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Why Hybrids Are Such a Hard Sell

Discussion in 'Prius, Hybrid, EV and Alt-Fuel News' started by nerfer, Mar 8, 2007.

  1. nerfer

    nerfer A young senior member

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    Okay, you knew it had to happen. Somebody would look at the stellar numbers of hybrid sales and figure out a negative spin to it. Happened today at BusinessWeek:

    More at http://www.businessweek.com/autos/content/...0308_093177.htm

    I entered in a comment, let's see if they publish it (no comments were listed at this time).
     
  2. gh4chiefs

    gh4chiefs New Member

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    Just last night, my uncle was telling me all this crap about how Toyota admits they made a mistake with the hybrid, blah, blah, blah. I told him sales were up 87% in Feb. Oh course he said it was due to the price cuts. :rolleyes:

    When gas prices head up to $3 and maybe $4 this summer, they'll sell just fine. People have short memories, they think because gas got down to $2 (here in the mid-MO area) that the gas prices won't go back up.
     
  3. Chuck.

    Chuck. Former Honda Enzyte Driver

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    Ask Chrysler about what happened when they ramped up Ram/Durango production the past year.
     
  4. hill

    hill High Fiber Member

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    Newsprint: Snort! Snort! What do you expect from a 'news' source that gets a major hunk of thier advertising dollars from GM, Ford, etc. ?? I hear ads for mongo gas guzzlin' SUV's that continue to talk about their "hot" SUV's. Hot? That's responsible. Sales of guzzler SUV's are way down in the toilet, yet they have the nerve to call them 'hot'. gee, I sure wana run out and by one because they told me it's 'hot'. (shaking head).
     
  5. TonyPSchaefer

    TonyPSchaefer Your Friendly Moderator
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    <div class='quotetop'>QUOTE(gh4chiefs @ Mar 8 2007, 11:29 AM) [snapback]402256[/snapback]</div>
    It's for that very reason that I burn these articles to PDF so I can whip them out at a moments notice a few weeks, months, or years later.
     
  6. John in LB

    John in LB Life is good

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    Instead of dissing every article which is negative about Prius, why don't we consider that to some degree there is some truth to the article.

    In its own right, we already know that the car financially barely breaks even - under the best of circumstances.

    The fact is: The Prius was selling last summer at full price for the following reasons:

    - Limited production (as compared to now - when Toyota has ramped up)
    - A $3,150 tax credit (has dropped to $1,575 and dropping again soon)
    - HOV Lane Stickers (now gone.)

    All of these factors have changed - thereby making the car that much less appealing to the average consumer.

    Does it mean its a bad car? or that we made a bad decision buying it? Not at all - the car is reliable and fun to drive. Its just not for everyone and we all can't have religion about cars.

    B)
     
  7. hycamguy07

    hycamguy07 New Member

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    <div class='quotetop'>QUOTE(TonyPSchaefer @ Mar 8 2007, 12:53 PM) [snapback]402273[/snapback]</div>
    Remember When?? Gas was 99 cents a gal...

    only 22yrs ago...... B)
     
  8. Proco

    Proco Senior Member

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    <div class='quotetop'>QUOTE(TonyPSchaefer @ Mar 8 2007, 12:53 PM) [snapback]402273[/snapback]</div>
    I hope that's all you whip out, Tony! :blink: :p
     
  9. nerfer

    nerfer A young senior member

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    <div class='quotetop'>QUOTE(John in LB @ Mar 8 2007, 12:03 PM) [snapback]402283[/snapback]</div>
    You are correct, we shouldn't blindly discredit any negativity about the Prius or hybrids in general without digging in and seeing if there is something to it, and being able to accept criticism.

    In this case however, the author tries to make it look like hybrids are still a niche car that are losing acceptance and sales (went from 2.1% of market to 1.8%, of the two months he chose), when in fact, year-over-year sales are still on the rise (just not as much of a rise as before - when you sell 50,000 cars it's relatively easy to double sales, but not when you sell 200,000 cars). When there are more Prii being sold every month than total Volvo sales (now they're passing all Subaru sales), it's getting hard to maintain that it's still a 'niche' category.

    People always give the fuel efficiency as a major reason for buying the Prius, that it's saving the owners money in the long run, but this seems like a false argument to me from the very beginning. First, people don't buy new cars to save money - you'd buy a nice 3-year-old car at 60% the price of a new one, and still drive it trouble-free for several years. Second, how does that explain the popularity of features like automatic transmission, leather seats, navigation system, power windows? There's a lot of things people want in their cars that cost them money, not save them money. The short answer is, people feel comfortable spending X dollars on a car, and they look at cars in that price range with the features they want. They aren't expecting to get anything back on the X, except for some resale value off in the future. The tax incentive helped Prius sales because it brought the initial price down. Gas prices are something people know will go up and down (mostly up) in the future, I find it hard to believe many people would pass up a Prius because gas prices were dropping from $3/gal to $2.40/gal. People were backordering Prii when gas was at $2/gal (2004). For myself, it was in my acceptable purchase price range, I know oil is a finite resource so I want to preserve what we can for its best use, and I want to reduce CO2 emissions. Saving money at the pump is a side-benefit. I don't live in CA, so HOV stickers are meaningless to me, except for diverting some supply of the Prius to CA.


