Forget emotion for a moment. If you were to base your next new car purchase purely on logic, what would it be? If you live in America, you most likely would buy either A) a V8-powered pickup or B) a fuel efficient hybrid. Why? Because either you need to move stuff around (pickup) or just yourself (hybrid). Yet for all their fuel-saving frugality, most hybrids don’t pay back the extra cost spent on the technology very quickly.
Except perhaps one. A Canadian study of 16 different hybrids found that just one, the Mercedes Benz S400 Hybrid, cost less to own and run than its gasoline counterpart (that would be the regular S400). How is that so?
Mercedes is clever, that’s how. Their entry-level S400 hybrid comes equipped with a V6 engine rather than a V8 engine, and the mild hybrid system allows the large sedan to get up to 25 mpg on the highway and 21 mpg combined. That’s not great, but not too shabby either, considering the more-expensive S600 has a combined fuel economy average of just 13 mpg. Yikes! The S400 hybrid can save $5,000 over 5 years compared to a gas-powered Mercedes sedan.
Which may leave Prius owners feeling a little butt-sore. Admittedly, many people buy hybrids because they want to make a statement (“I’m saving the world!”) and by using less fuel, they are, in a way, making a difference and sending a message to automakers. That said, if you really want to get the most bang for your motoring buck, a sub-$20,000 compact car usually gets over 30 mpg and will cost a few grand less than the hybrid you are considering. The exception to this might be the Lincoln MKZ Hybrid, which will have the same cost as its gas-powered counterpart. While too-new to include in this test, it will be interesting to see what kind of cost savings come up after a few years of ownership with the MKZ hybrid vs. a standard MKZ.
Source: BreakdownCover via Green Car Reports | Image: Mercedes-Benz
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About Christopher DeMorro
Mercedes is smart. Having the hybrid version cost less than the petrol one will sell a lot more hybrids.
Mercedes is smart. Having the hybrid version cost less than the petrol one will sell a lot more hybrids.
I have a 2001 Prius, still going, still giving me great (47mgp) mileage. When do you figure length of ownership? How does that compute? I know I’m saving a bunch.
I have a 2001 Prius, still going, still giving me great (47mgp) mileage. When do you figure length of ownership? How does that compute? I know I’m saving a bunch.
My 1995 Honda Accord Station Wagon gets 24 – so how smart does that make Benz?
My 1995 Honda Accord Station Wagon gets 24 – so how smart does that make Benz?
It seems to me a silly argument that an 21 mpg Mercedes is the “only cost effective hybrid” while a much cheaper Prius that gets more than double the mileage isn’t.
It seems to me a silly argument that an 21 mpg Mercedes is the “only cost effective hybrid” while a much cheaper Prius that gets more than double the mileage isn’t.
Seriously? Have Canadians taken up marker sniffing en mass? An $88,335 “hybrid” that gets 21mpg [21 is 'not too shabby'? WTF! Hay Caramba!] combined is most cost effective? I’ll stick with the $19,500 2004 Civic Hybrid that gets 45mpg combined. I can average 57+ on the highway. The 2010 Civic is pimped put with Leather and Navigation at $27,000 and more than double the mileage. I fart in Mercedes’ general direction.
Seriously? Have Canadians taken up marker sniffing en mass? An $88,335 “hybrid” that gets 21mpg [21 is 'not too shabby'? WTF! Hay Caramba!] combined is most cost effective? I’ll stick with the $19,500 2004 Civic Hybrid that gets 45mpg combined. I can average 57+ on the highway. The 2010 Civic is pimped put with Leather and Navigation at $27,000 and more than double the mileage. I fart in Mercedes’ general direction.
@Mary Matzek – You’d also be saving the same bunch if you’d have bought a Corolla or a Civic, and you’d have paid much less for the privilege.
@Gunter Pfaff – You’re not driving a Mercedes, that’s how. You’re comparing apples to truffles. Honda is a perfectly fine car (and probably what I’d buy if given a choice between only the two), but it’s not a Mercedes.
@Chris Greacen – read the article again. The Prius compared with a comparable Toyota non-hybrid (Corolla) will never pay for its premium in gas savings.
The Mercedes will
@Mary Matzek – You’d also be saving the same bunch if you’d have bought a Corolla or a Civic, and you’d have paid much less for the privilege.
@Gunter Pfaff – You’re not driving a Mercedes, that’s how. You’re comparing apples to truffles. Honda is a perfectly fine car (and probably what I’d buy if given a choice between only the two), but it’s not a Mercedes.
@Chris Greacen – read the article again. The Prius compared with a comparable Toyota non-hybrid (Corolla) will never pay for its premium in gas savings.
The Mercedes will
I wonder what the mileage of a S400 diesel is? Probably better than both, at least on the highway..
