Research reveals consumer attitudes to low carbon cars

Wed 25 May 2005 View all news

Most car buyers are unaware of the lifetime cost savings of purchasing more fuel efficient, ‘climate friendlier’ cars according to research carried out on behalf of the Low Carbon Vehicle Partnership (LowCVP). The research findings were presented today the Climate Change Solutions Conference in Birmingham (25 May).

The average motorist significantly underestimates the total cost of owning a car and many drivers are unaware that Vehicle Excise Duty (VED - annual ‘road tax’) rates are less for cars producing lower CO2 emissions. Furthermore, many car buyers assume there is little difference in fuel efficiency (miles per gallon) between cars of the same type. Consequently motorists are more likely to be influenced by immediate considerations such as the cost of purchase and driving performance rather than by fuel economy and environmental issues.

The LowCVP commissioned Ecolane to carry out the research as the first stage of a two-part process, bringing together existing information from a range of sources from both within and outside the Partnership. The second stage will include original research intended to build and elaborate upon the findings of the initial study.

The outputs of both stages will be shared amongst Partnership members to help inform companies marketing strategies and provide some pointers for government policies.

On their own, the report says, pure environmental considerations currently play little or no part in determining buyers’ decisions. This is despite the fact that other research shows that the environmental issues of most concern to public over next 20 years are traffic, air pollution and climate change.

The initial research indicates that financial incentives are necessary but not sufficient in themselves to stimulate pro-environmental consumer behaviour in terms of car choice. Car buyers also need to have a positive ‘attitude’ about low carbon models.  However, there is evidence that consumers currently have a very poor understanding of low carbon and fuel-efficient vehicle options.

The report does, however, recommend that there are some ‘early adopter’ groups of car buyers – notably certain company car fleets – who are likely to be more responsive to marketing activities designed to promote sales of low carbon cars.

Earlier this year, the Low Carbon Vehicle Partnership announced the introduction of a colour-coded fuel economy label as a result of a voluntary industry-wide agreement with stakeholders. The new label, which will appear in all new car showrooms from September this year, will provide car buyers with more accessible information about a car’s environmental performance and the close link between lower CO2 and lower costs.

The LowCVP’s Chairman, Graham Smith, (who is also MD of Toyota) says: “If we can better understand how consumers can be motivated to buy lower carbon cars, motor companies can more easily produce the right products and market them to consumers in the most effective ways.”

LowCVP Director, Greg Archer, added: “We need a package of effective incentives to encourage sales of energy efficient cars. This study provides the motor industry and government with a clearer picture of how motorists can be encouraged to change their car buying behaviour.”

For the full report, see below.

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