SlideShare ist ein Scribd-Unternehmen logo
1 von 93
Downloaden Sie, um offline zu lesen
+
                      Toyota
BerryBee               Prius

 Agency               Kathryn Drake
                       Amy Ewing
    April 27, 2010     Kim Grams
                                       Account
                     Beatriz Mendoza   Planning
                       Corey Zoller
+                                                                            2


             The BerryBee Agency:




    Corey Zoller
                                     Kim Grams
                                                 Kathryn Drake
                   Beatriz Mendoza



                                                                 Amy Ewing
+                                                    3

                         Table of Contents

       Secondary Report                     4-25

       Survey Report                        26-54

       Qualitative Report                   55-90

       Creative Brief                       91-93
+                      4




    Secondary Report
+                                                                                    5

            Part 1: The “Three C” Situation Analysis


       The Company/Brand
           History of the company
             The Toyota Prius is a full hybrid electric mid-size car developed
              and manufactured by the Toyota Motor Corporation. The Prius is
              the most fuel efficient gas car currently sold in the U.S. according
              to the United States Environmental Protection Agency. It first
              went on sale in Japan in 1997, making it the first mass-produced
              hybrid vehicle. It was subsequently introduced worldwide in
              2001. The Prius is sold in more than 40 countries and regions,
              with its largest markets being those of Japan and North America.
              The vehicle was named "Prius", the Latin word for "prior" or
              "before"
+    Company        Sales Trends
                                                                                                       6




                                    Annual sales worldwide and by region[78]

                                                (in thousands)
                                               North
      Year   World       Japan                                           U.S.[79]     Europe   Other
                                              America


      1997    0.3          0.3                                                                    


      1998   17.7         17.7                                                                    


      1999   15.2         15.2                                                                    


      2000   19.5         12.5                   5.8                           5.6     0.7     0.01


      2001   29.0         11.0                  16.0                       15.6        2.3      0.2


      2002   28.1          6.7                  20.3                       20.1        0.8      0.2


      2003   43.2         17.0                  24.9                       24.6        0.9      0.4


      2004   125.7        59.8                  55.9                       54.0        8.1      1.9


      2005   175.2        43.7                  109.9                      107.9       18.8     2.9


      2006   185.6        48.6                  109.0                      107.0       22.8     5.3


      2007   281.3        58.3                  183.8                      181.2       32.2     7.0


      2008              73.1[80]                                           158.9


      2009              208.9[80]                                        139.7 [81]
+    The       4 P’s of marketing for this brand
                                                                                                  7




       Products
         Full Hybrid Electric Mid-Size Car

       Place
         Distributed in Japan
         http://wiki.answers.com/Q/Where_is_the_Toyota_Prius_manufactured

       Promotion
         http://www.youtube.com/watch?v=Tq4nrmnqY9o
         http://www.toyota.com/prius-hybrid/commercial.html

       PR
         http://www.pamil-visions.net/toyota-prius-brake-proble/211529/
         http://pressroom.toyota.com/pr/tms/toyota/toyota-announces-prices-
          for-2010-89249.aspx

       Price
         $21,000- $27,270


                Sources: blue links listed above, and http://en.wikipedia.org/wiki/Toyota_Prius
+                                                                                                  8

 The Consumer of the Brand
   Demographics of current brand users

    − Women, ages 45-64, Married (MRI)
    − The average age of a hybrid driver is 50, compared to the average age of all car buyers at
    40. (hybridcars.com)
    − Income: $100,000+ (MRI)
            − 71 Percent of Prius owners reported in a survey from Topline Strategy Group that
    they earn more than $100,000. This is more than twice the national average.
            − Home value: $500,000+ (MRI)
    − Education: Post College Degree (MRI)
            − Hybrid owners are more than twice as likely to have a college degree as all US
                        adults.


    -Occupation: Professional or Management, Business, and Finance Occupations (MRI)
    − Geography: County Size A (MRI)
           − According to a JD Power study, consumers who are willing to pay more for a
           hybrid vehicle are concentrated the most in the West and the least in
           the Midwest.
           − The top markets of hybrid ownership are Tucson, San Francisco, Washington
           DC, and Las Vegas. Households in these markets are twice as likely to own a
           hybrid than households nationwide. (Scarborough Research)
           − California is consistently ahead of other states in terms of new vehicle
           registrations for hybrids. (hybridcars.com)
    −    Race: White or Asian (MRI)
+      Psychographics                                                                    9


         −    Attitude:
                        •    JD Power found that hybrid owners are “78% more likely
         than the general population to be highly creative.”
                        •    Hybrid owners are generally considered more open-
         minded and spontaneous than the general population. (JD Power)
         −    Lifestyle:
                        •    Hybrid owners are “active, engaged in outdoor
         activities, and health-conscious.” (Scarborough)
                        •    33% of hybrid owners are members of a health club,
         nearly         twice as many as the general population. (Scarborough)
                        •    Hybrid owners are twice as likely to go skiing, hiking, or
                        practice yoga. (hybridcars.com) Some other activities they
                        participate in more than the average person include biking,
                        snow skiing, and golfing.
                        •    They consume more organic food than the average
         person.        (hybridcars.com)
         −    Beliefs:
                        •    38% of hybrid owners identify themselves as Democrats
                        and 20% of them report to be Independent but feel closer
         to             Democrat.
                        •    81% of hybrid owners “always” vote in the presidential
                        elections, 10% more than the general population.
                        (Scarborough)
+      Consumer relationship with brand                                             10


         -According to Consumer Reports’ 2010 Car Brands Perception Study,
         consumers rated Toyota as the top environmentally friendly/green car
         brand. Toyota also earned the top brand perception score, which is
         calculated by the scores from all categories (safety, quality, value,
         performance, design/style, technology/innovation, and environmentally
         friendly/green.)
           
         -Prius owners love to tell others of their experiences with the brand and
         encourage others to purchase the car. They are “proud advocates” of their
         cars. (JD Power)

         -In JD Power’s 2009 owner satisfaction survey, 84.3% of owners reported
         being satisfied with the Prius, taking 2nd place among all cars.

         -Consumers who drive a Prius likely do so because when someone sees a
         Prius, they know that it is a hybrid. Unlike hybrid models by Ford or
         Honda, Toyota built the Prius from the ground up and didn’t simply use an
         existing model. (New York Times)
+ The Category
                                                                                                                  11

      History of the category

        In 1901, Ferdinand Porsche designed one of the earliest known gasoline electric cars, which he called
         the Mixte. This design featured a gasoline engine, as well as an electric engine used to give the car a
         little extra power. Although the technology of the hybrid electric vehicles (HEVs) of today are more
         advanced, many of the characteristics of the Mixte’s hybrid engine are still applied to this day
         (hybridcars.com, 2010).


        In 1915, Woods Motor Vehicle created the Dual Power hybrid vehicle, which used an electric motor to
         power the vehicle at low speeds, and a gasoline engine to power the vehicle into higher speeds up to
         55 mph. 600 Dual Power vehicles were created before the company ceased production in 1918
         (hybridcars.com, 2010).


        The 1960’s and 70’s experienced a technological advance in the development of HEVs with the help of
         Victor Wouk, commonly referred to as the “Godfather of the Hybrid.” During this period, Wouk
         designed numerous HEVs, significantly a hybrid version of GM’s Buik Skylark in 1976 (Bradley
         Berman, New York Times, 2010).


        In 1978, David Arthurs developed the regenerative braking system, a system on which most modern
         hybrids rely, in his conversion of an Opel (a German subsidiary of GM) GT. In this system of braking,
         the electric motor slows the car while it collects the power and uses it to recharge the electric
         batteries (hybridcars.com, 2010).


        In 1989, Audi created the Audi Duo, a plug-in electric hybrid designed for engine use in the country
         and electric use in the city. This model proved inefficient and only ten vehicles were said to have
         been produced. The Audi Duo II was then designed in 1991, but it received little success, as well
         (hybridcars.com, 2010).
+                                                                                                                    12

       In 1993, President Clinton created the Partnership for a New Generation of Vehicles, a government
        program designed to fuel the mass production of alternative fuel vehicles. Among the partners in this
        group were Chrysler, Ford and GM. This program was eventually replaced by President Bush’s
        FreedomCAR initiative in 2001 (Bradley Berman, New York Times, 2010).


       The modern history of HEVs began in the late 1990’s with Toyota and Honda leading the pack. The
        Toyota Prius and Honda Insight, which are still popular models to this day, were two of the first
        mainstream HEVs. The Toyota Prius was released in 1997 and was the first mass-produced HEV, while
        the Honda Insight was released in 1999 (hybridcars.com, 2010).


       In 1997, Audi found its first success in the category of HEVs with the Audi Duo III, making it the first
        European hybrid ever put into production. Its success was slight, however, as its steep price made it
        unpopular. Only 60 vehicles of this model were produced (hybridcars.com, 2010).


       In 2004, the Ford released the first hybrid electric SUV in the Escape. Toyota answered one year later
        with a hybrid version of its Highlander SUV (hybridcars.com, 2010).


       In 2006, Tesla Motors unveiled its Tesla Roadster, the first and only highway-capable electric vehicle for
        sale today (teslamotors.com, 2010).
+ Overall category trends
 
                                                     13




        Historical Size of
         Category
            To the right is a chart consisting of
             data compiled by Yuki Tanaka and
             Yukio Shigeta of the Nomura
             Research Institute, taken from their
             article “Upcoming Advances in the
             Hybrid Vehicle Market,” issue No.
             114 of the NRI Papers, published
             Feb. 1, 2007. From the chart we
             can see a gradual increase of
             hybrid units sold globally from
             1997 through 2003. From 2003 to
             2005 a rapid increase occurred.
             According to Tanaka and Shigeta,
             during this period the U.S.
             accounts for 70% of sales, Japan
             20% and Europe 8%.
+                                                                                       14

   Current Size of Category


       According to the Electric Drive
        Transportation Association
        (electricdrive.org, 2010), 246,642
        hybrid units were sold in the US in      330,000
        2006, 324,318 units were sold in 2007,
        315,688 in 2008 and 290,237 in 2009.     247,500
        As apparent in the following chart, a
        slight decrease in HEVs sold over the    165,000
        past few years has occurred in the US.                                         Units
                                                  82,500

       Registrations of hybrid vehicles have          0
        increased, however, with 598,739
        registered in 2009 (hybridcars.com,                2006   2007   2008   2009

        2010) compared to 350,289
        registrations in 2007 (The Associated
        Press, 2010, msnbc.com).
+The 4 P’s of marketing for direct competitors
•                                                    15

   Products

       The top five best-selling hybrid models
        of 2009 were the Toyota Prius (139,682
        units), Toyota Camry Hybrid (22,887
        units), Honda Insight (20,572 units), Ford
        Fusion Hybrid (15,554 units) and Honda
        Civic Hybrid (15,119 units) (Jeff
        Wysaski, autotropolis.com, 2010).
       The top five best-selling hybrid SUV
        models of 2009 were the Ford Escape
        (12,009 units), Lexus RX400h (10,089
        units), Toyota Highlander (8,635 units),
        Chevy Tahoe (2,466) and Saturn Vue
        (2,280 units) (hybridsuv.com, 2009).
       The following graph, provided by
        hybridcars.com, 2010, compares the
        Prius with four of the top hybrid models
        by showing the U.S. hybrid market
        historical sales from 1999 through 2009.
+  Place                                                                                  16




       Globally, the U.S. led as the country with the most hybrid vehicle
        registrations in 2009 with 265,501 of the 598,739 total registrations. Japan
        came in a close second with 249,619 registrations. Other countries included
        Canada, the Netherlands, and the U.K. with less than 17,000 each
        (hybridcars.com, 2010).


       In the U.S., the top five cities as markets for HEVs in 2009 from first to fifth
        are Los Angeles, New York, San Francisco, Washington, D.C., and Chicago.
        The top five states with the highest hybrid sales in 2009 are California, New
        York, Florida, Texas and New Jersey (hybridcars.com, 2010).
+                                                                                                  17

    Promotion

        One of the Prius’ biggest competitors, the Honda Insight, released its 2010 model with
         an ad campaign deeming it “the hybrid for everyone” because it is “designed and
         priced for us all.” With its release in April 2009, the 2010 Honda Insight is the least
         expensive new hybrid available in the U.S (Honda Motor Co., Ltd, 2009,
         world.honda.com).


        Promoting themselves as luxury hybrids are many of the Lexus, Mercedes and BMW
         models. For example, an advertisement for the Lexus LS600h promotes the technology
         of the hybrid, while including the tag “the pursuit of perfection.”


