Devil's Advocate: "Something like a $45,000 Cruze" - Saab General Bulletin Board - Saabnet.com
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Devil's Advocate: "Something like a $45,000 Cruze"
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Posted by Bill Homer [Email] (more from Bill Homer) on Sun, 23 Sep 2012 07:27:31 Share Post by Email
In Reply to: What I don't get is why people here hate the Volt, Noel, Sun, 23 Sep 2012 06:30:46
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List price for a Chevy Volt is around $45,000 and it looks a lot like a Chevy Cruze. For $45,000 (or even a discounted lower price), one can buy a very nice luxury car with a conventional drive train.

Yes, I understand that the Volt has some cool new technology, but so did the Prius when it first came out - and Toyota did not charge $45,000 for the Prius. I'm sure that Chevy charged a premium for the then-new technology of the small block V8 (originally 265 cubic inch, later enlarged) when it first appeared in 1954, but I doubt that it doubled the price of the car and they did manage to amortize the cost of this milestone development over the next several decades and millions of units produced.

Payback time for the increased gas mileage is big mystery. As an example (from Wikipedia):

"According to Edmunds.com, the price premium paid for the Volt, after discounting the US$7,500 U.S. federal tax credit, takes a long time for consumers to recover in fuel savings, often longer than the normal ownership time period. Edmunds compared the Volt (priced at US$31,712) with the same-size gasoline-powered Chevrolet Cruze (priced at US$19,656) and found that the payback period for the plug-in hybrid is 15 years for gasoline prices at US$3 per gallon, 12 years at US$4 per gallon, and drops to 9 years with gasoline prices at US$5 per gallon. At February 2012 prices, the break even period is 14 years. These estimates assume an average of 15,000 miles (24,000 km) annual driving and vehicle prices correspond to Edmunds.com's true market value estimates."

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