A few thoughts about May hybrid sales

Honda hybrid sales up compared to last year

The US economy might be in a recession, but the US auto industry is in an outright depression. Auto sales for the year are down significantly compared to last year for all automakers.

And, it isn't just auto sales that are down, but gas prices as well. Last year, gas prices pushed the sales of hybrid cars into uncharted territory. This year, some wonder if the steep drop in hybrid sales proves that hybrids are but a fad.

A hybrid sales fad?

Despite the recession and significantly lower gas prices, Honda is selling more hybrid cars so far this year than it sold last year thanks to the launch of the Honda Insight hybrid. In fact, Honda hybrid sales are up 7.5 percent compared to last year. That's right. You read UP.

Toyota's hybrid flagship, the Toyota Prius, still experienced a sales decline of 30 percent compared to this time last year. Considering that Prius sales are down 45 percent on the year, however, 30 percent is an improvement. And, with pre-orders flying in for the new 2010 Prius, 2009 could still end up being a stellar year for Prius sales.

So, surprisingly, despite the recession and lower gas prices, 2009 will still probably be a strong year for hybrid sales. And, in this world wide recession, if this is as low as gas prices go, the future of gas prices can only be higher, and that will only help future hybrid sales.

LA Times slams hybrid car sales

Insight will lift hybrid sales

Hybrid car sales go from 60 to 0 at breakneck speed, writes the LATimes this morning.

Hmmm. Buy a Civic hybrid today, or wait a couple of months for a cheaper, cooler Honda Insight hybrid? Or, buy a Toyota Prius today, or wait until a bigger, faster, more fuel efficient Prius becomes available in a couple of months while waiting out a recession?

Certainly, hybrid sales have dropped significantly since this summer, but summer sales were driven by the irrational exuberance created by relatively sudden $4.00 gas. With gas prices cut in half, and consumers facing a recession, one would expect a burst of the hybrid bubble. Nonetheless, gas prices will go back up in the next few years. Thinking otherwise is foolish.

In fact, this morning President Obama called such thinking "irresponsible" while addressing the dangers of foreign oil dependency. And, truthfully, if Americans paid the real cost of oil dependency at the pump, the cost of gas would already be very supportive of significantly higher hybrid sales.

Still, sales of hybrid vehicles will pick up in the next few months, as the two most important cars in the hybrid market come to market. Compare those sales to when gas was $3.00 and I think a far different picture of hybrid sales will emerge.

Do today's hybrids really need new tax credits?

Hybrid sales versus hybrid tax credits

I was just checking out some data provided by Hybridcarreview that seeks to find out the impact of tax credits for hybrid cars and the sales of hybrids.

Ultimately, this summer, Toyota Prius sales proved that tax credits are largely irrelevant when energy prices are higher. For other hybrids, the data isn't as convincing.

Even today, Prius sales are relatively strong, particularly considering that the third gen. Prius is almost set to launch.

Inevitably, over time - I believe - higher energy costs will naturally hybridize automobiles as America's fleet slowly but surely moves towards electrification. Keyword, as far as the next decade is concerned, is slowly.

However, if America were to set a goal of 1 million hybrids per year by 2012, hybrid tax credits for conventional hybrids would be needed.

So are new tax credits for conventional hybrids needed? It depends on how fast you want to embrace efficiency.

(Check out Hybridcarreview.com)

Hybrid sales crushed today?

Plenty of supply now

Hybrid cars and electric vehicles. They are the future, right?

Sure, I think even hybrid haters accept the reality of the electrification of the automobile, but when will the majority of vehicles sold in America be electric?

Not for decades, at least in America, if fuel prices don't rise significantly. Instead, for decades, such vehicles will be a minor niche.

In November, hybrid sales were down 50 percent, as trucks and SUVs regained some market share. How bad will sales be this month when automakers release their monthly sales? I don't know, but I drove by my local Toyota dealer yesterday. With dozens of Prius hybrids on the lot, an even bigger crash in hybrid sales wouldn't be surprising.

Are Toyota's hybrid plans recession proof?

Set for launch late next year?

Last month, Toyota Prius sales were down 10 percent. Not bad, considering that October was one of the worst months ever in auto sales. And, while hybrid cars have helped Toyota's sales strength the last few years, this recession is greatly hurting Toyota.

"At least there's no red ink at the moment. But if the situation deteriorates we could be looking at that," said Ashvin Chotai, managing director of Intelligence Automotive Asia reports the AFP.

Thus, "Planned factories, existing facilities, new projects; they [Toyota] are reviewing all of them," said Toyota executive vice president Mitsuo Kinoshita.

