Honda launches new very small car:

Fit For America… Honda Fit, That Is

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New Entry Car Joins Honda’s Lineup
If you’re in the market for an economy car, this might be one of the better model years to buy. Not only does the Honda Fit arrive in dealers in April 2006, Toyota’s Yaris and Chevrolet’s updated Aveo will arrive shortly afterward. And don’t forget the Nissan Versa coming later in the year. Honda chose the North American International Auto Show to unveil their new Fit while Toyota launched the Yaris at the Los Angeles Auto Show , with Vehicle Voice and AutoPacific correspondents on hand. Elsewhere in the segment, Kia’s Rio and Hyundai’s Accent were all-new for the 2006MY. The oldest product in the segment is actually the Scion xA, and that model launched nationally for the 2004MY.
What are the keys to this segment? As much interior room as can be carved out of such a small footprint, some type of sporty-look model to offer the ability to not look as though you’re driving the least expensive car in the lineup, and the ability for buyers to customize or accessorize their car. Toyota is writing the book on this with Scion, and Honda is learning a few tricks.
Final pricing has not been determined for the Honda Fit, but a $12,000 price point is reasonable. Though pricing for either Fit or the new Toyota Yaris has not been announced, the Fit offers more standard features and is likely to carry a slightly higher base price as a result. Honda does have concerns about the new entry cannibalizing some Civic sales, but Honda is not creating a sub-brand for this segment, as Toyota has done for its Scion products. The Fit is built in Japan and imported, though if the small car found strong enough demand, Honda could add U.S. production.


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