While a high retail price continues to be the most cited reason for vehicle rejection (36 percent), an increasing number of new-vehicle shoppers base their purchase decisions on fuel economy.
Indeed, the recently released 2006 Escaped Shopper Study by J.D. Power and Associates found that nearly 17 percent of new-vehicle shoppers cite gas mileage as a reason for vehicle rejection -- up from 13 percent in 2002. The first and second reasons are "total price too high" and "total monthly payment too high," respectively.
"Although gas prices have begun to recede, new-vehicle buyers are likely to continue to be wary of volatile gas prices," said Jeff Zupancic, director of retail research at J.D. Power and Associates. "Considering that fuel prices did not increase significantly overnight, consumer demand for more fuel efficient vehicles has also been gradual. This is especially evident across certain vehicle segments."
While Zupancic blamed heavier models with poor fuel economy, such as SUVs and pickup trucks, he added that in the long term, vehicle models that offer multiple engine choices (high-output four-cylinders, fuel efficient V6s, turbodiesel and E85-compatible engines) will have a distinct advantage in the market place.
Automakers have also responded by introducing crossover utility vehicles, which deliver a car-like ride and better fuel-economy.
Indeed, the recently released 2006 Escaped Shopper Study by J.D. Power and Associates found that nearly 17 percent of new-vehicle shoppers cite gas mileage as a reason for vehicle rejection -- up from 13 percent in 2002. The first and second reasons are "total price too high" and "total monthly payment too high," respectively.
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| (photo: Rob Rothwell, Auto123.com) |
While Zupancic blamed heavier models with poor fuel economy, such as SUVs and pickup trucks, he added that in the long term, vehicle models that offer multiple engine choices (high-output four-cylinders, fuel efficient V6s, turbodiesel and E85-compatible engines) will have a distinct advantage in the market place.
Automakers have also responded by introducing crossover utility vehicles, which deliver a car-like ride and better fuel-economy.