You chose what is essentially a shuttle flight. Most of the pax on that route are looking to get between YUL and YYZ on time and without fuss - as a result, there is little pressure to make it a "luxury" experience (even assuming you could do this in a pretty short hop).
In any event, AC's existing J product (no matter where you take it) is not opulent, though perfectly adequate - even where there is competition. I flew back from CDG to YYZ yesterday afternoon in J a 767-300 with no IFE and an old electric seat. But I am Toronto based, and value the other perks I get as an AC frequent flyer with status (and I need flexibility in my choices of flight), so I stick with it, as opposed to flying Air France, which has a better J product. The new J will likely bring AC up to par with its competition, so the tradeoff hopefully won't sting so much once it is rolled out across the board.
Bottom line is that for many Canada based pax who fly in J, AC is still the only choice for reasons other than the inflight experience itself.