I wonder what the mileage of a S400 diesel is? Probably better than both, at least on the highway..
Chris – I believe the argument they are trying to make is that the S400 hybrid costs less over 5 years (initial cost plus operation and maintenance) than its make/model counterpart – the S400. For example, if you were to compare the Honda Accord hybrid versus the standard model, you would find that the overall costs of the hybrid were slightly higher after 5 years because the initial cost of the hybrid is considerably higher. Of course, the hybrid Accord would still be much cheaper than the comparable Mercedes!
Chris – I believe the argument they are trying to make is that the S400 hybrid costs less over 5 years (initial cost plus operation and maintenance) than its make/model counterpart – the S400. For example, if you were to compare the Honda Accord hybrid versus the standard model, you would find that the overall costs of the hybrid were slightly higher after 5 years because the initial cost of the hybrid is considerably higher. Of course, the hybrid Accord would still be much cheaper than the comparable Mercedes!
“A Canadian study of 16 different hybrids found that just one, the Mercedes Benz S400 Hybrid, cost less to own and run than its gasoline counterpart (that would be the regular S400).”
The key part here is that the car is compared to its gasoline counterpart.
“A Canadian study of 16 different hybrids found that just one, the Mercedes Benz S400 Hybrid, cost less to own and run than its gasoline counterpart (that would be the regular S400).”
The key part here is that the car is compared to its gasoline counterpart.
I have an MB E320 CDI and would argue that this diesel is MUCH more cost effective than any hybrid. First, I get about 40 mpg. Second, the diesel engine is rated at 500K miles. The longer a car lasts, the more eco-friendly it is. Third, there are no heavy metals to deal with when the car is done.
Add the fact that I can cruise at 90 mph very comfortably and the MB CDI series is the best eco car on the market.
I have an MB E320 CDI and would argue that this diesel is MUCH more cost effective than any hybrid. First, I get about 40 mpg. Second, the diesel engine is rated at 500K miles. The longer a car lasts, the more eco-friendly it is. Third, there are no heavy metals to deal with when the car is done.
Add the fact that I can cruise at 90 mph very comfortably and the MB CDI series is the best eco car on the market.
The Canadian study compared standard models to their hybrid counterparts. It didn’t compare them across brands. So the first sentence of the last paragraph unnecessarily confuses the argument.
Why would a Prius owner be “butt-sore” that the Mercedes S400 hybrid is more cost effective than the standard S400?
The Canadian study compared standard models to their hybrid counterparts. It didn’t compare them across brands. So the first sentence of the last paragraph unnecessarily confuses the argument.
Why would a Prius owner be “butt-sore” that the Mercedes S400 hybrid is more cost effective than the standard S400?
My 1986 Ford tempo diesel gets 47 mpg, so how smart does that make Gunter Pfaff?
Seriously, neither Gunter nor Chris Graecen understand the premise of the article.
Mary, I once read that the actual breakeven point for a Prius versus a similarly equipped vehicle using an IC engine was about 12 years. That is heavily dependent however on the price of gasoline.
An original Hummer, when viewed at a macro level, is actually a more environmentally-friendly vehicle than a Prius.
My 1986 Ford tempo diesel gets 47 mpg, so how smart does that make Gunter Pfaff?
Seriously, neither Gunter nor Chris Graecen understand the premise of the article.
Mary, I once read that the actual breakeven point for a Prius versus a similarly equipped vehicle using an IC engine was about 12 years. That is heavily dependent however on the price of gasoline.
An original Hummer, when viewed at a macro level, is actually a more environmentally-friendly vehicle than a Prius.
So, let me see… my 1986 Chevy Sprint, i drove for over 200,000 miles. I kept track of each tank and the miles… average mpg over its ownership? 42mpg. Cost of the car at the time? $6600. Best tank? Trip to Philly from Louisiana, 54 mpg.
No hybrid needed.
Kind of like the upcoming Fiat 500 (highway mileage, 42+ mpg) for less than $17k. Or the upcoming Ford Fiesta (highway mileage, mid-to-upper-40s mpg). Or… the list goes on. Volkswagen Golf TDI, pushes 50mpg on the highway for right around $20k.
Hybrid not needed. Hybrid add-on to the price, not needed. You want a hybrid, accept that you’re buying it not so much for the mileage (which you can get elsewhere cheaper) but for the message (look at me, I’m saving the world).
So, let me see… my 1986 Chevy Sprint, i drove for over 200,000 miles. I kept track of each tank and the miles… average mpg over its ownership? 42mpg. Cost of the car at the time? $6600. Best tank? Trip to Philly from Louisiana, 54 mpg.
No hybrid needed.
