definition involving multiple dimensions of product attributes. The paper illustrates that this expanded definition of quality provides a greater understanding of overall customer satisfaction and attitudinal loyalty.