It might come as a surprise to some that sales of compacts, electrics, and hybrids are falling behind crossovers, SUVs, and trucks. The biggest winner is Jeep, while the biggest loser seems to be Volkswagon. But why? What happened to the boom in environmentally friendly vehicles?
Perhaps the consumer that is drawn to smaller, more environmentally friendly cars is also being drawn to newer alternatives like ride-sharing services, Uber, and bicycles, while the consumers buying these larger vehicles don’t have a replacement yet for carpool, grocery runs, and dependable comfortable transportation to and from the suburbs.
Seen in this light, car companies that invest in improving the fuel economy and entertainment packages in SUVs and trucks will see the most benefit for quite some time.