Customer Satisfaction with Automotive Service Has Steadily Increased
TORONTO, Aug. 6 /CNW/ - OK Tire ranks highest in satisfying automotive
customers in Canada with the service establishment experience, according to
the J.D. Power and Associates 2008 Canadian Customer Commitment Index
Study(SM) released today.
The study provides a measure of the service satisfaction and loyalty of
owners of 2- to 12-year-old vehicles. Overall customer satisfaction with
vehicle service providers is determined by examining five key factors:
appointment/check-in, service advisor, work quality, after-service and
customer orientation. The study examines customer satisfaction with both
dealerships and after-market facilities.
OK Tire achieves an overall index score of 902 on a 1,000-point scale and
performs particularly well in work quality and customer orientation-two of the
most important drivers of customer satisfaction. Petro-Canada (Certigard)
follows OK Tire in the rankings with a score of 886, while Autopro ranks third
overall with 881.
The study finds that customer satisfaction with the service experience
has risen steadily-up from 826 points in 2004 to 850 points in 2008. The
improvement in 2008 is driven by increased satisfaction in the customer
orientation, service advisor and work quality factors.
"In addition to improvements in various measures of dealer performance,
satisfaction with service delivered by new-car dealers in particular also
increased," said Adrian Chung, manager of automotive syndicated research at
J.D. Power and Associates. "This suggests that service centers across the
industry are listening to their customers, and putting more focus on improving
the overall service experience."
The study finds that 2- to 12-year-old vehicles account for nearly
70 percent of all vehicles in Canada in 2008. Owners within this category
spend an average of $860 annually on service and repairs, creating substantial
revenue potential for all types of service establishments.
"Satisfaction with the service experience is essential to increasing
customer loyalty, which can have considerable impact on the bottom line for a
service establishment," said Chung. "In fact, with more than 13 million 2- to
12-year-old vehicles on the road in Canada and vehicle owners spending an
average of $860 per year, a one-percentage-point increase in share of service
visits for either after-market or new-car dealers can potentially lead to a
$110 million increase in annual revenue."
The study also finds that share of service occasions accounted for by the
various types of service establishments-including new car dealerships,
independent repair shops, quick lubes, tire specialists, auto specialists and
mass merchants-shifted slightly in 2008 compared with 2007, with new-car
dealers losing market share. The most noteworthy drop in share for new-car
dealers was among owners of 2- to 3-year-old vehicles, declining from
75 percent in 2007 to 73 percent in 2008.
The study also finds the following automotive service customer trends:
- While the average cost per service occasion has increased by
7 percent since the 2004 study, the most noteworthy increase in cost
was among quick lubes (up 19 percent), tire specialists (up
14 percent) and service stations (up 13 percent).
- Among customers who report being highly committed to their service
center, nearly 94 percent report they will return to the
establishment for service and 84 percent say they will definitely
recommend the establishment. Conversely, only 17 percent of customers
with low commitment say they will return for service, and less than
12 percent say they "definitely will" give a recommendation.
- Highly committed customers give nearly six positive recommendations
to family and friends, compared with just fewer than three positive
recommendations among customers with medium commitment.
The 2008 Canadian Customer Commitment Index Study is based on responses
from 17,114 owners of 2- to 12-year-old vehicles. The study was fielded
between December 2007 and May 2008.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a
global marketing information services company operating in key business
sectors including market research, forecasting, performance improvement,
training and customer satisfaction. The company's quality and satisfaction
measurements are based on responses from millions of consumers annually.
J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a leading
global information services provider meeting worldwide needs in the financial
services, education and business information markets through leading brands
such as Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power
and Associates. The Corporation has more than 280 offices in 40 countries.
Sales in 2007 were $6.8 billion. Additional information is available at
No advertising or other promotional use can be made of the information in
this release without the express prior written consent of J.D. Power and
NOTE: Ranking chart available upon request
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Tews, J.D. Power and Associates, Troy, Mich., United States, (248) 312-4119,