acsi · american customer satisfaction index retail and consumer shipping report 2019-2020 the only...

Industry Results for:

Department and Discount Stores

Specialty Retail Stores

Health and Personal Care Stores

Supermarkets

Internet Retail

Gas Stations

Consumer Shipping

U.S. Postal Service

ACSI®

T h e A m e r i c a n C u s t o m e r

Satisfaction Index is a national

economic indicator of customer

evaluations of the quality of

products and services available

to household consumers in the

United States.

T h e I n d e x u s e s d a t a f r o m

i n t e r v i e w s w i t h r o u g h l y

500,000 customers annually

as inputs to an econometric

model for analyzing customer

satisfaction with more than 400

companies in 46 industries and

10 economic sectors, including

various services of federal and

local government agencies.

Index resu l ts a re re leased

throughout the year, with all

measures repor ted on a scale

of 0 to 100. Index data have

proven to be strongly related

to several essential indicators

of micro and macroeconomic

performance. For example, firms

with higher levels of customer

satisfaction tend to have higher

earnings and stock returns

relative to competitors. Stock

portfolios based on companies

that show strong performance

in customer satisfaction deliver

excess returns in up markets

as well as down markets. At the

macro level, customer satisfaction

has been shown to be predictive

of both consumer spending and

GDP growth.

American Customer Satisfaction Index

AMERICAN CUSTOMER SATISFACTION INDEX RETAIL AND CONSUMER SHIPPING REPORT 2019-2020

February 25, 2020

American Customer Satisfaction Index Retail and Consumer Shipping Report 2019-2020

Customer Satisfaction With Retail Sector Stabilizes After Two Years of Decline

After two years of decline, the Retail Trade sector stabilizes as three of six industries show no change in their customer satisfaction scores in 2019. Overall, the Retail sector inches back a mere 0.1% to a score of 77.3 on the American Customer Satisfaction Index’s 100-point scale. But while customers find no improvement among the brick-and-mortar categories, internet retail makes gains and continues to show a much stronger level of customer satisfaction overall. Complacency when it comes to satisfying customers may not be a formula for success for traditional retailers as 2019 brought with it a record number of store closings—estimated to reach over 12,000 and far outpacing new openings.

This report covers six retail industries—department and discount stores, specialty retail stores, health and personal care stores, supermarkets, internet retail, and gas stations—as well as consumer shipping and the U.S. Postal Service. Results are based on surveys conducted over a 12-month period from January to December 2019.

A year ago, widespread customer satisfaction declines characterized the Retail sector. Among industries, gas stations were hit the hardest and while a downward trend continues, the decline is much less steep. Overall, gas stations slip 1.4% to a score of 73 for 2019. Likewise, health and personal care stores fall 1.3% to 76 following a larger drop one year ago. Three industries hold their ground: department and discount stores (76), specialty retail stores (78), and supermarkets (78). Only online retailers improve, up 1.3% to 81 and well ahead of the other categories.

Department and Discount Stores

Following a holiday season where consumers were willing to spend more, a two-year decline in customer satisfaction with department and discount stores has halted. Most of the holiday sales growth, however, was online. As the Retail sector continues to grapple with the shift toward online shopping, the customer satisfaction bleeding for traditional retailers has stopped—at least for the time being. Overall, customer satisfaction with the department and discount store industry is unchanged at a score of 76 in 2019, well below internet retail. Among 18 individual stores, 16 post satisfaction scores that are either steady or within a point of their 2018 levels.

While the industry’s customer satisfaction has stabilized for now, many companies are adopting an omnichannel approach to doing business. Major players like Walmart and Target are expanding online order fulfillment capabilities, as well as going head-to-head with Amazon in the one-day shipping space.

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Like one year ago, the top of the department and discount store industry belongs to membership warehouses. Costco remains the industry pacesetter, leading the category at 83 for the fourth consecutive year. Costco’s brick-and-mortar business stays a winner with satisfaction strong enough to tie online leader Amazon (83). Shoppers especially appreciate Costco’s employees as the company rates best in class for staff courtesy and helpfulness.

