Dealership service visits are in decline, dropping 12 percent since 2018, per a recent study.
That’s the latest from Cox Automotive, which found that despite a rise in the average vehicle age and a growing demand for vehicle maintenance, dealership service visits are falling. The findings also underscore a growing shift among consumers towards independent repair shops, quick-lube centers, and mobile service providers, as well as a decline in dealer customer retention and long-term brand loyalty.
Interestingly, the study found that while the total number of service and repair visits continues to climb, dealerships are losing a larger share of that business. The average vehicle age in the U.S. is now around 12.8 years, up from 12.6 years in 2024, resulting in more business for service providers.
In 2024, dealerships generated over $156 billion in combined service and parts revenue across 270 million repair orders, per the National Automobile Dealers Association. Service and parts accounted for 13.2 percent of dealership income last year, up from 12.4 percent in 2023. Nevertheless, dealer service visits are down 12 percent from 2018.
The steepest declines are seen among newer vehicles. This year, just 54 percent of owners of vehicles two years old or newer returned to the dealership where they purchased their vehicle for maintenance, as compared to 72 percent in 2023. This drop in early-ownership loyalty has long-term implications, as customers who service their vehicles at a dealership are 74 percent more likely to buy their next vehicle there, according to Cox Automotive.
The study found that unexpected repair costs and poor communication were the top reasons for customer dissatisfaction. Almost 45 percent of vehicle owners said they were unhappy with their dealership service experience. That said, dealership repair costs averaged $261 per visit, slightly less than the $275 average charged by independent repair shops.
The latest Cox Automotive Service Industry Study was based on survey information collected from 1,974 vehicle owners aged between 18 and 75 who had serviced their vehicle within the past year. The survey was conducted between April and May of 2025.
Automobile Magazine-USA
