Ad Track: Prius, Insight face off in battle of the hybrid green ads

ByABC News
May 18, 2009, 1:21 AM

NEW YORK -- Toyota and Honda are going emission to emission in ads for their new hybrids.

But the timing stinks. Thanks to the recession, auto sales are in the tank overall. And the drop in gasoline prices since last summer has deflated demand for gas-electric hybrids, which can have higher prices than equivalent traditional vehicles.

As the two Japanese automakers launch their latest hybrids, both are using upbeat ad campaigns that try to position hybrids as green, but mainstream, vehicles, not just niche products for a green elite.

"Honda and Toyota are very competitive ... and try to show who's the greenest and who has the best quality," says Dave Cole, chairman of the Center on Automotive Research. "The challenge right now is that it's hard to sell green. The market, in general, is spooked."

Beyond aggressive populist ad campaigns, Toyota and Honda have been aggressive in pricing the base models to make their hybrids more affordable.

Honda's smaller Insight, launched on Earth Day last month, starts at about $20,470 with shipping, and tops out short of $24,000. The third-generation Toyota Prius, arriving at dealers this month, will have a base model Prius I that Toyota says will start at $21,750. Toyota came in with the aggressive entry-level price after Honda's Insight was a hit in Japan, where it was launched earlier this year.

"They both want to get into the position that you don't have to be rich to be green," says Cole.

Prius ads by Saatchi & Saatchi LA, bill it as "harmony between man, nature and machine."

TV spots that will run for five months are extravagant, choreographed ads using people wearing grass, cloud and tree costumes to create a living landscape. As the car rolls through the landscape the "nature" people move with it.

"It's a visual way to support the thought of harmony between man, nature and machine without it being a hollow statement," says Kim McCullough, corporate manager, marketing communications, Toyota MotorSales.

Toyota's Prius, which launched in the U.S. in 2000, has a loyal base of green buyers. The new message, and some new features, are designed to attract a broader audience. One new option is a glass moonroof with solar cells that power a parking ventilation system.