Following Costco, Walmart’s Sam’s Club (+1%) continues to hold second place at 81, with BJ’s Wholesale Club coming in at 79 (unchanged). Likewise, discounter Kohl’s and upscale Nordstrom rest in third place with stable scores of 79, joined by the group of smaller department and discount stores (-1%). While Nordstrom rates at the top when it comes to brand names, Kohl’s customers appreciate the chain’s frequency of sales and promotions.

AMERICAN CUSTOMER SATISFACTION INDEX: DEPARTMENT & DISCOUNT STORES

COMPANY

Department & Discount Stores

Costco

Sam’s Club (Walmart)

All Others

BJ’s Wholesale Club

Kohl’s

Nordstrom

Belk

Dillard’s

JCPenney

Macy’s

Target

Dollar Tree

Meijer

Ross Stores

Fred Meyer (Kroger)

Big Lots

Dollar General

Sears

Walmart

2018

76

83

80

80

79

79

79

78

79

77

77

77

77

76

77

76

75

73

70

72

2019

76

83

81

79

79

79

79

78

78

78

78

78

77

76

76

74

73

73

71

71

% CHANGE

0.0%

0%

1%

-1%

0%

0%

0%

0%

-1%

1%

1%

1%

0%

0%

-1%

-3%

-3%

0%

1%

-1%

© 2020 American Customer Satisfaction Index. All Rights Reserved.

0-100 Scale

Several stores are deadlocked with scores of 78: Belk (unchanged), Dillard’s (-1%), JCPenney (+1%), Macy’s (+1%), and Target (+1%). Dollar Tree, which is closing or rebranding hundreds of its Family Dollar stores, is unchanged at 77 and rates well ahead of Dollar General, flat at 73. Meanwhile, Meijer (unchanged) and Ross Stores (-1%) are tied with the industry average of 76.





The only notable changes in customer satisfaction occur on the industry’s lower end. Kroger’s Fred Meyer falls 3% to a below-average score of 74, while Big Lots slips 3% to 73. The bottom of the industry remains the territory of Sears (+1%) and Walmart (-1%), both landing at 71.

2019 2018

DEPARTMENT AND DISCOUNT STORESCustomer Experience BenchmarksYear-Over-Year Industry Trends

Convenience of store hours*

Quality of mobile app

Reliability of mobile app (minimal down time, crashes, lags)

Website satisfaction

Convenience of store location*

Variety and selection of merchandise

Layout and cleanliness of store

Ability to provide brand names

Availability of merchandise (inventory stocks)

Call center satisfaction

Courtesy and helpfulness of staff

Frequency of sales and promotions

Speed of checkout process

82

80

79

77

76

74

76

75

74

74

8182

50 55 60 65 70 75 80 85 90


*Not Measured in 2018

0-100 Scale

81

79

78

76

78

75

74

75

7172

78

77

For the department and discount store industry, no element of the customer experience improves in 2019, and some aspects are deteriorating. For customers who continue to shop in-store, the industry is doing a good job of providing convenient hours. In fact, store hours are considered the best part of the customer experience (82).




Mobile apps earn strong marks for quality (81) and reliability (80), although both are weaker compared to a year ago. The website channel is not as highly regarded as mobile apps, with website satisfaction unchanged at 79. Shoppers are less than impressed with store locations (78)—a situation that is unlikely to improve in the face of store closings. Store layout and cleanliness is worsening (-3% to 76), and stores are less able to provide brand names and keep inventory stocks at acceptable levels (both 75).

The biggest change for the industry is in the courtesy and helpfulness of staff, which tumbles 4% to 74. To shoppers, call centers are no better than they were a year ago (74) and sales are less frequent (74). The worst part of the shopping experience, however, is the speed of checkout (71), which for department and discount stores rates lower than any other retail category.


