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Complaints to Better Business Bureau Up Ten Percent Nationwide

Thursday, March 24th, 2011

According to an annual report released today by Better Business Bureau, consumers filed 1.1 million complaints against North American businesses in 2010, reflecting a ten percent increase over the previous year. Consumers also turned to the non-profit more than 87 million times for help researching businesses across North America, a whopping 37 percent more than in 2009.

“The complaints filed with BBB are not only a barometer of customer satisfaction, but the rise in complaints also shows that consumers are increasingly relying on BBB for assistance in resolving disputes with businesses,” said Kim States, BBB President.

The cable and satellite TV industry received the largest number of complaints with 30,985, a 5 percent decrease over last year. The cell phone industry ranked second with 27,293 complaints but saw a 29.6 percent decrease over 2009. Rounding out the top three, new car auto dealers received 24,698 complaints, an 8.1 percent decrease over the previous year.

While the cable and satellite TV industry, cell phone industry and new car dealers received a high volume of complaints, the BBB report shows that they also have a higher rate of resolution with consumers than the average rate (78 percent) across all industries in 2010. Cable and satellite TV resolved 98.6 percent of complaints, a slight increase from 2009; the cell phone industry resolved 92.1 percent; while new car dealer companies resolved 87.4 percent of all complaints.

“Industries that do a large volume of business are naturally going to have a larger number of complaints. This is why it’s important to look at how a company responded when BBB approached them with consumer complaints, and not just the sheer number of complaints,” added States.

The report also reveals that the 3 million BBB Business Reviews are increasingly popular as a free tool for consumers to research the trustworthiness of businesses.  BBB Business Reviews—which contain information on a businesses’ accreditation status, letter-grade rating and complaint history—were accessed more than 87 million times in 2010. The most popular industries researched with BBB are roofing contractors, general contractors and mortgage brokers.

“The services and tools that BBB supplies free of charge at bbb.org are now of more value than ever before to consumers,” States said. “Given the current economic climate, consumers need to be more cautious on where and how they spend their money and a fast, easy way to do this is to ensure (more…)

Complaints to Better Business Bureau Up Nearly 10 percent in 2009

Friday, March 12th, 2010

chart with numbersAccording to an annual report released today by Better Business Bureau, consumer complaints to the organization increased by 9.7 percent in 2009. Not only did BBB receive nearly 1 million complaints filed by disgruntled customers last year, consumers turned to the non-profit more than 65 million times for help researching businesses across North America.

“Amidst the housing crisis, high unemployment rate and the chaos on Wall Street, the last year has not been easy on consumers and the increase in complaints to BBB reflect this troubled economy,” said Kim States, BBB President. “Now more than ever, struggling families should rely on BBB to find businesses they can trust and to help their voice be heard in the marketplace.”

The cell phone industry received the largest number of complaints in 2009 with 37,477, a 2.1 percent increase over last year. The cable & satellite TV industry ranked second with 32,616 complaints, an 8.7 percent increase over the previous year. Rounding out the top three, banks received 29,920 complaints, a 42.3 percent increase over the previous year.

“For the second year in a row, banks experienced a significant increase in complaints coinciding with 140 bank failures in 2009,” said States. “Trust in the financial sector is already extremely low and the dramatic increase in BBB complaints against banks reflects the growing discord between consumers and the industry.”

While the cell phone industry, cable & satellite TV industry and banks received a high volume of complaints, two of the three industries saw improvements in their resolution rates over the previous year. Cell phone companies resolved 97.4 percent of complaints; the cable & satellite TV industry resolved 97.2 percent. The resolution rate by banks declined slightly to 95.2 percent.

The report also reveals that BBB Reliability Reports—which are available online for free and contain information on a business’s accreditation status, letter-grade rating and complaint history—are increasingly popular as a free tool for consumers to research the trustworthiness of businesses.  The nearly 4 million BBB Reliability Reports® on businesses across North America were viewed more than 65 million times in 2009. The most popular industries researched through BBB were roofing contractors, general contractors and mortgage brokers.

Complete rankings are after the jump.. (more…)