Hybrid vehicles still don't make much sense for automakers. The cost of the technology is more than what consumers are willing to pay and in many cases the fuel-saving benefits can be achieved with a simple diesel motor (at least in Europe). Because of this, coming up with the right sticker price can be a major stumbling block. Price it too high and no one will want to buy your hybrid, but discount it too much and money will be lost on every model sold.
GM got into a spot of bother recently when alleged prices for its new full-size hybrids SUVs were released on its website last month. The problem was that the listed prices "were too low" according to GM spokesman Terry Rhadigan. The Chevy Tahoe 4-Door two-wheel drive hybrid was listed at $47,915 and the four-wheel drive was listed at $50,720. The GMC Yukon two-wheel drive hybrid came in at $48,370.
The 'correct' prices are scheduled to be announced next week, though Popular Mechanics already have the two listed as $49,270 for the Yukon Hybrid 2WD and $48,815 for the Tahoe Hybrid 2WD. If that's the case, then the prices accidentally released last month weren't off by all that much.
$49,270 and $48,815, respectively
[Source: The Detroit News]
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Reader Comments (Page 1 of 2)
TriShield @ Nov 9th 2007 2:01PM
These SUV hybrids would cost even more if GM wasn't subsidizing it. I'd like to see this two-mode system show up in their cars sometime soon.
Matt @ Nov 9th 2007 2:08PM
"...and in many cases the fuel-saving benefits can be achieved with a simple diesel motor"
America needs to pull it's head out of a dark place and realize this fact.
Russell @ Nov 9th 2007 2:17PM
Simple diesel motor would cost about 5 to 7k more than gas engine, which make this argument worth a little less.
chuck goolsbee @ Nov 9th 2007 2:19PM
Agreed.
Once outside that dark place they will realize that fuel economy is not the design goal of the hybrid power train - reduced emissions is. Economy is merely a benefit, but only when used in city-driving environments.
--chuck
http://chuck.goolsbee.org
Mr. Oak @ Nov 9th 2007 4:25PM
I live in New York City, diesels are not very loved around here. The city would not approve of adding 10s of thousands of diesels without then proving that they as "clean" as they claim to be.
50,000 diesel trucks, delivery and servive vans per day is already more than we damn well need.
zamafir @ Nov 9th 2007 4:33PM
Hey Mr Oak.. proven? What needs to be proved that hasn't been proved, clean diesel tech is... you guessed it... clean. Just read any of the hundreds of studies produced.
Are we honestly to believe there isn't a single contractor or frieght service in the whole of NY? Give me a break.
Matt @ Nov 9th 2007 5:20PM
Oh please...
The 3.0 Turbo diesel that is available in the Jeep Grand Cherokee (with 375 pound feet of torque) costs an extra $1,655. And your city mileage goes from 13.5 with the 4.7 V8 to 19.5 with the diesel. And they can tow the same amount.
Diesel IS the answer.
Lee @ Nov 9th 2007 2:19PM
General Motors: STOP! making SUV Hybrids that only get 3-5 MPG better than the regular Gasoline powered Engines. You need to make a sedan that actually gets a substantial increase in Fuel Mileage and stop pushing these fuel hungry SUV's on consumers.
Better yet make a Hybrid Crossover Vehicle...
For Example the Buick Enclave is hot right now, take it and slap a Hybrid Power train in it and make sure it can get fuel mileage of at least 35 HWY and 40 City. I think that, that would sell because its a vehicle everyone can use because you can carry 6-7 People in it and you can tow pretty much whatever you want to with it.
But that's just my 2 cents worth
Russell @ Nov 9th 2007 2:32PM
Hmm..., first: Enclave is a car based crossover and cannot tow much of anything. Second: stop telling manufacturers what to do, they have research departments for that. Third: If I want to drive a behemoth, and it suites me, and I can afford it, I will drive a behemoth.
This is a free world, get used to it.
raz @ Nov 9th 2007 2:34PM
I think the potential is there if they'd be able to make system $500 cheaper, a little more efficient and drop the weight of a car by 100 or so LBs. With a slight improvment they have a chance to really become a leader.
Jared @ Nov 9th 2007 2:35PM
Lee:
STOP and put down the hybrid crack pipe.
The Enclave and its sisters are as big as a Tahoe, weigh 5000+ lbs and have a cross-section the size of a garden shed. There is no way they will ever achieve 35-40 mpg. Not with a hybrid gas drivetrain, not with a diesel, nor with a diesel hybrid.
Xcountryflyer @ Nov 9th 2007 2:26PM
Overpriced and underperforming.
Pete @ Nov 9th 2007 2:28PM
Where do all these idiots come from?
Pushing this stuff on consumers...
Did you finish high school?
adam @ Nov 9th 2007 2:28PM
At those prices, you'd be better off buying a non-hybrid Tahoe and an a Cobalt to drive when the Tahoe's abilities aren't needed.
raz @ Nov 9th 2007 2:45PM
Cobalt? It gets poor MPG. Get and SUV and a Honda Fit, or Civic, or Corolla.........Cobalt is never the answer.
adam @ Nov 9th 2007 2:48PM
I'm not debating the Cobalts validity here. Just trying to make the point that you could buy a regular Tahoe and a run-of-the-mill economy car for the price of a hybrid Tahoe.
Bob-omb @ Nov 9th 2007 2:54PM
Good point. Also, unless you actually need to tow, I see no reason to buy a Yukon over an Acadia. The Acadia actually has more people room, besides.
stuart @ Nov 9th 2007 2:56PM
Can't wait for diesels to come out next year. Not that any of the big 3 will have models, they're still trying to sell that E-85 ripoff fuel.
richardtoh @ Nov 9th 2007 3:17PM
If protecting the environment is your goal, the first step should be "don't waste resource". Kind of like the Hypocratic Oath "First do no harm".
I am not against those who have the financial wherewithal to acquire such trucks. If your need is so that you only need to haul a boat and carry 8 once per year or so, why not rent one when you need it?
The resource (your money) saved could be used in other areas. Buying a depreciating equipment such as a truck is never an investment.
I think the green folks have it wrong. Instead of telling others what to do, they could show others how to conserve by leading by example.
Larico Brown @ Nov 9th 2007 3:45PM
I wonder if FOMOCO will put a full hybrid in the Expedition so the GM, and New Chrysler/ Dodge want still all its sales. I bet if that do happens the FOMOCO will achieve more fuel economy and probably cost less to But i cant say that about the EL/ L version. I want to see a photo, a spy photo that is.