National Consumer Agency Market Research Findings: Consumer Empowerment and Complaints October 2010 Research Conducted by

Table of Contents Key Findings Section 1: Consumer Empowerment Section 2: Making Complaints Section 3: Customer Service Research Background & Methodology

Key Findings 4 in 5 (80%) Irish consumers claim that they would be prepared to complain if a problem had occurred or if they were dissatisfied with a product or service that they had purchased. Within the last 12 months, of those who had reason to complain – 4 in 5 actually made a complaint. The majority of complaints tended to be in relation to faulty products or services (51%). Over 3 in 5 (63%) who complained found the complaints process somewhat easy – a decrease (-6%) from the previous wave. Unhelpful staff continues to be the number one difficulty experienced. 71% have had their complaint completely resolved – a slight decrease (-3%) on the previous wave. Over half (53%) claim that they will continue to buy from the business that they had cause or reason to complain about – an increase of 9% from the previous wave.

Section 1: Consumer Empowerment

Confidence About Rights as a Consumer (Base: All aged 15-74 – 1,000) Level of Confidence % % % % % Very confident (5) 70% 73% 74% 74% 75% Fairly confident (4) Neither/Nor (3) Not very confident (2) 18% 14% 15% 18% 12% Not at all confident (1) 5

Knowledge About Consumer Rights (Base: All aged 15-74 – 1,000) Level of Knowledge % % % % % Very knowledgeable (5) 67% 67% 62% 68% 69% Fairly knowledgeable (4) Neither/Nor (3) Not very knowledgeable (2) 20% 20% 24% 20% 15% Not at all knowledgeable (1) 6

Protected Regarding Consumer Rights (Base: All aged 15-74 – 1,000) Level of Protection % % % % % Very protected (5) 64% 65% 65% 60% Fairly protected (4) 70% Neither/Nor (3) Not very protected (2) 15% 14% 16% 18% 10% Not at all protected (1) 7

Empowerment Levels x Profile of Sample (Base: All aged 15-74 – 1,000) Overall Confident 73% Not Confident 18% Knowledgeable 67% Not 20% Protected 64% 15% Male 70% 63% 25% 16% Female 74% 69% 66% 13% 15-24 55% 34% 57% 19% 25-34 77% 12% 35-44 75% 17% 45-54 71% 11% 55+ 65% 62% ABC1 C2DE Responsible for main shop 14% Not responsible for main shop 61% 24% = Significantly lower than total sample = Significantly higher than total sample

Respecting your Rights as a Consumer (Base: All aged 15-74 – 1,000) “In general, sellers/providers in this country respect your rights as a consumer”. % Strongly agree (5) 64% Most likely: Those who feel protected (76%), knowledgeable (72%) and confident (71%) in their rights as a consumer. Those aged 55+ (69%). Agree (4) Neither/nor (3) Disagree (2) Strongly disagree (1) Mean: 3.6 9

Section 2: Making Complaints

Complaining Nation? (Base: All aged 15-74 – 1,000) As a consumer would you be prepared to complain if a problem had occurred or you are dissatisfied with a good or service you have purchased? Most likely to be: Women 82% 35-54 year olds 83% ABC1’s 84% Main Grocery Shoppers 84% Knowledgeable about consumer rights 87% Yes No (78%) (22%) () = Wave 4 ‘09 11

Goods & Services Bought with Reason to Complain or Return an Item – Primary & Secondary (Base: Those who have purchased an item or service in the outlet) Reason to Complain/Return from: % With Reason to Complain or Return Ever Wave 5 2010 Wave 4 2009 Wave 3 2009 PRIMARY SECONDARY TV Service Providers e.g. Sky, NTL Building and related services e.g. plumbers Shops selling furniture or household appliances Insurance products and services Banking products and services, including a current A/C Pubs Airlines Car dealers Energy suppliers e.g. ESB, Bord Gais (+4%) Supermarkets and newsagents Shops selling clothing or footwear Restaurants take-away’s or hotels Communications services including home phone (+4%) (+4%) 12

Whether Complaint Made When had Reason to Do So Reason to Complain Whether Made Complaint (Base: All aged 15-74 – 1,000) (Base: All those who had cause or reason to complain in past 12 months - 375) Most likely to be: Male 85% 35-44 year olds 86% 45-54 year olds 86% C2DE’s 83% No Yes No (75%) Yes (64%) (36%) (25%) Wave 1 2008 70% Yes Wave 2 2008 75% Yes Wave 3 2009 69% Yes () = Wave 4 ‘09 14

Reasons for Complaint Reasons for Complaint: (Base: All those who had cause or reason to complain - 375) Reasons for Complaint: Wave 5 2010 Wave 4 2009 Wave 3 2009 Wave 2 2008 Wave 1 2008 Faulty product/service Product/service didn’t do what it said it would do Wrong size/colour/specification Product/service did not confer benefits described to me by salesperson Changed mind/wanted to return the item Unwanted gift Other* * All others 1% or less (Other includes – lack of quality food, food item out of date, too expensive, poor service, overcharged, meal not up to standard). 15