        As the first highway-compatible hybrid vehicle, the Tesla Roadster is promoting its
         speed as well as its speed, “0 – 60 in 3.9 seconds,” combined with its environmental
         benefits in one of its slogans, “performance with a clean
         conscience” (teslamotors.com, 2010).
+                                                                                      18

     Price



        In April 2009, Honda released the 2010 Honda Insight as the least expensive
         new hybrid in the U.S., available for under $20,000 (Honda Motor Co., Ltd.,
         2009, world.honda.com). Of the other top-selling hybrids, the Toyota Camry
         Hybrid has a base price of about $26,000, the Ford Fusion Hybrid has a base
         price of $28,000 and the Honda Civic Hybrid starts at $24,000
         (buyersguide.caranddriver.com, 2010).
+                                                                      19

    Part 2: Competitive Creative Analysis


    Top Competitors         Source: http://www.consumersearch.com/
                              hybrid-cars
      Ford

      GM

      Nissan
+                                                                                              20

    Nissan Altima

       http://www.nissanusa.com/                     http://fastfever.com/?vid=749



       This ad is for the Nissan Altima              The “Quality You Can Love” 
        Hybrid and is displayed on the                 commercial speaks to people who
        official Nissan website’s homepage.            “Love” and care for their cars and
        This ad is definitely geared towards           pokes fun at those who care freak
        those who place importance on the              over minor scratches/hits given to
        quality of the car above everything            their cars. The goal of this ad is to
        else. The JD Power and Associates              show that the Nissan Altima has been
        Award is prestigious and the mention           put through over 5,000 tests and the
        of the car being awarded this speaks           quality assurance is backed by the
        very highly of the car. The ad                 award for being ranked the highest
        mentions that it is the highest ranked         in quality among midsized cars. 
        car in quality which is places it well         Again, Nissan goes with an “expert
        against the Toyota Prius. The expert           opinion” approach when advertising
        opinion of JD Power and Associates is          the car when mentioning the tests the
        the main focus of the persuasive/              car has been put through and the JD
        creative strategy in this particular ad.       Power and Associates Award it
                                                       received.
+                                                                                         21

    Honda Insight
   http://automobiles.honda.com/insight-hybrid/videos.aspx



   This ad speaks to any potential consumer thus the slogan “Designed and Priced
    for Us All” and tag line “The Hybrid for Everyone”. It can be found appealing and
    entertaining because the focus of the commercial is on the price and versatility of
    the car and the layout of the commercial is very modern. It says the price is
    affordable so it’s attainable by many and its storage makes it convenient for many
    different types of cargo and the mpg is also easy on the wallet. In the commercial
    you can see somewhat of a demonstration by the different types of cargo being
    loaded/unloaded and the “reason why” method is also definitely used because of
    the narrator’s persuasive script.
+                                                                            22

    Honda Civic
   http://automobiles.honda.com/civic-hybrid/videos.aspx



   The “Grooves” commercial speaks to the modern day, smart consumer
    - those who have an interest in art, science and the environment.  The
    goal of this ad is to appeal to the artsy/smart audience and entertain
    them with a cute, creative twist on car science. This ad had a
    demonstration but it definitely focused more on image and made the
    car seem like a smart/cool thing to invest in.  
+                                                                                        23

    Ford Fusion Hybrid
   “We Speak Car” ad on YouTube: http://www.youtube.com/watch?
    v=TIAclinwG6Y



   The commercial for the 2010 Ford Fusion Hybrid is talking to consumers who may
    already have a brand relationship with Ford, and know that Ford “Speaks Car”. The
    commercial is letting this audience know that they also “Speak Hybrid,” meaning
    they will get the same Ford quality in a hybrid vehicle. The ad establishes the
    Fusion Hybrid as “the most fuel-efficient mid-size sedan in America,” and directly
    competes with other hybrid vehicles with claims such as “an EPA estimated 41
    mpg city” and “700 miles on a single tank” – clearly using “Reason-Why”
    advertising, presenting facts and figures telling the audience the reason why the
    Fusion Hybrid is the most fuel-efficient American automobile in its class.
+                                                                                      24

    Ford Escape Hybrid
   “Kermit Says Its Easy Being Green” ad on Google Videos: http://
    video.google.com/videoplay?docid=7372950930856015507#



   The Kermit the Frog ad for Ford Escape Hybrid appeals to a broad audience on
    a broad level. In the end, the ad’s targeted audience is eco-friendly or
    environmentally conscious consumers. In the beginning, the viewer isn’t sure
    what kind of advertisement this is or for what brand. We follow Kermit on a path
    while he sings “It’s Not Easy Being Green”. He eventually gets to the Escape
    Hybrid and declares “Hm.. I guess it is easy being green!” If the Ford Escape
    can be green, so can Kermit! The goal of this ad is to present the traditional
    Escape in a new and more environmental “green” light, and in the last few
    seconds of the commercial we learn the new Escape Hybrid has an estimated 36
    miles per gallon. The persuasive creative strategy is obviously “Spokesperson,”
    employing one of America’s most beloved (and Jim Henson’s most famous)
    Muppet.
Part 3: The SWOT Analysis
+                                                                                                                          25


                       Strengths                                                   Weaknesses
-With new environmental knowledge, more and more                -The initial cost of the vehicle may not allow you to
people are moving toward hybrid cars                            break even, even with the savings on gas
-Prius is "eco-friendly" car                                    -Long- distance commuters see less savings
-Many celebrities try to make a statement by driving a          -It is not as fun to drive for the accelerator is indeed
Prius, influencing others to do the same                        slower than a conventional car
-Competitively priced with other hybrids                        -The simple anatomy of a hybrid car is complex, hard
-First Hybrid car to be introduced, many customers              to understand and explain, making the pitch to a
are loyal to the brand.                                         consumer difficult

                        Threats                                                   Opportunities
-Recent plan to recall 311,000 of the vehicles due to           -Continued popularity of “green” movement
complaints about break performance could have                   -High gasoline prices
significant effect on the mindset of potential buyers in the    -Large number of celebrities who drive a Prius
future if damage control is not effectively implemented         -Those who are typically consumers of hybrid vehicles
from a public relations standpoint.                             have higher incomes than most people, so they have
-Negativity on the Prius model comes almost instantly after
                                                                the money available to buy a new car
another major crisis for Toyota, involving a halt of sales of
nearly half of its models in the U.S. due to a faulty
accelerator problem that has been causing fatal accidents
-January 7, 2010 -- shares of Toyota were down more than
7% while Ford was up 2%, which may almost certainly
benefit the competition
-Affordability of the 2010 Honda Insight, released in 2009 as
the least expensive new hybrid in the U.S., possibly
attracting money-savvy customers in a struggling economy
+                   26




    Survey Report
+                                                                            27

                      Research Objectives

       Toyota introduced the Prius product in 2001. The purpose of
        this research is
               To gain consumer insights that will drive the advertising
                strategy for the Prius.

               To supplement previous secondary research which included a
                Company, Consumer, and Competition situation analysis, a
                competitive creative analysis and SWOT analysis. This
                secondary research was completed on February 9, 2010.

               To inform the next stage of research. (Sentence listing
                methods of forthcoming qualitative research (focus groups,
                interviews, observation)).
+                                                         28

                            Methodology

       We used the following data collection methods
           Created the survey using Survey Methods
           Posted the survey link on Facebook
           Campus intercepts at Texas State University
           Personal intercepts at Whole Foods and SXSW

       Data collection: March 12, 2010-March 21, 2010

       Completed responses=106
+                                                                                                 29

                                Methodology

       Sampling Method
              The convenience sample is only representative of a small, select portion of the
               population, where as a random sample takes the entire population into account
               and draws randomly from it. The convenience sample does not completely
               represent the overall population.


              It differs from an ideal sample because it wasn’t random. Most of the
               respondents reside in the Austin/San Marcos area. People that we did not reach
               in this area were unrepresented. Based on the data collection methods that we
               chose, it is not certain that all the respondents were true in the way that they
               responded.


              Our finding were used for exploratory research.
+                                                                                   30

                 Respondent Qualifications

       We are conducting a national sample.

       We are sampling individuals.

       Individuals must own a Prius, or must be in the market for a hybrid sedan
        within the next year.

       We plan to survey people with the following qualifications:
           Ages 21-50
           Gender: Male and Female
           Occupation: Professionals with some college or college degree
           Lifecycle: Young singles, young married adults
           Living situation: Single family homes with kids or without kids
+                                                                                             31

                  Actual Respondent Profile
       Austin/San Marcos area

       Sampled individuals

       Individuals either owned a Prius, or are in the
        market for a hybrid sedan within the next year.

       Age: 22-40

       Gender: 56% Male, 44% Female                                           Prius Owners
                                                                                    42%
       Income:
          College students and prospective buyers<
                                                          Prospective Buyers
           $10,000                                              58%
          Large majority was between $60,000-
           $80,000 (Mostly owners)

       Prius owners:44

       Prospective buyers: 62

       Total Surveyed: 106
+                                                                      32

                                 Collected Data

       Question 1
           Screening question
                                                 Do you own a Prius?
       Thirty-five percent of the respondents
        own a Prius.




                                                               36%


                                                  64%




                                                             Yes
+                                                                                                                  33

                                Collected Data
                                         Rate the importance of each of the following when it comes to
                                         your Prius. On the scale below, please rank the following items
                                   30    accordingly based on their importance to you.
   Question 2
       Owner


   Most respondents (66%) felt that
                                   23
    fuel-efficiency is “extremely
    important” as well as safety
    ( 58%) when it comes to their
    Prius.
                                   15
   Few respondents (2%) felt that
    fuel-efficiency was “not
    important.” Few respondents also
    felt that price, appearance,
    reputation, and safety were “not 8
    important.”



                                    0
                                         Fuel-Efficiency          Price        Appearance   Reputation       Safety
                                           Extremely Important            Very Important    Neutral        Not Important
                                           Not at all Important
+                                                                                                                                 34

                                    Collected Data

   Question 3
       Owner
                                          Overall, how satisfied are you with your Prius?
                                          30
   The majority of respondents (59%)
    were “satisfied” with their Prius. The
    “extremely satisfied” category was
    the second highest chosen with 27%
                                           23
    of respondents.

   Few of the respondents (2%) were      15
    “dissatisfied” or “extremely
    dissatisfied” with their Prius.

                                           8



                                           0
                                                Extremely Satisfied   Satisfied   Neutral   Dissatisfied Extremely Dissatisfied
+                                                                                                                        35

                                   Collected Data
                                            What is it about your Prius that you enjoy the least? On the scale
                                            below please rank the following items accordingly based on your
                                            satisfaction with each.
                                                  25
       Question 4
           Owner

                                                 20
       The majority of respondents were
        neutral in all of the categories,
        except for “appearance” where
        most respondents (45%) were              15
        “satisfied.”

       The fewest amount of respondents         10
        were “extremely satisfied” within
        each category.

                                                  5


                                                  0
                                                       Lack of Horsepower Appearance Handling of the Car         Price
                                                      Extremely Dissatisfied      Dissatisfied        Neutral       Satisfied
                                                      Extremely Satisfied
+                                                                                                         36

                                  Collected Data
                                             Does the current Toyota brake recall affect the
   Question 5
                                             way you feel toward your car?
       Owner


   The majority of respondents (32%) 15
    replied “not much” when it comes to
    being affected by the brake recall.
                                       11
   The second highest category of
    respondents (27%) said they were
    “slightly” affected.
                                        8
   The same amount of respondents
    (16%) were “definitely affected,”
    and felt “neutral” toward the brake 4
    recall.

   Few respondents said they were “not0
    at all “affected.”                      Definately yes   Slightly   Neutral   Not Much   Not at all
+                                                                                       37

                               Collected Data

       Question 6
           Screening
                                     Do you plan to purchase a hybrid sedan in the next year?
       The majority of respondents plan to
        purchase a hybrid sedan within the
        next year, as shown by 71 percent.


                                                       29%




                                                                      71%




                                                                     Yes
+                                                                                                                 38

                               Collected Data
   Question 7                         What are you concerned with when purchasing a hybrid vehicle?
                                 40    On the scale below, rate the following items accordingly based on
       Prospective buyer
                                       their importance to you
   When it came to fuel-
    efficiency, price, and safety,
    the majority of respondents 30
    felt these benefits were
    “extremely important” when
    it came to purchasing a                                                                          Extremely Important
    hybrid sedan.                                                                                    Very Important
                                  20
                                                                                                     Neutral
   When it came to appearance                                                                       Not Important
    and the reputation of the car,                                                                   Not at all Important
    the majority of respondents
    (42%-44%) were “neutral.” 10

   In every category, the fewest
    amount of respondents felt
    like the benefit was “not     0
    important.”                     Fuel-Efficiency Price    AppearanceReputation     Safety
+                                                                                                          39

                                   Collected Data
                                             What brand comes to mind when you think of hybrid sedans?

                                                                      2%2%
                                                                    2%
       Question 8                                             3%              5%
           Prospective buyer

       The majority of respondents (53%) said that
        Toyota came to mind first when thinking of
        hybrid sedans.

       The least amount of respondent chose Hyundai,
                                                             21%
        Mercedes, and Lexus as the brand that came to
        their mind when thinking of hybrid sedans.                                                 53%




                                                                     13%




                         Toyota       Honda           Ford     Kia         Hyundai   Mercedes      Lexus   Mazda
                         Other
+                                                                                                              40

                               Collected Data
                                       How much will the recent brake recall on certain Toyota models
   Question 9                         affect your purchasing decision?
       Prospective buyer        30

   The majority of respondents
    (40%) said that the recent
    Toyota brake recall “definitely
                                  23
    will” affect their purchasing
    decision.

   The fewest amount of         15
    respondents (8%) said that
    the recent Toyota brake recall
    will “definitely not” affect
    their purchasing decision.     8

   The remainder of respondent
    choices fell in the middle.
    “Slightly” (18%), “not      0
    sure” (21%), and “probably         Definately will   Slightly   Not sure     Probably not Definately not
    not” (13%).
+                                                                                                        41

                                 Collected Data

        Question 10
    

           Owner & prospective buyer
                                             How concerned are you for the environment?
                                            50
       Most of the overall respondents
        (45%) said that they “very
        much” care for the environment.     38
       Few respondents fell below          25
        neutral on their concerns for the
        environment.
                                            13
                                             0
                                                 5 (Very Much)   4      3 (Neutral)   2      1 (Not at All)



                                                      Overall        Prius Owners         Prospective Buyers
+                                                                                                                        42

                                    Collected Data
                                              Do Toyota’s advertising efforts (in regard to the brake recall)
                                              affect your impression of the company?
       Question 11
           Owner & prospective buyer
                                               50
       The majority of the respondent
        impressions (40%) were neutrally
                                               38
        affected in regard to the
        advertising efforts of Toyota post-
        brake recall.                          25
        The fewest amount of respondents
                                               13
    
        (7%) were “very much” affected
        by the advertising efforts.

                                                 0
                                                       5 (Very Much)      4      3 (Neutral)      2     1 (Not at All)
+                                                                                             43

                              Collected Data

   Question 12
                                            How many miles do you commute per weekday?
       Owner & prospective buyer
                                       50
   The majority of respondents
    (32%)said they commute 10-30 miles 38
    per weekday.
                                       25
   The fewest amount of respondents
    (10%) said they commute 51-70
    miles per weekday.                 13

                                        0
                                            Less than 10   10-30     31-50    51-70   More than 71

                                               Overall         Prius Owners     Prospective Buyers
+                                                                         44

                                  Collected Data
                                                        Gender
       Question 13
           Demographic


       The majority of respondents were male.




                                                 44%

                                                                 56%




                                                       Male      Female
+                                                                                                      45

                              Collected Data

       Question 14
           Demographic                                              Age
                                   100                                96
       The most represented age
        group was 31-40 at 32%.

