REPORT: Honda Insight sales withering in face of competition from Toyota Prius

2010 Honda Insight EX - Click above for high-res image gallery
Honda's Insight hybrid is failing to live up to sales expectations here in the important U.S. market. While Honda claims the Insight was never meant to be a direct competitor to the Toyota Prius, the truth is that the two cars are very much rivals in the eyes of many new car shoppers (and some Honda dealers). With that in mind, the 2,079 Insights that Honda managed to sell in June pales in comparison to the 12,998 Prius hybrids Toyota sold in the same month. Further, Honda is on track to sell less than one-third of its stated goal of 90,000 units in its first year on the market.
According to The Los Angeles Times, some dealerships are hoping Honda can rebound with a revised marketing campaign highlighting the Insight's price advantage over the Prius, which currently sits at a few thousand dollars at the base end. There are surely any number of reasons why the Insight may be losing ground in the hybrid race, and you can probably pick out some of them by clicking here to read our review of the 2010 Honda Insight and then clicking here for our take on the 2010 Toyota Prius.
Gallery: 2010 Honda Insight
[Source: Los Angeles Times]













Reader Comments (Page 1 of 3)
Leclerc 10:35AM (7/31/2009)
Have you seen and drove both of these vehicles? No comparison, the Prius has it all over the Honda. Don't get me wrong, the Insight is a decent hybrid but this generation Prius is light years ahead in refinement.
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Ligor 10:51AM (7/31/2009)
add to that that the Insight is like a 8/10 size and mimics it's looks and what you have is somthing like a Prius wannabe with less space and not as good mpg.
had they come up with some original styling (and by that I also mean having good looks) they might have done beter inspite of the mgp drop.
JSams4131 10:53AM (7/31/2009)
I guess thats the advantage of being the first coompany to mass produce the hybrid. plenty of time has come and gone, generations of prius and now I can honestly say that thing looks better than that new Lexus HS25hhhh2hh
Chet 11:20AM (7/31/2009)
A hybrid is still an aspirational purchase, and I think most people are either going to buy the real thing or wait until they can.
People who can't afford a Prius aren't looking to pay a premium for a hybrid at all.
Dan 11:34AM (7/31/2009)
Agreed... but there's still no love affair with either vehicle. I'm ambivalent towards the "cheese wedge on pepperoni wheels" look. Here's hoping the CR-Z ups the ante... but based on sales of the Insight... magic 8ball says "unlikely."
zamafir 12:34PM (7/31/2009)
Leclerc has it. every non enthusiest hippie i know who went out intent on saving money and buying a insight over the prius went running to the prius, the insight, in their opinions, was that bad. The sales reflect this sort of reaction. Time for honda to realize, with all the competition the korean car makers are giving them below, and the established nature of toyota, that you can't nickle and dime consumers in the R&D phase and provide unpolsihed products, even below $20,000.
MarkAM1994 9:46PM (7/31/2009)
@ Ligor
Toyota had actually mimicked the FIRST generation Insight's body structure onto their 2nd generation Prius in 2004. So Honda was actually the one to come up with the efficient aerodynamic structure first.
Not THAT Matt 11:19AM (8/01/2009)
I don't even LIKE Honda (or Toyota), but agree whole-heartedly wih Leclerc - the Insight has nothing on the Prius.
Kumar 10:53AM (7/31/2009)
$2200 isn't enough to make people choose an Insight over a Prius.
Interestingly, from the article, Fusion hybrids at $10k more each, are selling at the same pace as the Insight.
So it may now have moved on to, build a better hybrid or diesel compact sedan, you get the sales?
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Kumar 10:58AM (7/31/2009)
To amend that thought, I'm more likely to pay thousands more for hybrid or diesel tech on a sedan (wagon actually), than on an SUV.
The auto companies struck out on hybrid SUVs for the most part, especially in this economy. With thousands off sticker for gassers, asking for $5k over sticker for a hybrid was the same as asking for at least $10k more than what people were paying for gas versions. Yes Aspen hybrid, you were a good example. ;)
Sean 11:34AM (7/31/2009)
If I could even remotely afford a Fusion Hybrid, I would have one right now.
mrtivo 11:45AM (7/31/2009)
Kumar, both Ford and Toyota have sold plenty of hybrid SUVs. I know Ford sells as many as they make, and Toyota sells even more.
Throwback 11:00AM (7/31/2009)
I think the main competition the Insight faces is from the Fit. For example, I had a friend check out the Insight and she bought the Fit instead. The difference in price (4K) more than made up for the additional MPG for her. It's not that she did not like the Insight, the Fit was simply the better deal.
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jay_murthy 11:01AM (7/31/2009)
Fusion is 10K more but is much-much bigger, Fusion is actually nearly 16 inches bigger than Pirus.
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Red 11:05AM (7/31/2009)
Is anybody really surprised? Even as a Honda fan, this vehicle was clearly not as well thought out as it should've been. Seems to be the Insight legacy as Gen 1, while great taken on its own merit, just wasn't as well thought out as it could've been when it came to the market place. The irony is, just after Honda ceased Gen 1 production, the market was truly ripe for it. I think its mainly a case of timing. The first gen was ahead of its time. This second gen is well passed it.
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zypr3xa 11:02AM (7/31/2009)
I am sure that the advertising campaign that Toyota is doing is helping out alot also.
I haven't seen any Insight ads or tv commercials ?!?!
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Epyx 12:02PM (7/31/2009)
I prefer the Prius to the Insight (if I had to choose one over the other) but is NOT becasue of those horrible, annoying, green-washing commercials with the "human plants" and irritating music.
I hate those commercials with a PASSION. The Prius is pretty nice despite the horrid marketing. I think the marketing campaign does more to perpetrate the pious greener than thou image rather than highlight the car on its merits (which are many).
Again - (flamers) I do like the Prius - just not the lame advertising.
JDM Life 11:06AM (7/31/2009)
This is a surprize because?
The Pruis is a damn good car for what it is made for. If i was in the market for a hybrid the Pruis would be in my garage....in red please.
The Pruis built its name....you really think everyone who owned a Pruis is just gonna run over to the Insight? Or any other hybrid for that matter.
Its King Hybrid....and its only going to get better.
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RG 11:06AM (7/31/2009)
I will probably get low ranked for this, but whatever.
Honda, what has happened to you? I understand and can appreciate that you are still independent, and profitable, but can you also be innovative? Are the two camps mutually exclusive?
I miss the Honda that set the world on it's ear. The original Accord, the Civic, CRX, s2000, NSX and Legend were all introduced to a collective gasp from the world as they were amazed by the technology and innocation these models offered.
Recently, one could make the claim that the Fit has achieved a similar sentiment, but my overall impression is that Honda has lost it's flair for truly introducing new technology. It's resting on it's laurels.
And here we are, with Honda's green halo car being rightfully beaten by a Toyota Prius that is better in pretty much every way, including "greeness."
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Throwback 11:31AM (7/31/2009)
I don't know why you would be low ranked. Your comments are on target. I fondly remember the '88 Civics with double wishbones at all corners, at a time when most eceonomy cars had struts and beam axles. I think this is where Honda's size may hurt them compared to Toyota, not enough units to spread costs around. I do have high hopes for the CR-Z however.