Honda undercuts Prius with sub-$20,000 Insight
DETROIT (Reuters) - Honda Motor Co (7267.T) on Tuesday set the base price for its Insight hybrid at 10 percent below the market-leading Prius hybrid made by larger rival Toyota Motor Corp. (7203.T)
Honda said the 2010 Insight would start at $19,800, making it the first hybrid to sell in the U.S. market below $20,000. The 2009 model Prius starts at $22,000.
Honda has positioned the five-door Insight as an economical alternative to the Prius, which has come to dominate the hybrid market with its distinctive styling and fuel economy.
"I think what they are looking to do is to bring a new buyer to the marketplace for hybrids, people who are interested but maybe couldn't afford the Prius," said Jack Nerad, analyst at Kelley Blue Book, a leading vehicle pricing guide.
Article continues; http://www.reuters.com/article/GCA-autos/idUSTRE5296WJ20090310