If US auto buyers can't afford anything but the cheapest cars, amidst declining gas prices, hybrid sales will take a hit. Such a hit, I'll bet, could easily delay the launch of the 2010 Toyota Prius few months, and slow the launch of any consumer-orientated plug-in hybrids from Toyota as well. And that new Lexus hybrid? Why be in a rush when Lexus hybrid sales got hammered last month?

Hybrid sales down, market share up

Prius sales down 10.3%

October sales of hybrid cars were down 10 percent by volume compared to last year, however, hybrid market share has increased compared to last year according to GreenCarCongress. So, while all car sales are down, hybrids are selling much better than non-hybrids.

All things considered, Toyota Prius sales are still very strong. Can this trend continue if the economy keeps tanking?

Robbed: Buying a hybrid car today

A purchase hard to justify?

With $4.00 gas driving my friend Carlos mad, a Toyota Prius seemed like a good idea. That was until he arrived at the Toyota dealership.

First, the dealer told Carlos not to hold his breath regarding his hopes of finding a base Prius anytime soon. So, the $25,000 sticker price on the only available Prius had Carl seeing red, since he had budgeted only $22,000 for the car. Second, as Carlos ran numbers through his head trying to justify the $25,000 price tag, the salesman told him that every Prius and Camry hybrid had a $3,000 markup on top of the sticker price because of demand, which promptly ended our hybrid shopping trip.

And, it's not just Toyota. Most hybrid dealers are sticking it to consumers in every way possible. However, with $4.00 gas prices keeping demand for hybrid cars well above supply, despite the ridiculous markups, little price relief seems possible anytime soon.

Does $4.00 gas justify an extra $3000 markup for a hybrid?

Hybrids: All about California

Prius sales up 38 percent in 2007

When it comes to cars, it has often been said, as goes California, so goes the rest of the Nation. If true, then hybrid cars have a very sunny future.

There used to be a time when I would go from my home in Northeast Los Angeles up to Pasadena, and I would be shocked by how many hybrids I'd see on the street. They were everywhere. But that was Pasadena, not my working class neighborhood.

Today, however, hybrids are now everywhere, even in my neighborhood. Hybrids are no longer just about rich people.

According to MSNBC, over 26 percent of all hybrid vehicles are sold in California. Florida was second at 5.5 percent. So, if California still leads the future of the auto market, expect a lot more hybrids in your state soon.

What's wrong with the Civic hybrid?

Fuel economy interest up to start 2008, but Civic hybrid sales down?

I received an interesting e-mail from blogger, Mike, regarding some data that he put together regarding the sales of fuel efficient vehicles (more). While sales of the EPA's most fuel efficient vehicles were up about 15 percent in January of 2008, Honda Civic hybrid sales were down 2 percent.

All other hybrid vehicles are seeing huge increases in hybrid sales, except the Nissan Altima hybrid, which was flat. What gives I wonder?

Hybrid sales drop in September

Sales down almost 2 percent

"Reported sales of hybrids in the US dropped to an aggregate 22,859 units in September 2007, down 1.9% from September 2006. The reported figures do not include hybrid sales results from GM. Overall light duty vehicle sales in the US dropped 3% according to sales data from Ward’s."

The Toyota Prius and the Toyota Camry hybrid, again, posted strong September sales. The Honda Civic hybrid, on the other hand, suffered the biggest downtick amongst hybrid vehicles.

(Source: GreenCarJournal)

The credit crunch and hybrid sales

Can the Prius continue its hot streak into Fall?

The Toyota Prius was hot in July, really hot, but how will the Prius and other hybrid cars sell if consumer credit continues to be crunched? Will the credit crunch affect hybrids more than conventional vehicles?

Part of the success of the Prius has been high energy costs. Still, the Prius isn't an economy car, and while many economy cars might not achieve the fuel efficiency of the Prius, they cost a good bit less. As home prices fall, economy cars might start looking like a better solution for some hybrid buyers trying to deal with energy costs

Of course, weak car sales could lead to incentives - including hybrid incentives, especially as dealers try to unload their 2007 models to make room for 2008 models. Consequently, it might be a good time to buy a hybrid - if you have any equity left.

Time for Change? July kills Detroit

No hope until the Volt?

For decades the winds of change have blown across the automotive landscape of America, spreading the seeds of compact car interest, fuel economy, etc. Nurtured by the ever-growing dangers of foreign oil dependency, pollution, and global warming, the seeds of change have flourished.

Consequently, as "unexpectedly weak" July auto sales is forcing Detroit's automakers to expect "vehicle sales to end the year at a nine-year low," the Toyota Prius - the poster child of change - has become the top selling vehicle for the same month.