Much like the department and discount store industry, stability pervades the specialty retail store results for 2019. The industry overall is steady with a customer satisfaction score of 78 following a two-year slide. Among 26 stores specializing in products such as clothing, home improvement, office, automotive, beauty, or pet supplies, just three show changes greater than 1% year over year. The remaining 23 retailers maintain customer satisfaction at levels equal to or within 1 point of their 2018 scores.

L Brands, which fell back 4% to 82 a year ago, remains in first place with an unchanged score. While this stability keeps L Brands in the lead customer satisfaction position, its stock fell nearly 30% in 2019 and sales for its Victoria’s Secret brand continue to decline. In February, after the close of the interview period, L Brands announced its intention to sell off Victoria’s Secret. In contrast, sister brand Bath & Body Works showed comp sales growth of 10% through the first three quarters of fiscal 2019. For the two brands, customer satisfaction aligns with sales growth. Bath & Body Works earns a significantly higher score than Victoria’s Secret, which accounts for only 9 percent of L Brands interviews in the Index’s 2019 survey.

Next in line, Barnes & Noble is steady at 81 for the fourth consecutive year. Third place is crowded, with six retailers posting scores of 80. Ascena, which shed its Maurices brand and is closing all Dressbarn stores, shows stable customer satisfaction, as does Cabela’s and Menards. Likewise, Ulta Beauty keeps its score of 80, but a small 1% improvement for Sephora puts the two beauty chains in a tie. Sephora has made changes to its Beauty Insider program and while the company has improved its ability to provide sales and promotions, customers still give Ulta Beauty significantly higher marks in this area. Bed Bath & Beyond completes the six-way tie, up 1% to 80 despite ongoing store closings.

The group of smaller specialty retailers is steady with an aggregated score of 79, as is TJX (unchanged). Small 1% improvements move Abercrombie & Fitch, Foot Locker, and Gap to scores of 79 as well. While home improvement specialist Lowe’s shows no change in satisfaction, Home Depot moves up 3% to tie Lowe’s at 78. Home Depot, the only specialty store to improve substantially, has plans to counter Amazon with one-day delivery options.






AMERICAN CUSTOMER SATISFACTION INDEX:SPECIALTY RETAIL STORES

COMPANY


L Brands

Barnes & Noble

Ascena

Bed Bath & Beyond

Cabela’s

Menards

Sephora

Ulta Beauty

Abercrombie & Fitch

All Others

Foot Locker

Gap

TJX

Advance Auto Parts

Home Depot

Lowe’s

O’Reilly Auto Parts

PetSmart

AutoZone

Best Buy

Michaels

Petco

Staples

Burlington

Dick’s Sporting Goods

Offi ce Depot

GameStop

2018

78

82

81

80

79

80

80

79

80

78

79

78

78

79

78

76

78

80

79

78

78

79

78

78

76

75

77

74

2019

78

82

81

80

80

80

80

80

80

79

79

79

79

79

78

78

78

78

78

77

77

77

77

77

76

76

76

75

% CHANGE

0.0%

0%

0%

0%

1%

0%

0%

1%

0%

1%

0%

1%

1%

0%

0%

3%

0%

-3%

-1%

-1%

-1%

-3%

-1%

-1%

0%

1%

-1%

1%


0-100 Scale

Two auto parts dealers match the industry average of 78—Advance Auto Parts (unchanged) and O’Reilly Auto Parts (-3%). The third auto parts chain, AutoZone, dips 1% to 77. In other close matchups, just a point separates PetSmart (-1% to 78) and Petco (-1% to 77). Likewise, the office supply chains are nearly even as Staples (-1% to 77) just edges out Office Depot (-1% to 76).

