Consumers May Buy Less, But Satisfaction Stays High (AAPL, HPQ, DELL, SNE, WHR, GE, SHLD)

By Douglas A. McIntyre Published Sep 20, 12:28PM EDT

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Customer satisfaction with purchases of durable goods in 2011 remains virtually identical with 2010 levels most likely as a result of falling prices. A survey of customer satisfaction with personal computers, appliances, and consumer electronics also notes that small appliance manufacturers posted the largest gains in customer satisfaction, a somewhat surprising result. And it’s very likely that lower prices also contributed strongly to buyer satisfaction.

The American Customer Satisfaction Index (ACSI) rates customer satisfaction on a scale of 0-100, and the overall score for personal computer satisfaction came in a 78, flat with the 2010 score. For appliances, the 2011 industry score was 81, down slightly from last year’s 82. And for consumer electronics products like Blu-Ray Disc players and TVs, the satisfaction score was unchanged at 85.

Among computer makers, Apple Inc. (NASDAQ: AAPL) led the field with a score of 87, trailed by Hewlett-Packard Co. (NYSE: HPQ) with 78 and Dell Computer Inc. (NASDAQ: DELL) with 77. An aggregate group of other manufacturers, including Sony Corp. (NYSE: SNE), also scored 77.

Appliance maker Whirlpool Corp. (NYSE: WHR) scored 82, leading General Electric Co. (NYSE: GE) with a score of 79. GE’s score fell by 3 points and Whirlpool’s fell by 1. ACSI noted that the aggregate score of all other makers, including the Kenmore brand from Sears Holdings Corp. (NASDAQ: SHLD), rose to an industry-leading score of 83. That’s the highest score ever for this group.

The ASCI survey did not specify the leading makers of consumer electronics gear, but the industry’s overall score of 85 made it the leader among the 47 industries the survey measures.

A significant contributor to customer satisfaction is very likely attributable to lower prices. The survey notes that “price cuts on flat-panel TVs and [Blu-Ray Disc] players contribute to strong and stable customer satisfaction for the industry.” That is, if buyers thinks they got a good deal they are less likely to be critical of the product. No one wants to be thought a sap for buying a crummy product.

The low-price effect is probably most pronounced in the consumer electronics field, but stagnant pricing has also affected the appliance business, and with the exception of Apple, the computer business as well. Apple’s premium pricing essentially guarantees a high-level of satisfaction. Again, no MacBook Air buyer wants to admit to making a $1,400 mistake when a Dell PC would have cost less than half that.

Still, Apple’s reputation for innovation and quality continue to pay off for the company. The company’s stock has posted a new 52-week and all-time high of $418.20 in the first hour of trading this morning.

Paul Ausick

About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.