Assessment of the Complaints Process Wave 5 2010 Wave 4 2009 Level of Difficulty Experienced Difficulty Experienced (Base: All who experienced difficulty – 78) % (Base: All who made a complaint – 300) Unhelpful staff Refusal of retailer to refund my money The retailer/provider never got back to me Difficulty contacting trader Had to put complaint in writing I was unsure of my consumer rights Offered a repair when wanted a replacement Unsure of the complaints process including to who to complain to* Only give me a credit note Refusal to repair returned item # All others 4% or less % Very easy (5) (31) 63% Somewhat easy (4) (38) Neither/Nor (3) (7) – Somewhat difficult (2) (16) 26% Very difficult (1) (7) Mean 3.6 ( ) = Wave 3 2009 16

Reasons for Not Complaining (Base: All those who had reason to make a complaint but didn’t in past 12 months - 75) Reasons for Not Complaining: Wave 5 2010 Wave 4 2009 Wave 3 2009 Wave 2 2008 Wave 1 2008 % % % % % I did not want the hassle of having to make a complaint I didn’t see the point of complaining I didn’t have time to make a complaint I did not want to get anyone in trouble by making a complaint I was afraid to make a complaint I was unsure of my consumer rights Difficulty contacting trader Did not have receipt/proof of purchase Unsure of the complaints process Other Had to put the complaint in writing ** ** ** ** ** ** ** ** ** ** – – – – 17

Resolution Status of Problem (Base: All those who made a complaint in past 12 months - 300) Whether Complaint Resolved % Benchmark 2007 Question not asked in Benchmark survey Wave 1 2008 78% completely resolved Wave 2 2008 66% completely resolved Wave 3 2009 73% completely resolved Refused/ Not Stated (2%) Not resolved at all (11%) Completely resolved (74%) Partly resolved (13%) () = Wave 4 2009 18

Satisfaction with the Way Complaint was Handled (Base: All who’s complaint was completely resolved – 211) Do nothing, just accept what has happened Tell people you know of your positive experience with them Do more business with them yourself Tell people you know not to do business with them Stop doing business with them altogether Do less business with them yourself Level of Satisfaction Wave 5 2010 Wave 4 2009 Likely to do as a result % % 148 People Completely satisfied (7) (46) 70% Very satisfied (6) (27) 2 people 1 person (1 person) Fairly satisfied (5) (18) Neither/nor/ Don’t know (4) 7 People (4) Fairly dissatisfied (3) (3) Very dissatisfied (2) (1) 8% Completely dissatisfied (1) (1) Mean 5.8 (6.1) () = Wave 4 2009 19

Likelihood of Buying Again from Business that had Reason to Complain About (Base: All those who had cause or reason to complain - 375) Benchmark 2007 52% Yes 27% No 16% I don’t have a choice Wave 1 2008 59% Yes 29% No 12% I don’t have a choice Wave 2 2008 64% Yes 7% I don’t have a choice Wave 3 2009 28% Yes 45% No 22% Don’t know 5% I don't have a choice Likelihood to Buy Again (44%) Yes No (26%) (9%) (21%) I don’t have a choice Don’t know ( ) = Wave 4 2009 20

Section 3: Customer Service

Level of Customer Service – Experienced – I (Base: All who have bought goods/services in past 12 months) Very poor (1) (2) Very good (5) (4) 90% 89% 88% 87% 85% Shops selling clothing or footwear (95%) Personal care e.g. hairdressers, cosmetics (85%) Pharmacies, doctors, hospitals or other medicals (79%) Supermarkets & newsagents (97%) Education providers (38%) Restaurants, take-aways, or hotels (89%) Pubs (76%) – – () = Total that purchased 22

Level of Customer Service – Experienced – II (Base: All who have bought goods/services in past 12 months) Very poor (1) (2) Very good (5) (4) 84% 83% 82% 80% Entertainment outside the home (60%) Entertainment at home (62%) Shops selling furniture or households appliances (40%) Communications services including home phone mobile, internet (69%) Building and related services (33%) Energy suppliers (61%) Travel agent (29%) – – – – () = Total that purchased 23

Level of Customer Service – Experienced – III (Base: All who have bought goods/services in past 12 months) Very poor (1) (2) Very good (5) (4) Car dealers (24%) Insurance products and services (65%) TV service providers (50%) Waste services (49%) Airlines (44%) Banking products & Services (68%) Public transport (43%) Petrol Stations (74%) 79% 78% 77% 76% () = Total that purchased 24

Research Background and Methodology

Research Background and Methodology Nov/Dec 2007 Aug 2008 Nov/Dec 2008 Benchmark Wave 1 Wave 2 May/June 2009 Nov/Dec 2009 June 2010 Wave 3 Wave 4 Wave 5 Current Wave Amárach Research conducted the research by means of face-to-face interviewing with 1,000 people between the ages of 15-74. In all, 6 comparable “Waves” of Market Research have been completed since November / December 2007. To ensure that the data is nationally representative, quotas were applied on the basis of age, gender and social class. Interviewing was conducted over a four week period in June 2010. 26

Profile of Sample (Base: All aged 15-74 – 1,000) MAIN GROCERY SHOPPER % % % % 15-24 Married Male ABC1 Yes No 25-34 Living as Married 35-44 C2DE Female 45-54 Single 55+ Wid/Div/ Sep F50+/ F50- Not stated Not stated 27