J.D. Power recently released its 2015 Canadian Customer Service Index Long-Term Study. The study measures the service experience, satisfaction and intended loyalty among owners of vehicles that are four to 12 years old.
Based on a 1,000-point scale, the survey found that overall customer satisfaction with automotive dealership service is at 731, and satisfaction with aftermarket shops is 749.
Are there major differences between dealerships in the U.S. and Canada?
I think there are differences in the evolution of the dealer market here. In Canada, we don't have the preponderance of very large dealer groups, as you do in the U.S. We do have dealer groups, but they aren't at the same stage of evolution as the U.S. groups.
How has overall satisfaction with dealer service versus the aftermarket changed over time?
Because of the nature of the study, the aftermarket has really been the dominant competitor. In the past there was a wider gap in terms of satisfaction in favor of the aftermarket. We've certainly seen the gap in market share evening out.
What are some of the factors that erode customer satisfaction with dealer service?
I think that dealers are coming to terms with the fact that the preponderance of warranty work can sometimes make the service department a little bit lazy. If I know I have a steady stream of customers coming in, I don't have to sell a lot of work. That's something the dealers are realizing the aftermarket players are really good at.
The survey listed the most important factors when it comes to satisfaction as the dealer being focused on the customer's needs, providing an appointment on the day desired, and providing helpful advice. How have those factors changed over time?
There has been a shift away from a focus on quality to the service initiation bucket. There has to be a sense of value. Canadian customers in general have less disposable income than U.S. customers, and the value proposition is more important than in the U.S.
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