Car Finance / Why We Buy Hybrids

Why We Buy Hybrids
Understanding the PhenomenonThe word is out: Increasing numbers of Americans are falling madly in love with hybrids. The proof is in the numbers; in 2007, hybrid sales were up an astronomical 50 percent over 2006's figures. Why are more and more people finding it preferable to go green? We spoke with manufacturers, industry analysts, hybrid owners and a car dealer to get a sense of the factors motivating drivers to take the hybrid road.

Factor #1: Hybrid buyers want to make a statement. Whether their cause is protecting the environment or reducing U.S. dependence on foreign oil, many people want to purchase cars that reflect their beliefs. Such is the case with hybrid owner Bill Fogarty. "I want to send as little of our money to the Middle East as possible while not changing my lifestyle," he says. For people like Fogarty, buying a hybrid does more than just reveal their convictions; it tells the world they have the strength to act on them. Phil Gott, director of automotive consulting at Global Insight, agrees, saying, "Many people buy hybrids to make a statement; it's a green thing."

This factor certainly seems to play a part in the continued sales success of the Toyota Prius. The Prius reigns as the best-selling hybrid by a wide margin, despite competition from hybrid versions of popular vehicles like the Honda Civic and Toyota Highlander. Gas-electric versions of the Civic and the Highlander can easily be mistaken for their non-hybrid counterparts. The distinctive-looking Prius exists only as a hybrid, so it's the leading choice for those who want to wear their hearts on their wheels.

Brian Hansen, a Prius owner and sales manager of a Toyota dealership in Wisconsin, agrees. "The true Prius buyer is motivated by the car's environmental impact — or lack thereof," he says. "They want to get that message out to others. Not so much from a 'look at me, I drive a Prius' standpoint; their perspective is more 'I drive a Prius because I care, and so should you.' Nothing else sends that message like a Prius."

Factor #2: Gas prices. Not surprisingly, steep gas prices have led many drivers to think outside the traditional gas-powered box when it comes to transportation. "I prefer to pass gas stations rather than stop at them," says Dan, an Edmunds.com CarSpace member who owns a Ford Escape Hybrid.

Fogarty has a similar perspective. "I feel strongly that the price of fuel is on a steep upward spiral," he says. "Driving as inexpensively as possible, given that I drive more than 40,000 miles each year, is critical."

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