As gas prices soften, consideration of SUVs increases

[paddyk]

Maybe it's just nostalgia for the good ol' days of the early 2000s, but the recent drop in pump prices is already drawing consumers' attention away from their "single-minded focus" on smaller, fuel-efficient vehicles, auto data tracker Edmunds.com reports.

"Consideration data," which track interest in various vehicle segments by visitors to Edmunds' website, indicate that the trend toward smaller vehicles is leveling off while interest in segments that had been declining — such as compact crossover SUVs — is rising. What's more, interest in gas-electric hybrids is down 34% since June.

"With the initial shock of high gas prices fading, consumers are returning to rationality and again viewing gas consumption as just one of many factors when considering their next vehicle," said Edmunds.com Chief Executive Jeremy Anwyl. "And as gas prices actually decline, this trend could accelerate."

The Energy Department reported Monday that regular gasoline was selling for an average of $4.11 a gallon in California after falling for the eighth straight week. That's down 10% from the all-time average high statewide of $4.58 hit June 1 but still $1.19 higher than a year ago.

http://latimesblogs.latimes.com/upto...suv-redux.html

[GMusa]

If i could afford one there would be a Escalade in my driveway regardless of gas prices.

[RamJet502]

I almost lost faith in America, I knew we still had style.

[davidlane]

For anyone that remembers the first oil crunch in the early 70's this is deja vu all over again. In that case both the manufacturers and car buyers were whipsawed in less than a year.

[montrealvue]

Until next year when the whole thing starts over and oil prices spike again. Screw it, I'm gettin a SMART

[CJ Thunder]

Originally Posted by RamJet502

I almost lost faith in America

I know, people doing what they want, saying **** the price, I live my life no matter what anyone else says is so anti statesmen.




Or you know we could all vote and let 51 percent of the people tell 49 percent of the people what to drive.

[CmicasatheGreat]

I knew this would happen... Americans only think about what they see when they ride past the gas station...

Hence the reason why when a guy I kno made the silly statement about how "People simply don't want to buy huge vehicles anymore. " based on 2 months of sales being up for the small cars... I was a bit disgusted to say the least . I am not saying that AUG-Sept small car sales are gonna TANK...

Sure sales have dropped... but the Domestics ALONE sold 140K LARGE SUVs and P/Us in July... I did not include any mid-size or compact p/u or suv/cuv, just the standard Tahoe/Yukon/Escalade/Subur/Avalanche/Expy/Navig/Durango/Aspen/Ram/Silvy/Sierra/Fseries

140K sales is not a "DEAD" segment despite the average 30% drop... by that rationale... "people simply don't want Luxo cars anymore either."

If the Domestics are SMART... they currently own this market, and I see no reason to concede it like it did in the 90s with cars then, simply because small cars are now SUPPOSEDLY HOT. A flexible mix is fine, but instead of closing factories completely.. how about simply streamlining them to be flexible enuff that they can build a car and/or a CUV.. which is pretty much what I think is going on with GM, Ford, and Toyota

As long as the makers make their Large SUV/CUVs efficient... then where is the problem??? Especialy considering the fact that many of these SUV/CUVs can now with proper drivetrains achieve numbers that are usually reserved for cars... Hence U have a GMC Acadia... at 17/24... while a Acura RL Coupe is pulling in 16/24.

Car vs CUV, but U get my point.

Ford and GM introducing a variety of powertrains is the solution to continuing growth of a more profitable segment. Small cars are fine but the very idea that Honda and Toyota, let alone GM and Ford can survive in the U.S. on these less profitable vehicles is insane. Toyota does survive on Yaris, Xd and Corolla sales.. it does so on higher profits ones. GM has the capability of Dual-Mode GMTs, and soon Theta (Saturn Vue)... why the hell it doesn't put the 2mode in the Lambdas is a shot in the dark for me... Diesel in Hummers and GMC, Chevy, and Cadillac SUVs is a KEY component in continuing making their most profitable vehicles... Ford and Chry as well. Offer them, even as a Factory OPTION... and peope will buy.

[NfamousZ24]

The latest field day supply shows that the GMT360 dropped a little.

[eurohazard]

"Consideration" and "interest" are quite a bit different than purchasing. But it is funny to see these number nonetheless.....where's all the wienies who said, "the SUV is dead"? lol

Even when I paid $4.75/gallon to fill my tank, I never even considered selling my Armada.

[69Firebird400]

Wow, people are very myopic about stuff like this. I hope that Bob Lutz et al don't see any short-term reversal of the oil price trend as anything other than a blip. I mean, is the on again, off again, on again, off again pattern of the large cars and next-gen large trucks going to go on again if gas goes below $3.25 and off again if it goes to $4.00? Let's hope they and Ford meant what they said a few weeks ago when they said that they recognized that the market has permanently shifted.

[prowlerjc]

Well, I have to admit that I was one of the ones that added to Edmunds hits. I'm in the market for a new used car and SUVs are dirt cheap used. Cheaper than economy cars of similar years/mileage, as a matter of fact. You can get a lot of truck for your money. I looked at Trailblazers in particular.

[eurohazard]

Originally Posted by prowlerjc

Well, I have to admit that I was one of the ones that added to Edmunds hits. I'm in the market for a new used car and SUVs are dirt cheap used. Cheaper than economy cars of similar years/mileage, as a matter of fact. You can get a lot of truck for your money. I looked at Trailblazers in particular.

You bring up a great point....clearly with SUV prices so darn low, many smart folks are realizing that if you need an SUV, and you can get $10k off of the MSRP, $10k = a lot of fuel money!

[EldoFan]

Originally Posted by prowlerjc

Well, I have to admit that I was one of the ones that added to Edmunds hits. I'm in the market for a new used car and SUVs are dirt cheap used. Cheaper than economy cars of similar years/mileage, as a matter of fact. You can get a lot of truck for your money. I looked at Trailblazers in particular.

Same here......I'm starting to haul/tow more stuff than my beleaguered FWD Minivan can handle....despite the fact that it's only an occasional thing, my spectrum has widened to include trucks/suv's (4x4's only)....

[drew630]

There's a Yukon Denali XL sitting over at our local dealership with $12k off the sticker (its been sitting there almost a year). Needless to say its been very tempting to my father. I imagine this is a similar situation for the people being discussed in this article.

[ericmvest]

People always over react to economic shocks. I am sure the American public is much more fuel economy sensitive than they were previous to this latest run up in gas prices, but their sensitivity has moderated.