                                       75
       The least represented age
        group were people over 60 at
        4%.                                                   53
                                       50

                                                      25
                                       25
                                              12                              12
                                                                                      7
                                                                                               3
                                       0
                                            Under 21 22-25   26-30   31-40   41-50   51-60   Over 60
+                                                          46

                                 Collected Data

       Question 15
                                           Annual Income
           Demographic          20

       The majority of
        respondents (18%) made
        less than $10,000        15
        annually, slightly ahead
        of those that made
        $70,000-$79,999
        annually.                10

       The fewest amount of
        respondents made
        $90,000-$99,999 or        5
        $150,000+; both at 2%.


                                  0
+                                                                                                                  47

                                      Conclusion

    •Current  owners of the Toyota Prius have admitted to buying the car for its safety and fuel-efficiency. The
    “lack of horsepower” answer choice was the respondent’s least favorite feature, although it did not have
    anywhere near the same amount of votes as “neutral”. Most current owners are satisfied with the overall
    performance of their car. Obviously, this consumer is one who continues to look for a car that will satisfy
    their fuel-efficiency and safety needs.




    Toyota  does not have to worry about being overlooked by consumers when shopping for a hybrid
    sedan, as it is certainly the first brand that comes to their minds. Although Toyota’s advertising efforts
    are aiding in the consumer’s overall impression of the company, the effect it is having on the consumer’s
    decision to buy a Toyota car is problematic. The brake recall is, so far, playing a vital role in the
    decisions of those who plan to purchase a hybrid sedan.




    Our  information paints a picture of a typical consumer in our target market: an eco-conscious, 31-40
    year old commuter who drives anywhere between 10-50 miles per day. This person cares for their
    environment a great deal and takes safety ratings and fuel-efficiency into consideration most when
    buying a hybrid vehicle. The amount of time spent in their car is definitely an area we must look into
    more in depth.
+                                                                                              48

                         Further Research

   We would like to explore more about our target market and their psychographics in
    order to reach them more effectively through advertising.

   We will pose more open-ended questions regarding why they enjoy or dislike certain
    features/benefits of the Toyota Prius.

   We will ask what Toyota could be doing to better improve their brand image regarding
    the recent brake recall.

   A more in depth list of demographic questions will help us further segment the market.
    Geography, Education, Marital Status, Race, Religion and other demographics are left
    untouched in our condensed survey.

    By using the VALS system, we could further segment the consumer marketplace on the
    basis of the personality traits that drive consumer behavior. With this information, our
    team could develop and execute more effective strategies.
+                                                                                                          49

                                               Survey
    ✦   1. Do you own a Toyota Prius?
            ✦   Yes- continue to question 2
            ✦   No- continue to question 6


    ✦    2. Rate the importance of each of the following when it comes to your Prius. On a scale of 1-5,
        please rank the following items accordingly.
        ✦   1 (Not very important)       2         3     4     5 (Very important)
            ✦   Fuel-Efficiency
            ✦   Price
            ✦   Appearance
            ✦   Reputation of the car
            ✦   Safety


    ✦    3. Overall, how satisfied are you with your Prius? (Circle one)
            ✦   1(Not at all)    2      3      4       5 (Very much)
+                                                                                                                50

                                                     Survey
    ✦    4. What is it about your Prius that you enjoy the least? On a scale of 1-5, please rank the following
        items accordingly.
        ✦    1 (Extremely satisfied)     2        3    4       5 (Extremely dissatisfied)
             ✦   Lack of horsepower
             ✦   Outer appearance
             ✦   Handling of the car
             ✦   Price


    ✦   5. Does the current Toyota brake recall affect the way you feel toward your car? (Circle one)
             ✦   1 (Not at all)     2      3     4        5 (Very much)


    ✦       6. Do you plan to buy a hybrid sedan in the next year?
             ✦   Yes- continue with question 7
             ✦   No- Skip to question 10
+                                                                                                      51

                                              Survey
    ✦   7. What are you concerned with when purchasing a hybrid vehicle? On a scale of 1-5, rate the
        following items accordingly.
        ✦   1 (Not at all concerned)    2    3     4     5 (Very much concerned)
            ✦   Fuel-Efficiency
            ✦   Price
            ✦   Appearance
            ✦   Reputation of the car
            ✦   Safety
    ✦   8. Which maker comes to mind when thinking of Hybrid Sedans?
            ✦ Toyota

            ✦ Honda

            ✦ Ford

            ✦ Kia

            ✦ Hyundai

            ✦ Mercedes

            ✦ Lexus

            ✦ Mazda

            ✦ Other (Please Specify) __________
+                                                                                                            52

                                                Survey
    ✦   9. How much will the recent brake recall on certain Toyota models affect your purchasing decision?
        (Circle one.)
        ✦   1 (Not at all)    2     3      4      5 (Very much)


    ✦   10. How much do you care for the environment? (Circle one)
        ✦   1 (Not at all)    2     3      4      5 (Very much)


    ✦   11. Do Toyota’s advertising efforts (in regard to the brake recall) affect your impression of the
        company? (Circle one)
        ✦   1 (Not at all)   2      3      4       5 (Very much)


    ✦   12. How many miles do you commute per day during the week?
        ✦   Less than 10
        ✦   10-30
        ✦   31-50
        ✦   51-70
        ✦   More than 71
+                                    53

                            Survey
    ✦   13. Gender:
        ✦   Male
        ✦   Female


    ✦   14. Age:
        ✦   18-21 yrs old
        ✦   22-25 yrs old
        ✦   26-30 yrs old
        ✦   31-40 yrs old
        ✦   41-50
        ✦   51-60
        ✦   61 or over
+                                         54

                                 Survey

    ✦   15. Annual Income:
        ✦   Less than 10,000
        ✦   $10,000-$19,999
        ✦   $20,000- $29,999
        ✦   $30,000- $39,999
        ✦   $40,000- $49,999
        ✦   $50,000- $59,999
        ✦   $60,000- $69,999
        ✦   $70,000- $79,999
        ✦   $80,000- $89,999
        ✦   $90,000- $99,999
        ✦   $100,000- $149,999
+                        55




    Qualitative Report
+                                                                                                                   56

                           Research Objectives

       “Toyota is currently experiencing a major PR disaster with its recent product recall. To
        maintain brand loyalty and increase sales of 2010 models during this crisis, the Toyota
        Prius is launching an advertising campaign in May 2010.”


                 To gain consumer insights that will drive the advertising strategy for the Prius.
                 To supplement previous secondary research and survey research conducted for the Toyota
                  Prius.


                 To explore:
                     Find out more detailed information about the people whom we wish to speak to (lifestyle,
                      life stage, education, marital status, race, region) by conducting one-on-one interviews so
                      that we can reach them more effectively.
                     Uncover how Toyota can improve their reputation through the eyes of the people we wish
                      to speak to.
                     Discover in further detail what features and benefits of the Prius that consumers like and
                      dislike, and why.
                     Find out in what ways the people we want to learn about are eco-conscious so that we can
                      find effective ways to target them.
+                                                                                                    57

                               Methodology

    We conducted 5 one-on-one interviews
         4 in person
         1 via Skype
    15-30 minute interviews
    Research was conducted in the San Marcos/Austin area in the homes of the interviewers, and
    also the homes of the interviewee’s
    April 8th-April 10th, 2pm-8pm
    Who interviewed who:
         •Kim, Beatriz, and Corey (Perspective Buyers)
         •Kathryn and Amy (Prius Owners)
    Recorded via Skype and digital camera
    Brand Personification- to give insight on the interviewee’s perception of car brands. We gave
    our interviewees a list of car brands and asked them to describe each brand as either a member
    of a family or a person at a party.
+                                                                                                      58

                                            Interview

       Prius Owners:
             2 owners interviewed
             Ages 21-50
             Male and Female
             Must reside in the United States
             Must own a Toyota Prius
             Lifestyle: Eco-conscious commuters with a set, weekly schedule or routine drive
             Life stage: People about to start or are established in their careers
             Occupation: Professionals with some college or college degree
             Lifecycle: Young singles, young married adults
             Living situation: Single family homes, or apartment dwellers with kids or without kids
+                                                                                                      59

                                            Interview

       Hybrid Sedan Buyer:
             3 prospective buyers interviewed
             Ages 21-50
             Male and Female
             Must reside in the United States
             Must be in the market for a hybrid sedan
             Lifestyle: Eco-conscious commuters with a set, weekly schedule or routine drive
             Life stage: People about to start or are established in their careers
             Occupation: Professionals with some college or college degree
             Lifecycle: Young singles, young married adults
             Living situation: Single family homes, or apartment dwellers with kids or without kids
+                                                                                     60

                           Who We Talked To

       All participants were between 22-45. Most participants were in their early-
        mid 20’s. The groups were primarily women, with one male interviewee. All
        groups displayed eco-conscious behavior and passed our screener.
             Group 1 (Prius Owner)
                   Both reside in Austin
                   Female, married with one child
                   Female, single with no children
             Group 2 (Hybrid sedan buyer)
                   Reside in the San Marcos/Austin/Houston area
                   Female, single with no children
                   Female, married with no children
                   Male, single with no children
+                      61

    Who We Talked To
+                                                            62

    Who We Talked To

             Joy M. –Prius owner
             45 years old
             Resides in Austin, TX
             Currently a stay-at-home mom
             Worked in the hotel industry before daughter
             was born
             Eco-conscious:
                   Recycled before curbside recycling was
                   available.
                   Looking into solar panels for house
                   Has solar panels on husband’s office
                   Replaced windows in house with more
                   efficient newer windows
                   Solar hot water heater
                   Never waters grass
                   Getting water recapture system
                   Starting to compost
             Values Family
             Has an 11-year-old daughter
             Commutes 40 miles roundtrip every weekday
             Graduated from college in Vancouver
+                                                           63

    Who We Talked To

              Kelsey- Prius owner
              25 years old
              Resides in Austin, TX
              Apartment Dweller
              Single, no children
              Student at Austin Community College
              Currently a Certified Nursing Assistant at
              Assisted Living facility
              Eco-conscious:
                     Cares for the environment
                     Recycles paper and plastic,
                     apartment complex has recycling bins
                     Tries to conserver water/energy
              Values Family and Friends
              Father drives a Prius, “Toyota Family”
              Commutes approximately 50 miles
              roundtrip every weekday
+                                                              64

    Who We Talked To

        Kim-Prospective buyer
        Lives in San Marcos, TX
        22 years old
        Single with no children
        Student at Texas State University
        Graduates in May, job lined up
        Eco-conscious:
               Cares for the environment
               Recycles paper and plastic
               Into the “green” movement
               Buys organic clothing and food
               Member of the “Adopt A Highway” program
        Drives to her sisters house daily which is 30 miles
        roundtrip
        Apartment dweller
+                                                            65

    Who We Talked To


            Jessie- Prospective buyer
            24 years old
            Works in the health industry
            Currently drives a 2008 Hyundai Elantra
            Commute to work roundtrip is 20 miles
            Also commutes all over Austin for photography
            adventures on the weekends.
            Eco-conscious:
                   Eats organic food
                   Keeps AC no higher than 78 degrees
                   Recycles plastic, glass, paper
                   If it gets hot, she opens the window
                   Uses canvas bags for groceries
            Married with no children
            Apartment dweller
            Student at Austin Community College
+                                                       66

    Who We Talked To

              Brad- Prospective buyer
              28 years old
              Computer programmer
              Graduated from Sam Houston State
              University
              Commutes 20 miles to work one way in
              Houston
              Eco-conscious:
                    Recycles grocery bags, cans and
                    plastics
                    Makes sure appliances are turned
                    off when not being used
                    Environment is important to him
              Single with no children
              Apartment dweller
+                                                                                    67

                                    Key Insights

       Both Prius owners were eco-conscious in other areas of
        their lives besides the car they drive.


           (Joy, 45, Stay-at-home mother of one from Austin, Prius owner)
                   “We are extraordinarily eco-conscious”
                   “When you say what do I do in my spare time, I worry about the
                    environment.”
                   “We are recyclers beyond recycling.”


           (Kelsey, 25, CNA Austin, Prius owner)
                   “I recycle paper and plastic.”
                   “My entire family is eco-friendly and always will be.”
+                                                                            68

                              Key Insights

       For Prius owners, buying a Prius satisfies their need to be
        closely associated with others, otherwise known as affiliation.
           (Kelsey, 25, CNA, Austin, Prius owner)
                 “I’ll be driving down the road and wave to another Prius
                  driver.”

       Family members and acquaintances had a large impact on the
        owners buying decision.
           (Kelsey, 25, CNA, Austin, Prius owner)
                 (When asked about the purchasing process) “My dad has
                  one [a Prius], so I knew that’s what I’d be driving.”
+                                                                                          69

                                   Key Insights

       The Prius owners, and one hybrid prospective buyer, were
        brand loyal to Toyota.
           (Joy, 45, Stay-at-home mother of one, Austin, Prius owner)
                   (When asked about the recent recall) “Will it stop me from buying
                    another Toyota? No.”
                   “I just have a lot of respect for Toyota.”
           (Jessie, 24, married health care worker, Austin, Prius owner)
                   “Toyota, before this current situation, has always been very good. I
                    used to own a Toyota, I loved my Toyota, it was a great car. I would
                    buy another Toyota.”
           (Kelsey, 25, CNA, Austin, Prius owner)
                   “From as far as I can remember, my dad has always owned a
                    Toyota.”
+                                                                                                  70

                                     Key Insights

       As far as the recall goes, one Prius owner was surprisingly
        understanding toward the situation and willing to forgive the
        company although they wish Toyota would have revealed the
        problem sooner. A prospective buyer felt that Toyota is taking the
        right steps.

       (Joy, 45, Stay-at-home mother of one, Austin, Prius owner)
             “I just have a lot of respect for Toyota and the fact that Mr. Toyota himself
              apologized, but they should have come out sooner”
             “As a manufacturer of something that people in him, he should have had more
              integrity and more transparency.”
             “I think a lot of car companies do the same thing.”

       (Brad, 28, computer programmer, Houston, Prospective buyer)
             “It’s unfortunate, but at the same time I think they’ve done a great job trying to
              ameliorate the situation.”
+                                                                                              71

                                    Key Insights

       When performing the engagement technique with the prospective
        hybrid buyers and Prius owners, we noticed that Mercedes and
        Lexus are perceived as snobby brands. Hyundai is perceived as
        somewhere in between Honda and Ford.


