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What are the preferred car brands in Australia?

Vidhu Bajaj avatar
Vidhu Bajaj
- 8 min read
What are the preferred car brands in Australia?

International car manufacturers now dominate the Australian car market after the closure of our manufacturing facilities. This means Australian consumers are buying vehicles these manufacturers import from overseas to sell in the country. While declaring a definitive 'best' car brand among these renowned players is challenging, some brands have earned a prominent position in the hearts of car enthusiasts across the country.

Drawing upon the YouGov Auto Rankings 2023, here’s a round-up of Australia’s most preferred car brands in 2023:

Toyota

According to the YouGov data, Toyota claims the top spot as the most popular brand in Australia for the fifth time in a row. But it’s not just Aussies that love that Toyota feeling because they also ranked number one in the Global Rankings for the most preferred car brand. 

Mazda

Coming in at a strong second position is Mazda, this popular car brand has been in the country since 1959 and has only grown in popularity. The brand's success may be attributed to its appealing product offerings, encompassing size, aesthetics, and performance. 

Alastair Doak, the Marketing Director of Mazda Australia, tells CarsGuide that the brand's products have consistently captivated Australians. He says, “I think Mazda product has always been more engaging at all of those levels [size, look or performance] than some of the competitors.”

Hyundai

Hyundai climbed three places to become Australia's third most preferred car brand. Renowned for manufacturing reliable and practical cars, Hyundai's dedication to constant improvement is evident as it also ranked in the second spot in the list of top Improvers.

When it comes to the rest of the list, Japanese manufacturer Honda took out the fourth spot, followed by BMW in fifth. Fellow German luxury car maker Mercedes-Benz took out the sixth position, which was a drop from their previous position, but still maintained a strong presence in the Australian market. To fill out the rest of the top ten most preferred car brands in Australia, Subaru, Audi, Nissan, and Ford clinched the seventh, eighth, ninth, and tenth positions, respectively.

Which car brand is right for you?

Choosing the right car brand is crucial when buying a new vehicle. With so many brands offering cars in different styles, sizes and ranges, it can take time to determine which one suits your specific needs. Whether you're looking for a family car, a spacious station wagon, or a rugged SUV to fuel your adventurous spirit, here are some factors to consider when making your choice:

Reliability and reputation

When choosing the right car brand, reliability and reputation are critical factors that can impact your driving and ownership experience. When you purchase a car from a reliable car brand, you can expect it to perform consistently over an extended period without needing constant repairs.

To determine the reliability of a car brand, you can start by checking expert reviews and ratings on various automotive sites, such as Drive and CarsGuide. You might also want to read customer reviews and ratings on different platforms, including social media, to get first-hand information about the reliability of a brand from real customers. Moreover, a quick online search can lead you to some reliability surveys, like the one conducted by J.D. Power. These surveys evaluate the performance and dependability of various car brands and models based on data collected from real customers. 

Positive reviews from customers and high ratings from experts are indicators of a brand's commitment to producing dependable and long-lasting cars. It also helps to find out about the after-sales support and services each brand offers to help assess their focus on customer satisfaction and reliability. 

Safety features

When it comes to buying a car, the safety of the driver and passengers is a non-negotiable aspect. Selecting a reliable car brand also means zeroing down on a manufacturer and prioritising the latest proven safety features and technology.

Modern vehicles come equipped with a range of advanced safety technology designed to prevent accidents and protect the occupants in case of a collision. Do your research to learn about the various safety features offered in cars and which manufacturers offer them. 

You can also check the Australasian New Car Assessment Program or ANCAP Safety ratings for various cars offered by different brands in Australia. ANCAP is a car safety assessment programme that crash-tests cars and then rates them based on safety and reliability. You can select the 'Search by brand' filter on the ANCAP Safety website to get a list of the various car brands and review the safety information about their vehicles.

Cost of ownership

The cost of owning a car is a crucial factor to consider when choosing a car brand. It goes beyond the initial purchase price and takes into account various expenses associated with owning and maintaining a car over time. For example, some luxury car brands may have higher maintenance costs due to specialised parts and servicing requirements. On the other hand, some car brands are known for building moderately priced vehicles that are relatively more durable and may cost less to maintain over the years. You also have to consider ongoing costs like insurance, and the make and model of a car may affect the insurance premium you pay. 

Another ongoing cost is fuel, which means you may want to consider the fuel efficiency of the cars offered by different brands. A car with better fuel efficiency will save you money on fuel over time, reducing the overall cost of ownership. If you're worried about fuel costs or are looking for a way to reduce your carbon footprint, you could check car brands offering electric or hybrid vehicles that are eco-friendly and offer potential long-term cost savings on fuel.

Purchase price 

Of course, an important part of any car-buying decision is the upfront cost of purchasing the car. How much you have to pay upfront can significantly influence your decision when choosing a car make and model. 

If you have a limited budget, you may be more inclined to explore affordable options from mainstream brands, like Mazda or Toyota, that offer reliable and practical vehicles. On the other hand, luxury car brands like Mercedes-Benz, BMW, and Audi might appeal to those seeking prestige and top-notch driving experiences, but at a significantly higher purchase price. 

If you're looking for a new set of wheels, you should have a practical budget in mind before starting the hunt for your perfect car. Buying a vehicle is a sizeable expense for an average household, so it's essential to strike a balance between what you can afford and your fantasy. 

Financing your car

As we’ve discussed, the cost is a big factor when buying a car, and when paying for the upfront costs, you have two main options: paying for it with cash or obtaining a car loan. Purchasing with cash makes budgeting simpler as you can save up and then know what you can spend. With a loan, you need to be sure not to get carried away with how much the lender is willing to offer you versus how much you can afford to pay off, taking into account interest and other costs. 

Borrowing beyond your means can lead to financial difficulties down the road. One way to help avoid this is by understanding your borrowing capacity. This can give you a fair idea of how much you can spend on a car, making it easier to choose a model from a brand that aligns with your budget. 

Along with knowing your budget, it's best to compare different car loan options and find the one that suits your situation. The type of loan you choose can significantly impact your overall costs. For instance, secured loans, which use the vehicle as collateral, often offer lower interest rates than unsecured loans. If you're considering an electric or hybrid vehicle, you might be eligible for a green loan. Green loans often come with lower interest rates or other benefits to incentivise or support borrowers making an environmentally friendly choice.

Remember, comparing your options and being realistic about your financial situation could help you select a car that fits your financial means and meets your personal needs and lifestyle. By making informed decisions and planning carefully, you can drive away with the perfect car without compromising your financial well-being.

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Product database updated 14 May, 2024

This article was reviewed by Personal Finance Editor Mark Bristow before it was published as part of RateCity's Fact Check process.