My colleague Stephen Metzger has performed a cost/benefit analysis of the light duty utility vehicle segment with a focus on price versus cargo box capacity for vehicles priced between $5,200 and $10,000. He used the mid-point in the price range to examine two sets of vehicles from a range of manufacturers. Comparing the two price ranges, vehicles in the lower price range had a slightly higher variation in price but a lower variation in cargo box capacity. The higher priced vehicles showed a significant variation in cargo box capacity. In conclusion he states:
In comparing the two sets of vehicles, it appears to be more difficult to place a superior cost/benefit value in the lower price range. The variation in the cost/benefit ratio is relatively small. Yet the opportunity lies in raising the cargo box capacity, while maintaining price. Then lower price range vehicles begin to encroach on capacity featured in the higher priced models.
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