Toyota Motor Corporation (TMC) origin in Japan is the largest world’s largest auto manufacturer, offering a full range of models. Toyota has International presence in 170 countries and employs over 3,15,000 employees worldwide. It has Lexus, Daihatsu and Hino sub brands under its ownership. Toyota manufactured around 9 million vehicles in the year 2008 including these sub brands.
TOYOTA AS A BRAND:
The positioning of a brand is done keeping in mind where the company wants the people to see the brand and where exactly do they want the brand to go. The positioning is an important part of the Global Vision of the company. Toyota’s Brand Communication talks about “Moving Forward” This tagline embodies the spirit of constant innovation on the part of Toyota. It lends the associations of quality and technological capability to the brand. In India Toyota has a tagline “Quality Revolution” which signifies unmatched quality.
Toyota Brand Positioning:
•Commitment to improving society
•Innovation in Technology
Toyota Brand Image:
A dipstick study indicates that people associate Toyota with: •Quality
•Value for money
The reasons for its success could be attributed to the following factors: •Successful brand - Toyota has developed a trusted brand based on quality, good performance and for being environmentally friendly. •Innovation - Toyota is at the forefront of car manufacturing innovation. It was the first car manufacturer to embrace lean manufacturing (known as Toyota Production System) which is a faster, more efficient process which leads to less waste compared to the traditional batch and queue method of manufacturing. It also applied JIT (Just in Time manufacturing) and smart automation. Toyota has moved to a global manufacturing model. It successfully localizes the production to cut costs •Product Development - Key to the success in the car market is new models, which stimulate demand and loyalty to the Toyota brand. Toyota has reputation for producing cars that are greener, more fuel efficient, and of good performance. Toyota has sought to meet government requirements (for reducing the impact on the environment), economic changes (as prices of fuel - oil continues to rise) through the development of hybrid fuels. Toyota was the first car manufacturer to market hybrid (gas and electric) fuel, with the launch of Prius model, ahead of competitors. •Market Focused Strategy - Toyota has different strategies for different markets Eg: In the developing Asian markets, it relies on affordable cars and Multi Utility vehicles. Whereas, in a market like North America, new product launches have been key as innovation is a motivating factor for people to buy products and for the company to stay ahead of its competition. The European Market, on the other hand is heavily dependent on Integrated Manufacturing and Marketing. •It successfully created iconic independent brands such as the Corolla, Camry and Land Cruiser; and innovated them in order to maintain their brand equity. •It has also created successful brand extensions such as Lexus in order to widen its portfolio Toyota’s Brand positioning of quality is reinforced by the long list of brand surveys and quality awards it has received the world over: The J.D Power and Associates Quality Survey 2009:
The results showed Toyota’s dominance, with 10 autos rated as the best in 18 different vehicle categories of the survey. Toyota had the least problems per hundred vehicles and ranked higher than GM and Ford.
•TOYOTA BRAND PORFOLIO ANALYSIS
Toyota’s Product Portfolio: India
Toyota’s Product Portfolio: International
Toyota Land Cruiser
We will be focusing on the Indian brand portfolio of Toyota.
Segment1 ( Rs. 3-5 lakhs) : Entry level small car No offering...