When anybody says “hybrid”, the first car that comes to mind is the Toyota Prius. For Toyota, this is a good thing, as they have become synonymous with “green” vehicles. The Prius has dominated the hybrid car market for over a decade, and you cannot go anywhere without seeing at least a few of them in a parking lot.
Still, overall sales of hybrids have slowed as gas prices remain low. Consumers are instead, once again, turning towards pickups and SUV’s and shunning hybrids. In light of lower sales, Toyota has lowered its targeted hybrid production for 2011 from 1 million units to around 740,000.
That would be a 26% production target reduction, which is rather significant. Could it be because Toyota realizes it is losing its stranglehold on the hybrid market? Look at the competition; there are now a lot more hybrids to choose from than even just three years ago. The Ford Fusion and Escape hybrid (plus the Lincoln MKZ hybrid), Honda has its Civic hybrid and the CR-Z is coming to market soon, and the Volt goes on sale this fall. Then there is the Nissan LEAF, due out at the end of this year too. Although it’s an all-electric vehicle, it has clearly been snagging some would-be Prius owners, and current Prius owners that will move on from their hybrids instead of buying another hybrid.
It isn’t just competition though. Surely the stunted world economy is affecting production targets, but customers tastes are changing too. Consumers are gravitating back towards SUV’s and pickup trucks. I couldn’t tell you exactly why. Sure, gas prices are comparatively lower than they were two years ago. The average gas price across the country right now is about $2.70 a gallon for regular. That isn’t all that cheap, and gas prices are only going to get higher as China and India put more cars on the road.
Any insight into why people are buying fewer hybrids, and more SUV’s?
Source: Automotive News | Image: Toyota
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About Christopher DeMorro
gas is cheap. when gas hits the 3-4$ mark is when people start changing habits. the past few years have just been a test from the oil companies to see what we would put up with. they pushed to the point of us changing our ways then backed down.
gas is cheap. when gas hits the 3-4$ mark is when people start changing habits. the past few years have just been a test from the oil companies to see what we would put up with. they pushed to the point of us changing our ways then backed down.
gas is cheap. when gas hits the 3-4$ mark is when people start changing habits. the past few years have just been a test from the oil companies to see what we would put up with. they pushed to the point of us changing our ways then backed down.
I think it’s because SUVs are starting to become more fuel efficient to the point where it’s worth it to pay a little extra (as long as it’s not a LOT extra) in gas money. Witness the Chevy Traverse (16/23), Ford Edge (17/23), and Dodge Journey (15/23) (all listings are for AWD/4WD…the FWD ones are even better on gas). It’s nothing to write home about, but quite a bit better than any offerings 5 years ago.
I think it’s because SUVs are starting to become more fuel efficient to the point where it’s worth it to pay a little extra (as long as it’s not a LOT extra) in gas money. Witness the Chevy Traverse (16/23), Ford Edge (17/23), and Dodge Journey (15/23) (all listings are for AWD/4WD…the FWD ones are even better on gas). It’s nothing to write home about, but quite a bit better than any offerings 5 years ago.
I think it’s because SUVs are starting to become more fuel efficient to the point where it’s worth it to pay a little extra (as long as it’s not a LOT extra) in gas money. Witness the Chevy Traverse (16/23), Ford Edge (17/23), and Dodge Journey (15/23) (all listings are for AWD/4WD…the FWD ones are even better on gas). It’s nothing to write home about, but quite a bit better than any offerings 5 years ago.
I don’t really understand for the life of me why any normal person would buy a truck/suv for an everday vehicle. sure maybe the gas mileage has gotten a little better, but they are big, clumsy, break down more, cost more to repair, cost more to buy… the list goes on. I think the problem is that america has such an annoyingly reactive attitude and they just don’t care about the environment at all. lets just let a few more deepwater horizons happen and rip a hole so big in the ozone you can’t go outside then we might possibly consider changing our ways.
I don’t really understand for the life of me why any normal person would buy a truck/suv for an everday vehicle. sure maybe the gas mileage has gotten a little better, but they are big, clumsy, break down more, cost more to repair, cost more to buy… the list goes on. I think the problem is that america has such an annoyingly reactive attitude and they just don’t care about the environment at all. lets just let a few more deepwater horizons happen and rip a hole so big in the ozone you can’t go outside then we might possibly consider changing our ways.
I don’t really understand for the life of me why any normal person would buy a truck/suv for an everday vehicle. sure maybe the gas mileage has gotten a little better, but they are big, clumsy, break down more, cost more to repair, cost more to buy… the list goes on. I think the problem is that america has such an annoyingly reactive attitude and they just don’t care about the environment at all. lets just let a few more deepwater horizons happen and rip a hole so big in the ozone you can’t go outside then we might possibly consider changing our ways.
Toyota’s patents on it’s hybrid technology, planetary gear sets, it’s utilization of Atkinson cycle engine motor generators, etc. have probable expired making the technology available to competitors Honda and Ford.
Toyota’s patents on it’s hybrid technology, planetary gear sets, it’s utilization of Atkinson cycle engine motor generators, etc. have probable expired making the technology available to competitors Honda and Ford.