Potential for affordable hybrid cars in China remains optimistic

June 4th, 2008, Shanghai – Expected to become the largest auto market in the world within the next decade, China will be at the forefront of the environmental challenges that are faced by the car industry. A recent survey conducted by one of the world’s leading market research companies, TNS, shows that hybrid cars could lead the way in the fight against pollution in the mainland.

The online study among car owners and purchase intenders in mainland China indicates that 8 out of 10 car buyers who are aware of hybrid technology (76 percent of interviewed consumers) would be ready to purchase a hybrid car at equal price to a regular gasoline powered vehicle. Every second person interviewed would even be willing to pay a 10 percent premium.  

However, the majority of those aware of hybrid technology does not know enough and deem insufficiently informed about hybrid cars. This contributes to a perception of lacking reliability and elevated maintenance costs.

"The results undeniably show huge opportunities for hybrid cars in the China market" says Klaus Paur, Shanghai based TNS Automotive Director for North Asia. "However, car manufacturers still have to do some homework before they can really exploit the potential in the market, that is informing better about hybrid technology, and bringing the price down."

To reduce pollution, the majority of car buyers bank on alternative energies and improved fuel efficiency, while to a lesser degree driving restrictions are thought to be effective. 

"Consumers understand that driving cars has a negative impact on the environment", Klaus adds. "However, they expect car manufacturers to present solutions to the problem rather than limiting their own mobility."

About this study

This study was conducted by TNS 6thdimension Access Panel among 1,251 car owners and purchase intenders in early April 2008. The study covered 3 tiers of cities, in total 24 cities within mainland China.
 
About TNS

TNS is a global market information and insight group.

Its strategic goal is to be recognised as the global leader in delivering value-added information and insights that help its clients make more effective business decisions.

TNS delivers innovative thinking and excellent service across a network of 80 countries. Working in partnership with clients, TNS provides high-quality information, analysis and insight that improve understanding of consumer behaviour.

TNS is the world’s leading provider of customised services, combining sector knowledge with expertise in the areas of Product Development & Innovation, Brand & Communications, Stakeholder Management, Retail & Shopper and Customer Intelligence. TNS is a major supplier of consumer panel, media intelligence and audience measurement services.

In business since 1992, TNS is one of the first international market research agencies to start operations in China. In recent years, TNS has grown substantially and established itself as one of the most successful and reputed market research and consulting agencies in China, with over 150 professional researchers and more than 300 employees in three full service offices in Beijing, Shanghai, and Guangzhou. TNS China focuses on the Automotive, Consumer, Finance, Healthcare and Technology sectors.

TNS is the sixth sense of business™.