The Small Car Trend May Be Changing
The national average cost for fuel in June and July was just over $4 per gallon, fueling a trend in small, fuel-efficient cars. However, motorists’ focuses on small cars in now shifting as fuel prices are dropping.
In fact, data shows that small vehicle trends are leveling off, and there is a reclaimed interest in segments that were previously declining, such as crossover SUVs. Even the all-popular hybrid has seen a 34% decline in interest since June, as fuel prices have decreased.
It’s as if high has prices made consumers forget other car requirements, and just focus on fuel economy. However, with the initial alarm fading and prices declining, people are now able to look at the big picture.
It’s gas prices, not vehicle incentives that are causing the shift in vehicle requirements. Many cars that offer big incentives still have large drops in consumer interest, while other cars that offer lower incentives are seeing an increase in consumer interest.
Although interest seems to be shifting, people still aren’t purchasing bigger cars. Instead, consumers are putting their money into smaller cars with an auto warranty that will save them money on gas.