Electronics specialist Best Buy slips 1% to 77, while craft chain Michaels drops 3% to 77. Burlington doesn’t budge from the low end at 76, tying both Office Depot and Dick’s Sporting Goods (+1%). The very bottom of the industry belongs to GameStop despite a 1% gain to 75. Like many other retailers, GameStop has announced plans to shutter up to 200 of its stores.





2019 2018

SPECIALTY RETAIL STORESCustomer Experience BenchmarksYear-Over-Year Industry Trends

Convenience of store hours*










Convenience of store location*



83

82

82

81

80

79

81

80

79

77

8282

50 55 60 65 70 75 80 85 90



0-100 Scale

82

82

82

80

81

80

79

77

7474

8282

Little has changed across the customer experience for specialty retailers. The only aspect to erode slightly is the ability to provide brand names (-1% to 81). As in the department and discount store industry, the convenience of store hours (83) earns the highest mark from shoppers. Staff courtesy is appreciated, along with store layout—both of which score as high as mobile apps (all 82).

Speed of checkout for specialty stores (80) far outpaces that of department and discount chains (71), and call centers perform better (77 for specialty stores versus 74 for department/discount). As with other retail industries, customers crave more sales and promotions (74).





Health and Personal Care Stores

Following a decline one year ago, customer satisfaction with health and personal care (drug) stores retreats again, down 1.3% to a score of 76. The two-year slide occurs amid a changing industry landscape, where major players are investing heavily to move into the health care arena. CVS is rehabbing hundreds of stores to emphasize health services and wellness, while Walgreens is launching new services such as lab testing and eye care—all with an end game of driving more foot traffic to physical stores. Meanwhile, Amazon continues to loom large following its acquisition of PillPack.

The industry’s nascent efforts to morph into health care have yet to positively impact customer satisfaction. Consumers still prefer smaller drug stores, which continue to lead the industry with a steady score of 82. Moreover, the smaller stores have staked out customer satisfaction territory far above their larger competitors, heading the field by a gap of 4 to 8 points. According to customers, smaller stores provide a much higher level of value.

Kroger remains number one among the larger health and personal care stores, but with lower satisfaction than a year ago. Kroger drops 4% to 78, coming in a point ahead of CVS (unchanged at 77). For Kroger, customers feel that service quality has eroded, and staff are much less helpful and courteous.

Like Kroger, Albertsons Companies shows a pronounced decline of 4% to 75, tying with a struggling Kmart (Sears), which inches back 1%. Two more large drug store chains fall below average at 75—Rite Aid (-1%) and Walgreens (-3%). Walgreens is closing stores as it undertakes a “transformational cost management program” to improve efficiencies. According to survey results, however, the company may be lacking when it comes to its digital presence. Walgreens rates worst in class for the quality and reliability of its mobile app—both of which have deteriorated significantly year over year.

AMERICAN CUSTOMER SATISFACTION INDEX: HEALTH & PERSONAL CARE STORES

COMPANY

Health & Personal Care Stores

All Others

Kroger

CVS

Albertsons Companies

Kmart (Sears)

Rite Aid

Walgreens

Walmart

2018

77

82

81

77

78

76

76

77

73

2019

76

82

78

77

75

75

75

75

74

% CHANGE

-1.3%

0%

-4%

0%

-4%

-1%

-1%

-3%

1%


0-100 Scale





The bottom of the industry is still occupied by Walmart, inching up 1% to 74. The good news for the retail giant is that its pharmacy services are now closer to the industry average as most other large competitors post declines. Nevertheless, Walmart still lags the field when it comes to customer service in areas such as speed of checkout, where it rates worst in class by a wide gap.

Along with customer satisfaction, most elements of the customer experience with drug stores have eroded in 2019. Customers still rank the industry high for convenience of store locations and hours, though somewhat lower than a year ago (-2% to 83). Store layout has yet to improve despite investments by some large companies in this area; in fact, it recedes 2% to 81. Likewise, staff are not as courteous or helpful (-2% to 79).

