| IntelliChoice 5-Year Ownership Costs |
What is a BOVY?
What is a BOVY?
IntelliChoice analyzes nearly 2000 models to determine the automotive market's Best Overall Values.
IntelliChoice aggregates and analyzes data from auto manufacturers, the U.S. government, and third-party data resources to determine the actual costs of ownership of new vehicles over a five-year period, and assigns a value rating to all mainstream vehicles sold in America each year. This insightful value rating factors the accumulated ownership costs of depreciation, maintenance, repairs, fuel, fees, financing, and insurance to identify the true standout models in each class.
Vehicles with just low ownership costs do not necessarily make good values. IntelliChoice's Best Overall Value of the Year (BOVY) awards recognize those vehicles whose total cost of ownership is significantly lower than expected relative to their peer models, thus assisting consumers in making smarter purchase decisions. These vehicles are not just excellent values; they are the top-ranked models in their respective classes. While there are many factors to consider when buying a new vehicle, the annual BOVY winner list provides a quick reference to distinguish those vehicles on the market that promise the best return on investment.
This year, IntelliChoice identified 33 winning models for segment and class accolades. As with previous years, we also identified eight overall winners for cars, trucks, vans and SUVs. Such varied and thorough segmentation is utilized to ensure that you will find an award relevant to your new-vehicle search.
Overall Value Ratings are determined by taking the individual statistical/economic performance of each trim within assigned model line groups (for example, Honda Accord V6 Sedan) and generating an average of that figure. These 'averages' are then ranked and rated against the other model lines within the vehicle's class.
IntelliChoice also rates the vehicles by each specific trim. Thus, once a consumer determines which model they are interested in, they also have an understanding of how a particular trimline rates within the model line-up. Since many vehicles have numerous trims available, and the price of each can be dramatically different (in terms of cost and options), it's critical to be able to determine which trim may be a better investment value than another. Often times, pricier trims do no hold their value as well, may have higher maintenance costs, or have performance powertrains that reduce the fuel efficiency of the vehicle. Any or all of these areas of ownership costs can negatively impact the value rating.
This year's winner list represents a diverse set of manufacturers including Audi, Infiniti, Chevrolet, Volkswagen, Mazda, Scion and MINI. The Toyota Sienna and Tundra, MINI Cooper, and Volkswagen R32 were not available for the 2007 analysis, and all won Best Overall Value of the Year this year. In general, Toyota continues to dominate with a total of nine awards, including the redesigned Land Cruiser for Full-Size Utility and the 4Runner for Intermediate Utility. The Chevrolet Silverado, refreshed last year, took five of the six Full-Size Pickup class wins.
Among hybrid vehicles offered for 2008, the Prius, Escape and Civic won BOVY awards in the Midsize, Compact Utility/Crossover and Subcompact classes, respectively.
While some vehicles remain consistent performers year after year, some shifts in ownership costs, value ratings and subsequently the BOVYs are to be expected. This may be due to in part to customary changes in the assumptions we use to calculate a given cost area (for example, the financing rate), changes in vehicle or manufacturer data (variances in pricing or warranty coverage), a widespread cost fluctuation over time (as with fuel or insurance), or a significant difference in the vehicle competitor set within a given class. Due to the inevitable flux in fuel costs, the inflation rate of fuel over five years was increased to 9.79%.
Depreciation is still the most significant area of ownership costs, and as a rule, vehicles with very good retained values tend to do better in overall value. Hybrid models are an excellent example of this, as their higher initial costs may be offset by excellent retained value over time, still making them great purchases in the long run.
The BOVY list for 2008 can be viewed at http://www.intellichoice.com/best_values/bovy (new winners are posted each year in early February). To review specific cost areas, and make trim-to trim comparisons, simply click through on the IntelliChoice 5-Year Ownership Cost link on any vehicle report.
If a model performed particularly well in one or more individual ownership cost areas, we indicate it on the Overview page of each vehicle report. These vehicles are either the Best or Among the Best (top 10%) in their respective classes.
It should be mentioned that due to the transient nature of manufacturer rebates, such short-term incentives are not included in the annual calculations for Best Overall Values. However, IntelliChoice repeats this analysis on a monthly basis to include recently released models, and to account for updated fuel costs, pricing changes, and nationally available rebate programs. The vehicles that stand out on a monthly basis are dubbed "Best Deals of the Month." A complete listing of the Best Deals of the Month can be found at http://www.intellichoice.com/best_deals/bestDeals.
The Best Overall Value of the Year awards identify THE vehicles that promise the best return on investment within their classes.
