Dealerships gain bigger share of $9B service market, study finds

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Canadian new-vehicle dealers continue to gain market share in the service segment but lag the aftermarket sector on initial repair work, according to a new survey.

The J.D. Power 2023 Canada Customer Service Index—Long-Term Study found that dealerships have grown their overall share of the $9.1-billion service market to 61 per cent, up from 58 per cent a year ago.

However, when it comes to completing service work correctly the first time, aftermarket facilities continue to outperform dealerships. Aftermarket facilities correctly complete service work the first time 95 per cent of the time. That’s unchanged from 2022. But the success rate at dealerships is at 93 per cent, continuing a downward trend from 2022 and 2021 .

The J.D. Power 2023 Canada Customer Service Index—Long-Term Study measures usage and satisfaction of service shops for vehicles that are 4 to 12 years old.

 

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