2016 Toyota Prius: Sales Target Lowered as Cheap Petrol Undercuts Hybrid's Main Selling Point
Japanese carmaker Toyota Motor Corporation has lowered its global sales target for its brand-new Prius model. The many praises thrown its way have not helped the 2016 Toyota Prius deliver its main selling point, which is currently being undercut by low petrol prices.
On Dec. 9, Toyota announced its new global sales targets. Toyota has now placed its target for the fourth-generation Prius at 300,000 to 350,000 average global annual sales, according to Reuters. Those following the automobile company might remember this figure as being the lower end of its annual sales target for the previous model.
The decision to lower its global sales target was mainly influenced by the declining prices of petroleum, which has reduced consumer demand for a fuel-efficient car like the 2016 Toyota Prius. The prices of petrol in the country is now at its seven-year low.
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Adding to this is the decreasing demand for hybrid cars. This decline in annual sales of fuel-efficient cars started since 2013, dropping by 9 percent year over year (2013-2014) and by 16 percent in the first half of 2015. This has affected how many units of its Prius models the company was able to sell, in addition to having an influence in Toyota's sales target. Toyota said its sales of Prius models in the United States have dropped 12 percent from the start of this year to November compared to the same period last year.
The 2016 Toyota Prius has been praised for its "new high-tech looks" and has been dubbed as the "go-to choice among hybrids" by an Edmunds review.
The car went on sale in Japan Wednesday last week for 2.4 million yen or about $19,807.63. It is expected to launch in the rest of Asia and North America in January and in Europe come February.