Not long ago, the Prius was labeled with terms like joke or publicity stunt, even a stupid idea. Yet, not only do Prius sales continue to strengthen, they continue to power Toyota and its hybrid cars . And, make no mistake, selling 60,000 Camry hybrids this year is no less of a joke than the 1st generation Prius - the future is not just the Prius.

America is ready for change now more than ever. Unfortunately, any real change coming out of Detroit, such as the Chevy Volt, is still, minimally, a few years from reality.

As labor unions and executives begin to hammer out the future, let us hope the winds of change are not only realized, but harnessed. Change is the only way forward.

No slowing Prius sales

Camry on pace for more than 50,000 sales in first year

For July, while car U.S. car sales slumped, the Toyota Prius continued to be a hot seller, recording over 16,000 units sold.

The Camry hybrid continues to be a strong seller for Toyota as well, achieving over 4,300 units sold. Ultimately, for 2007, Toyota's hybrid Camry will probably outsell the combined sales of all other hybrid vehicles, minus the Prius.

U.K. hybrid sales taking off

Hybrid sales growing

According to Just-Auto.com, hybrid sales in the U.K. continue to increase year-after-year, even doubling from one year to the next. Despite the widespread use of small diesels, hybrid cars continue to gain consumer acceptance, proving the first cost-effective diesel hybrid has a rosy future in Europe.

Hybrids, fuel economy dominate Intellichoice picks

Fuel efficiency scores

Intellichoice.com announced its Best Deals of the Month yesterday, and hybrid cars were very strong performers.

"A look at the list and it's not hard to see that fuel economy is a major factor for May's winners," said James Bell, publisher of IntelliChoice.com. "The Toyota Prius, Ford Escape Hybrid and Toyota Highlander Hybrid are perennial winners, and the Lexus RX 400h displaces the RX 350 on this month's list on the basis of fuel cost.

In addition, the Honda Civic hybrid also made the list.

Hybrid buyers driven by "financial rewards"?

Hybrid sales all about the money?

I often argue that it shouldn't be surprising that hybrid vehicle buyers represent a minority of automobile consumers. Hybrid cars are still just an emerging technology. Not until lithium has survived a generation or two as the battery of choice for hybrid makers will hybrid vehicles truly become mainstream. Until then, hybrid buyers are still 'early adopters'.

That term, however, is not the correct description of hybrid buyers according to Topline Strategy Group. Topline claims that hybrid car buyers do not fit the classic description of technology early adopters. Instead, the majority of hybrid buyers buy hybrids because for "73 percent of purchasers, there were clear financial rewards for purchasing a hybrid over other alternatives." (more)

Whatever. I say hybrid buyers are still early adopters.

Polls show outlook for hybrid sales iffy? C'mon Roland

The Commodore 64 didn't tempt many consumers - personal computers were still too much of an emerging technology

Yesterday I came across a poll a by Cargurus.com of 500 visitors to their automotive site which suggested that most consumers were still not interested in hybrid cars. As I read through the press release I noticed quotes from Tesla board members - also Cargurus.com board members - explaining that hybrids make little sense. Rather, a Tesla board member claimed, electric cars were a far better option. No conflict of interest there!

Please. I would love an electric vehicle. If I could afford Tesla's $100,000 Roadster, I would buy it today. Yet, the Roadster still has yet to hit the road for any consumers. And it costs $100,000!

Nonetheless, Roland Jones of MSNBC took this highly objective poll to claim that maybe hybrid vehicle sales have no future, a common thread in much of Roland's hybrid writing.

Yet, if Toyota offers the third generation Prius at the same costs as today's Prius, but with a significant increase in fuel efficiency, then nothing will stop the hybrid revolution - and that is less than 2 years away. Until then, hybrids still are an emerging technology, and anybody whom studies the sales patterns of emerging technologies wouldn't find any surprise in a poll that shows a majority of consumers are still "iffy" about buying a hybrid vehicle.

Hard sell? Hybrids help drive record Toyota sales

Almost 20,000 sold in March

With significant help from hybrid cars, Toyota posted "best-ever monthly sales" for the month of March. The Toyota Prius achieved the best month of sales for the second month in a row with 19, 156 vehicles sold, an increase of 133.2 percent according to Toyota.

The Camry hybrid achieved sales of 5,144 units sold in March, while the Highlander hybrid achieved 2,501 units sold. In addition, Toyota also sold 1,471 units of the Lexus RX400h hybrid.

While some of this increase in hybrid sales might be attributed to a decreasing tax credit for Toyota hybrids, that's still an amazing month. Too bad the credit is expiring, I guess Congress just doesn't feel the need to get as many foreign oil dependency fighting, global warming reducing automobiles on the road as fast as possible?

Now is the time to buy a hybrid?

