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Whether it is the economy or improved quality and reliability, Canadians are spending less to maintain and repair their vehicles.
Overall spending on maintenance and repairs dropped 12.5 per cent this year to $9.8-billion, according to a national survey by J. D. Power and Associates. Based on responses from 14,500 owners of vehicles between three and 12 years of age, indications are the biggest reason for the decline is less routine or preventative maintenance.
The 2010 Canadian Customer Commitment Index Study is the second annual survey conducted by J. D. Power, permitting a year-to-year comparison. The company says the majority of the decrease came from reduced spending at each service and fewer service visits, particularly with four- to seven-year-old vehicles. Per service spending has averaged $287 this year compared to $352 in 2009. Expenditures for repair have remained about the same, but outlays for maintenance have dropped considerably.
Stagnant economic conditions may have been a factor, says Ryan Robinson, director of the Canadian automotive practice division at J.D. Power. "Owners might postpone expenditures, including routine maintenance," he said, adding that other factors contributed to the decline, including longer recommended service intervals, improved reliability and a slight decline in the average age of vehicles on the road thanks to strong new car sales in 2006 and 2007.
"It seems Canadian vehicle owners are becoming comfortable with the notion that they don't need to do as much to maintain their vehicles as they once did," Robinson concludes.
The survey measures customer satisfaction based on five key factors:
1) the process of getting the vehicle in for service
2) the performance of the service adviser
3) service facility
4) quality of work performed
5) the process of vehicle return/pickup.
The survey showed a wide regional spread in these expenditures and some pretty definite impressions of the various service providers. Quebeckers spent considerably less than Ontario residents on average ($499 vs. $730) with the remainder of Canadians falling between those extremes - Atlantic $681, Prairies $665 and British Columbia $589.
When it came to rating their satisfaction with service providers, based on a 1,000-point scale, aftermarket facilities topped the rankings, led by Petro-Canada's Certigard outlets (869), followed by Goodyear Service Centres (838), Jiffy Lube (835), OK Tire (832) and NAPA Autopro (831).
The top place among new-vehicle dealerships went to Toyota/Lexus (825), followed by Nissan/Infiniti (814), General Motors (810), Subaru (809) and Hyundai (807) with Kia right behind at 806. The industry average was 815.
At the bottom of the rankings were Canadian Tire (758), Costco (756) and Wal-Mart (734). Among dealerships, Mazda (793), Ford (790) and BMW (788) brought up the rear.
The survey reveals a strong tie between satisfaction and loyalty. In cases where the respondent indicated service was "outstanding" (rated 9 out of 10) almost 90 per cent said they will return to the same facility. It drops precipitously from there. About half of those who gave a rating of eight say they will return.
Communication and education also plays a big role. The survey revealed that facilities that advised customers of future service requirements enjoy a big edge in return business over those who do not, 65 per cent compared to 47 per cent.
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