Why can't we start drilling for the oil in Alaska we know is there? Why are we restricted as to where we can drill for oil in certain areas because the environmentalists want to save certain endangered species of wildlife? People are vastly more important than wildlife, I would think. Additionally, why can't we start using our oil reserves?
The price of gasoline keeps going up. It gets to a point where the companies that deliver goods of all kinds have to raise rates to pay for the rising cost of gasoline. So the companies that they deliver on behalf of have to follow suit and raise their rates, whether they are factories, stores or whoever receives these products. The buying public, in turn, has to face the rising costs. How? With a dwindling paycheck or no paycheck at all.
We know there are thousands of people unemployed all over the country; some people are losing their houses, living with friends if they are lucky; families are breaking up; and people are living in shelters. True, there are charities helping out. But having a job, holding your head high, keeping your house and feeding your family do mean everything.
Just think about it. Why do we have this terrible spiral crippling us when we have our own oil? We are one of the biggest users of foreign oil in the world. If we cut down on our dependency on foreign oil, those countries would have to eventually lower their price for a barrel of crude and we wouldn't have to be solely dependent on them. Think about that spiral.
2011年3月22日 星期二
2011年3月7日 星期一
On The Rise: Gas Prices, Interest In Small Vehicles
Back in 2008, when gasoline prices topped $3 per gallon, many industry observers
pegged the magic inflection point where consumers would turn away from big vehicles
at $3.50. Indeed, 2009 was a great year for vehicles like Honda Civic and Prius, even
as the economy dove into the sod. It looks like consumers may be heading into fuel
sippers again, and analysts say that $3.50 magic number still holds water.
Unfortunately for automakers whose profits come by way of larger vehicles, gasoline
has surpassed $3.50 in a number of markets.
In December, just as the economy began showing signs of life, gasoline hit $3. Since
then, the trend has been up, with prices hitting $4 at the pump last week in places
like Southern California. And a new survey from Kelley Blue Book looking at consumer
sentiment and gas prices suggests that consumers have begun changing their vehicle
consideration criteria because of higher gasoline prices and fears about the economy.
Last month, per the firm's study, four out of five car shoppers said that gas prices
have influenced vehicle considerations. That reflects an increase of 11 percentage
points over the survey in January. Kelley Blue Book says the national average for gas
prices increased by 29 cents last month, and that 74% of the latest KBB.com survey
respondents said they expect gas prices to rise more in the next 30 days.
The firm says if prices were to stay at around $3 per gallon, car shoppers likely
would not make major changes in vehicle consideration criteria. But at the $3.50 per
gallon price point, more than half of consumers will feel that gas is so expensive it
will affect their vehicle consideration, and at $4 per gallon, 80% of consumers say
their vehicle consideration will be affected. At a price point of $5 per gallon,
almost all car shoppers (95%) said that gas prices would affect vehicle
consideration.
The current national gas price average is now around $3.39 per gallon, and Kelley
Blue Book says consumer activity on the KBB Web site corroborates results from its
survey. The firm says activity on its site in the compact segment of new cars has
increased by 9% versus January, which is the largest increase of any segment. But
hybrids have seen only a minimal gain of increased share 1% month-over-month.
Jack Nerad, executive editorial director and executive market analyst for Kelley Blue
Book's KBB.com, said the increased interest in fuel-efficient vehicles and lower
interest in "gas guzzlers" typically foreshadows corresponding changes in buying
behavior.
And Nerad tells Marketing Daily that the change has not been gradual. "It's been
precipitous," he says. "We saw a long lull [in consumer interest in compacts] through
most of the recession when fuel prices were down, and there was, in fact, lots of
interest in larger vehicles," he says. "But we have seen these new changes over the
course of three or four weeks, when the price of gasoline has increased by 33 cents.
There's a remarkable correlation when gas prices go up fast. It's like the frog in
lukewarm water: it never jumps out if the heat gradually increases. But if you
suddenly turn up the heat really fast, it jumps."
Nerad says that automakers are in a much better position now to address the latest
gasoline spike, and are much more aware of it. General Motors CEO Dan Akerson said
early in the year that he hopes to triple sales the Chevy Volt electric car, and that
the company is in a much better position -- product-wise -- to deal with higher
gasoline prices. "Ford has small cars, Chevy has Cruze, Hyundai has the renewed
Elantra, and there are more hybrids than ever before," he says.
pegged the magic inflection point where consumers would turn away from big vehicles
at $3.50. Indeed, 2009 was a great year for vehicles like Honda Civic and Prius, even
as the economy dove into the sod. It looks like consumers may be heading into fuel
sippers again, and analysts say that $3.50 magic number still holds water.
Unfortunately for automakers whose profits come by way of larger vehicles, gasoline
has surpassed $3.50 in a number of markets.
In December, just as the economy began showing signs of life, gasoline hit $3. Since
then, the trend has been up, with prices hitting $4 at the pump last week in places
like Southern California. And a new survey from Kelley Blue Book looking at consumer
sentiment and gas prices suggests that consumers have begun changing their vehicle
consideration criteria because of higher gasoline prices and fears about the economy.
Last month, per the firm's study, four out of five car shoppers said that gas prices
have influenced vehicle considerations. That reflects an increase of 11 percentage
points over the survey in January. Kelley Blue Book says the national average for gas
prices increased by 29 cents last month, and that 74% of the latest KBB.com survey
respondents said they expect gas prices to rise more in the next 30 days.
The firm says if prices were to stay at around $3 per gallon, car shoppers likely
would not make major changes in vehicle consideration criteria. But at the $3.50 per
gallon price point, more than half of consumers will feel that gas is so expensive it
will affect their vehicle consideration, and at $4 per gallon, 80% of consumers say
their vehicle consideration will be affected. At a price point of $5 per gallon,
almost all car shoppers (95%) said that gas prices would affect vehicle
consideration.
The current national gas price average is now around $3.39 per gallon, and Kelley
Blue Book says consumer activity on the KBB Web site corroborates results from its
survey. The firm says activity on its site in the compact segment of new cars has
increased by 9% versus January, which is the largest increase of any segment. But
hybrids have seen only a minimal gain of increased share 1% month-over-month.
Jack Nerad, executive editorial director and executive market analyst for Kelley Blue
Book's KBB.com, said the increased interest in fuel-efficient vehicles and lower
interest in "gas guzzlers" typically foreshadows corresponding changes in buying
behavior.
And Nerad tells Marketing Daily that the change has not been gradual. "It's been
precipitous," he says. "We saw a long lull [in consumer interest in compacts] through
most of the recession when fuel prices were down, and there was, in fact, lots of
interest in larger vehicles," he says. "But we have seen these new changes over the
course of three or four weeks, when the price of gasoline has increased by 33 cents.
There's a remarkable correlation when gas prices go up fast. It's like the frog in
lukewarm water: it never jumps out if the heat gradually increases. But if you
suddenly turn up the heat really fast, it jumps."
Nerad says that automakers are in a much better position now to address the latest
gasoline spike, and are much more aware of it. General Motors CEO Dan Akerson said
early in the year that he hopes to triple sales the Chevy Volt electric car, and that
the company is in a much better position -- product-wise -- to deal with higher
gasoline prices. "Ford has small cars, Chevy has Cruze, Hyundai has the renewed
Elantra, and there are more hybrids than ever before," he says.
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