The proportion of new vehicle shoppers in the US considering a hybrid has declined as consumers become more realistic about the fuel efficiency capabilities of hybrid vehicles, according to a JD Power survey.
Go deeper with GlobalData
The alternative powertrain study found that half of new vehicle shoppers are considering a hybrid – down from 57% last year.
A general decline was observed across all age groups while younger vehicle shoppers, those 16 to 25 years old, appeared less interested in the technology, with 60% considering a hybrid in 2007, down from 73% in 2006.
The average additional price hybrid ‘considerers’ are willing to pay for this powertrain is $US2,396, with the expectation of receiving an improvement of 18.5 miles per [smaller US] gallon over a traditional vehicle of similar size.
“In the 2006 study, we found consumers often overestimated the fuel efficiency of hybrid-electric vehicles, and the decrease in consideration of hybrids in 2007 may be a result of their more realistic understanding of the actual fuel economy capabilities,” said JDP director of automotive emerging technologies Mike Marshall.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData“While hybrid sales are steadily increasing, they continue to face competition for market share against an increasing offering of other alternative powertrains and fuels options.”
The study also found that consumer consideration for purchasing clean diesel vehicles, which were new to the US market in 2007, was 23%. In 2006, only 12% of shoppers considered purchasing diesels. On average, those eyeing this powertrain are willing to pay an additional $1,491 and expect average additional fuel economy of 15mpg.
“As the automotive industry steadily offers more alternative powertrain/fuel options to consumers, buyer preferences will continue to shift the market in the coming years,” said Marshall.
“With high fuel prices, perceived dependency on foreign oil and an increased focus on environmental issues all being top of mind among consumers, manufacturers will not only have to continuously make efforts to produce more fuel efficient vehicles, but also to diversify the range of options.”
