Honda Insight 2.0 may undercut the Toyota Prius by $1,000s
Honda introduced its original Insight in 1999 as the first mass produced hybrid vehicle in the United States. In 2006, Honda retired the model due to sluggish sales. But now in the face of increasing hybrid popularity and competition from Toyota and GM, Honda has decided to rework the Insight and has just announced a new 5 door hatchback version which aims to sell for less than the Toyota Prius.
If Honda follows through with its claims, it will be targeting yet another segment in the blossoming hybrid market. The Toyota Prius caters to midrange buyers with its $22,000 starting price point, the Chevy Volt continues to fluctuate between $30,000 and $40,000 which targets a wealthier demographic. And now, there’s the Honda Insight with rumors putting its price tag at about $19,000.
That puts a hybrid vehicle at the fingertips of most consumers looking to buy a car.
Honda is being coy though, it’s not releasing a specific price yet: “going on sale in the U.S. next spring, the all-new purpose-built Insight will come to market at a price significantly below hybrids available today,” according to a company press release.
The company is still smarting from Toyota’s sucker punch, who largely ran away with the hybrid market after producing the Prius.
Apparently most of the price savings has come from cost cutting in the Integrated Motor Assist (IMA) components, which “uses an electric motor mounted between the engine and transmission to act as a starter motor, engine balancer, and assist traction motor,” according to Wikipedia.
Honda’s original Insight also suffered from some criticism in its design. The new version shares many of the same shapes as the Toyota Prius (picture of concept below).
The company is also quick to point out that the original Insight achieved 70 mpg, but that was the EPA’s previous mileage test which were significantly higher than typically realized mpg.
It’s good to see more options emerging in the industry, and if Honda’s typical reliability extends to the new Insight, it looks like they’ll find success by smartly catering to consumer demand.
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