           (Jessie, 24, married health care worker, Austin, Prospective buyer)
               “Honda and Toyota are more eco-friendly, world conscious people.”
               “Hyundai is somewhat geared toward trying to break into the Honda and Toyota
                crowd.”
               “Mercedes and Lexus are more snobby, stuck-up people.”
+                                                                                           72

                                 Key Insights

       When asked about the different car brands during the Family of Brands
        engagement technique, one Prius owner felt that Ford would be the
        grandfather, Lexus and Mercedes the parents, and Honda, Toyota and
        Hyundai would be the children.


       (Joy, 45, stay-at-home mother of one, Austin, Prius owner)
           “Ford would be the grandfather, because it’s a very old company.”
           “Lexus and Mercedes would be the parents because they have already earned all
            of their money.”
           “Honda, Toyota, and Hyundai would be the children.”
+                                                                                                       73

                                    Key Insights

       The prospective hybrid buyers felt that the Prius may not be
        able to accommodate them when it came to starting a
        family.


             (Jessie, 24, married health care worker, Austin, Prospective buyer)
                 “If we did have children, by the time we get car seats, there’s really not any
                  more room for anybody else in the car if you wanted to bring them along, or
                  stroller or things like that.”
             (Kim, 24, single student, prospective buyer)
              •   “It’s a little small, I plan on taking road trips with my friends and family when I
                  graduate, so…”
+                                                                            74

                         Key Insights

       Some perspective buyers find it important to be part of the “Go
        Green” trend, in other words, they want to consider themselves
        trendy. Perspective buyers find it attractive that some
        celebrities are driving hybrid vehicles. The aesthetics of various
        cars were mentioned in the interview multiple times.


                        (Kim, 24, single student, Prospective buyer)
                            • “Going green is ‘in.’”
+                                                                                                                   75

                             Insights Summary
Eco-conscious
      Learned that all owners cared about the environment
      One participant grew up in an environmentally-friendly household, now making recycling a habit.
      Others mentioned solar-panel installation and conservation.

Affiliation/Trendy
       Another prominent theme among owners was the community associated with Prius drivers.
       Buyers may not be loyal to the Toyota brand, but may still want a Prius because it is trendy to have one.

Brand Loyalty/Confidence
     Buyers and owners showed signs of brand loyalty
     Many said they would purchase a Toyota again.
     A few mentioned their loyalty has spanned many years.

Recall
     Owners were understanding to the recall situation, willing to forgive the company’s problems, and still
     respected Toyota as a company.
     All agreed that the proper steps are currently being taken to fix the problems.

Engagement Technique
     Ford, Mercedes, Lexus, Hyundai, and Toyota were presented in the “Family and Party of Brands/Brand
     Personification” Technique
     Participants noted Mercedes and Lexus brands were perceived as snobby and rich
     To some, Hyundai was seen in between Honda and Ford, while to others, Hyundai represented the bottom of
     the totem pole and the least-favored company.
     Many placed Lexus and Mercedes in the parental or older roles.

Family Sedan
     Prospective buyers were reluctant to choose the Prius based on size.
     One participant felt that after car seats, there may not be much extra room.
+                                                                                                                   76

                                            Screener

    Screener
      Hello, my name is _______ from BerryBee market research. We are looking for participants to take part in
    a focus group, and would like to ask you a few questions. We are not selling anything nor will we follow-up
    with any sales calls as a result of this study. The information you provide will positively impact many
    products and services offered to people like you.

    1) We're looking for people working in certain industries. Have you, your family or any of your close friends
    ever worked in the following industries?

                Advertising agency/public relations
                     (End)
          Marketing research/product development
                     (End)
          Manufacturer, distribution or marketing of hybrid vehicles
                     (End)
          Automotive sales
                     (End)
          None of these
                            (Go to question #2.)
+                                                                                                               77

                                              Screener

    2) When did you last participate in market research?
          _______________________________________________________
                 (If less than 3 months ago, please end. If more than 3 months ago, continue to question #3)

    3) What was the subject of that research?
          _______________________________________________________
                 (If automobile related, please end.)

    4) Do you currently own a Toyota Prius?
             ☐ Yes (Continue to question #6)
             ☐ No (Continue to question #5)

    5) Are you currently in the market for a hybrid sedan?
             ☐ Yes
             ☐ No (End)
+                                                       78

                                             Screener

    6) Are you between the ages of 21 and 50?
             ☐ Yes
             ☐ No (End)

    7) Please indicate your age.

          ________

    8) Please indicate your gender.
             ☐ Male
             ☐ Female

    9) Do you currently reside in the United States?
            ☐ Yes

             ☐ No (End)
+                                                         79

                                               Screener

    10) How many miles do you commute per weekday?
           ☐ Less than 10 (End)

             ☐   10 – 30
             ☐   31 – 50
             ☐   51 – 70
             ☐   more than 71

    11) Do you have a college degree?
           ☐ Yes

           ☐ No (End)


    12) Please indicate your marital status.
            ☐ Single

            ☐ Married


    13) Do you have any children?
           ☐ Yes (how many? _______)

           ☐ No
+                                                                                            80

                                          Screener

    14) Do you live alone?
           ☐ Yes

             ☐ No (how many people live with you? ______)

    15) What is your profession?
           _______________________________________________
               (If student, skip and go to question # 17)


    16) How long ago did you begin your profession?

    17) Please describe any routine commutes that you would make during a typical weekday.
            _________________________________________________


              _________________________________________________

              _________________________________________________

              _________________________________________________
+                                                                                                                  81

                                                Screener

    18) How much do you care for the environment? (Circle one)

                     1            2             3              4                 5

              (Not at all)                                         (Very much)



    19) What actions, if any, do you take towards bettering the environment?
           __________________________________________________


             __________________________________________________

             __________________________________________________

    20) Imaging that you could travel for one day into another time with a time machine. Which decade or century
       would you like to see? What would you experience on your trip?
           __________________________________________________


             __________________________________________________

             __________________________________________________

             __________________________________________________
+                                                                                                              82

                                           Screener

    21) Think for a moment about your personality and your comfort level in a one-on-one interview. Which of
       the following best describes you?
            ☐ I am extremely comfortable sharing my opinions just about anywhere, to anyone

             ☐ I am very comfortable sharing my opinions in a one-one-one interview
             ☐ I am somewhat comfortable expressing my opinions in a one-on-one interview
             ☐ I am somewhat uncomfortable sharing my opinions in a one-on-one interview
             ☐ Expressing my opinions in a one-on-one interview makes me very uncomfortable
+                                                                         83

                                  Discussion Guide

       Discussion Guide- Prospective buyers
       Warm up questions/General personal questions (5 minutes)

       Tell me about yourself.
        1. What do you do when you have free time? OBJ 1
        2. What are the three most important things in your life? OBJ 1
        3. Do you have children? OBJ 1,4
           a) How many?
           b) What are their ages?
           c) What kind of activities are they involved in?
        4. Do you own other cars besides your Prius? OBJ 1
        5. Where do you drive during a normal day? OBJ 1
+                                                                         84

                               Discussion Guide

    6. In what ways do you consider yourself to be eco-conscious? OBJ 1

    -----ENGAGEMENT TECHNIQUE----- (10 minutes)


       General car questions (8 minutes)

    1. Tell me the reasons why you are considering purchasing a hybrid.

    2. Explain what your ideal car would be.

    3. Describe your experience looking for cars so far.
       a) How did you begin the process?
       b) Have you done any research?
       c) Which cars have you looked at?
       d) What did you think of them? 
+                                                                                                85

                               Discussion Guide

       Prius Questions (7 minutes)

    1. Describe your feelings toward the Prius. OBJ 2

    2. Would you consider purchasing a Prius? OBJ 2
        a) Why/Why not?

    3. How does the current recall affect your attitude towards the Prius and/or Toyota? OBJ 2

    4. Explain what Toyota should do to get you to buy a Prius. OBJ 2
+                                                                         86

                                 Discussion Guide

       Discussion Guide- Prius owners
       Warm up questions/General personal questions (5 minutes)

    1. Tell me about yourself.
        a) What do you do when you have free time? OBJ 1
        b) What are the three most important things in your life? OBJ 1
        c) Do you have children? OBJ 1,4
           1. How many?
           2. What are their ages?
           3. What kind of activities are they involved in?

    2. Do you own other cars besides your Prius? OBJ 1

    3. Where do you drive during a normal day? OBJ 1

    4. In what ways do you consider yourself to be eco-conscious? OBJ 1
+                                                                                       87

                               Discussion Guide

       -----ENGAGEMENT TECHNIQUE----- (10 minutes)

       General Prius questions (8 minutes)

    1. How long have you owned your Prius? OBJ 1

    2. What kind of cars have you previously driven? OBJ 1

    3. What initially drew you to the Prius? OBJ 3

    4. Tell me about the process you went through when purchasing your Prius. OBJ 1,2

    5. Were you considering any other hybrid sedans? OBJ 1,2,3
        a) If so, why did you choose the Prius over the other choices?

    6. What is it about your Prius that you enjoy the most? OBJ 3

    7. If you could change anything about your Prius, what would it be? OBJ 3
+                                                                                           88

                                 Discussion Guide

    8. Would you recommend the Prius to your friends? OBJ 2,3

       The recall (7 minutes)

    1. How did you initially hear of the recalls involving Toyota cars? OBJ 2

    2. Tell me how you feel about the way Toyota has responded to the recall. OBJ 2

    3. Were you contacted in any way by Toyota or your dealer regarding the recall? OBJ 2

    4. What would you have done if you were in charge of Toyota? OBJ 2

    5. If you could say anything to the President of Toyota, what would you say? OBJ 2,3
+                                                            89

                 Engagement Exercise

       Engagement Exercise:



              Honda                                 Toyota

                 Mercedes                       Lexus

                       Ford                Nissan

                              Hyundai   Chevy
+                                                                                                    90

                       Engagement Narrative

       Engagement Exercise Narrative:

       Choose one from below:
           I have names of different car companies. I want you to pretend they are people at a
            party. Tell me what about the kind of person each brand would be. You can use age,
            gender, personality, etc.
            I have names of different car companies. I want you to pretend they are the different
            people in a family. Tell me what about the role each person will play. (Mom, Dad,
            Daughter, Grandma, etc.)
+                    91




    Creative Brief
+                                    Creative Brief
                                                                                                                          92




       Why are we advertising?
           To reinforce and promote desire and interest for the Toyota Prius.

       Who are we talking to?
           We are talking to men and women ages 21-50, single or married, who live in the U.S. in primarily urban
            areas. They are professionals with some college or college degrees. They are otherwise known as “Eco-
            Concerned Solutionists.”

       What do we know about them?
           They place a high value on protecting the environment. They would be classified as “Thinkers”
            according to the VALS framework, since they are mature, educated individuals who are receptive to
            social change.

       What do they currently think/feel/do?
           Prius owners are generally happy with their car, but seem to be conflicted over their satisfaction with the
            way Toyota has handled the recall situation. Many of them feel a strong sense of belonging with other
            Prius owners.

       What would we like them to think/do?
           “They Toyota Prius is the leader in this hybrid transportation movement. I’m going to buy one.”

       What is the main idea we need to communicate (the proposition)?
           The Toyota Prius is a reliable and fuel-efficient vehicle.
+                                                                                                                    93

                             Creative Brief Cont’d
       Why should they believe it?
           The Toyota Prius has been among the most popular hybrid vehicles since 1997 and is currently the
            most fuel-efficient hybrid car sold in the U.S. according to the United State Environmental Protection
            Agency.

       Positioning Statement
           For hybrid sedan buyers, the Toyota Prius is the best hybrid sedan because of its fuel-efficiency.

       Brand Personality
           The Toyota Prius is dependable and safe, yet trendy and vivactious, evoking a happy-go-lucky spirit.
            The Prius embodies a clean and beatiful environment and stands for environmentally conscious
            values. A mature intellectual, the Prius is both the embracer of technological advancement and the
            tree-hugger.

Weitere ähnliche Inhalte

Ähnlich wie Prius Account Planning Project

Interbrand List of Best Global Brands
Interbrand List of Best Global BrandsInterbrand List of Best Global Brands
Interbrand List of Best Global BrandsRalph Paglia
 
Interbrand List of Best Global Brands
Interbrand List of Best Global BrandsInterbrand List of Best Global Brands
Interbrand List of Best Global BrandsRalph Paglia
 
GRI presentation @ NAEM Conference
GRI presentation @ NAEM ConferenceGRI presentation @ NAEM Conference
GRI presentation @ NAEM Conferencemarjella82
 
Measuringsustainabilityperformancejune2011 110628164932 Phpapp02
Measuringsustainabilityperformancejune2011 110628164932 Phpapp02Measuringsustainabilityperformancejune2011 110628164932 Phpapp02
Measuringsustainabilityperformancejune2011 110628164932 Phpapp02Nellson LLC
 
Air France: Internet Advertising and The 'Search' For Answers
Air France: Internet Advertising and The 'Search' For AnswersAir France: Internet Advertising and The 'Search' For Answers
Air France: Internet Advertising and The 'Search' For AnswersDerek M. Brown
 
KWD Webranking European Awards 2010
KWD Webranking European Awards 2010 KWD Webranking European Awards 2010
KWD Webranking European Awards 2010 Comprend
 
Toyota marketing services
Toyota marketing servicesToyota marketing services
Toyota marketing serviceskbrel
 
goodyear Annual Report 1998
goodyear Annual Report 1998goodyear Annual Report 1998
goodyear Annual Report 1998finance12
 
How to Optimize YouTube Videos - YouTube SEO - ReelSEO Presentation
How to Optimize YouTube Videos - YouTube SEO - ReelSEO PresentationHow to Optimize YouTube Videos - YouTube SEO - ReelSEO Presentation
How to Optimize YouTube Videos - YouTube SEO - ReelSEO PresentationMark Robertson ⏩
 
Chevorlet all the way
Chevorlet all the wayChevorlet all the way
Chevorlet all the waysanjay p
 
Lexie Learning Socialiteracy Auto Brands
Lexie Learning Socialiteracy Auto BrandsLexie Learning Socialiteracy Auto Brands
Lexie Learning Socialiteracy Auto BrandsLexie Liang
 
Med Week Final - Arete Leadership Consulting
Med Week Final - Arete Leadership ConsultingMed Week Final - Arete Leadership Consulting
Med Week Final - Arete Leadership ConsultingALC
 
Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...
Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...
Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...Ian Fenwick, Digital Marketing
 
