Rich people buying most Priuses, and some stuff on GM

[Rybold]

I live near the ocean and I work inland. Near the ocean, people have more money, and inland people have much less. About a month ago, I began to make the observation that I see a lot more Priuses near the ocean. At first, I thought only a little about it. Over the past month, I began looking more closely. When I left work today, I drove through several residential neighborhoods near my work (inland) and saw only a few Priuses. When I got back home, I drove through several neighborhoods and I noticed the Priuses are VERY VERY common in the wealthy areas. In the wealthiest areas ($2Mill+ houses), about one in every ten houses had a Prius in the driveway, parked next to the Mercedes.

HAS ANYONE ELSE NOTICED THIS?

Mainly, I think it has to do with the ABILITY to buy a new $26K to $30K+ car. In the less well-off areas, I saw a lot of ten-year-old small cars that already get decent mileage.

SO IF YOU DRIVE A PRIUS, DOES IT MEAN YOU ARE RICH? (generalizing)

So ... this got me thinking. If the wealthy are the ones buying most of the Priuses (and no, I did not just observe a few neighborhoods - I've been seeing them all over, over the past month), then it seems there would be a huge marketing/profit opportunity if Mercedes made something that resembled the Prius, had a Mercedes emblem, a leather Mercedes-designed interior, and all the bells and whistles of a Mercedes, but with a Prius-size and weight, with 46mpg.

If the rich start driving hybrids, then "everyone" will start wanting one. By the time the Volt comes out, the rich will scramble for it and gladly pay the $40K price tag, plus markup. Toyota can sell it's PHEV for $39K msrp.

(this may not be from AP news, but it is news, and since I drove around the neighborhoods and did the "research" on this, it is informed news)

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GM to announce new strategy on June 3rd. AP source: GM plans more restructuring measures: Financial News - Yahoo! Finance

[Rybold]

An observation on driving habits:
We all know the U.S. reported that gasoline consumption declined 4.3% in March. As a result, oil prices fell, and consequently the stock market rose. Two months ago, only less well-off people were driving slow. Now even the wealthy people are driving slow. Why? The poor people can't afford to waste gas, and the wealthy people benefit when the U.S. releases reports on decreased demand, oil falls, and the stock market (and economy) increases.

[SureValla]

(duplicate)

[SureValla]

I was thinking the same thing. I couldn't afford a car more expensive then the prius at the moment.

However, 10 years down the road when I am making more money and my prius dies I will be in the market for another hybrid. Which is why i'm hoping there will be a mercedes, lexus ect hybrid that gets 46 mpg and is more luxurious then my prius to get.

if not ill just get a package 7 or so instead of my current 3

(I cant wait for leather)

[chogan2]

Of all new cars, the Prius is the least expensive family car to own and operate, according to Consumer Reports.

[hobbit]

This would also hint that the wealthy *are* starting to think
about conservation, even if they could afford to fuel a bling-
laden guzzler. That's promising.
.
_H*

[Rockville1]

Even if your observation is true that the "wealthy" are buying more Prii than the non-wealthy, the observation is purely correlational and one can not determine cause-effect reasons why this may be the case. I suspect that it is the more educated that tend to buy the Prius. More educated folks tend to have better incomes, thus a possible reason for the correlation (if true).

In any case, Lexus does currently make three hybrid vehicles. However, the sales of their hybrid vehicles lags far behind the sales of their non-hybrid counterparts.

For the most part, I think the people who have purchased hybrid vehicles did so not to save money on gas, but for a multitude of other reasons, like owning a vehicle that is more ecologically friendly, reducing dependence on foreign oil, state-of-the-art technology, etc. Now that gas prices are so much higher, I think you will see more people, including the less affluent, purchasing hybrids for the sole reason of saving money on gas.

I'm not disagreeing with your observations, I just think that if you are correct, the reasons behind the phenomenon are complex.

[icarus]

Originally Posted by SureValla

I was thinking the same thing. I couldn't afford a car more expensive then the prius at the moment.

However, 10 years down the road when I am making more money and my prius dies I will be in the market for another hybrid. Which is why i'm hoping there will be a mercedes, lexus ect hybrid that gets 46 mpg and is more luxurious then my prius to get.

if not ill just get a package 7 or so instead of my current 3

(I cant wait for leather)

We own a 2007 Prii. We are not rich, but we are comfortable in semi-retirement. We live in a community where people value things (Lifestye, the environment et al) more than the status of a Lexus or Benz.

We bought the Prius because A: We could afford it, and B: It was the right thing to do. The ancillary benefit is that we have saved a bunch of money on gas. It has, through no action on our part, become a status symbol. We didn't really need a new car quite yet, but we decided to keep our 12 year old Subaru for ski trips, and to haul what the Prius didn't fit. Yes we are "rich enough" to afford the two cars. I think the truer point is education. I have spent time all over N. America in the last year and you tend to see Prii in places that you think of as educated. (I'm not going to name either end of the spectrum for fear of the response, but think Latte drinking!)

Icarus

[SDP40F501]

Originally Posted by Rockville1

Even if your observation is true that the "wealthy" are buying more Prii than the non-wealthy, the observation is purely correlational and one can not determine cause-effect reasons why this may be the case. I suspect that it is the more educated that tend to buy the Prius. More educated folks tend to have better incomes, thus a possible reason for the correlation (if true).

In any case, Lexus does currently make three hybrid vehicles. However, the sales of their hybrid vehicles lags far behind the sales of their non-hybrid counterparts.

For the most part, I think the people who have purchased hybrid vehicles did so not to save money on gas, but for a multitude of other reasons, like owning a vehicle that is more ecologically friendly, reducing dependence on foreign oil, state-of-the-art technology, etc. Now that gas prices are so much higher, I think you will see more people, including the less affluent, purchasing hybrids for the sole reason of saving money on gase.

I'm not disagreeing with your observations, I just think that if you are correct, the reasons behind the phenomenon are complex.

You nailed it, Rockville1, these issues are very complex but education is a key. I work at the local "Welfare Office," and lack of educational attainment is a big reason why people wind up on our doorstep. We have one of the worst public school systems in the country here and the effects ripple through society for generations. I see lots of SUVs in the client lot (saw a Hummer H2 in front of the building yesterday). Smart decisions? Well, maybe if you have a bunch of kids, but an H2???

The Prius was, hands down, the most expensive car I have ever purchased, but it just seemed like the right car for today for the reasons you state. Even with that, I have one of only two Prii in my upper-middle neighborhood.

Jim

[SureValla]

Originally Posted by Rockville1

In any case, Lexus does currently make three hybrid vehicles. However, the sales of their hybrid vehicles lags far behind the sales of their non-hybrid counterparts.

thats because lexus "hybrids" get 21-25 mpg