Thursday, July 13, 2006

Perceived Value of Hybrid Vehicles Falling *GASP*

Wow. I didn't see this one coming from a mile away. Last month surveyed roughly 1200 automotive industry professionals, myself included, and recently posted their findings on their site. Shockingly enough, the perceived value of hybrids has gone down.

And you know what? I am glad. A short term solution attached to an unproven technology has sent fuel saving alternative technology in different directions. Hybrid technology has a lot of potential, but will not be a solution for most likely two decades. First, manufacturers need to find a way to reveal "truth in MPG ratings." In addition, they also need to develop a way to provide for better performance for real world driving situations. Finally, they need to control their dealers. I have been told that $2k, $3k, $4k and in some case $5k over listed MSRP are acceptable ADMs (or additional dealer markups for you rookies out there).

I, for one, am still on the diesel bus. I always have been. Any engine that provides real world performance and 49 MPG while having the ability to run on completely renewable clean resources is a home run in my book.

Knowing this, why is Ethanol still in the works? Calm down, don't think about it too much, your head will explode.


At 7:15 AM, Anonymous Mike said...

I'm a fan of hybrid vehicles because I like the technology and want to see it continue to advance. It's even financially paying off for people. Paying more than MSRP is not helping the environment, advancing the technology, or getting a good return on your money. The car'll be sold either way. It's just following the leader to the latest new and shiny, and I don't think it's worth it.

At 8:07 AM, Blogger Disgruntled Car Salesman said...

Your article is just a tad flawed. When you compare how a Hybrid vehicle is paying off for someone, it isn't fair to compare it to that of a Ford Crown Vic, whose power plant happens to be a V8 engine. The technology is not there yet, and won't be there for quite some time.

At 11:15 AM, Blogger M.Z. Forrest said...

I'm most impressed with Honda's hybrid tech. It is cheaper and simpler than Toyota's. That being said, it is a lousy purchase. Your typical suburban commuter would be better off in a Kia Rio. Hybrids are designed for urban driving. They are glorified golf carts.

The biggest problem with a diesel is that the engine lasts longer than the car. They have been building 200K mile diesels forever. They are unfortunately more expensive up front and outside of 2 VW models are not available in any vehicle under $40,000.

At 9:33 AM, Blogger Disgruntled Car Salesman said...

MZ - TDI models carry a premium of about $1500 to $2000. Start in a Beetle around $20k.

At 6:17 PM, Anonymous ? said...

Wow all that I had to do was read the first two sentances of your posting and I had to stop....BIASED

At 8:19 AM, Blogger Disgruntled Car Salesman said...

Biased, maybe. Economically and environmentally speaking though, diesel is hands down the winner. Maybe even a hybrid diesel, when the technology makes sense, that is. So, what is the question, really?

At 8:19 AM, Anonymous Anonymous said...

I heard that Dodge/Mercedes is schueduling diesels to go into the new Caliber (small car), Stratus (med car) and Durango (Big SUV) for 2008.

In addition they did put a 4 cyl diesel in the Jeep Liberty in 2006 that is suppose to get 25MPG in the 4wd model. They are planning a v6 diesel for the Commander and Grand Cherokee - but that is like 2009/10

Right now the current 'upgrade' to a diesel is about $2000 on Mercedes models. I don't know about pricing on the Dodge/Jeep models

What I really want is that 3.2 litre Mercedes diesel in my Grand Caravan that would get 30+mpg. My neighbor has one of those MB with that diesel and it is so quite that you cant tell it is a diesel and she gets 35+ MPG in a near full size car


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