Canadian Car Buyers Eye Brand Changes, Prefer Gas Vehicles

Almost half of Canadian car shoppers are planning to switch brands for their next vehicle purchase, according to a recent survey by Deloitte. The findings from the 2026 Global Automotive Consumer Study indicate that many consumers are dissatisfied with their current brands and wish to explore different options.

The study highlights that 47% of respondents intend to buy a vehicle from a brand other than the one they currently own. The primary reasons driving this shift include product quality, price, and overall vehicle performance. However, there is a notable discrepancy between consumer expectations and the reality of car financing costs. While eight in ten Canadians expect to pay less than $750 per month for their next vehicle, the average new-car loan in Canada was approximately $880 per month in November 2025. This gap underscores a significant disconnect between what consumers anticipate and prevailing market conditions.

Many shoppers also prefer shorter loan terms, with most indicating a preference for a duration of 48 to 60 months. However, data reveals that over half of new-vehicle loans currently extend for 84 months or longer, further complicating the purchasing landscape.

In terms of vehicle powertrains, a strong majority of respondents (56%) expressed a preference for gasoline-powered vehicles. Meanwhile, 22% indicated they would consider a hybrid model, 11% a plug-in hybrid electric vehicle (PHEV), and just 5% opted for a fully electric vehicle (EV). The reasons for choosing electrified options primarily revolve around lower fuel costs (62%), environmental concerns, and reduced maintenance needs.

Despite the growing interest in electric vehicles, concerns remain. Many Canadians cite driving range, higher initial costs, and performance in cold weather as significant barriers. Regarding charging habits, 83% of potential EV owners plan to charge their vehicles at home, while only 20% expressed interest in using mobile apps for payment at charging stations. Instead, 55% prefer traditional credit or debit card transactions.

When it comes to brand loyalty, 31% of Canadian consumers prefer domestic brands for their next vehicle, while 19% favor foreign options. Notably, half of the respondents indicated that brand origin does not matter as long as the vehicle meets their needs. The most crucial factors in brand selection include securing a good deal (61%), transparent pricing, and a positive experience during test drives.

Privacy concerns are also a growing issue among Canadian car buyers. Many are apprehensive about data collected from in-car cameras, connected devices, and biometric sensors. Interestingly, Canadians are the least willing globally to pay for over-the-air (OTA) updates. Nonetheless, 41% of respondents stated they would be more inclined to keep their vehicles longer if they received regular OTA updates for new features and performance improvements.

Safety features remain a priority for consumers, with Canadians ranking anti-theft tracking, automatic emergency braking, and collision detection as the most desirable technologies. In contrast, preferences for automated parking and advanced infotainment features ranked lower on the list.

These insights from Deloitte’s study reveal that while Canadian car buyers are eager to explore new brands and technologies, significant gaps exist between expectations and market realities. The automotive industry must bridge these divides to better meet consumer demands and preferences.