A new study by GfK NOP announced today finds that the price point at which consumers are ready to take action to save on gas starts at $2.50 per gallon. The 2005 GfK NOP Green Gauge Study identifies the price thresholds at which Americans say they will alter their lifestyles to save on gas, including carpooling; using public transportation; walking, biking or using other forms of transportation; reducing overall driving, using their most fuel efficient vehicle; and buying a more fuel efficient vehicle.
When fuel averages hit $2.50 per gallon, 26% of Americans surveyed say they kept their most gas guzzling vehicle in the garage as much as possible, and an additional 22% admit they tried to reduce the amount of time they spend on the road.The following illustrates the lifestyle changes consumers will make based on the price per gallon of gas.
Based on the Percentage of Consumers Owning at Least One VehicleNumbers are cumulativeLife Changes As a Result of Rising Prices
|Drive Your Most Fuel Efficient Vehicle
|Immediately Purchase a More Fuel Efficient Vehicle
|Reduce Overall Driving
|Walk/Bike More and Other Forms of Transportation
|Use Public Transportation
Four dollars a gallon marks the threshold at which approximately half of consumers say they will adopt new strategies to save on fuel. At that price point, roughly half of respondents state they would decrease their fuel consumption by carpooling; walking, biking or using other forms of transportation; limiting total drive time; using their most gas-efficient vehicle; or immediately purchasing a more fuel-friendly car. Prices would need to reach $5 per gallon before a majority of consumers say they would resort to public transportation.
"As fuel prices rise, consumers will turn more and more to fuel efficient vehicles as a strategy to save on both gas and money," explains Cary Silvers, vice president of GfK NOP. "The $4.00 a gallon mark will mean a boom market for hybrid vehicles. This is good news for automakers who are ahead of the curve, and already rolling out new models to meet this increase in demand."About the 2005 GfK NOP Green Gauge Study...
The 2005 Green Gauge Study surveyed 2,000 adults ages 17 and up using in-person, in-home interviews. All participants included in the study owned one or more vehicles.