Inflation, interest rates and the customer: What shifting consumer behaviour means for aftermarket businesses 

Inflation, higher borrowing costs and broader cost-of-living pressures are influencing how Canadians make spending decisions. For the automotive aftermarket, those decisions can affect everything from maintenance approvals and service intervals to parts demand and inventory planning. 

The key question for aftermarket businesses is not only what is happening in the economy, but how customers are responding and what those changes mean for the sector. 

Customers are making more deliberate decisions 

Vehicle maintenance and repair remain necessary expenses for Canadians who rely on their vehicles. When household budgets are under pressure, however, customers may take a closer look at what work needs to be done, when it needs to happen and what it will cost. 

AIA Canada’s Canadian vehicle owners’ attitudes towards maintenance and repair, 2025 edition, part of the Consumer Behaviour Series, examines how vehicle owners prioritize maintenance and repair, how knowledgeable they feel about their vehicles and what shapes their preferences. 

The research highlights a notable knowledge gap. Only 13% of Canadian vehicle owners describe themselves as very knowledgeable about their vehicles, while 43% say they are not very or not at all knowledgeable. 

That has practical implications for aftermarket businesses. Customers who are managing expenses carefully and are uncertain about their vehicle’s needs may want more information before approving work. Clear explanations of what is required, why it matters and what can reasonably wait can help customers make informed decisions. 

Affordability can affect the entire aftermarket 

Cost remains an important part of the vehicle maintenance conversation. AIA Canada’s Consumer Behaviour Series research shows that while vehicle owners generally recognize the importance of maintenance and repair, affordability can influence when and how they have work completed. With many consumers managing competing household expenses and not necessarily planning ahead for vehicle maintenance costs, financial pressures can contribute to postponed service or different repair decisions. 

This makes affordability more than a consumer issue—it can have implications across the aftermarket, from service providers and parts suppliers to the broader vehicle care ecosystem. 

Value is more than price 

When affordability is a concern, prices naturally becomes an important part of the conversation. But AIA Canada’s research indicates that it is not the only factor customers consider. 

Safety remains the leading reason Canadian vehicle owners prioritize maintenance and repair, followed by reliability and the desire to avoid more expensive repairs in the future. 

This gives aftermarket businesses an opportunity to make the value of their products and services clearer. 

For service providers, that could mean explaining which repairs should be addressed immediately, which can wait and how preventive maintenance may reduce the likelihood of more expensive repairs later. 

For suppliers and distributors, value can include dependable availability, product knowledge, training and tools that help their customers operate effectively and serve vehicle owners. 

The focus does not have to be on offering the lowest price. It can be on giving customers the information they need to understand what they are paying for and why it matters. 

Use changing behaviour to inform business decisions 

Aftermarket businesses already have access to information that can help them understand how customers are responding to economic pressures. 

Changes in declined work, repair frequency, average transactions, product demand and customer questions can all provide useful signals. Businesses can use those trends to assess whether they need to adjust inventory, service offerings, staff training, or customer communications. 

How businesses communicate may also be changing. AIA Canada’s research found that traditional maintenance reminders, such as windshield stickers, continue to have value across age groups, while digital tools are becoming more popular, particularly among younger drivers. 

Maintaining customer relationships is also important when work is postponed. A customer who declines or delays a repair today may return when circumstances change. Providing clear information without unnecessary pressure can help preserve that relationship. 

Economic conditions will continue to shift, and customer behaviour will shift with them. Businesses that understand those changes and use them to inform their decisions will be better equipped to respond.