EXECUTIVE SUMMARY

 

Vincentric's 2011 hybrid analysis showed that of the 27 hybrids measured, four had  a total cost of ownership that was lower than their all-gasoline powered counterparts.
 
The average price premium for a hybrid was $8,494, with an average fuel cost savings of $3,505.  When all costs to own and operate a hybrid were taken into account, the average cost of ownership for hybrids was $4,643 more than the all-gasoline powered counterparts.  The range between the best and worst savings was significant, with the 2011 Lincoln MKZ Hybrid saving buyers $4,438 while the 2011 BMW X6 Hybrid cost buyers over $25,000 more to own. The full study is published below.

2011 HYBRID ANALYSIS

 

There are many different approaches for comparing hybrids to their all gas counterparts.  At Vincentric, we have prepared different reports to help users understand the financial dynamics of hybrid vehicles.  By doing so, we enable users to better understand the expected costs (or savings) of driving a hybrid, resulting in the ability to make a more informed decision when considering the purchase of a hybrid vehicle.
 
Fuel prices used in these reports are based on a weighted average over the previous five months, so you may notice that they don't necessarily reflect current prices during times of rapid fuel price changes.  This is done to help ensure that the analysis reflects current market trends and not market extremes.
 
The reports assume 15,000 miles are driven annually, and the vehicle is owned five years.  It is also worthwhile to understand that the numbers shown are US averages, although the same analysis can be done for any state or the District of Columbia.
 
The reports below use data from our October, 2011 database update.

  

COST OF OWNERSHIP and FUEL COST COMPARISON

  

 There has been much debate over whether the premium price that hybrid vehicles command can be financially justified.  In this analysis, there were four hybrids that can be financially justified purely based on the total cost of ownership numbers. The following hybrid vehicles had cost of ownership numbers that were less than the all-gasoline powered counterparts:

 

• 2012 Toyota Camry Hybrid (-$481)
  
• 2011 Honda Insight (-$1,627)
  
• 2011 Mercury Milan Hybrid (-$2,100)
  
• 2011 Lincoln MKZ Hybrid (-4,438)
  

For those whose purchase of a hybrid is based upon minimizing the environmental impact and not strictly financially driven, the report identifies additional viable vehicles.  The following hybrid vehicles were shown to have additional costs of less than $3000 over 5 years, or less than $50 per month more than the gas-powered counterpart.
 

• 2011 Lexus HS 250h ($281)
  
• 2011 Toyota Prius ($851)
• 2011 Lexus RX 450h ($1,591)
  
• 2011 Porsche Cayenne S Hybrid ($1,966)
  
• 2011 Mercedes-Benz ML 450H ($2,616)
  
• 2011 Hyundai Sonata Hybrid ($2,640)
  
• 2012 Ford Fusion Hybrid ($2,664)
  
• 2011 Mercury Mariner Hybrid ($2,867)
  
• 2012 Honda Civic Hybrid ($2,982)
  

In addition to carbon emission improvements, hybrids are known for their improved fuel economy.  The models that provide the greatest benefit over their gas only counterparts are:
 

• 2011 Lincoln MKZ Hybrid (-$6,294)
• 2011 Lexus CT 200h (-$5,218)
  
• 2011 Cadillac Escalade Hybrid (-$5,087)
  
• 2011 Toyota Highlander Hybrid (-$5,049)
  
• 2011 Lexus RX 450h (-$4,851)
  
• 2011 GMC Sierra 1500 Hybrid (-$4,698)
• 2011 Chevrolet Silverado 1500 Hybrid (-$4,698)

 
Of course for those who are looking to minimize fuel purchases, it is important to know the hybrid vehicles with the lowest overall fuel costs.  They are:
 

• 2011 Toyota Prius II ($5,955)
• 2012 Honda Civic Hybrid ($6,714)
• 2011 Lexus CT 200h ($7,102)
• 2011 Honda Insight ($7,153)
• 2012 Toyota Camry Hybrid ($7,187)
• 2011 Lincoln MKZ Hybrid ($7,655)

 
The chart below shows further detail regarding the items related to cost of ownership and fuel consumption for each hybrid.  In addition, by clicking on the vehicles names in the chart, you will see a detailed comparison of the two vehicles.
 
The three numbers provided in the summary chart for each vehicle are:
 

1. The Price Premium - This shows how much more you pay for the hybrid.
2. Cost of Ownership Differential - This shows how much more (or less, if a negative number) it will cost to own and operate the hybrid compared to a similar all-gasoline powered vehicle.
3. Fuel Cost Differential - This shows the fuel savings obtained by the hybrid.  Buyers often only look at fuel savings due to its reduction in the use of petroleum, although from a strictly financial perspective the Cost of Ownership differential is the relevant number.