    <div class='quotetop'>QUOTE(priusguy04 @ Mar 8 2007, 12:04 PM) [snapback]402286[/snapback]</div>
    It was also that price in the late 90's (at least in Indiana). There was a long period of relative stability, then it started rising. In 2004 going over $2/gal was a big deal, now we're relatively blase' about $3/gal. Cheap gas is only a memory, despite some prognostication otherwise.

    P.S. - PG04, you might want to shorten your bumper stickers, you had a 2-sentence post that took up 20 lines of space. I would appreciate it if you at least use the fonts smaller than your on-topic message.
     
  10. qbee42

    qbee42 My other car is a boat

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    <div class='quotetop'>QUOTE(priusguy04 @ Mar 8 2007, 01:04 PM) [snapback]402286[/snapback]</div>
    I remember 17 cents a gallon, full service, plus they gave you a glass with a fill-up.

    Tom
     
  11. burritos

    burritos Senior Member

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    "David Welch is BusinessWeek's Detroit bureau chief."

    Any chance this author is a Detroit shill?
     
  12. Robert Fisher

    Robert Fisher New Member

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    <div class='quotetop'>QUOTE(nerfer @ Mar 8 2007, 08:52 AM) [snapback]402240[/snapback]</div>
     
  13. MegansPrius

    MegansPrius GoogleMeister, AKA bongokitty

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    <div class='quotetop'>QUOTE(burritos @ Mar 8 2007, 03:41 PM) [snapback]402364[/snapback]</div>
    Maybe not from some of his writing (below) -- although this was a quick skim, and he certainly had penned tons of gm articles, though that could come just with being Detroit bureau chief. Hmm. Let me see if I can add any more qualifiers to my evident non-opinion. Most likely he just didn't research this one thoroughly. Although, I have to say, if I hadn't bought my Prius yet, all these articles decrying the abundance of Prii on lots sure would be sending me shopping...an inadvertant upside, perhaps, to this misinformation.

    http://www.businessweek.com/autos/autobeat...ing_the_ta.html
    February 08, 2007
    Reviving the Taurus is bull
    Ford is taking a name that they killed with a decade of bad design and terrible sales and marketing strategies and putting it on a car that has gone unloved since its launch. Sounds like Ford will flush millions in marketing and ad dollars down the tube with this one.

    True, the Taurus was once the best-selling car in America in the late ‘80s and early ‘90s. Then Honda beat it with the Accord and Toyota eclipsed both with the Camry. The 1996 Taurus—the football-shaped disaster that came about when former company Chairman Alex Trotman challenged his designers to scare him...


    http://www.businessweek.com/magazine/conte...htm?chan=search
    Ask consumers why Toyota may soon be the largest automaker in the world, and they will point to the Camry. Or the Prius. Or the rav4. (It's the cars, stupid.)
     
  14. daveleeprius

    daveleeprius Heh heh heh you think so?

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    <div class='quotetop'>QUOTE(priusguy04 @ Mar 8 2007, 01:04 PM) [snapback]402286[/snapback]</div>
    Really? According to my car notebook, back in January, 2002 I got gas for 99 cents a gallon. Here in Washington State.

    Dave
     
  15. Robert Fisher

    Robert Fisher New Member

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    <div class='quotetop'>QUOTE(nerfer @ Mar 8 2007, 08:52 AM) [snapback]402240[/snapback]</div>




    The March 12, 2007 issue of Newsweek cast a totally new and different slant on the "Auto" makers and their problems and apparently Prius is the biggest problem. The spin/slant of the Business week staff writer, made me question what planet he was on, to concoct his story. We are living in a world of spin and I foresee it becoming worse. If you have a Prius and find happiness with it, cast the spin aside and enjoy your car!
     
  16. SomervillePrius

    SomervillePrius New Member

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    I was at under $1 in the late 1990's (maybe 2000). This was when I believed in my stock options I owned in the start-up I worked for :) I must confess that I wasn't looking at prius type cars then :). I wish I did as I might be owning a RAV IV EV instead of a gas gussling prius. Oh well next time EVs come around I won't miss them! ... by the way GM I won't lease!...
     
  17. aaf709

    aaf709 Ravenpaw of ThunderClan

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    <div class='quotetop'>QUOTE(qbee42 @ Mar 8 2007, 11:18 AM) [snapback]402352[/snapback]</div>
    I remember a cartoon from the 70s of a gas station with a sign which read

    FREE

    With $10 purchase

    An 8 oz glass to put it in
     
  18. nwpa

    nwpa New Member

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    <div class='quotetop'>QUOTE(priusguy04 @ Mar 8 2007, 01:04 PM) [snapback]402286[/snapback]</div>
    Ha! I am old enough to remember gas at 25 cents a gallon,
     
  19. malibucarl

    malibucarl Member

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    John in LB seems "right on" to me. I love the Prius however everybody has their own opinion.
    Just filled up @ $3.09/gal. More people will probably want a Prius as gas price rises.
    Carl
     
  20. micheal

    micheal I feel pretty, oh so pretty.

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    <div class='quotetop'>QUOTE(nerfer @ Mar 8 2007, 03:45 PM) [snapback]402317[/snapback]</div>
    Very good points. Articles like this always leave out tidbits that put it in perspective. Toyota planning on selling 160K Pri is a lot of vehicles! Sure is it no Camry at around 450K per year, but there are lot of vehicles that don't sell near that many cars.