The Evolving Loyalty Landscape: How Electrified Vehicles Are Shaping Consumer Decisions

The pickup truck market is shifting gears, and hybrids are emerging as a driving force behind the change. As more drivers prioritize fuel efficiency while still expecting towing power, hybrid models are stepping in to redefine the segment. According to Experian’s Automotive Consumer Trends Report: Q3 2025, gas-hybrid and plug-in hybrid pickup trucks accounted for nearly one-in-five new light-duty trucks sold, coming in at 17.8% this quarter. This signals a major shift in a historically ICE-dominated category. Hybrids are likely gaining traction because they offer the best of both worlds. While their systems provide fuel efficiency by combining gas or diesel engines with electric motors to avoid range anxiety, they’re also meeting most towing and hauling requirements that accompany the traditional gas-powered trucks. Overall pickup truck market trends fueling hybrid growth When looking at the market from a broader perspective, there were 55.3 million light-duty trucks on U.S. roads in the third quarter of 2025, representing 20.10% of all vehicles in operation. Furthermore, as of Q3 2025, 34% of U.S. households with one-or-more vehicles also own a light-duty pickup truck, giving this segment a strong foothold in transportation options. The widespread presence underscores the pickup truck’s influence in the automotive industry as they set the pace for consumer expectations and steer market trends. The increased momentum for hybrid trucks can also help OEMs and dealers capitalize on growing their presence in an increasingly competitive space. It’s important for automotive professionals to consider aligning sales strategies with evolving buyer preference to elevate consumer engagement as this trend offers benefits today and even greater potential ahead. To learn more about pickup truck insights, view the full Automotive Consumer Trends Report: Q3 2025 presentation.

Many across the industry have been waiting to learn how EV activity has changed now that the EV tax credit has been eliminated. According to Experian’s State of the Automotive Finance Market Report: Q3 2025, the EV market saw a sharp uptick in transactions as many locked in these benefits before they disappeared, though it remains to be seen what the market will look like in the fourth quarter. With the EV market expanding and more models entering the lineup, shoppers also benefited from various options across a wider range of price points within their budget. Even so, many opted to lease a new EV rather than purchase it. More than 56% of consumers leased an EV in Q3 2025, up from 46.43% last year. The gap between the number of EV leases and purchases reflects several underlying factors, one of them being this option likely offered lower upfront costs and monthly payments. For instance, the average monthly payment for a lease was $172 lower than a loan for an EV in Q3 2025. Where EV performance stands in the broader market When looking at the data from a larger perspective, EVs made up 25.31% of the total new lease market, compared to 17.69% a year ago. The alternative fuel type also comprised four of the top ten leased models, with Tesla Model Y (4.35%) and Tesla Model 3 (2.58%) as the top two. They were followed by the Honda Prologue (1.78%) as the fifth most leased model and the Hyundai IONIQ 5 (1.49%) as the ninth. EVs making up nearly half of the top ten leased models in the overall market underscores how quickly consumer preferences can shift and how incentives play a role in purchasing behavior. Consumers’ comfort with EV technology continuing to grow paired with the steady expansion of compelling models across segments also highlights the momentum that is being brought to the overall automotive industry. As the market continues to move forward, the interplay of expiring incentives, more model availability, and a strong desire for leasing shows how EVs have steadily become a more prominent consideration. Leveraging these insights will help automotive professionals best position themselves to support consumers navigating an increasingly dynamic landscape. To learn more about EVs and other automotive finance trends, view the full State of the Automotive Finance Market Report: Q3 2025 presentation on demand.

From shifting consumer preferences to aging vehicles reshaping service demand, data from the second quarter of 2025 revealed a dynamic landscape where new and used vehicle registrations grow, and the aftermarket “Sweet Spot” becomes a rich source for service providers. Experian’s Automotive Market Trends Report: Q2 2025 found that light-duty vehicles reached 293.5 million, up from 291.1 million through Q2 2024. This growth can be attributed to the 16.3 million new vehicle registrations and 39.5 million used vehicle ownership changes, demonstrating a healthy turnover in the market. Taking a closer look at the registration trends, new vehicle registrations saw a 7.7% year-over-year increase, reaching 4.2 million through Q2 2025. Meanwhile, used vehicle registrations also slightly increased by 2% from last year, rising to 10.2 million this quarter, as buyers continued to seek pre-owned options amid conversations around affordability. Leveraging aftermarket trends for service opportunities As vehicles age and warranties expire, there is a natural shift to aftermarket services, and the continuous growth in the aftermarket sweet spot shows that consumers are willing to keep their vehicles for longer periods of time, as long as they’re still functional. The aftermarket sweet spot is made up of vehicles aged 6-to-12-years old and are typically out of manufacturer warranty, making them prime candidates for aftermarket services. For instance, 35.5% of all light-duty vehicles on the road fell into this category through Q2 2025, signaling an opportunity for service providers and parts manufacturers. With total vehicle registrations on the rise and more vehicles entering the aftermarket sweet spot, it gives automotive professionals in all stages of the buying journey an opportunity to capitalize on these positive trends and meet consumers where they are needed the most. To learn more about vehicle market trends, view the full Automotive Market Trends Report: Q2 2025 presentation on demand.