Best Auto Incentive: Fuel Economy

[Rancid13]

Best Auto Incentive: Fuel Economy

Consumer Reports survey finds that product attributes are more influential than advertised incentives.

The summer sales push is well under way, with auto manufacturers promoting new-car sales incentives like multimedia midway barkers in an attempt to clear dealer lots before the 2007 models arrive. However, a study by the Consumer Reports National Research Center found that the most effective incentives are a vehicle's fuel economy and reliability—not a flashy financing gimmick. Further, most in-market consumers do not fully understand how incentives work.

Last summer, automakers' employee pricing campaigns created a gold rush that drove significant sales volume, but the market is much different this year. Rising fuel costs have led to bloated inventories of large pickup trucks and SUVs, while small, thrifty vehicles have been in high demand.

To understand the role incentives play today, the Consumer Reports National Research Center conducted a random nationwide telephone survey from Aug. 3 to Aug. 7 of adults 18 and older who are considering a new vehicle purchase during the next 24 months.

Full article as seen on MSN Autos

Just noticed this snippet:

"Interest in hybrids is also strong at 44 percent, with men leading at 47 percent vs. women at 41 percent. Those high numbers signal a true acceptance of alternative powertrain technologies, although interest is well ahead of vehicle availability. The fuel-economy drive is so great that 87 percent of respondents would consider a hybrid vehicle even if there were no government tax incentives.

These hybrid-intenders may not be aware that Consumer Reports research last April found that, even with federal tax credits, the fuel savings from current hybrids did not offset their additional cost versus similar gasoline-fueled vehicles in most cases over the first five years and 75,000 miles of ownership. Look for an updated Consumer Reports analysis, which factors in today's higher gasoline prices and the latest sales incentives. "

Would that be the research that was reported on the front page of that issue of CR, then a teensy tiny correction was made in the following that was found hidden somewhere in the editor's comments?? Here they are, quoting their own misinformation AGAIN even after it was found that it was not necessarily true (AND they admitted it!!).

[Ari]

*sigh*

There is truly a never ending stream of misinformation about hybrids out there! However, I'm sure that within a few years things will turn the other way and it'll be front page news when a manufacturer releases a car without a hybrid powertrain

[tideland_raj]

<div class='quotetop'>QUOTE(Rancid13 @ Sep 21 2006, 12:41 PM) [snapback]322869[/snapback]</div>

Best Auto Incentive: Fuel Economy

Consumer Reports survey finds that product attributes are more influential than advertised incentives.
[/b]

Nice! Looks like the Apple/BMW/Prius model is being accepted by the public for car purchases.

Incentives are just like those "sale items" in the front of grocery stores that are just overstocked inventory (ie, things that other people didn't want to buy)... what really sucks about cars is sooo many people don't take into account the maintenance and run costs of the car. Now it looks like people are listening!

[brandon]

<div class='quotetop'>QUOTE(Rancid13 @ Sep 21 2006, 11:41 AM) [snapback]322869[/snapback]</div>

These hybrid-intenders may not be aware that Consumer Reports research last April found that, even with federal tax credits, the fuel savings from current hybrids did not offset their additional cost versus similar gasoline-fueled vehicles in most cases over the first five years and 75,000 miles of ownership.
[/b]

Prius, Civic hybrid owners save money, Consumer Reports now says

[obtuseangler]

When I was crunching the numbers prior to buying my Prius I determined that the purchase made economic sense. What could not be factored in, however, is the peace of mind that comes with not having to worry about another spike in gas prices. How long will the waiting list for a Prius be if gas hits $5/gallon?

[uclabruins]

I know I'm saving money compared to my previous (and still own) 1994 BMW 325is. Not only am I getting 50 MPG (compared to 25 MPG for the BMW), but I can use 87 grade gasoline which saves about 20 cents a gallon (compared to 91 grade for the BMW).