Record Repair Bills Mask Aftermarket EV Trust Gap

Driven by complex repairs and rising labor costs, average Canadian dealership service spend hits $566 per visit despite flat annual vehicle drop-off frequencies.

The J.D. Power 2026 Canada Customer Service Index—Long-Term (CSI-LT) Study reports that average service expenditure per visit for vehicles aged four to 12 years rose to $443 in Canada, up from $415 in 2025. Franchise dealerships recorded an all-time high average spend of $566 per visit—a 5 percent year-over-year increase and a 51 percent rise since 2020—while aftermarket shops averaged $323 per visit (+7 percent year-over-year).

For dealer principals, aftermarket chain executives, and independent shop operators, the metrics demonstrate that sector revenue stability is driven by higher repair order totals rather than expanding bay throughput. Dealerships continue to capture 49 percent of all service visits and 63 percent of total market service revenue.

“Higher service costs are creating more revenue per visit, but they are not necessarily creating a larger service market,” said J.D. Ney, Managing Director at J.D. Power Canada. “The opportunity is therefore less about relying on market growth and more about earning customer loyalty through the quality of the service experience.”

The study underscores a critical transition risk for independent repair facilities as ZEV adoption scales. While the aftermarket services 51 percent of internal combustion engine (ICE) vehicles, it secures only 34 percent of service occasions and 28 percent of service revenue for zero-emission vehicles. Trust in technical capability remains a key barrier, with 42 percent of ZEV owners trusting dealerships for complex repairs compared to 36 percent among ICE owners.

However, aftermarket chains outperformed franchise dealers in key operational execution metrics, including completing work right the first time (94 percent vs. 91 percent) and fast vehicle turnaround times (69 percent vs. 52 percent).

In the 2026 brand satisfaction rankings, Mercedes-Benz Dealerships and Lexus Dealerships tied for top honors in the franchised segment with a score of 841 (on a 1,000-point scale). NAPA AUTOPRO ranked highest among aftermarket service providers with a score of 849, followed by Great Canadian Oil Change (826) and Kal Tire (819).