Customer satisfaction with the dealership service experience improved slightly in 2024 but was held back from a stronger increase due to frustrations with the fixed-ops process.
According to J.D. Power’s 2024 U.S. Customer Service Index Study, overall customer satisfaction increased five points on a 1,000-point scale. The marginal improvement comes after several years of decline, during which the same problems cited by consumers have become more prevalent in dealership service departments.
“It’s encouraging to see an improvement in service satisfaction,” commented Chris Sutton, vice president of automotive retail at J.D. Power, “but, unfortunately, the capacity and wait time issues have gotten progressively worse since the pandemic and show no immediate signs of easing up.” Service department customers with mass-market vehicles waited 5.2 days on average for their appointment this year compared to 4.8 days in 2023.
The increase in wait times has tangible consequences for dealers, many of whom will be looking to service department revenues as new vehicle prices fall from pandemic-era highs in the coming months. In 2024, 35% of customers opted to take their vehicle to an aftermarket repair center specifically because they expected faster service at a third-party business than at a dealership.
The introduction of electric vehicles to the fixed-ops space has also created issues for both car owners and dealers. Service department customer satisfaction among non-Tesla EV owners was 50 points lower in 2024 than it was among ICE drivers. Consumers taking their EV in due to a recall were more dissatisfied with their service than those in any other segment. “As sales of BEVs continue to grow and the industry moves out of the early-adopter phase, the typical owner will not be as willing to tolerate a less-than-stellar service and ownership experience,” warns Sutton. “This is an area that automakers and dealers need to address now to help make the transition to electrification as pain-free as possible for owners in the future.”
To provide the best experience possible for service department customers, J.D. Power recommends that dealers utilize technology, both to enhance the client experience and to streamline the process. It is equally important that dealers begin educating their staff about electric vehicle repair and maintenance as soon as possible. Although the EV market remains small, it will only continue to grow; dealers who wait to train their service staff risk being left behind.
