BUSINESS WORLD
Wall Stree Journal Report
By HOLMAN W. JENKINS, JR.

Dear Valued Hybrid Customer...
November 30, 2005; Page A19

We at the Toyota Motor Corporation are writing to address
certain misconceptions that have arisen about your Toyota
Prius model, which we are proud to note is driven by many
celebrities, including Prince Charles and HBO's Larry David.

Our pioneering gasoline-electric hybrid, introduced in 1999,
has become an object of adoration to the world's
enlightened car buyers. Our competitors, including America's
Big Three, are rushing out hybrid vehicles of their own.
Unconfirmed media reports say that we at Toyota intend to
double our hybrid output to 500,000 vehicles next year.
Along with other members of the auto industry, we will be
lobbying for tax breaks and HOV privileges for hybrid
vehicles.

However, any romance entering its seventh year tends to
go stale. Some purchasers have begun to question the
practical value of our Hybrid Synergy Drive technology.
You may be aware that a survey by Consumer Reports found
that our vehicles achieve considerably less mileage (some
26% less) than the sticker rating implies. This has led
to some unflattering media stories.

Let us assure you that the Prius remains one of the most
fuel-efficient cars on the road. Toyota applauds your
willingness to spend $9,500 over the price of any
comparable vehicle for the privilege of saving, at current
gasoline prices, approximately $580 a year.


And should the price of gasoline rise to $5, after 10
years and/or 130,000 miles of driving, you might even
come close to breaking even on your investment in hybrid
technology.

We recognize that our customers have an "emotional"
relationship with their vehicles. This transcends even
the regrettable truth that driving a fuel-efficient car
does not yield any substantial benefits for society if it
doesn't save the owner money.

Contrary to any loose statements made by our marketing
partners in the environmental community and media,
petroleum not consumed by Prius owners is not "saved."
It does not remain in the ground. It is consumed by someone
else. Greenhouse pollutants are released. Also, please note
that the warranty and owner's manual say nothing about
reducing America's dependence on foreign oil. This is not
an oversight. The Prius is an "oil-dependent" vehicle. It
runs on gasoline, supplied by the same world market that
fuels other vehicles.

The Toyota Corporation regrets any misunderstanding our
marketing may inadvertently have caused (or may cause
in the future).

We share your belief that the days of the internal
combustion engine are numbered. Further research by our
economists suggests this will happen when the price of
gasoline rises high enough to make alternative technologies
cheaper than gasoline-powered cars.

We at Toyota want you to know we recognize this effect
and have taken steps to compensate with the rest of our
vehicle lineup.

Our 2006 Tundra pickup will be equipped with Toyota's new
eight-cylinder engine, making it every bit as much of a
gas guzzler as any American pickup. We are also redirecting
our efforts to use our Hybrid Synergy Drive to increase
power output rather than reduce gasoline consumption.

Take our new hybrid SUV, which produces 38 more horsepower
but gets the same mileage as our conventional version. A
New York Times reviewer wrote, "One question lingers after
driving the 2006 Lexus RX400h: How did it come to this,
that Toyota is now selling a hybrid gas-electric vehicle
with no tangible fuel economy benefits?"

We hope this corrects any misimpression caused by our latest
slogan ("Commute with Nature"). Hybrid technology is not
"green" technology. Like heated seats or flashy exterior
trim, it's merely an expensive option that generates
large markups for the Toyota Corporation and its dealers.

You will share our pride in the latest figures from J.D.
Power & Associates, which show that the Prius continues
to move off a dealer's lot in just eight days, compared to
36 days for a Honda Civic hybrid. Clearly, our customers
are willing to pay handsomely for the privilege of showing
themselves behind the wheel of so conspicuously virtuous
a vehicle.

But we are also a far-seeing corporation. We recognize that
the Prius's distinctiveness may be a wasting asset for
reasons outlined in this letter. Other motorists may see
the Prius operator and think "sucker." Our lawyers advise
us this may affect your car's resale value. Toyota regrets
any inconvenience.

We want you to know that Toyota remains committed to
advancing hybrid technology just as long as our customers
are willing to make it worth our while. Our esteemed
competitor, Nissan's Carlos Ghosn, was recently quoted saying,
"There's such a buzz today that no CEO of a car manufacturer
dares to say his real opinion of hybrid because he's accused
of being retarded."

Another esteemed competitor, GM, has suggested that hybrid
technology is best deployed in city buses, where large fuel
consumption and stop-and-go driving might actually make it
economically sensible.

These are just two examples of the short-sighted, stick-in
-the-mud marketing instincts of our fellow automakers that
are helping to make Toyota the largest car company in the
world.

Yours Truly, the Toyota Corporation.

 

Well, hey, it's not like anyone would trade in CTD on a Hybrid anyway.



D'oh!

Britt, any thoughts?

 

I thought owning a hybrid is to make a statement.

MikeyB

 

uhhhhh, o.k. I think if ANY car maker was to be that honest, a lot more of us would just walk

 

Makes ya want to go out and buy one huh?

 

Yeah but enviroMENTALists are willing to spend any amount to save the earth. If their willing to kill people then whats a few dollars when you can say your saving the world.
Just remember, "Earth first,we`ll destroy the other planets later".

 

Okay... I'll bite.

We have lived with our two hybrids for almost 3 weeks now. My wife has filled hers up twice and I have filled mine up 3 times. So far neither have fallen below 50MPG (my last tank was 56 MPG). Now while some may think that hybrids don't make financial sense, I can assure you they do for us.

The truck didn’t make financial sense to me anymore. I towed nothing with it and all it ended up being was an 8500 lb suburban that never achieved anything over 18 MPG. My wife’s Honda Accord was getting around 28 MPG, which is good mileage, and if I had had my way we would have kept it. But my wife decided she wanted one also so who am I to say no?

Now the breakdown. We are saving over $300 a month on our car payments, $200-$250 a month on fuel, and $50 a month on insurance. Now that is a total of around $600 a month. That is over half of a mortgage payment. Pretty good financial sense to me.

If I still needed my truck I would have never traded it in. But I didn’t need it anymore. I didn’t buy the hybrids to “make a statement”; I bought them to save fuel. And they do that very well I might add. Now they are certainly not perfect, trunk space is too small for one thing, but no car is.

It is nice to be able to drive on around $10 a week on fuel. All you guys having to put over $100 a week in your tank and don’t tow with your truck, well I feel sorry for your pocket book.

Britt

 

I think hybrids are pointless really. I saw where car and driver(i know ) tested a ford escape(i think) hybrid SUV, and the best they did was 29mpg, and it took it forever to get to 60mph. I CAN GET 22mpg IN MY 6500lb TRUCK!!! Give me a 55mpg volkswagen Jetta anyday over a hybrid if i was wanting a car. I just think they are wasting their time with hybrids.

Eric

 

And if you take that view you will never change your mind. So much for alternative fuels for you huh? Keep on giving your money to big oil.

Britt

 

Biodiesel Britt; biodiesel.

I'm glad that the Erkel-mobiles are working out for you too...

 

I would have to say you are both right, I don't know how you like the hybrid if you keep it longer than the warranty thou, bio-diesel is a great idea for sure, needs to get way more available & cheaper, I can't understand why no DIESEL & elec. hybrids, just makes much more sense than gas & elec, with that VW TDI engine & elec. 80-90mpg

 

I haven't seen Britt for awhile....probably hanging out at the Toyota forum.

 

General Electric does already. They are called locomotives. Steering wheels are optional, and they are kinda pricey.

 

I thought DC was working on a "Contractors Special" Ram diesel/electric?

 

They are . www.hybridcars.com/ram.html