Comscoregoogledayturkeypresentation
ComscoregoogledayturkeypresentationComscoregoogledayturkeypresentation
Comscoregoogledayturkeypresentationskylerc
 
ComScore Turkey Presentation
ComScore Turkey PresentationComScore Turkey Presentation
ComScore Turkey PresentationTayfun Yildirim
 
Report On Innovation
Report On InnovationReport On Innovation
Report On InnovationEmilRajah
 

Ähnlich wie Prius Account Planning Project (20)

Interbrand List of Best Global Brands
Interbrand List of Best Global BrandsInterbrand List of Best Global Brands
Interbrand List of Best Global Brands
 
Interbrand List of Best Global Brands
Interbrand List of Best Global BrandsInterbrand List of Best Global Brands
Interbrand List of Best Global Brands
 
GRI presentation @ NAEM Conference
GRI presentation @ NAEM ConferenceGRI presentation @ NAEM Conference
GRI presentation @ NAEM Conference
 
Measuringsustainabilityperformancejune2011 110628164932 Phpapp02
Measuringsustainabilityperformancejune2011 110628164932 Phpapp02Measuringsustainabilityperformancejune2011 110628164932 Phpapp02
Measuringsustainabilityperformancejune2011 110628164932 Phpapp02
 
General motors
General motorsGeneral motors
General motors
 
Air France: Internet Advertising and The 'Search' For Answers
Air France: Internet Advertising and The 'Search' For AnswersAir France: Internet Advertising and The 'Search' For Answers
Air France: Internet Advertising and The 'Search' For Answers
 
KWD Webranking European Awards 2010
KWD Webranking European Awards 2010 KWD Webranking European Awards 2010
KWD Webranking European Awards 2010
 
Toyota marketing services
Toyota marketing servicesToyota marketing services
Toyota marketing services
 
goodyear Annual Report 1998
goodyear Annual Report 1998goodyear Annual Report 1998
goodyear Annual Report 1998
 
How to Optimize YouTube Videos - YouTube SEO - ReelSEO Presentation
How to Optimize YouTube Videos - YouTube SEO - ReelSEO PresentationHow to Optimize YouTube Videos - YouTube SEO - ReelSEO Presentation
How to Optimize YouTube Videos - YouTube SEO - ReelSEO Presentation
 
Chevorlet all the way
Chevorlet all the wayChevorlet all the way
Chevorlet all the way
 
Zipcar case
Zipcar caseZipcar case
Zipcar case
 
Chery Competitive Advantage 2010.4
Chery Competitive Advantage 2010.4Chery Competitive Advantage 2010.4
Chery Competitive Advantage 2010.4
 
Gm manendra
Gm   manendraGm   manendra
Gm manendra
 
Lexie Learning Socialiteracy Auto Brands
Lexie Learning Socialiteracy Auto BrandsLexie Learning Socialiteracy Auto Brands
Lexie Learning Socialiteracy Auto Brands
 
Med Week Final - Arete Leadership Consulting
Med Week Final - Arete Leadership ConsultingMed Week Final - Arete Leadership Consulting
Med Week Final - Arete Leadership Consulting
 
Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...
Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...
Launch of Vietnamese Edition of DigiMarketing: The Esential Guide to New Medi...
 
Comscoregoogledayturkeypresentation
ComscoregoogledayturkeypresentationComscoregoogledayturkeypresentation
Comscoregoogledayturkeypresentation
 
ComScore Turkey Presentation
ComScore Turkey PresentationComScore Turkey Presentation
ComScore Turkey Presentation
 
Report On Innovation
Report On InnovationReport On Innovation
Report On Innovation
 

Kürzlich hochgeladen

The-Ethical-issues-ghhhhhhhhjof-Byjus.pptx
The-Ethical-issues-ghhhhhhhhjof-Byjus.pptxThe-Ethical-issues-ghhhhhhhhjof-Byjus.pptx
The-Ethical-issues-ghhhhhhhhjof-Byjus.pptxmbikashkanyari
 
Kenya Coconut Production Presentation by Dr. Lalith Perera
Kenya Coconut Production Presentation by Dr. Lalith PereraKenya Coconut Production Presentation by Dr. Lalith Perera
Kenya Coconut Production Presentation by Dr. Lalith Pereraictsugar
 
Buy gmail accounts.pdf Buy Old Gmail Accounts
Buy gmail accounts.pdf Buy Old Gmail AccountsBuy gmail accounts.pdf Buy Old Gmail Accounts
Buy gmail accounts.pdf Buy Old Gmail AccountsBuy Verified Accounts
 
Pitch Deck Teardown: Geodesic.Life's $500k Pre-seed deck
Pitch Deck Teardown: Geodesic.Life's $500k Pre-seed deckPitch Deck Teardown: Geodesic.Life's $500k Pre-seed deck
Pitch Deck Teardown: Geodesic.Life's $500k Pre-seed deckHajeJanKamps
 
8447779800, Low rate Call girls in Tughlakabad Delhi NCR
8447779800, Low rate Call girls in Tughlakabad Delhi NCR8447779800, Low rate Call girls in Tughlakabad Delhi NCR
8447779800, Low rate Call girls in Tughlakabad Delhi NCRashishs7044
 
International Business Environments and Operations 16th Global Edition test b...
International Business Environments and Operations 16th Global Edition test b...International Business Environments and Operations 16th Global Edition test b...
International Business Environments and Operations 16th Global Edition test b...ssuserf63bd7
 
Memorándum de Entendimiento (MoU) entre Codelco y SQM
Memorándum de Entendimiento (MoU) entre Codelco y SQMMemorándum de Entendimiento (MoU) entre Codelco y SQM
Memorándum de Entendimiento (MoU) entre Codelco y SQMVoces Mineras
 
FULL ENJOY Call girls in Paharganj Delhi | 8377087607
FULL ENJOY Call girls in Paharganj Delhi | 8377087607FULL ENJOY Call girls in Paharganj Delhi | 8377087607
FULL ENJOY Call girls in Paharganj Delhi | 8377087607dollysharma2066
 
Innovation Conference 5th March 2024.pdf
Innovation Conference 5th March 2024.pdfInnovation Conference 5th March 2024.pdf
Innovation Conference 5th March 2024.pdfrichard876048
 
Traction part 2 - EOS Model JAX Bridges.
Traction part 2 - EOS Model JAX Bridges.Traction part 2 - EOS Model JAX Bridges.
Traction part 2 - EOS Model JAX Bridges.Anamaria Contreras
 
Marketplace and Quality Assurance Presentation - Vincent Chirchir
Marketplace and Quality Assurance Presentation - Vincent ChirchirMarketplace and Quality Assurance Presentation - Vincent Chirchir
Marketplace and Quality Assurance Presentation - Vincent Chirchirictsugar
 
Market Sizes Sample Report - 2024 Edition
Market Sizes Sample Report - 2024 EditionMarket Sizes Sample Report - 2024 Edition
Market Sizes Sample Report - 2024 EditionMintel Group
 
Kenya’s Coconut Value Chain by Gatsby Africa
Kenya’s Coconut Value Chain by Gatsby AfricaKenya’s Coconut Value Chain by Gatsby Africa
Kenya’s Coconut Value Chain by Gatsby Africaictsugar
 
Fordham -How effective decision-making is within the IT department - Analysis...
Fordham -How effective decision-making is within the IT department - Analysis...Fordham -How effective decision-making is within the IT department - Analysis...
Fordham -How effective decision-making is within the IT department - Analysis...Peter Ward
 
Organizational Structure Running A Successful Business
Organizational Structure Running A Successful BusinessOrganizational Structure Running A Successful Business
Organizational Structure Running A Successful BusinessSeta Wicaksana
 
Investment in The Coconut Industry by Nancy Cheruiyot
Investment in The Coconut Industry by Nancy CheruiyotInvestment in The Coconut Industry by Nancy Cheruiyot
Investment in The Coconut Industry by Nancy Cheruiyotictsugar
 
Chapter 9 PPT 4th edition.pdf internal audit
Chapter 9 PPT 4th edition.pdf internal auditChapter 9 PPT 4th edition.pdf internal audit
Chapter 9 PPT 4th edition.pdf internal auditNhtLNguyn9
 
Flow Your Strategy at Flight Levels Day 2024
Flow Your Strategy at Flight Levels Day 2024Flow Your Strategy at Flight Levels Day 2024
Flow Your Strategy at Flight Levels Day 2024Kirill Klimov
 

Kürzlich hochgeladen (20)

The-Ethical-issues-ghhhhhhhhjof-Byjus.pptx
The-Ethical-issues-ghhhhhhhhjof-Byjus.pptxThe-Ethical-issues-ghhhhhhhhjof-Byjus.pptx
The-Ethical-issues-ghhhhhhhhjof-Byjus.pptx
 
Kenya Coconut Production Presentation by Dr. Lalith Perera
Kenya Coconut Production Presentation by Dr. Lalith PereraKenya Coconut Production Presentation by Dr. Lalith Perera
Kenya Coconut Production Presentation by Dr. Lalith Perera
 
No-1 Call Girls In Goa 93193 VIP 73153 Escort service In North Goa Panaji, Ca...
No-1 Call Girls In Goa 93193 VIP 73153 Escort service In North Goa Panaji, Ca...No-1 Call Girls In Goa 93193 VIP 73153 Escort service In North Goa Panaji, Ca...
No-1 Call Girls In Goa 93193 VIP 73153 Escort service In North Goa Panaji, Ca...
 
Buy gmail accounts.pdf Buy Old Gmail Accounts
Buy gmail accounts.pdf Buy Old Gmail AccountsBuy gmail accounts.pdf Buy Old Gmail Accounts
Buy gmail accounts.pdf Buy Old Gmail Accounts
 
Call Us ➥9319373153▻Call Girls In North Goa
Call Us ➥9319373153▻Call Girls In North GoaCall Us ➥9319373153▻Call Girls In North Goa
Call Us ➥9319373153▻Call Girls In North Goa
 
Pitch Deck Teardown: Geodesic.Life's $500k Pre-seed deck
Pitch Deck Teardown: Geodesic.Life's $500k Pre-seed deckPitch Deck Teardown: Geodesic.Life's $500k Pre-seed deck
Pitch Deck Teardown: Geodesic.Life's $500k Pre-seed deck
 
8447779800, Low rate Call girls in Tughlakabad Delhi NCR
8447779800, Low rate Call girls in Tughlakabad Delhi NCR8447779800, Low rate Call girls in Tughlakabad Delhi NCR
8447779800, Low rate Call girls in Tughlakabad Delhi NCR
 
International Business Environments and Operations 16th Global Edition test b...
International Business Environments and Operations 16th Global Edition test b...International Business Environments and Operations 16th Global Edition test b...
International Business Environments and Operations 16th Global Edition test b...
 
Memorándum de Entendimiento (MoU) entre Codelco y SQM
Memorándum de Entendimiento (MoU) entre Codelco y SQMMemorándum de Entendimiento (MoU) entre Codelco y SQM
Memorándum de Entendimiento (MoU) entre Codelco y SQM
 
FULL ENJOY Call girls in Paharganj Delhi | 8377087607
FULL ENJOY Call girls in Paharganj Delhi | 8377087607FULL ENJOY Call girls in Paharganj Delhi | 8377087607
FULL ENJOY Call girls in Paharganj Delhi | 8377087607
 
Innovation Conference 5th March 2024.pdf
Innovation Conference 5th March 2024.pdfInnovation Conference 5th March 2024.pdf
Innovation Conference 5th March 2024.pdf
 
Traction part 2 - EOS Model JAX Bridges.
Traction part 2 - EOS Model JAX Bridges.Traction part 2 - EOS Model JAX Bridges.
Traction part 2 - EOS Model JAX Bridges.
 
Marketplace and Quality Assurance Presentation - Vincent Chirchir
Marketplace and Quality Assurance Presentation - Vincent ChirchirMarketplace and Quality Assurance Presentation - Vincent Chirchir
Marketplace and Quality Assurance Presentation - Vincent Chirchir
 
Market Sizes Sample Report - 2024 Edition
Market Sizes Sample Report - 2024 EditionMarket Sizes Sample Report - 2024 Edition
Market Sizes Sample Report - 2024 Edition
 
Kenya’s Coconut Value Chain by Gatsby Africa
Kenya’s Coconut Value Chain by Gatsby AfricaKenya’s Coconut Value Chain by Gatsby Africa
Kenya’s Coconut Value Chain by Gatsby Africa
 
Fordham -How effective decision-making is within the IT department - Analysis...
Fordham -How effective decision-making is within the IT department - Analysis...Fordham -How effective decision-making is within the IT department - Analysis...
Fordham -How effective decision-making is within the IT department - Analysis...
 