Kind of like the upcoming Fiat 500 (highway mileage, 42+ mpg) for less than $17k. Or the upcoming Ford Fiesta (highway mileage, mid-to-upper-40s mpg). Or… the list goes on. Volkswagen Golf TDI, pushes 50mpg on the highway for right around $20k.
Hybrid not needed. Hybrid add-on to the price, not needed. You want a hybrid, accept that you’re buying it not so much for the mileage (which you can get elsewhere cheaper) but for the message (look at me, I’m saving the world).
I’ve already posted this on a couple other boards, but it bears repeating –
These manufacturers could easily show ROI incentives on Hybrid/EV vehicles if they only stopped adding on the ridiculous extras to jack up the price. A car does not need leather seats and iPod holders and other such crap in order to function.
Offer a bare-bones version of the vehicle at it’s actual price and then ala carte the “cute” stuff at their respective prices for whomever wants them.
Hell, this could be a whole new angle on the industry – Boutique Hybrid/EV vehicles.
I’ve already posted this on a couple other boards, but it bears repeating –
These manufacturers could easily show ROI incentives on Hybrid/EV vehicles if they only stopped adding on the ridiculous extras to jack up the price. A car does not need leather seats and iPod holders and other such crap in order to function.
Offer a bare-bones version of the vehicle at it’s actual price and then ala carte the “cute” stuff at their respective prices for whomever wants them.
Hell, this could be a whole new angle on the industry – Boutique Hybrid/EV vehicles.
I agree with the a la carte. I was looking at a VW Golf diesel and with all the standard equipment the base was $23k. Give me a/c, radio, and adaptive cruise so I can effortlessly draft behind big rigs. In such a small car I can lean over and roll down the window myself. But no, it has to have all the bells and whistles. Between all that extra weight and higher hp, the new TDI gets 5% less mpg than an ’02 model, which got 5% less mpg than my first car, a ’76 Rabbit diesel.
I agree with the a la carte. I was looking at a VW Golf diesel and with all the standard equipment the base was $23k. Give me a/c, radio, and adaptive cruise so I can effortlessly draft behind big rigs. In such a small car I can lean over and roll down the window myself. But no, it has to have all the bells and whistles. Between all that extra weight and higher hp, the new TDI gets 5% less mpg than an ’02 model, which got 5% less mpg than my first car, a ’76 Rabbit diesel.
There are plenty of standard vehicles that will outperform a 21mpg Mercedes in terms of fuel economy.
Frankly, I don’t even think its fair to compare a V6 Mercedes hybrid to a similar V8 Mercedes. They’re effectively different cars, and with every other car model I know of, similar V6 and V8 models carry significantly different price points. Of course the smaller engined car will yield better efficiency. . .you don’t even need a hybrid at all to get there.
In this article, cost-effectiveness, is apparently defined as total car expense in relation to a similar non-hybrid model car.
That seems like a valid point to explore, but key parts of this Candadian study were not described in this article.
Is the article based on car ownership in Canada or in the USA? I don’t know. . .the article wasn’t even cited here. Cars generally cost more in Canada and so does fuel, and both of these things would affect applicability of any study of Canadian car ownership to American.
As another example not discussed, fuel cost varies both based on market rates and also fairly widely based on geographic location within the USA.
EG, its going to take longer to break even with increased fuel efficiency buying $2.55/gal South Carolina or New Jersey gas than with $3.15/gal California gas or $3.50/gal Hawaii gas.
In terms of pure cost efficiency, a hybrid would make a lot more sense for a heavy CA driver than a light SC one.
As another consideration, in general, hybrid engine systems don’t deliver quite as much benefit in really cold weather. Again, geography matters.
There are plenty of standard vehicles that will outperform a 21mpg Mercedes in terms of fuel economy.
Frankly, I don’t even think its fair to compare a V6 Mercedes hybrid to a similar V8 Mercedes. They’re effectively different cars, and with every other car model I know of, similar V6 and V8 models carry significantly different price points. Of course the smaller engined car will yield better efficiency. . .you don’t even need a hybrid at all to get there.
In this article, cost-effectiveness, is apparently defined as total car expense in relation to a similar non-hybrid model car.
That seems like a valid point to explore, but key parts of this Candadian study were not described in this article.
Is the article based on car ownership in Canada or in the USA? I don’t know. . .the article wasn’t even cited here. Cars generally cost more in Canada and so does fuel, and both of these things would affect applicability of any study of Canadian car ownership to American.
As another example not discussed, fuel cost varies both based on market rates and also fairly widely based on geographic location within the USA.
EG, its going to take longer to break even with increased fuel efficiency buying $2.55/gal South Carolina or New Jersey gas than with $3.15/gal California gas or $3.50/gal Hawaii gas.
