sport utility vehicle:

Consumer Panic Subsides With Declining Fuel Prices


Since reaching a peak in September, the price of gasoline in the United States continued to decline through mid-December and drivers are reacting to these moderating fuel prices. The December 2005 Fuel Price Impact Survey conducted by AutoPacific’s ( VehicleVoice ( confirms that many consumers are paying less for gasoline but are still very aware of the long term effects of gasoline priced above $2 per gallon. The Fuel Price Impact Survey is based on the results of a VehicleVoice Internet survey with 1,122 respondents who completed the survey between December 13 and December 19, 2005.

Actual fuel price continue downward since September peak

In the last month the median price respondents say they paid for fuel has declined by about 11¢ per gallon (to $2.22) following a dramatic 50¢ per gallon decrease in November. The median price they expect to pay one year from now has decreased by another 8¢ per gallon to $2.45.
Shift away from SUVs now moderating
Many drivers reconsider the types of vehicles they are driving when fuel prices spike higher. Drivers of sport utility vehicles represent about 25% of the total car market today. In September, when fuel prices peaked, about 27% of SUV drivers indicated they would consider shifting the type of vehicle they drive to something more fuel efficient. The vehicle segments most likely to benefit from this migration are Mid-Size Cars and Small Cars both up 25%. While the data do not show a direct relationship of drivers moving from SUVs to more fuel efficient cars, there is a clear tendency for drivers to consider moving from less fuel-efficient segments to vehicle types that get better gas mileage.
Drivers considering shift to hybrids, but 6-cylinders remain “sweet spot”
About 18% of drivers having vehicles powered by V8 engines say they will shift to more fuel-efficient engines, down from 25% in September. But 27% of drivers of vehicles with gas-sipping 4-cylinder engines also say they will consider changing. The transition for both is towards 6-cylinder engines and hybrids. Hybrid-powered vehicles will be considered by 12% of the respondents, down slightly from the 15% peak in the October survey. This is a reaction to the continuing positive media attention surrounding hybrid-powered vehicles and the public’s perception that hybrids are an answer to higher fuel prices. There is also somewhat more interest in diesel engines, though significantly less than the level of interest in a gas-electric hybrid.
High fuel price still seen as BAD for America!
The culprits identified by the respondents as contributing to high fuel prices remain Big Oil Companies, OPEC, Natural Disasters and Limited Refining Capacity. When asked whether high fuel prices are good or bad for America, 73% say that high fuel prices are “bad for America”, down from 80% in the September survey. In the land where roads have been paved by unlimited cheap gas, attitudes are that conservation stimulated by higher gasoline prices is not the popular way to go. Higher fuel prices might actually encourage conservation, reduce pollution and provide the Middle East with less money to use against American interests, but respondents don’t see it that way, and vote their pocketbook.

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Crossovers… Media – Industry Forcing a Definition

We at VehicleVoice ( and the VehicleVoice Blog-o-Rama (http:/ often feel that we are fighting an uphill battle concerning the use of the word “Crossovers”. This is a term that has come to mean SUVs based on car platforms and mechanicals. That’s fine. However, it is industry jargon that has not been adopted by the public. The media, picking up on industry jargon is forcing the term where no-one needs it.
An SUV is an SUV or Its NOT
Based on our research, it’s simple. American vehicle buyers have categorized vehicles into several basic categories: cars and trucks further subdivided into luxury cars, mid-size cars, economy/compact cars, sports/sporty cars, pickup trucks, sport utility vehicles (SUVs) and vans/minivans.
The SUV category seems to be giving folks the most trouble. To a typical vehicle-buyer, an SUV is an SUV is an SUV. There are big ones and small ones, but an SUV is an SUV. Muddying the playing field, however, is the notion of a “crossover”. A Traditional SUV in this more complicated world is a truck-based SUV like Ford Explorer or Toyota Sequoia. A crossover SUV is an SUV based on a car platform, a “unit-body” platform. But people often forget that the Jeep Grand Cherokee, Jeep Liberty, Mitsubishi Montero are all based on unit-body platforms but are not car-based. Does this make them a crossover? NO!
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Chevrolet Trailblazer… a “real” Truck-Based SUV

Post-Modern SUV… Soft Roader… NOT Crossover

So, it’s pretty muddy. What crossovers need to be are at-a-glance SUVs. The basics of the SUV equation are well known so deviating is a risk. An SUV must have a basic two box bodystyle, relatively tall glass for good visibility, a relatively upright windshield that provides a stiff A-Pillar allowing easy ingress/egress, and a command seating position. At the same time interior roominess and the ability to carry cargo is very important. From our perspective, this most American of vehicle types is very easy to understand but easy for a foreign car company to get wrong.
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Pontiac Torrent… Car-Based Post-Modern (Crossover) SUV
Let’s read on about how USA Today recently reacted to the issue of “crossovers”…

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Traditional Premium Mid-Size SUVs: Do They Still Have LIfe?


VehicleVoice (http://www.vehiclevoice.com pay close attention to the the dynamics in one of the largest and most dynamic product segments in the North American auto market – the Premium Mid-Size SUV market. This VehicleVoice blog (http:/ delves into the dynamics between Traditional SUVs and Post-Modern SUV entries.
Are Traditional SUVs Based on Trucks on Their Way Out?
Some say traditional SUVs are on their way out, but their implied death is exaggerated at best or at worst will come only after a lengthy illness that has just begun to take root. That the playing field is changing there is no doubt, but traditional SUV entries will be an important part of the mix well into the next decade, despite the amount of chatter that Post Modern SUVs (some refer to them as crossovers) are generating and the speculation that the product configuration will take over the world. Though segmentation is subjective and a constantly moving target, but a close look at the Premium Mid-Size SUV segment as currently defined indicates that it is not quite time to write off traditional SUVs.

Ford Explorer Versus Toyota Highlander: Which is the Way of the Future?

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