Organizational Structure Running A Successful Business
Organizational Structure Running A Successful BusinessOrganizational Structure Running A Successful Business
Organizational Structure Running A Successful Business
 
Investment in The Coconut Industry by Nancy Cheruiyot
Investment in The Coconut Industry by Nancy CheruiyotInvestment in The Coconut Industry by Nancy Cheruiyot
Investment in The Coconut Industry by Nancy Cheruiyot
 
Chapter 9 PPT 4th edition.pdf internal audit
Chapter 9 PPT 4th edition.pdf internal auditChapter 9 PPT 4th edition.pdf internal audit
Chapter 9 PPT 4th edition.pdf internal audit
 
Flow Your Strategy at Flight Levels Day 2024
Flow Your Strategy at Flight Levels Day 2024Flow Your Strategy at Flight Levels Day 2024
Flow Your Strategy at Flight Levels Day 2024
 

Prius Account Planning Project

  • 1. + Toyota BerryBee Prius Agency Kathryn Drake Amy Ewing April 27, 2010 Kim Grams Account Beatriz Mendoza Planning Corey Zoller
  • 2. + 2 The BerryBee Agency: Corey Zoller Kim Grams Kathryn Drake Beatriz Mendoza Amy Ewing
  • 3. + 3 Table of Contents  Secondary Report 4-25  Survey Report 26-54  Qualitative Report 55-90  Creative Brief 91-93
  • 4. + 4 Secondary Report
  • 5. + 5 Part 1: The “Three C” Situation Analysis  The Company/Brand  History of the company  The Toyota Prius is a full hybrid electric mid-size car developed and manufactured by the Toyota Motor Corporation. The Prius is the most fuel efficient gas car currently sold in the U.S. according to the United States Environmental Protection Agency. It first went on sale in Japan in 1997, making it the first mass-produced hybrid vehicle. It was subsequently introduced worldwide in 2001. The Prius is sold in more than 40 countries and regions, with its largest markets being those of Japan and North America. The vehicle was named "Prius", the Latin word for "prior" or "before"
  • 6. +  Company Sales Trends 6 Annual sales worldwide and by region[78] (in thousands) North Year World Japan U.S.[79] Europe Other America 1997 0.3 0.3         1998 17.7 17.7         1999 15.2 15.2         2000 19.5 12.5 5.8 5.6 0.7 0.01 2001 29.0 11.0 16.0 15.6 2.3 0.2 2002 28.1 6.7 20.3 20.1 0.8 0.2 2003 43.2 17.0 24.9 24.6 0.9 0.4 2004 125.7 59.8 55.9 54.0 8.1 1.9 2005 175.2 43.7 109.9 107.9 18.8 2.9 2006 185.6 48.6 109.0 107.0 22.8 5.3 2007 281.3 58.3 183.8 181.2 32.2 7.0 2008   73.1[80]   158.9 2009   208.9[80]   139.7 [81]
  • 7. +  The 4 P’s of marketing for this brand 7  Products  Full Hybrid Electric Mid-Size Car  Place  Distributed in Japan  http://wiki.answers.com/Q/Where_is_the_Toyota_Prius_manufactured  Promotion  http://www.youtube.com/watch?v=Tq4nrmnqY9o  http://www.toyota.com/prius-hybrid/commercial.html  PR  http://www.pamil-visions.net/toyota-prius-brake-proble/211529/  http://pressroom.toyota.com/pr/tms/toyota/toyota-announces-prices- for-2010-89249.aspx  Price  $21,000- $27,270 Sources: blue links listed above, and http://en.wikipedia.org/wiki/Toyota_Prius
  • 8. + 8  The Consumer of the Brand  Demographics of current brand users − Women, ages 45-64, Married (MRI) − The average age of a hybrid driver is 50, compared to the average age of all car buyers at 40. (hybridcars.com) − Income: $100,000+ (MRI) − 71 Percent of Prius owners reported in a survey from Topline Strategy Group that they earn more than $100,000. This is more than twice the national average. − Home value: $500,000+ (MRI) − Education: Post College Degree (MRI) − Hybrid owners are more than twice as likely to have a college degree as all US adults. -Occupation: Professional or Management, Business, and Finance Occupations (MRI) − Geography: County Size A (MRI) − According to a JD Power study, consumers who are willing to pay more for a hybrid vehicle are concentrated the most in the West and the least in the Midwest. − The top markets of hybrid ownership are Tucson, San Francisco, Washington DC, and Las Vegas. Households in these markets are twice as likely to own a hybrid than households nationwide. (Scarborough Research) − California is consistently ahead of other states in terms of new vehicle registrations for hybrids. (hybridcars.com) −    Race: White or Asian (MRI)
  • 9. +  Psychographics 9 −    Attitude: •    JD Power found that hybrid owners are “78% more likely than the general population to be highly creative.” •    Hybrid owners are generally considered more open- minded and spontaneous than the general population. (JD Power) −    Lifestyle: •    Hybrid owners are “active, engaged in outdoor activities, and health-conscious.” (Scarborough) •    33% of hybrid owners are members of a health club, nearly twice as many as the general population. (Scarborough) •    Hybrid owners are twice as likely to go skiing, hiking, or practice yoga. (hybridcars.com) Some other activities they participate in more than the average person include biking, snow skiing, and golfing. •    They consume more organic food than the average person. (hybridcars.com) −    Beliefs: •    38% of hybrid owners identify themselves as Democrats and 20% of them report to be Independent but feel closer to Democrat. •    81% of hybrid owners “always” vote in the presidential elections, 10% more than the general population. (Scarborough)
  • 10. +  Consumer relationship with brand 10 -According to Consumer Reports’ 2010 Car Brands Perception Study, consumers rated Toyota as the top environmentally friendly/green car brand. Toyota also earned the top brand perception score, which is calculated by the scores from all categories (safety, quality, value, performance, design/style, technology/innovation, and environmentally friendly/green.)    -Prius owners love to tell others of their experiences with the brand and encourage others to purchase the car. They are “proud advocates” of their cars. (JD Power) -In JD Power’s 2009 owner satisfaction survey, 84.3% of owners reported being satisfied with the Prius, taking 2nd place among all cars. -Consumers who drive a Prius likely do so because when someone sees a Prius, they know that it is a hybrid. Unlike hybrid models by Ford or Honda, Toyota built the Prius from the ground up and didn’t simply use an existing model. (New York Times)
  • 11. + The Category  11  History of the category  In 1901, Ferdinand Porsche designed one of the earliest known gasoline electric cars, which he called the Mixte. This design featured a gasoline engine, as well as an electric engine used to give the car a little extra power. Although the technology of the hybrid electric vehicles (HEVs) of today are more advanced, many of the characteristics of the Mixte’s hybrid engine are still applied to this day (hybridcars.com, 2010).  In 1915, Woods Motor Vehicle created the Dual Power hybrid vehicle, which used an electric motor to power the vehicle at low speeds, and a gasoline engine to power the vehicle into higher speeds up to 55 mph. 600 Dual Power vehicles were created before the company ceased production in 1918 (hybridcars.com, 2010).  The 1960’s and 70’s experienced a technological advance in the development of HEVs with the help of Victor Wouk, commonly referred to as the “Godfather of the Hybrid.” During this period, Wouk designed numerous HEVs, significantly a hybrid version of GM’s Buik Skylark in 1976 (Bradley Berman, New York Times, 2010).  In 1978, David Arthurs developed the regenerative braking system, a system on which most modern hybrids rely, in his conversion of an Opel (a German subsidiary of GM) GT. In this system of braking, the electric motor slows the car while it collects the power and uses it to recharge the electric batteries (hybridcars.com, 2010).  In 1989, Audi created the Audi Duo, a plug-in electric hybrid designed for engine use in the country and electric use in the city. This model proved inefficient and only ten vehicles were said to have been produced. The Audi Duo II was then designed in 1991, but it received little success, as well (hybridcars.com, 2010).
  • 12. + 12  In 1993, President Clinton created the Partnership for a New Generation of Vehicles, a government program designed to fuel the mass production of alternative fuel vehicles. Among the partners in this group were Chrysler, Ford and GM. This program was eventually replaced by President Bush’s FreedomCAR initiative in 2001 (Bradley Berman, New York Times, 2010).  The modern history of HEVs began in the late 1990’s with Toyota and Honda leading the pack. The Toyota Prius and Honda Insight, which are still popular models to this day, were two of the first mainstream HEVs. The Toyota Prius was released in 1997 and was the first mass-produced HEV, while the Honda Insight was released in 1999 (hybridcars.com, 2010).  In 1997, Audi found its first success in the category of HEVs with the Audi Duo III, making it the first European hybrid ever put into production. Its success was slight, however, as its steep price made it unpopular. Only 60 vehicles of this model were produced (hybridcars.com, 2010).  In 2004, the Ford released the first hybrid electric SUV in the Escape. Toyota answered one year later with a hybrid version of its Highlander SUV (hybridcars.com, 2010).  In 2006, Tesla Motors unveiled its Tesla Roadster, the first and only highway-capable electric vehicle for sale today (teslamotors.com, 2010).
  • 13. + Overall category trends  13  Historical Size of Category  To the right is a chart consisting of data compiled by Yuki Tanaka and Yukio Shigeta of the Nomura Research Institute, taken from their article “Upcoming Advances in the Hybrid Vehicle Market,” issue No. 114 of the NRI Papers, published Feb. 1, 2007. From the chart we can see a gradual increase of hybrid units sold globally from 1997 through 2003. From 2003 to 2005 a rapid increase occurred. According to Tanaka and Shigeta, during this period the U.S. accounts for 70% of sales, Japan 20% and Europe 8%.
  • 14. + 14  Current Size of Category  According to the Electric Drive Transportation Association (electricdrive.org, 2010), 246,642 hybrid units were sold in the US in 330,000 2006, 324,318 units were sold in 2007, 315,688 in 2008 and 290,237 in 2009. 247,500 As apparent in the following chart, a slight decrease in HEVs sold over the 165,000 past few years has occurred in the US. Units 82,500  Registrations of hybrid vehicles have 0 increased, however, with 598,739 registered in 2009 (hybridcars.com, 2006 2007 2008 2009 2010) compared to 350,289 registrations in 2007 (The Associated Press, 2010, msnbc.com).
  • 15. +The 4 P’s of marketing for direct competitors • 15  Products  The top five best-selling hybrid models of 2009 were the Toyota Prius (139,682 units), Toyota Camry Hybrid (22,887 units), Honda Insight (20,572 units), Ford Fusion Hybrid (15,554 units) and Honda Civic Hybrid (15,119 units) (Jeff Wysaski, autotropolis.com, 2010).  The top five best-selling hybrid SUV models of 2009 were the Ford Escape (12,009 units), Lexus RX400h (10,089 units), Toyota Highlander (8,635 units), Chevy Tahoe (2,466) and Saturn Vue (2,280 units) (hybridsuv.com, 2009).  The following graph, provided by hybridcars.com, 2010, compares the Prius with four of the top hybrid models by showing the U.S. hybrid market historical sales from 1999 through 2009.
  • 16. +  Place 16  Globally, the U.S. led as the country with the most hybrid vehicle registrations in 2009 with 265,501 of the 598,739 total registrations. Japan came in a close second with 249,619 registrations. Other countries included Canada, the Netherlands, and the U.K. with less than 17,000 each (hybridcars.com, 2010).  In the U.S., the top five cities as markets for HEVs in 2009 from first to fifth are Los Angeles, New York, San Francisco, Washington, D.C., and Chicago. The top five states with the highest hybrid sales in 2009 are California, New York, Florida, Texas and New Jersey (hybridcars.com, 2010).
  • 17. + 17 Promotion  One of the Prius’ biggest competitors, the Honda Insight, released its 2010 model with an ad campaign deeming it “the hybrid for everyone” because it is “designed and priced for us all.” With its release in April 2009, the 2010 Honda Insight is the least expensive new hybrid available in the U.S (Honda Motor Co., Ltd, 2009, world.honda.com).  Promoting themselves as luxury hybrids are many of the Lexus, Mercedes and BMW models. For example, an advertisement for the Lexus LS600h promotes the technology of the hybrid, while including the tag “the pursuit of perfection.”  As the first highway-compatible hybrid vehicle, the Tesla Roadster is promoting its speed as well as its speed, “0 – 60 in 3.9 seconds,” combined with its environmental benefits in one of its slogans, “performance with a clean conscience” (teslamotors.com, 2010).
  • 18. + 18  Price  In April 2009, Honda released the 2010 Honda Insight as the least expensive new hybrid in the U.S., available for under $20,000 (Honda Motor Co., Ltd., 2009, world.honda.com). Of the other top-selling hybrids, the Toyota Camry Hybrid has a base price of about $26,000, the Ford Fusion Hybrid has a base price of $28,000 and the Honda Civic Hybrid starts at $24,000 (buyersguide.caranddriver.com, 2010).
  • 19. + 19 Part 2: Competitive Creative Analysis  Top Competitors  Source: http://www.consumersearch.com/ hybrid-cars  Ford  GM  Nissan
  • 20. + 20 Nissan Altima  http://www.nissanusa.com/  http://fastfever.com/?vid=749  This ad is for the Nissan Altima  The “Quality You Can Love”  Hybrid and is displayed on the commercial speaks to people who official Nissan website’s homepage. “Love” and care for their cars and This ad is definitely geared towards pokes fun at those who care freak those who place importance on the over minor scratches/hits given to quality of the car above everything their cars. The goal of this ad is to else. The JD Power and Associates show that the Nissan Altima has been Award is prestigious and the mention put through over 5,000 tests and the of the car being awarded this speaks quality assurance is backed by the very highly of the car. The ad award for being ranked the highest mentions that it is the highest ranked in quality among midsized cars.  car in quality which is places it well Again, Nissan goes with an “expert against the Toyota Prius. The expert opinion” approach when advertising opinion of JD Power and Associates is the car when mentioning the tests the the main focus of the persuasive/ car has been put through and the JD creative strategy in this particular ad. Power and Associates Award it received.
  • 21. + 21 Honda Insight  http://automobiles.honda.com/insight-hybrid/videos.aspx  This ad speaks to any potential consumer thus the slogan “Designed and Priced for Us All” and tag line “The Hybrid for Everyone”. It can be found appealing and entertaining because the focus of the commercial is on the price and versatility of the car and the layout of the commercial is very modern. It says the price is affordable so it’s attainable by many and its storage makes it convenient for many different types of cargo and the mpg is also easy on the wallet. In the commercial you can see somewhat of a demonstration by the different types of cargo being loaded/unloaded and the “reason why” method is also definitely used because of the narrator’s persuasive script.
  • 22. + 22 Honda Civic  http://automobiles.honda.com/civic-hybrid/videos.aspx  The “Grooves” commercial speaks to the modern day, smart consumer - those who have an interest in art, science and the environment.  The goal of this ad is to appeal to the artsy/smart audience and entertain them with a cute, creative twist on car science. This ad had a demonstration but it definitely focused more on image and made the car seem like a smart/cool thing to invest in.  
