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It was because of GM's silly insistence that people not call it a hybrid and focus on calling it an "EV" or "electric car" with "extended range" that you have people thinking it was a short range 40 mile EV. Yes, most (all?) people who thought that did not end up owning Volts, but if GM positioned the car as a PHEV, that might be different.
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GM has had tragic luck with "Hybrid" sales, and other brands of badged "Hybrid" are also weak sales. They don't save money for many years if ever.
You want to kill a technology? Put Hybrid on it.
Let's do the Best Hybrid on the Market Today (one of the few that shows a profit and acceptance): The #1 Prius stripper edition vs it's gas counterpart, the Corolla (which sells twice as many cars as Prius does):
Performance is similar.
Prius is $24,200 and 50 mpg.
Corolla is $17,230 and 37 mpg.
Assuming 15,000 miles a year, and gasoline is at $3.00/gallon, it takes 22 years (331,000 miles) for the Prius to break even.
And that's one of the cheapest Hybrids and one of the more expensive EconoBoxes.
Do some of the "Hybrid" SUV's if you want a real chuckle. Payback is way over 50 years between the Standard and Hybrid versions of the same model.
GM made a Hybrid full-sized Pickup with great reviews. Excellent truck, but the word Hybrid on it killed it. Built in AC power for onsite use of power tools, better $ savings on fuel, seamless operation, powerful.
I'm not sure badging a Volt as a Hybrid would increase sales. History shows the opposite.
If they would have called the Volt a Hybrid, the public would assume:
It is either slow and costs more, or fast and costs much more.
There is a Gas Only model available for less money.
It doesn't act like an electromotive powertrain at all, it acts like a gas car that turns the motor on and off constantly.
If you need to drive somewhere, you need enough gas range to get there.
Simply put, the Volt does not have a powertrain that fits the existing real world Hybrid status quo.