Canadian Car Buyers Eye Brand Changes, Favor Gas Vehicles

A recent study reveals that nearly half of Canadian car shoppers are planning to switch brands for their next vehicle purchase. The findings, released by Deloitte in its 2026 Global Automotive Consumer Study, highlight a significant shift in consumer preferences while also exposing a gap between expectations and reality in vehicle financing.

According to the survey, approximately 47% of Canadians intend to purchase a different brand than their current vehicle. Key factors influencing this decision include product quality, price, and vehicle performance. In addition, many consumers are optimistic about their monthly payments. Approximately 80% expect to pay less than $750 monthly, with a notable portion anticipating payments under $250. This contrasts sharply with data from November 2025, which indicated that the average new car loan in Canada was around $880 per month, and average leases were about $780. Deloitte emphasized that this discrepancy illustrates a disconnect between consumer expectations and the current market reality.

Fuel Preferences and Charging Habits

When it comes to fuel types, 56% of Canadians express a preference for gasoline internal-combustion engines (ICE), while 22% are considering hybrids, 11% opt for plug-in hybrids (PHEV), and only 5% are interested in fully electric vehicles (EV). The survey reveals that for those willing to consider an electrified vehicle, the primary motivation is lower fuel costs, cited by 62% of respondents, followed closely by environmental concerns and the reduced need for maintenance.

Regarding charging habits, 83% of prospective EV owners plan to charge their vehicles at home, while 7% intend to use workplace charging stations, and 9% will rely on public charging infrastructure. Interestingly, despite the prevalence of mobile apps for managing EV charging, only 20% of Canadians prefer using their phones for this purpose. A significant 55% would rather use credit or debit cards at charging stations, similar to traditional gas purchases.

Brand Loyalty and Consumer Concerns

In terms of brand preferences, 31% of Canadian shoppers favor domestic brands, while 19% lean towards foreign manufacturers. Notably, half of the respondents indicated that brand loyalty is less critical than meeting their specific vehicle needs. The primary reasons for choosing a brand include securing a good deal, transparent pricing, and satisfactory performance during test drives.

Concerns regarding data privacy are also prominent among Canadian consumers. The survey highlighted apprehensions about in-car cameras, data synchronization with connected devices, and biometric information. Canadians are the least willing globally to pay for over-the-air (OTA) updates; however, 41% stated they would be more inclined to retain their vehicles longer if they received regular OTA updates for new features and safety improvements.

Safety is a top priority for consumers, with the most desired features including anti-theft tracking, automatic emergency braking, and collision detection assistance. Conversely, less interest was shown for automated parking and advanced infotainment capabilities.

Overall, the findings from Deloitte’s study underscore shifting consumer preferences in the Canadian automotive market, revealing a desire for brand changes, a strong inclination towards gasoline vehicles, and a focus on safety and privacy concerns.