2019 2018

HEALTH AND PERSONAL CARE STORESCustomer Experience BenchmarksYear-Over-Year Industry Trends

Convenience of store location and hours




Quality of pharmacy services









81

81

79

78

78

79

77

77

76

8283

50 55 60 65 70 75 80 85 90


0-100 Scale

83

82

80

77

81

77

77

7677

8080

8385

8081





The remaining elements are stable or slip back 1%, and it is notable that no factor improves for the drug store industry. The quality of pharmacy services dips down 1% to 80—a level that far outpaces the supermarket category where pharmacy quality scores 74. Mobile apps continue to score well despite small downturns in both quality (82) and reliability (81). And while customers prefer websites (80) to call centers (77), both trail mobile apps.

At the low end, as in many retail categories, customers are not happy with the frequency of sales and promotions (76). Likewise, checkout speed needs to improve (76), although the industry does match supermarkets in this area. Specialty retailers, however, remain the brick-and-mortar pacesetters for checkout speed—scoring at the much higher level of 80.

Supermarkets

Customer satisfaction with supermarkets is stable at 78 after slipping one year ago. But more disruption is on its way for the industry. Amazon is pushing ahead with plans to enter the physical grocery space via stores that will be separate from its Whole Foods subsidiary. Meanwhile, traditional grocers are fast moving into the online grocery space, as well as rolling out new technology intended to make in-store shopping easier. Amid this period of transformation, customer satisfaction across supermarket chains is mostly stable or within a point of 2018 levels. This is the same pattern found among specialty retailers and department and discount stores. While these industries are focusing on all things digital, tech innovation has yet to gain enough traction with consumers to boost customer satisfaction.

Small changes result in a three-way tie at the apex of the supermarket industry. The top two companies from 2018—Trader Joe’s and Wegmans—are joined by Texas-based grocer H-E-B. Trader Joe’s now slides back 2% to 84, making room for H-E-B (+2%) and Wegmans (-1%). All three chains rank first for satisfaction across the entire Retail sector, ahead of even Amazon (83). While it no longer holds this position alone, Trader Joe’s remains a pacesetter across much of the customer experience and a leader for its quality of service. Wegmans, with a focus on local markets, wins top marks for the quality of its meat and produce.

Another trio of chains are just a point behind the leaders. Aldi (-1%), Costco (unchanged), and Publix (-1%) meet with scores of 83. Publix has long been a top-tier supermarket performer and its stores rate best in class for layout and cleanliness.

The grocery business of BJ’s Wholesale Club shows the largest gain in the industry. BJ’s rises 4% to a score of 82, driven by an increase in customer perceptions of value. The company’s current score is now well above the supermarket average and higher than its rating of 79 in the department and discount store industry.

The third membership club, Walmart’s Sam’s Club, is unchanged at 80, trailing both Costco and BJ’s. ShopRite (+1%) also comes in at 80 and the chain receives top honors for the frequency of its sales and promotions.

The biggest U.S. grocer, Kroger, is unchanged at 79 following a drop in 2018. The store remains tied with the group of smaller supermarkets for a fourth straight year. Kroger is working with Microsoft to





develop technology including digital shelving that communicates with customers’ smartphones to help them complete their shopping. These tech innovations have yet to result in greater customer satisfaction.

Target’s grocery business also earns a score of 79 following a 1% increase, while Amazon’s Whole Foods chain is stable (79). Hy-Vee (-1%) and Meijer (unchanged) match the industry average of 78. Ahold Delhaize loses 1% to 77.

The low end of the industry remains the territory for three chains that are flat at 76: Giant Eagle, Southeastern Grocers, and Supervalu. Save-A-Lot dips 1% to meet with Albertsons Companies whose score is unmoved at 75. Despite gaining 1%, Walmart stays alone at the industry’s rock bottom with a score of 73. Walmart places last in all but one category across the Retail sector. The exception is the company’s internet business, which places second to last, beating only a struggling Sears.


