MANUFACTURERS TO IMPROVE QUALITY TO GAIN CUSTOMERS
By Adnews Staff
Customer satisfaction has been on the decline for the past five years even though manufacturers are emphasizing quality in their products, according to a study done by Deloitte & Touche of Toronto. In 1998, manufacturers can gain and retain customers by offering conformance, product reliability, product durability, customer perceived quality and product performance. In the year 2000, top factors will be: on-time delivery, customer perceived quality, prompt handling of customer complaints, fast response deliveries and product reliability. Manufacturers will differentiate themselves in the 21st century by offering higher value-added products and services, providing fast response from order to delivery, as well as shortening manufacturing and distribution lead times. Overall, executives expect to increase marketing and customer service efforts by 10% over the next three years, using mainly data warehousing, customer integrated data systems and electronic commerce. Fifty-seven per cent of manufacturers plan to expand into China, with the high-tech and pharmaceutical sectors leading the way. Forty-one per cent of European manufacturers are setting their sights on North America and 70% of Japan's high-tech companies are targeting North America to sell their wares. On average, companies expect new products and product enhancements to increase their revenues by 50%.