  • 23. + 23 Ford Fusion Hybrid  “We Speak Car” ad on YouTube: http://www.youtube.com/watch? v=TIAclinwG6Y  The commercial for the 2010 Ford Fusion Hybrid is talking to consumers who may already have a brand relationship with Ford, and know that Ford “Speaks Car”. The commercial is letting this audience know that they also “Speak Hybrid,” meaning they will get the same Ford quality in a hybrid vehicle. The ad establishes the Fusion Hybrid as “the most fuel-efficient mid-size sedan in America,” and directly competes with other hybrid vehicles with claims such as “an EPA estimated 41 mpg city” and “700 miles on a single tank” – clearly using “Reason-Why” advertising, presenting facts and figures telling the audience the reason why the Fusion Hybrid is the most fuel-efficient American automobile in its class.
  • 24. + 24 Ford Escape Hybrid  “Kermit Says Its Easy Being Green” ad on Google Videos: http:// video.google.com/videoplay?docid=7372950930856015507#  The Kermit the Frog ad for Ford Escape Hybrid appeals to a broad audience on a broad level. In the end, the ad’s targeted audience is eco-friendly or environmentally conscious consumers. In the beginning, the viewer isn’t sure what kind of advertisement this is or for what brand. We follow Kermit on a path while he sings “It’s Not Easy Being Green”. He eventually gets to the Escape Hybrid and declares “Hm.. I guess it is easy being green!” If the Ford Escape can be green, so can Kermit! The goal of this ad is to present the traditional Escape in a new and more environmental “green” light, and in the last few seconds of the commercial we learn the new Escape Hybrid has an estimated 36 miles per gallon. The persuasive creative strategy is obviously “Spokesperson,” employing one of America’s most beloved (and Jim Henson’s most famous) Muppet.
  • 25. Part 3: The SWOT Analysis + 25 Strengths Weaknesses -With new environmental knowledge, more and more -The initial cost of the vehicle may not allow you to people are moving toward hybrid cars break even, even with the savings on gas -Prius is "eco-friendly" car -Long- distance commuters see less savings -Many celebrities try to make a statement by driving a -It is not as fun to drive for the accelerator is indeed Prius, influencing others to do the same slower than a conventional car -Competitively priced with other hybrids -The simple anatomy of a hybrid car is complex, hard -First Hybrid car to be introduced, many customers to understand and explain, making the pitch to a are loyal to the brand. consumer difficult Threats Opportunities -Recent plan to recall 311,000 of the vehicles due to -Continued popularity of “green” movement complaints about break performance could have -High gasoline prices significant effect on the mindset of potential buyers in the -Large number of celebrities who drive a Prius future if damage control is not effectively implemented -Those who are typically consumers of hybrid vehicles from a public relations standpoint. have higher incomes than most people, so they have -Negativity on the Prius model comes almost instantly after the money available to buy a new car another major crisis for Toyota, involving a halt of sales of nearly half of its models in the U.S. due to a faulty accelerator problem that has been causing fatal accidents -January 7, 2010 -- shares of Toyota were down more than 7% while Ford was up 2%, which may almost certainly benefit the competition -Affordability of the 2010 Honda Insight, released in 2009 as the least expensive new hybrid in the U.S., possibly attracting money-savvy customers in a struggling economy
  • 26. + 26 Survey Report
  • 27. + 27 Research Objectives  Toyota introduced the Prius product in 2001. The purpose of this research is  To gain consumer insights that will drive the advertising strategy for the Prius.  To supplement previous secondary research which included a Company, Consumer, and Competition situation analysis, a competitive creative analysis and SWOT analysis. This secondary research was completed on February 9, 2010.  To inform the next stage of research. (Sentence listing methods of forthcoming qualitative research (focus groups, interviews, observation)).
  • 28. + 28 Methodology  We used the following data collection methods  Created the survey using Survey Methods  Posted the survey link on Facebook  Campus intercepts at Texas State University  Personal intercepts at Whole Foods and SXSW  Data collection: March 12, 2010-March 21, 2010  Completed responses=106
  • 29. + 29 Methodology  Sampling Method  The convenience sample is only representative of a small, select portion of the population, where as a random sample takes the entire population into account and draws randomly from it. The convenience sample does not completely represent the overall population.  It differs from an ideal sample because it wasn’t random. Most of the respondents reside in the Austin/San Marcos area. People that we did not reach in this area were unrepresented. Based on the data collection methods that we chose, it is not certain that all the respondents were true in the way that they responded.  Our finding were used for exploratory research.
  • 30. + 30 Respondent Qualifications  We are conducting a national sample.  We are sampling individuals.  Individuals must own a Prius, or must be in the market for a hybrid sedan within the next year.  We plan to survey people with the following qualifications:  Ages 21-50  Gender: Male and Female  Occupation: Professionals with some college or college degree  Lifecycle: Young singles, young married adults  Living situation: Single family homes with kids or without kids
  • 31. + 31 Actual Respondent Profile  Austin/San Marcos area  Sampled individuals  Individuals either owned a Prius, or are in the market for a hybrid sedan within the next year.  Age: 22-40  Gender: 56% Male, 44% Female Prius Owners 42%  Income:  College students and prospective buyers< Prospective Buyers $10,000 58%  Large majority was between $60,000- $80,000 (Mostly owners)  Prius owners:44  Prospective buyers: 62  Total Surveyed: 106
  • 32. + 32 Collected Data  Question 1  Screening question Do you own a Prius?  Thirty-five percent of the respondents own a Prius. 36% 64% Yes
  • 33. + 33 Collected Data Rate the importance of each of the following when it comes to your Prius. On the scale below, please rank the following items 30 accordingly based on their importance to you.  Question 2  Owner  Most respondents (66%) felt that 23 fuel-efficiency is “extremely important” as well as safety ( 58%) when it comes to their Prius. 15  Few respondents (2%) felt that fuel-efficiency was “not important.” Few respondents also felt that price, appearance, reputation, and safety were “not 8 important.” 0 Fuel-Efficiency Price Appearance Reputation Safety Extremely Important Very Important Neutral Not Important Not at all Important
  • 34. + 34 Collected Data  Question 3  Owner Overall, how satisfied are you with your Prius? 30  The majority of respondents (59%) were “satisfied” with their Prius. The “extremely satisfied” category was the second highest chosen with 27% 23 of respondents.  Few of the respondents (2%) were 15 “dissatisfied” or “extremely dissatisfied” with their Prius. 8 0 Extremely Satisfied Satisfied Neutral Dissatisfied Extremely Dissatisfied
  • 35. + 35 Collected Data What is it about your Prius that you enjoy the least? On the scale below please rank the following items accordingly based on your satisfaction with each. 25  Question 4  Owner 20  The majority of respondents were neutral in all of the categories, except for “appearance” where most respondents (45%) were 15 “satisfied.”  The fewest amount of respondents 10 were “extremely satisfied” within each category. 5 0 Lack of Horsepower Appearance Handling of the Car Price Extremely Dissatisfied Dissatisfied Neutral Satisfied Extremely Satisfied
  • 36. + 36 Collected Data Does the current Toyota brake recall affect the  Question 5 way you feel toward your car?  Owner  The majority of respondents (32%) 15 replied “not much” when it comes to being affected by the brake recall. 11  The second highest category of respondents (27%) said they were “slightly” affected. 8  The same amount of respondents (16%) were “definitely affected,” and felt “neutral” toward the brake 4 recall.  Few respondents said they were “not0 at all “affected.” Definately yes Slightly Neutral Not Much Not at all
  • 37. + 37 Collected Data  Question 6  Screening Do you plan to purchase a hybrid sedan in the next year?  The majority of respondents plan to purchase a hybrid sedan within the next year, as shown by 71 percent. 29% 71% Yes
  • 38. + 38 Collected Data  Question 7 What are you concerned with when purchasing a hybrid vehicle? 40 On the scale below, rate the following items accordingly based on  Prospective buyer their importance to you  When it came to fuel- efficiency, price, and safety, the majority of respondents 30 felt these benefits were “extremely important” when it came to purchasing a Extremely Important hybrid sedan. Very Important 20 Neutral  When it came to appearance Not Important and the reputation of the car, Not at all Important the majority of respondents (42%-44%) were “neutral.” 10  In every category, the fewest amount of respondents felt like the benefit was “not 0 important.” Fuel-Efficiency Price AppearanceReputation Safety
  • 39. + 39 Collected Data What brand comes to mind when you think of hybrid sedans? 2%2% 2%  Question 8 3% 5%  Prospective buyer  The majority of respondents (53%) said that Toyota came to mind first when thinking of hybrid sedans.  The least amount of respondent chose Hyundai, 21% Mercedes, and Lexus as the brand that came to their mind when thinking of hybrid sedans. 53% 13% Toyota Honda Ford Kia Hyundai Mercedes Lexus Mazda Other
  • 40. + 40 Collected Data How much will the recent brake recall on certain Toyota models  Question 9 affect your purchasing decision?  Prospective buyer 30  The majority of respondents (40%) said that the recent Toyota brake recall “definitely 23 will” affect their purchasing decision.  The fewest amount of 15 respondents (8%) said that the recent Toyota brake recall will “definitely not” affect their purchasing decision. 8  The remainder of respondent choices fell in the middle. “Slightly” (18%), “not 0 sure” (21%), and “probably Definately will Slightly Not sure Probably not Definately not not” (13%).
  • 41. + 41 Collected Data Question 10   Owner & prospective buyer How concerned are you for the environment? 50  Most of the overall respondents (45%) said that they “very much” care for the environment. 38  Few respondents fell below 25 neutral on their concerns for the environment. 13 0 5 (Very Much) 4 3 (Neutral) 2 1 (Not at All) Overall Prius Owners Prospective Buyers
  • 42. + 42 Collected Data Do Toyota’s advertising efforts (in regard to the brake recall) affect your impression of the company?  Question 11  Owner & prospective buyer 50  The majority of the respondent impressions (40%) were neutrally 38 affected in regard to the advertising efforts of Toyota post- brake recall. 25 The fewest amount of respondents 13  (7%) were “very much” affected by the advertising efforts. 0 5 (Very Much) 4 3 (Neutral) 2 1 (Not at All)
  • 43. + 43 Collected Data  Question 12 How many miles do you commute per weekday?  Owner & prospective buyer 50  The majority of respondents (32%)said they commute 10-30 miles 38 per weekday. 25  The fewest amount of respondents (10%) said they commute 51-70 miles per weekday. 13 0 Less than 10 10-30 31-50 51-70 More than 71 Overall Prius Owners Prospective Buyers
  • 44. + 44 Collected Data Gender  Question 13  Demographic  The majority of respondents were male. 44% 56% Male Female
  • 45. + 45 Collected Data  Question 14  Demographic Age 100 96  The most represented age group was 31-40 at 32%. 75  The least represented age group were people over 60 at 4%. 53 50 25 25 12 12 7 3 0 Under 21 22-25 26-30 31-40 41-50 51-60 Over 60
  • 46. + 46 Collected Data  Question 15 Annual Income  Demographic 20  The majority of respondents (18%) made less than $10,000 15 annually, slightly ahead of those that made $70,000-$79,999 annually. 10  The fewest amount of respondents made $90,000-$99,999 or 5 $150,000+; both at 2%. 0
  • 47. + 47 Conclusion •Current owners of the Toyota Prius have admitted to buying the car for its safety and fuel-efficiency. The “lack of horsepower” answer choice was the respondent’s least favorite feature, although it did not have anywhere near the same amount of votes as “neutral”. Most current owners are satisfied with the overall performance of their car. Obviously, this consumer is one who continues to look for a car that will satisfy their fuel-efficiency and safety needs. Toyota does not have to worry about being overlooked by consumers when shopping for a hybrid sedan, as it is certainly the first brand that comes to their minds. Although Toyota’s advertising efforts are aiding in the consumer’s overall impression of the company, the effect it is having on the consumer’s decision to buy a Toyota car is problematic. The brake recall is, so far, playing a vital role in the decisions of those who plan to purchase a hybrid sedan. Our information paints a picture of a typical consumer in our target market: an eco-conscious, 31-40 year old commuter who drives anywhere between 10-50 miles per day. This person cares for their environment a great deal and takes safety ratings and fuel-efficiency into consideration most when buying a hybrid vehicle. The amount of time spent in their car is definitely an area we must look into more in depth.
  • 48. + 48 Further Research  We would like to explore more about our target market and their psychographics in order to reach them more effectively through advertising.  We will pose more open-ended questions regarding why they enjoy or dislike certain features/benefits of the Toyota Prius.  We will ask what Toyota could be doing to better improve their brand image regarding the recent brake recall.  A more in depth list of demographic questions will help us further segment the market. Geography, Education, Marital Status, Race, Religion and other demographics are left untouched in our condensed survey.  By using the VALS system, we could further segment the consumer marketplace on the basis of the personality traits that drive consumer behavior. With this information, our team could develop and execute more effective strategies.
  • 49. + 49 Survey ✦ 1. Do you own a Toyota Prius? ✦ Yes- continue to question 2 ✦ No- continue to question 6 ✦ 2. Rate the importance of each of the following when it comes to your Prius. On a scale of 1-5, please rank the following items accordingly. ✦ 1 (Not very important) 2 3 4 5 (Very important) ✦ Fuel-Efficiency ✦ Price ✦ Appearance ✦ Reputation of the car ✦ Safety ✦ 3. Overall, how satisfied are you with your Prius? (Circle one) ✦ 1(Not at all) 2 3 4 5 (Very much)
  • 50. + 50 Survey ✦ 4. What is it about your Prius that you enjoy the least? On a scale of 1-5, please rank the following items accordingly. ✦ 1 (Extremely satisfied) 2 3 4 5 (Extremely dissatisfied) ✦ Lack of horsepower ✦ Outer appearance ✦ Handling of the car ✦ Price ✦ 5. Does the current Toyota brake recall affect the way you feel toward your car? (Circle one) ✦ 1 (Not at all) 2 3 4 5 (Very much) ✦ 6. Do you plan to buy a hybrid sedan in the next year? ✦ Yes- continue with question 7 ✦ No- Skip to question 10
  • 51. + 51 Survey ✦ 7. What are you concerned with when purchasing a hybrid vehicle? On a scale of 1-5, rate the following items accordingly. ✦ 1 (Not at all concerned) 2 3 4 5 (Very much concerned) ✦ Fuel-Efficiency ✦ Price ✦ Appearance ✦ Reputation of the car ✦ Safety ✦ 8. Which maker comes to mind when thinking of Hybrid Sedans? ✦ Toyota ✦ Honda ✦ Ford ✦ Kia ✦ Hyundai ✦ Mercedes ✦ Lexus ✦ Mazda ✦ Other (Please Specify) __________
  • 52. + 52 Survey ✦ 9. How much will the recent brake recall on certain Toyota models affect your purchasing decision? (Circle one.) ✦ 1 (Not at all) 2 3 4 5 (Very much) ✦ 10. How much do you care for the environment? (Circle one) ✦ 1 (Not at all) 2 3 4 5 (Very much) ✦ 11. Do Toyota’s advertising efforts (in regard to the brake recall) affect your impression of the company? (Circle one) ✦ 1 (Not at all) 2 3 4 5 (Very much) ✦ 12. How many miles do you commute per day during the week? ✦ Less than 10 ✦ 10-30 ✦ 31-50 ✦ 51-70 ✦ More than 71