In terms of pure cost efficiency, a hybrid would make a lot more sense for a heavy CA driver than a light SC one.
As another consideration, in general, hybrid engine systems don’t deliver quite as much benefit in really cold weather. Again, geography matters.
“Admittedly, many people buy hybrids because they want to make a statement…”
…which is why the Volt will be a bust. Not for any economic reason–but for the reason that the Volt looks exactly like a Chevy Cruze. The kind of person who’s willing to drop $50K on a car is _not_ interested in having a purchase that looks just like some teenager’s $13K pizza-delivery wagon!
“Admittedly, many people buy hybrids because they want to make a statement…”
…which is why the Volt will be a bust. Not for any economic reason–but for the reason that the Volt looks exactly like a Chevy Cruze. The kind of person who’s willing to drop $50K on a car is _not_ interested in having a purchase that looks just like some teenager’s $13K pizza-delivery wagon!
If you just want to “make a statement” then you can simply stick a “hybrid” badge onto your non-hybrid car.
If you just want to “make a statement” then you can simply stick a “hybrid” badge onto your non-hybrid car.
There’s a third group of Americans who use logic to purchase a vehicle: families.
You can get away with a sedan with 2 kids, but it’s tight, especially on road trips and once they get friends and stuff. Try it with 3+ kids and neither a pick-up, nor a sedan will work.
Families with 3+ kids make car purchases based upon logic more than any other consumer demographic. As a demographic they’re usually trying to get the most out of their money (overall, they have less money to spend on luxuries then others).
An affordable minivan hybrid would sell like hotcakes. Or a REAL station wagon. SUVs that are marginally larger than a sedan with horrible gas mileage don’t cut it.
There’s a third group of Americans who use logic to purchase a vehicle: families.
You can get away with a sedan with 2 kids, but it’s tight, especially on road trips and once they get friends and stuff. Try it with 3+ kids and neither a pick-up, nor a sedan will work.
Families with 3+ kids make car purchases based upon logic more than any other consumer demographic. As a demographic they’re usually trying to get the most out of their money (overall, they have less money to spend on luxuries then others).
An affordable minivan hybrid would sell like hotcakes. Or a REAL station wagon. SUVs that are marginally larger than a sedan with horrible gas mileage don’t cut it.
I own a Ford Fusion Hybrid. Simply the best car I’ve ever owned.
Is it cost effective? No. But it averages (city and highway) 38.2 MPG which is pretty good for a four-door sedan. That really won’t save me the extra cost of the car over it’s life. But it’s quiet, comfortable and easy to drive.
The pleasure is having a tank full of gas and 650 miles of range.
I look at the fuel gauge – it’s 1/4 full and I’ve still got 150 miles or so.
I’m no tree hugger – but I really enjoy the technology and the car.
I own a Ford Fusion Hybrid. Simply the best car I’ve ever owned.
Is it cost effective? No. But it averages (city and highway) 38.2 MPG which is pretty good for a four-door sedan. That really won’t save me the extra cost of the car over it’s life. But it’s quiet, comfortable and easy to drive.
The pleasure is having a tank full of gas and 650 miles of range.
I look at the fuel gauge – it’s 1/4 full and I’ve still got 150 miles or so.
I’m no tree hugger – but I really enjoy the technology and the car.
How is it that the Mercedes V6 Hybrid just gets 24mpg when the V6 2011 Mustang has 305hp and gets 31mpg? Even the 5.4 liter V8 gets 26 mpg. All I can say is if you have any extra money, buy some Ford stock.
How is it that the Mercedes V6 Hybrid just gets 24mpg when the V6 2011 Mustang has 305hp and gets 31mpg? Even the 5.4 liter V8 gets 26 mpg. All I can say is if you have any extra money, buy some Ford stock.
brian, it is you who are mistaken.
1) Civics and Corollas are smaller than the Prius — not the same size class — speaking of apples and truffles…
2) Whether or not a Prius (or any other hybrid) makes sense depends upon YOUR OWN situation, not some one size fits all calculation in a magazine article. Lots of driving including a healthy dose of stop-and-go, that favors a hybrid. Lots of steady driving (or not much driving at all) favors the conventional.
brian, it is you who are mistaken.
1) Civics and Corollas are smaller than the Prius — not the same size class — speaking of apples and truffles…
2) Whether or not a Prius (or any other hybrid) makes sense depends upon YOUR OWN situation, not some one size fits all calculation in a magazine article. Lots of driving including a healthy dose of stop-and-go, that favors a hybrid. Lots of steady driving (or not much driving at all) favors the conventional.
Convert them all to plug in hybrids and get twice the mileage.
Convert them all to plug in hybrids and get twice the mileage.