Toyota prices its new Prius and clearly reacts to the threat from the new, $20,470 Honda Insight by creating a new, as-yet-undefined, base Prius model that will go on sale later for $21,750.;
;"We face two big challenges in launching our new Prius," said Toyota Motor Sales General Manager Bob Carter at the Prius media introduction in February. "First is the economy, and second is the Honda Insight."
In announcing pricing for the Prius today, Toyota is defending its turf and clearly acknowledging that it no longer expects to have the hybrid-hatchback-sedan market to itself. Toyota will offer FIVE different Prius models to try and meet the needs of all hybrid buyers, from bargain hunters to those who want all the bells and whistles. It's obvious that Toyota scrambled to react to the low, low base price of the Insight, because it announced today that "A new base model with a lower level of standard equipment is scheduled to be available later this year. It is designed to appeal to the most cost-conscious businesses and consumers." That Prius, the Prius I, will cost $21,750.
Other Prius models climb in price and equipment:
Prius II $22,750 (cruise, 6-speaker CD stereo, multi-information display)
Prius III $23,750 (6-disc, 8-speaker JBL stereo, sat radio, Bluetooth)
Prius IV $26,550 (Smart Key, leather, heated seats)
Prius V $28,020 (17-inch wheels, LED headlamps)