By William Maley
Staff Writer - CheersandGears.com
April 16, 2013
With gas prices on the rise, you would think sales of subcompact vehicles would also be rising? No. Wards Auto reports that subcompact sales are off since October, even though the price of a gallon of gas is rising and holding steady at $3.50 to $4.00 across the country.
So why the drop off in subcompacts? Wards has a couple ideas to explain this. For one, the reason might lie in the boom/bust cycle that comes as a result of new or aging models in each segment. For example, the large crossover class are up a whopping 61% in the same time frame, thanks in part to new models and derivatives. But as Wards points out, most of the subcompact lineup are only two years old or less.
The more likely reason for the drop off may have to deal with compact cars getting the same fuel economy as subcompacts. Also the difference in price between compacts and subcompacts isn't really there.
Source: Wards Auto