Is diesel still a viable business case for Audi in Canada (or N/A)? Discuss.
05-26-2008, 08:37 AM
#1
AudiWorld Super User
Thread Starter
Join Date: Jul 2006
Posts: 4,825
Likes: 0
Received 0 Likes
on
0 Posts
Is diesel still a viable business case for Audi in Canada (or N/A)? Discuss.
Just curious what the feeling is out there considering, amongst others, that:
1) diesel costs have increased significantly and are now more than gas...let's say 10% greater.
2) premium to buy a diesel vehicle over a gas vehicle.
The business case decisions for a buyer used to be higher upfront costs get paid back by better fuel economy combined with cheaper fuel costs. Now, the cheaper fuel costs is negated, so the business case question is does the higher upfront costs + the higher fuel cost get paid back by improved fuel economy.
Also, how does all of the above factor in for Audi's decision to push diesel cars as their "hybrid"?
1) diesel costs have increased significantly and are now more than gas...let's say 10% greater.
2) premium to buy a diesel vehicle over a gas vehicle.
The business case decisions for a buyer used to be higher upfront costs get paid back by better fuel economy combined with cheaper fuel costs. Now, the cheaper fuel costs is negated, so the business case question is does the higher upfront costs + the higher fuel cost get paid back by improved fuel economy.
Also, how does all of the above factor in for Audi's decision to push diesel cars as their "hybrid"?
05-26-2008, 08:59 AM
#2
There is the cost factor as you note but also the winter concern with the possibility of the fuel..
getting too thick to be pumped to the engine.
You get better fuel economy with diesel but the engine is at a premium. What you actually save over a year may be absorbed in the capital coat.
You get better fuel economy with diesel but the engine is at a premium. What you actually save over a year may be absorbed in the capital coat.
05-26-2008, 09:12 AM
#3
AudiWorld Super User
Join Date: Mar 2000
Posts: 13,967
Likes: 0
Received 0 Likes
on
0 Posts
Manufacturers need to provide the 'equivalent' diesel engine at the same price as the petrol version
In the UK, from what I've been told, the price differences are marginal. Over here, I'm suspecting the price will be even more, so for example, the 3.0TDI will be a thousand or two more than the 3.2L due to additional things such as the AdBlue Urea. Plus the lack of a diesel engine that is comparable to the 4 cylinder engine is missing for Audi.
Everybody else I suspect has these same challenges.
Everybody else I suspect has these same challenges.
05-26-2008, 09:14 AM
#4
AudiWorld Super User
Join Date: Dec 2004
Posts: 2,113
Likes: 0
Received 0 Likes
on
0 Posts
It'll be difficult to discuss impact without real numbers.
Average L/100 decrease and projected price premium for diesel are both critical variables.
Think we'd have to combine those 2 variables with a couple of assumptions (getting to a diesel station not a problem, average 25,000km/year, no material difference in maintenance costs between diesel, petrol and hybrids?) and then we'd have a start.
There's the fuel economy dimension for the money-conscious and then there's the carbon emissions dimension for the tree-conscious.
I believe Audi has to deliver on all dimensions for this not to seem like some marketing stunt.
Think we'd have to combine those 2 variables with a couple of assumptions (getting to a diesel station not a problem, average 25,000km/year, no material difference in maintenance costs between diesel, petrol and hybrids?) and then we'd have a start.
There's the fuel economy dimension for the money-conscious and then there's the carbon emissions dimension for the tree-conscious.
I believe Audi has to deliver on all dimensions for this not to seem like some marketing stunt.
05-26-2008, 09:16 AM
#5
AudiWorld Super User
it won't be due to price but more for environmental reasons...
... if the fuel consumptions numbers are lower, it will help reduce your carbon footprint.
Kirk
Kirk
05-26-2008, 09:53 AM
#6
AudiWorld Super User
Join Date: Mar 2000
Posts: 13,614
Likes: 0
Received 0 Likes
on
0 Posts
I would position diesels against hybrids rather than gasoline
You can certainly make a case for it then -- play up the environmental angle and the advantage of predicable reliability of a proven technology versus the unknown hybrids. But make sure diesels cost the same as the gas equivalents.
05-26-2008, 10:05 AM
#7
New Member
Join Date: Oct 2004
Posts: 99
Likes: 0
Received 0 Likes
on
0 Posts
I think we should petition for the diesel-hybrid instead of regular diesel
It's out there and it's better gas-hybrid.
We will see where VW is going with it.<ul><li><a href="http://blog.wired.com/cars/2008/03/revealed-volksw.html">http://blog.wired.com/cars/2008/03/revealed-volksw.html</a</li></ul>
We will see where VW is going with it.<ul><li><a href="http://blog.wired.com/cars/2008/03/revealed-volksw.html">http://blog.wired.com/cars/2008/03/revealed-volksw.html</a</li></ul>
Trending Topics
05-26-2008, 12:47 PM
#9
AudiWorld Super User
Join Date: Dec 2004
Posts: 2,113
Likes: 0
Received 0 Likes
on
0 Posts
Fair. I'm also curious about the environmental impact of manufacturing and disposing of hybrids...
All of those batteries ultimately require energy and resources to create, and I'm still curious to know how they'll dispose of them.
What are the unintended effects of pushing out hybrids? After all is said and done and you factor in manufacturing and disposal, do they still net positive gains WRT carbon emissions and energy consumption?
What are the unintended effects of pushing out hybrids? After all is said and done and you factor in manufacturing and disposal, do they still net positive gains WRT carbon emissions and energy consumption?