AMERICAN CUSTOMER SATISFACTION INDEX:SUPERMARKETS

COMPANY

Supermarkets

H-E-B

Trader Joe’s

Wegmans

Aldi

Costco

Publix

BJ’s Wholesale Club

Sam’s Club (Walmart)

ShopRite

All Others

Kroger

Target

Whole Foods (Amazon)

Hy-Vee

Meijer

Ahold Delhaize

Giant Eagle

Southeastern Grocers

Supervalu

Albertsons Companies

Save-A-Lot

Walmart

2018

78

82

86

85

84

83

84

79

80

79

79

79

78

79

79

78

78

76

76

76

75

76

72

2019

78

84

84

84

83

83

83

82

80

80

79

79

79

79

78

78

77

76

76

76

75

75

73

% CHANGE

0.0%

2%

-2%

-1%

-1%

0%

-1%

4%

0%

1%

0%

0%

1%

0%

-1%

0%

-1%

0%

0%

0%

0%

-1%

1%


0-100 Scale

For supermarkets, most aspects of the customer experience are stable or slightly better than a year ago. Physical stores are still appreciated for their locations and hours, which receives the best mark across the Retail sector (85). Store layout is improving, as is the quality and freshness of meat and




2019 2018

SUPERMARKETSCustomer Experience BenchmarksYear-Over-Year Industry Trends

Convenience of store location and hours


Quality and freshness of meat and produce











Quality of pharmacy services

82

82

81

79

80

81

80

80

79

8281

50 55 60 65 70 75 80 85 90


0-100 Scale

81

82

81

80

82

80

78

7878

8181

8585

7675

7476


produce (both 82). Mobile apps are deemed reliable (82), although quality is slightly less (81). While many stores are rolling out new apps to aid shoppers, the industry overall has yet to see gains in this area.

The supermarket industry does a good job when it comes to providing brand names (81) and staff are deemed courteous and helpful (81). Compared to other retail categories, the frequency of sales and promotions is much more acceptable to supermarket shoppers (79). Checkout speed, while a bit better, shows room for improvement (76). The worst part of the grocery experience is the quality of pharmacy services, which has deteriorated 3% to 74.




Internet Retail

Consumers are happier with their online shopping experiences in 2019 as customer satisfaction for internet retail gains 1.3% to 81. As such, internet retail stands out as the only industry in the Retail sector to show improvement year over year. Moreover, with a satisfaction score of 81, the category far outpaces its brick-and-mortar counterparts.

Only three companies turn in scores that are above the industry average in 2019 and just one, Nordstrom, comes from traditional retail. Internet giant Amazon gains 1% to retake the lead at 83, followed by Etsy and the online business of Nordstrom, both up 1% to scores of 82. Amazon wrapped up 2019 by beating its own estimated revenue high, with Prime membership reaching a record 150 million.

AMERICAN CUSTOMER SATISFACTION INDEX: INTERNET RETAIL

COMPANY

Internet Retail

Amazon

Etsy

Nordstrom

Costco

HP Store

Kohl’s

Newegg

Nike

Macy’s

Wayfair

All Others

eBay

Overstock

Apple

Best Buy

Dell

Gap

Home Depot

Lowe’s

Target

Groupon Goods

Staples

GameStop

Walgreens

Walmart

Sears

2018

80

82

81

81

83

80

81

80

81

80

80

82

80

80

80

77

79

78

79

79

80

76

76

75

76

74

73

2019

81

83

82

82

81

81

81

81

81

80

80

79

79

79

78

78

78

78

78

78

78

77

77

76

75

74

73

% CHANGE

1.3%

1%

1%

1%

-2%

1%

0%

1%

0%

0%

0%

-4%

-1%

-1%

-3%

1%

-1%

0%

-1%

-1%

-3%

1%

1%

1%

-1%

0%

0%


0-100 Scale





One year ago, Costco entered the category in first place, but a 2% decline drops the membership club down to third place at 81—deadlocked with several other retailers and tied with the industry average. In 2019, only 18% of Costco’s members shopped its website on a regular basis.

