ACSI Funds’ investment ideas are generated through a systematic and quantitative process using proprietary data from the American Customer Satisfaction Index (ACSI). ACSI is the only national cross-industry measure of customer satisfaction in the United States. The Index measures the satisfaction of U.S. household consumers with the quality of products and services offered by both foreign and domestic firms with significant share in U.S. markets. The ACSI benefits business, researchers, policymakers, and consumers alike by serving as a national indicator of the health of the U.S. economy, as well as a tool for gauging the competitiveness of individual firms and predicting future profitability.
Each year, roughly 100,000 customers are surveyed about the products and services they use the most. The survey data serve as inputs to a Partial Least Squares (PLS) econometric model that benchmarks customer satisfaction with more than 350 companies in 43 industries and 10 economic sectors, as well as various services of federal and local government agencies.
ACSI’s time-tested, scientific model provides key insights across the entire customer experience. ACSI results are strongly related to a number of essential indicators of micro and macroeconomic performance. At the micro level, companies that display high levels of customer satisfaction tend to have higher earnings and stock returns relative to competitors. At the macro level, customer satisfaction has been shown to be predictive of both consumer spending and gross domestic product growth.