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Fuel costs pushing SA car buyers to rethink brand loyalty

Fuel efficiency is becoming a major consideration for South African car buyers as rising petrol and diesel prices put pressure on household budgets, according to the 2026 South African Customer Experience Report.
Source:
Source: Magnific

The report, produced by Rogerwilco CEO Charlie Stewart, Julia Ahlfeldt of Julia Ahlfeldt CX Consulting and Amanda Reekie of ovatoyou, points to a shift towards value for money as consumers reassess their spending amid rising living costs.

According to a 2026 industry report by Cars.co.za cited in the release, 52.5% of respondents ranked fuel efficiency above traditional considerations such as brand loyalty and resale value.

“The value of brand still matters but it increasingly has to earn its premium by proving value,” says Stewart. “While once the type of car you drove either provided functionality, brand preference or status, today the cost to run its engine matters more.”

Fuel costs reshape buying decisions

The shift comes as fuel prices approach R30/l for diesel and R27/l for petrol, according to the release. Stewart says the pressure is encouraging consumers to consider hybrid vehicles, smaller-engine cars and more affordable new-energy alternatives.

Search interest in petrol-electric hybrids has also shown quarter-on-quarter growth, he says, as buyers look to reduce the cost of running their vehicles.

The report suggests the pressure extends beyond vehicle purchases to other everyday expenses, including transport and insurance. Consumers are increasingly comparing options before committing to a purchase, rather than relying on familiarity with a particular brand.

Consumers increasingly shop around

Financial pressure is also changing how people search for products and assess value. The report found that 72% of surveyed consumers felt their financial circumstances had worsened over the previous year.

More than half of respondents, 56%, said they were buying house or no-name brands, while 40% actively compared prices and 39% searched for deals and promotions. A further 36% used search engines to find better value, while 21% reported dipping into savings or pension funds to cover rising monthly living costs.

Stewart says artificial intelligence-powered search tools are also changing how consumers research products. Large language models and AI search can help people compare options and access reviews or recommendations before visiting a brand's website.

This means businesses have less control over the information consumers encounter during the research process, making independent reviews, trust and demonstrable value increasingly important.

Brands face pressure to prove their value

The report suggests a gap between what consumers want from businesses and what companies believe they should provide. While 50% of consumers said they wanted help finding value, only 7% of businesses surveyed identified this as a priority, according to the release.

Stewart argues that businesses cannot control fuel prices or broader economic pressures, but they can make it easier for customers to compare products, understand costs and identify suitable deals.

For car brands, that means competing not only on purchase price, features and reputation, but also on the cost of ownership. As household budgets tighten, efficiency and running costs are becoming more influential in purchasing decisions.

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