HP Store (+1%) also posts a score of 81 that puts it ahead of the online businesses of Apple, which slides 3% to 78, and Dell (-1% to 78). Other internet retailers clustered at the industry average of 81 are Newegg (+1%), Kohl’s (unchanged), and Nike (unchanged).

Just below average, Macy’s and Wayfair continue to tie with scores of 80. For Macy’s, online beats out its brick-and-mortar score (78), but only by 2 points. Online retailers eBay and Overstock drop back 1% each to tie at 79, joined by the group of smaller retail sites—tumbling 4% year over year.

Along with Apple and Dell, several traditional retailers are grouped together with scores of 78. For Best Buy, a 1% gain to 78 brings it in line with Gap (unchanged), as well as home improvement specialists Home Depot (-1%) and Lowe’s (-1%). Target retreats 3% to 78 for its online business, matching its score in the department and discount category. Like Walmart, Target has rapidly adopted faster delivery to compete better with Amazon. Target is expanding its same-day delivery service, now available directly through its website and aided by its prior acquisition of Shipt. In July, the company countered Amazon’s Prime event with its own “Deal Days” but for customer satisfaction, Target still trails far behind the internet leader.

Further down, Groupon Goods (+1%) meets Staples (+1%) at 77, while GameStop bumps up to 76—a score that just edges out its brick-and-mortar rating (75). Walgreens drops 1% to 75, matching its drug store satisfaction score.

As in the department and discount store industry, the bottom of internet retail is occupied by Walmart and Sears with stable scores of 74 and 73, respectively. While both trail Amazon by wide margins, their online businesses are an improvement over their brick-and-mortar scores of 71 in the deparment and discount store category. Despite its efforts to compete with Amazon in the one-day shipping space, Walmart can’t gain any traction against the leader when it comes to customer satisfaction.

Customers appreciate the quick checkout and payment offered by retail websites, and the industry scores very high at 86. This rating vastly outpaces brick-and-mortar stores, where speed of checkout ranges from 71 (department/discount stores) to 80 (specialty retailers). Internet retail mobile apps also dominant the sector with scores of 86 for quality and 85 for reliability. Compared to other retail industries, brand names are more readily available online (+2% to 84).

Overall, internet retail scores 80 and above for most elements of the customer experience, including navigation and site performance (both 83). Product images are deemed more useful (+2% to 83), and elements such as inventory stocks (82) and shipping options (81) are better. Even the lower-scoring benchmarks improve for internet retail. Customer support edges up to 78, while site-generated recommendations rise 3% to 77.





2019 2018

INTERNET RETAILCustomer Experience BenchmarksYear-Over-Year Industry Trends

Ease of checkout and payment process



Variety and selection of merchandise(including brand names)

Ease of navigation

Site performance

Usefulness of product images

Availability of merchandise inventory (specifi c models, colors, sizes)

Clarity and usefulness of product descriptions

Variety of shipping options

Helpfulness of customer-generated product reviews

Helpfulness of customer support (live chat, help pages, call center)

Usefulness of site-generated recommendationsof other products

85

84

83

81

80

83

82

81

80

86

50 55 60 65 70 75 80 85 90


0-100 Scale

82

83

81

81

82

79

7877

8383

8685

7775

86

85

Consumer Shipping

As demand for faster parcel delivery grows, consumers are less happy with their shipping experiences. For the consumer shipping industry overall, customer satisfaction drops 1.3% to 77. Among the two major private sector companies, a performance gap has opened up. For nearly a decade, FedEx and United Parcel Service (UPS) have been closely matched in the Index, with scores separated by no more than 2 points. For 2020, FedEx ups its customer satisfaction 1% to 80, while UPS tumbles down 4% to 76—the company’s lowest score in the history of the Index. Moreover, this is the second consecutive decline for UPS.





