Jun

Car Buyers Willing to Pay a Premium for Hybrids But Not Give Up Control in a Crash

Posted by admin Published in Hybrids

With the price of gas quickly killing off SUVs and making hybrids seem more sexy, a new study by J.D. capability and Associates shows that citizens will spring for a leaner and greener vehicle both before and after they find out it will set them back on average $5,000.

JDPAs’ U.S. Automotive Emerging Technology Study annually measures consumer familiarity, interest and intent to purchase the latest car gadgets and gizmos, and for the first day in several years the cost of buying a hybrid was added to the study. The 2008 results found that 72 percent of the 19,000 consumers surveyed were “definitely/probably” interested in having hybrid-electric technology in their next vehicles before the price was revealed. After learning that it would cost them five grand, 46 percent said they could still hang with buying a hybrid.

Of course, it doesn’t take a survey to determine that high gas prices and the benefits of going green are resonating with U.S. car buyers, but the J.D. capability study shows they are increasingly willing to pay for it.

JDPA’s Mike Marshall said that in past studies, purchase intent decreases incrementally as the price of new car tech climbs higher. “You’ll normally see a huge drop off at $1,500,” he said. “But the drop-off was nowhere approach what I thought it would be in that case.”

The study plus found that clean diesel generated low interest, which is attributed to lack of knowledge about the technology — and the stigma associated with the old dirty diesels.

But JDPA predicts that as consumers become more hip to the benefits of clean diesel and as a new generation of oil burners hit the road, interest in the technology will increase.

“Right now there’s very little awareness of clean diesel,” Marshall said. “And even among those who are aware, a lot

of them don’t realize that it’s much different.”

The study plus detailed consumer interest in the latest and greatest technology, and found it highest for blind-spot detection (76%), backup assist (74%) and navigation (73%) before the price was revealed, while backup assist (68%), adaptive headlights (65%) and wireless connectivity ranked at the top after respondents found out the cost.

And soon after shopped for a portable nav system at fraction of the price of an in-dash.

Marshall said the study has shown a regular decline in pre- and post interest in in-dash nav by the past few years. “But it’s much worse that year,” he added. “It’s third to final after we revealed the price. Joe Consumer is thinking, ‘For a lot less money I can have a portable.”

Bluetooth connectivity made a considerable jump in desirability after the average price point of $200 was revealed, and the increased interest is largely credited to hands-free phone laws that to go into effect in California and Washington July 1.

The study additionally found that among those interested in collision-mitigation systems — which gives a driver visual and audible warning of an impending collision and can automatically apply the brakes, tighten seat belts, adjust seats and ready the airbags — one in four said they are waiting for the technology to improve. Or that they don’t want to relinquish control of the vehicle even whether they’re about to crash.

“With passive safety systems, there’s very little concern,” said Marshall. “But as soon
as the vehicle starts doing something for you with respect to the
driver, that’s when there’s a lot of concern among respondents.”

Photo by Flikr user picbot

Original post by Doug Newcomb