Lexus and Mercedes-Benz dealerships tied for the highest customer satisfaction score in JD Power’s 2026 Canada Customer Service Index—Long-Term Study, as the research also found Canadian dealerships are generating record service revenue per visit.
Both brands scored 841 on a 1,000-point scale, ahead of Toyota dealerships at 829 and Honda dealerships at 821. Mercedes-Benz has now ranked highest for a second consecutive year.
The study measures the service experience among owners of vehicles four to 12 years old and evaluates dealerships and aftermarket providers on service quality, vehicle pickup, service facility, service initiation and service advisor.
While the rankings highlight the brands delivering the strongest dealership experience, the study also points to a significant shift in service economics.
The average amount paid for dealership service reached an all-time high of $566, up five per cent from $539 in 2025 and 51 per cent from $375 in 2020.
Across all service facilities, owners spent an average of $443 per visit, compared with $415 last year.
Dealerships captured 49 per cent of service visits, up slightly from 48 per cent a year earlier. Aftermarket chains accounted for 28 per cent and independent shops 23 per cent.
Because dealership visits generally involve higher charges and more complex work, dealers captured 63 per cent of total service revenue.
But customers are not visiting more often. Average annual service frequency remained unchanged at 1.8 visits for dealerships and 1.5 for aftermarket facilities.
“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, JD Power Canada. “For dealerships and aftermarket shops, the opportunity is therefore less about relying on market growth and more about earning customer loyalty through the quality of the service experience, particularly as the mix of vehicles coming through service bays continues to evolve.”
That emphasis on customer experience is significant because aftermarket providers gained ground in several areas.
Aftermarket facilities outperformed dealerships on three important satisfaction measures: providing customer-focused service advice, completing work correctly the first time and delivering a fast vehicle pickup process.
Overall satisfaction increased 13 points at independent facilities and six points at aftermarket chains, compared with a one-point improvement at dealerships.
Among aftermarket providers, NAPA AUTOPRO ranked highest in customer satisfaction with a score of 849. Great Canadian Oil Change ranked second at 826 and Kal Tire third at 819.
For dealerships, one of the biggest advantages remains the relationship already established with the customer.
Nearly half — 47 per cent — of dealership customers cited previous experience with the service department as a reason for choosing it for their most recent visit. Location was cited by 28 per cent, while 23 per cent pointed to previous experience with the dealership’s sales department.
The study also suggests the changing vehicle mix could reshape service competition.
JD Power forecasts battery-electric and other zero-emission vehicles will account for 43 per cent of Canadian new-vehicle sales by 2035 and more than 60 per cent by 2040.
Dealerships currently have an advantage with those customers. Aftermarket providers capture 51 per cent of service visits for internal-combustion vehicles in the age range studied, but only 34 per cent of ZEV service occasions.
Trust appears to be part of the reason. Thirty-six per cent of ICE vehicle owners said they trust dealerships with complex repairs, rising to 42 per cent among ZEV owners.
The 2026 study is based on responses from 10,262 owners and was fielded between March and June.