That is the word from Edmunds.com

The fact that automakers are offering great incentives on hybrid cars, coupled with the fact that tax credits on Toyota hybrids are about to again be reduced is a good reason to buy a hybrid in the next few weeks if you are in the market.

Still, is it really the best time to buy a hybrid car? Are the deals going to decrease in the future? Finish Time to buy a hybrid.

Hybrids set for summer sales surge?

Gas is already above $3.00 per gallon in parts of California

"The West Coast will certainly be the wild, wild West this year," said Tom Kloza, chief oil analyst for the Oil Price Information Service. Extensive maintenance work at West Coast refineries has curtailed supplies and exacerbated the typical "preseason rally" spurred by jitters about tight supplies.

"In the rest of the country, it's just petro-noia. They're worried that they won't have enough gasoline," Kloza said. "But on the West Coast the concern might be warranted." (DetroitNews)

As California is already the home to the majority of hybrid sales, one could assume that there could be a dramatic surge in the sales of hybrid cars as we head into the summer if gas prices continue their upward trend. Will Toyota again defy the hybrid critics?

Hybrid sales growth slowing?

The Prius isn't slumping

Is the sales growth of hybrid cars slowing down? Earlier this week I responded to reports that hybrid sales growth was slowing and basically called the news a non-story.

Perhaps hybrid growth has slowed, but one certainly wouldn't know it judging by Toyota's hybrid sales. Prius sales continue to grow. The Toyota Camry hybrid is possibly outselling the combined hybrid sales of all other automakers, and Toyota is accomplishing all of this with a reduced hybrid tax credit.

Certainly, hybrid sales are a bit more sluggish at Honda and Ford, and Nissan is only selling hybrids in a few states, but Toyota's hybrid sales are pushing Toyota into record monthly sale's territory.

I'll bet Toyota would accept that kind of sluggishness any day.

Hybrids help Toyota sales soar

Hybrids helped Toyota post best-ever February sales

While the conventional Camry drove Toyota to the best February ever for the automaker, hybrid cars played an important role as well. Toyota sold almost twice as many Prius hybrid cars this February compared to last year, achieving its best monthly sales ever. The Camry hybrid posted sales of 3,332 units, while the Highlander hybrid achieved sales of 1,892 vehicles.

On the Lexus side, the RX 400h achieved sales of 1,249 units.

As a result, Toyota hybrid sales are now up 45 percent compared to last year at 33, 182 hybrid vehicle sales. Imagine if Toyota still qualified for the full hybrid tax credit!

Sales growth for hybrids slowing? So what?

It's an emerging technology, stupid

Boy! Why do hybrid cars receive so much attention? I mean, if you are interested in buying a hybrid car, I understand why you would pay attention to hybrid issues. However, hybrid vehicle sales are such a minuscule percent of overall vehicle sales, there can't be that many potential buyers, can there?

Well, maybe there can. Otherwise, why does any hybrid story, such as the slowing of hybrid vehicle sales growth, seem to dominate the headlines of much of the auto media?

--> Finish Sales growth for hybrids slowing

NO. Hybrid vehicles are not losing their appeal

Today, Roland Jones of MSNBC asked the question, Are hybrid vehicles losing their appeal?

No, Roland, they are not. Also, Roland, how can you utilize the Honda Accord hybrid to discuss hybrid vehicle economics? First, the Accord hybrid isn't a hot-selling hybrid, it's possibly the worst selling hybrid. Second, it's a performance hybrid, and was not produced purely to achieve fuel efficiency.

Sure, the sales of hybrid cars are down. Automobile sales overall are down and expected to be down into 2007. Yes, hybrids are down more, but that fact has nothing to deal with appeal, Roland. Obviously, the fact that Toyota's hybrid tax credits have been cut in half is a key issue since the Prius is by far the best selling hybrid, as is the drop in gasoline prices.

But there is also a bigger, non-hybrid issue. Why are automobile sales down and expected to be down next year? Are automobiles losing their appeal? Or, do consumers have a little less financial power? If economic times are tight, it isn't surprising fewer consumers can justify paying more for a hybrid when the tax credit has been cut in half and when gas prices are down.

Nonetheless, consumers are very interested in hybrid cars, especially the hybrids of the future. Consumers are not stupid, and they know the best of hybrid vehicles is yet to come. Currently, the public appears to be particularly fascinated with the idea of plug-in hybrid vehicles. So, since consumers have less cash and gas prices are low, many are waiting for next generation hybrid technology.

And no, Roland, diesel is not an alternative. Diesel might compete with hybrids today in some driving conditions, but reliance upon diesel instead of gasoline will NEVER end foreign oil dependency. Next generation hybrid technology, however, certainly has the capability to end foreign oil dependency.