The industry overall faces pressure to automate and deliver faster, as well as the threat of further competition from Amazon, which continues to build out its own delivery network. Amazon is UPS’s largest individual customer, accounting for nearly 12% of UPS’s revenue in 2019. According to Index data, UPS’s mobile app is deemed much less reliable than FedEx’s app.

AMERICAN CUSTOMER SATISFACTION INDEX: CONSUMER SHIPPING

COMPANY

Consumer Shipping

FedEx

UPS

U.S. Postal Service (Express & Priority Mail)

2019

78

79

79

74

2020

77

80

76

72

% CHANGE

-1.3%

1%

-4%

-3%


0-100 Scale

The U.S. Postal Service (USPS) continues to score well below its private sector competitors, falling 3% to 72 for its Express and Priority Mail service. In 2019, the Postal Service raised its Priority Mail rates along with the biggest price increase ever for its first-class Forever stamps. At the same time, the USPS encountered the first decrease in package volume in nine years as the industry shifts toward in-sourcing for last-mile deliveries.

Although Americans continue to send fewer letters, customer satisfaction with USPS regular (monopoly) mail delivery has recovered from a sharp drop in 2019, rising 4.3% to 73. This change returns the USPS to the stable satisfaction level earned from 2016 to 2018. For the first time in the history of measurement, USPS Express and Priority Mail (72) scores lower than its regular mail service.

AMERICAN CUSTOMER SATISFACTION INDEX: U.S. POSTAL SERVICE

COMPANY

U.S. Postal Service

2019

70

2020

73

% CHANGE

4.3%


0-100 Scale





As with customer satisfaction, the consumer shipping customer experience is showing signs of strain. While all elements still score 80 or above, there is some weakening in the benchmarks compared to a year ago. The physical condition of packages received (85), ease of tracking (83), and websites (82) all slip back 1% this year. In-store staff courtesy (84) and service speed (82) show bigger drops, moving down 2% year over year.

Mobile apps—new to measurement in 2020—come in at levels similar to the retail industries, with scores of 83 for quality and 81 for reliability. On the lower end, the range of delivery options ebbs 1% to 80—not a positive sign as the demand for faster shipping grows.

2020 2019

CONSUMER SHIPPINGCustomer Experience BenchmarksYear-Over-Year Industry Trends

Physical condition of package received

Courtesy and helpfulness of in-store staff

Ease of tracking shipment

Quality of mobile app*

Speed with which in-store purchase or other transaction was completed

Timeliness of delivery


Reliability of mobile app(minimal down time, crashes, lags)*

Range of delivery options

83

81

8384

50 55 60 65 70 75 80 85 90



0-100 Scale

8282

8586

8284

8382

8486

8081




No advertising or other promotional use can be made of the data and information in this report without the express prior written consent of ACSI LLC.


About This Report

The American Customer Satisfaction Index Retail and Consumer Shipping Report 2019-2020 on department and discount stores, specialty retailers, drug stores, supermarkets, internet retail, gas stations, consumer shipping, and the U.S. Postal Service is based on interviews with 85,175 customers. Respondents were chosen at random and contacted via email between January 8 and December 23, 2019. Customers are asked to evaluate their recent experiences with the largest companies in terms of market share, plus an aggregate category consisting of “all other”—and thus smaller—companies in these industries.

The survey data are used as inputs to the Index’s cause-and-effect econometric model, which estimates customer satisfaction as the result of the survey-measured inputs of customer expectations, perceptions of quality, and perceptions of value. The model, in turn, links customer satisfaction with the survey-measured outcomes of customer complaints and customer loyalty. Our clients receive confidential industry-competitive and best-in-class data on all modeled variables and customer experience benchmarks.

ACSI and its logo are Registered Marks of the University of Michigan, licensed worldwide exclusively to American Customer Satisfaction Index LLC with the right to sublicense.


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