High Gas Prices Continue to Affect Public

Posted: March 17, 2011 in Uncategorized
High gas prices will continue to skyrocket, forecasters say

Consumers aren’t the only ones being affected by high gas prices recently. Increasing gas prices continue to affect the automobile industry in many different ways, experts say.

Consumers are starting to purchase more fuel-efficient vehicles in order to save money.  Larger vehicle sales have decreased dramatically since the price increase in fuel.

“When gas prices go up, the focus goes to vehicles that get high gas mileage,” Luther Mankato Honda sales consultant Bob Anderson said.

Gasoline prices rose to $3.60 a gallon locally last week and experts predict that prices will exceed $4 a gallon this summer.

A Changing Behavior

With the increase in fuel prices, consumer buying behavior has transformed.  Consumers’ fear of price increase is widespread and is being witnessed by automobile professionals

“Gas isn’t high-enough-priced yet, but once it reaches $4, then people will get a bit goofy and panic a bit.  Four dollar to $5 gas has a lot of people concerned,” Ben Heintz of Heintz Toyota said.

However, there are still many reasons why consumers need larger vehicles.  These reasons are:

  • work
  • outdoor enthusiasts
  • recreational use
  • safety features
  • hauling or towing purposes

These consumers pay the price for owning larger automobiles with lower gas mileage.  Although, some are growing weary of high gas prices.

“It’s getting old,” New Ulm resident Meredith Frank said.

With high gas prices penetrating the market, one thing is for certain, consumers will be filling up their tanks less and finding more efficient alternatives.

Keywords:  High Gas Prices

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