  • 53. + 53 Survey ✦ 13. Gender: ✦ Male ✦ Female ✦ 14. Age: ✦ 18-21 yrs old ✦ 22-25 yrs old ✦ 26-30 yrs old ✦ 31-40 yrs old ✦ 41-50 ✦ 51-60 ✦ 61 or over
  • 54. + 54 Survey ✦ 15. Annual Income: ✦ Less than 10,000 ✦ $10,000-$19,999 ✦ $20,000- $29,999 ✦ $30,000- $39,999 ✦ $40,000- $49,999 ✦ $50,000- $59,999 ✦ $60,000- $69,999 ✦ $70,000- $79,999 ✦ $80,000- $89,999 ✦ $90,000- $99,999 ✦ $100,000- $149,999
  • 55. + 55 Qualitative Report
  • 56. + 56 Research Objectives  “Toyota is currently experiencing a major PR disaster with its recent product recall. To maintain brand loyalty and increase sales of 2010 models during this crisis, the Toyota Prius is launching an advertising campaign in May 2010.”  To gain consumer insights that will drive the advertising strategy for the Prius.  To supplement previous secondary research and survey research conducted for the Toyota Prius.  To explore:  Find out more detailed information about the people whom we wish to speak to (lifestyle, life stage, education, marital status, race, region) by conducting one-on-one interviews so that we can reach them more effectively.  Uncover how Toyota can improve their reputation through the eyes of the people we wish to speak to.  Discover in further detail what features and benefits of the Prius that consumers like and dislike, and why.  Find out in what ways the people we want to learn about are eco-conscious so that we can find effective ways to target them.
  • 57. + 57 Methodology We conducted 5 one-on-one interviews 4 in person 1 via Skype 15-30 minute interviews Research was conducted in the San Marcos/Austin area in the homes of the interviewers, and also the homes of the interviewee’s April 8th-April 10th, 2pm-8pm Who interviewed who: •Kim, Beatriz, and Corey (Perspective Buyers) •Kathryn and Amy (Prius Owners) Recorded via Skype and digital camera Brand Personification- to give insight on the interviewee’s perception of car brands. We gave our interviewees a list of car brands and asked them to describe each brand as either a member of a family or a person at a party.
  • 58. + 58 Interview  Prius Owners:  2 owners interviewed  Ages 21-50  Male and Female  Must reside in the United States  Must own a Toyota Prius  Lifestyle: Eco-conscious commuters with a set, weekly schedule or routine drive  Life stage: People about to start or are established in their careers  Occupation: Professionals with some college or college degree  Lifecycle: Young singles, young married adults  Living situation: Single family homes, or apartment dwellers with kids or without kids
  • 59. + 59 Interview  Hybrid Sedan Buyer:  3 prospective buyers interviewed  Ages 21-50  Male and Female  Must reside in the United States  Must be in the market for a hybrid sedan  Lifestyle: Eco-conscious commuters with a set, weekly schedule or routine drive  Life stage: People about to start or are established in their careers  Occupation: Professionals with some college or college degree  Lifecycle: Young singles, young married adults  Living situation: Single family homes, or apartment dwellers with kids or without kids
  • 60. + 60 Who We Talked To  All participants were between 22-45. Most participants were in their early- mid 20’s. The groups were primarily women, with one male interviewee. All groups displayed eco-conscious behavior and passed our screener.  Group 1 (Prius Owner)  Both reside in Austin  Female, married with one child  Female, single with no children  Group 2 (Hybrid sedan buyer)  Reside in the San Marcos/Austin/Houston area  Female, single with no children  Female, married with no children  Male, single with no children
  • 61. + 61 Who We Talked To
  • 62. + 62 Who We Talked To Joy M. –Prius owner 45 years old Resides in Austin, TX Currently a stay-at-home mom Worked in the hotel industry before daughter was born Eco-conscious: Recycled before curbside recycling was available. Looking into solar panels for house Has solar panels on husband’s office Replaced windows in house with more efficient newer windows Solar hot water heater Never waters grass Getting water recapture system Starting to compost Values Family Has an 11-year-old daughter Commutes 40 miles roundtrip every weekday Graduated from college in Vancouver
  • 63. + 63 Who We Talked To Kelsey- Prius owner 25 years old Resides in Austin, TX Apartment Dweller Single, no children Student at Austin Community College Currently a Certified Nursing Assistant at Assisted Living facility Eco-conscious: Cares for the environment Recycles paper and plastic, apartment complex has recycling bins Tries to conserver water/energy Values Family and Friends Father drives a Prius, “Toyota Family” Commutes approximately 50 miles roundtrip every weekday
  • 64. + 64 Who We Talked To Kim-Prospective buyer Lives in San Marcos, TX 22 years old Single with no children Student at Texas State University Graduates in May, job lined up Eco-conscious: Cares for the environment Recycles paper and plastic Into the “green” movement Buys organic clothing and food Member of the “Adopt A Highway” program Drives to her sisters house daily which is 30 miles roundtrip Apartment dweller
  • 65. + 65 Who We Talked To Jessie- Prospective buyer 24 years old Works in the health industry Currently drives a 2008 Hyundai Elantra Commute to work roundtrip is 20 miles Also commutes all over Austin for photography adventures on the weekends. Eco-conscious: Eats organic food Keeps AC no higher than 78 degrees Recycles plastic, glass, paper If it gets hot, she opens the window Uses canvas bags for groceries Married with no children Apartment dweller Student at Austin Community College
  • 66. + 66 Who We Talked To Brad- Prospective buyer 28 years old Computer programmer Graduated from Sam Houston State University Commutes 20 miles to work one way in Houston Eco-conscious: Recycles grocery bags, cans and plastics Makes sure appliances are turned off when not being used Environment is important to him Single with no children Apartment dweller
  • 67. + 67 Key Insights  Both Prius owners were eco-conscious in other areas of their lives besides the car they drive.  (Joy, 45, Stay-at-home mother of one from Austin, Prius owner)  “We are extraordinarily eco-conscious”  “When you say what do I do in my spare time, I worry about the environment.”  “We are recyclers beyond recycling.”  (Kelsey, 25, CNA Austin, Prius owner)  “I recycle paper and plastic.”  “My entire family is eco-friendly and always will be.”
  • 68. + 68 Key Insights  For Prius owners, buying a Prius satisfies their need to be closely associated with others, otherwise known as affiliation.  (Kelsey, 25, CNA, Austin, Prius owner)  “I’ll be driving down the road and wave to another Prius driver.”  Family members and acquaintances had a large impact on the owners buying decision.  (Kelsey, 25, CNA, Austin, Prius owner)  (When asked about the purchasing process) “My dad has one [a Prius], so I knew that’s what I’d be driving.”
  • 69. + 69 Key Insights  The Prius owners, and one hybrid prospective buyer, were brand loyal to Toyota.  (Joy, 45, Stay-at-home mother of one, Austin, Prius owner)  (When asked about the recent recall) “Will it stop me from buying another Toyota? No.”  “I just have a lot of respect for Toyota.”  (Jessie, 24, married health care worker, Austin, Prius owner)  “Toyota, before this current situation, has always been very good. I used to own a Toyota, I loved my Toyota, it was a great car. I would buy another Toyota.”  (Kelsey, 25, CNA, Austin, Prius owner)  “From as far as I can remember, my dad has always owned a Toyota.”
  • 70. + 70 Key Insights  As far as the recall goes, one Prius owner was surprisingly understanding toward the situation and willing to forgive the company although they wish Toyota would have revealed the problem sooner. A prospective buyer felt that Toyota is taking the right steps.  (Joy, 45, Stay-at-home mother of one, Austin, Prius owner)  “I just have a lot of respect for Toyota and the fact that Mr. Toyota himself apologized, but they should have come out sooner”  “As a manufacturer of something that people in him, he should have had more integrity and more transparency.”  “I think a lot of car companies do the same thing.”  (Brad, 28, computer programmer, Houston, Prospective buyer)  “It’s unfortunate, but at the same time I think they’ve done a great job trying to ameliorate the situation.”
  • 71. + 71 Key Insights  When performing the engagement technique with the prospective hybrid buyers and Prius owners, we noticed that Mercedes and Lexus are perceived as snobby brands. Hyundai is perceived as somewhere in between Honda and Ford.  (Jessie, 24, married health care worker, Austin, Prospective buyer)  “Honda and Toyota are more eco-friendly, world conscious people.”  “Hyundai is somewhat geared toward trying to break into the Honda and Toyota crowd.”  “Mercedes and Lexus are more snobby, stuck-up people.”
  • 72. + 72 Key Insights  When asked about the different car brands during the Family of Brands engagement technique, one Prius owner felt that Ford would be the grandfather, Lexus and Mercedes the parents, and Honda, Toyota and Hyundai would be the children.  (Joy, 45, stay-at-home mother of one, Austin, Prius owner)  “Ford would be the grandfather, because it’s a very old company.”  “Lexus and Mercedes would be the parents because they have already earned all of their money.”  “Honda, Toyota, and Hyundai would be the children.”
  • 73. + 73 Key Insights  The prospective hybrid buyers felt that the Prius may not be able to accommodate them when it came to starting a family.  (Jessie, 24, married health care worker, Austin, Prospective buyer)  “If we did have children, by the time we get car seats, there’s really not any more room for anybody else in the car if you wanted to bring them along, or stroller or things like that.”  (Kim, 24, single student, prospective buyer) • “It’s a little small, I plan on taking road trips with my friends and family when I graduate, so…”
  • 74. + 74 Key Insights  Some perspective buyers find it important to be part of the “Go Green” trend, in other words, they want to consider themselves trendy. Perspective buyers find it attractive that some celebrities are driving hybrid vehicles. The aesthetics of various cars were mentioned in the interview multiple times.  (Kim, 24, single student, Prospective buyer) • “Going green is ‘in.’”
  • 75. + 75 Insights Summary Eco-conscious Learned that all owners cared about the environment One participant grew up in an environmentally-friendly household, now making recycling a habit. Others mentioned solar-panel installation and conservation. Affiliation/Trendy Another prominent theme among owners was the community associated with Prius drivers. Buyers may not be loyal to the Toyota brand, but may still want a Prius because it is trendy to have one. Brand Loyalty/Confidence Buyers and owners showed signs of brand loyalty Many said they would purchase a Toyota again. A few mentioned their loyalty has spanned many years. Recall Owners were understanding to the recall situation, willing to forgive the company’s problems, and still respected Toyota as a company. All agreed that the proper steps are currently being taken to fix the problems. Engagement Technique Ford, Mercedes, Lexus, Hyundai, and Toyota were presented in the “Family and Party of Brands/Brand Personification” Technique Participants noted Mercedes and Lexus brands were perceived as snobby and rich To some, Hyundai was seen in between Honda and Ford, while to others, Hyundai represented the bottom of the totem pole and the least-favored company. Many placed Lexus and Mercedes in the parental or older roles. Family Sedan Prospective buyers were reluctant to choose the Prius based on size. One participant felt that after car seats, there may not be much extra room.
  • 76. + 76 Screener Screener  Hello, my name is _______ from BerryBee market research. We are looking for participants to take part in a focus group, and would like to ask you a few questions. We are not selling anything nor will we follow-up with any sales calls as a result of this study. The information you provide will positively impact many products and services offered to people like you. 1) We're looking for people working in certain industries. Have you, your family or any of your close friends ever worked in the following industries? Advertising agency/public relations (End) Marketing research/product development (End) Manufacturer, distribution or marketing of hybrid vehicles (End) Automotive sales (End) None of these (Go to question #2.)
  • 77. + 77 Screener 2) When did you last participate in market research? _______________________________________________________  (If less than 3 months ago, please end. If more than 3 months ago, continue to question #3) 3) What was the subject of that research? _______________________________________________________  (If automobile related, please end.) 4) Do you currently own a Toyota Prius?  ☐ Yes (Continue to question #6)  ☐ No (Continue to question #5) 5) Are you currently in the market for a hybrid sedan?  ☐ Yes  ☐ No (End)
  • 78. + 78 Screener 6) Are you between the ages of 21 and 50?  ☐ Yes  ☐ No (End) 7) Please indicate your age. ________ 8) Please indicate your gender.  ☐ Male  ☐ Female 9) Do you currently reside in the United States?  ☐ Yes  ☐ No (End)
  • 79. + 79 Screener 10) How many miles do you commute per weekday?  ☐ Less than 10 (End)  ☐ 10 – 30  ☐ 31 – 50  ☐ 51 – 70  ☐ more than 71 11) Do you have a college degree?  ☐ Yes  ☐ No (End) 12) Please indicate your marital status.  ☐ Single  ☐ Married 13) Do you have any children?  ☐ Yes (how many? _______)  ☐ No
  • 80. + 80 Screener 14) Do you live alone?  ☐ Yes  ☐ No (how many people live with you? ______) 15) What is your profession?  _______________________________________________  (If student, skip and go to question # 17) 16) How long ago did you begin your profession? 17) Please describe any routine commutes that you would make during a typical weekday.  _________________________________________________ _________________________________________________ _________________________________________________ _________________________________________________
  • 81. + 81 Screener 18) How much do you care for the environment? (Circle one) 1 2 3 4 5 (Not at all) (Very much) 19) What actions, if any, do you take towards bettering the environment?  __________________________________________________ __________________________________________________ __________________________________________________ 20) Imaging that you could travel for one day into another time with a time machine. Which decade or century would you like to see? What would you experience on your trip?  __________________________________________________ __________________________________________________ __________________________________________________ __________________________________________________
  • 82. + 82 Screener 21) Think for a moment about your personality and your comfort level in a one-on-one interview. Which of the following best describes you?  ☐ I am extremely comfortable sharing my opinions just about anywhere, to anyone  ☐ I am very comfortable sharing my opinions in a one-one-one interview  ☐ I am somewhat comfortable expressing my opinions in a one-on-one interview  ☐ I am somewhat uncomfortable sharing my opinions in a one-on-one interview  ☐ Expressing my opinions in a one-on-one interview makes me very uncomfortable
  • 83. + 83 Discussion Guide  Discussion Guide- Prospective buyers  Warm up questions/General personal questions (5 minutes)  Tell me about yourself. 1. What do you do when you have free time? OBJ 1 2. What are the three most important things in your life? OBJ 1 3. Do you have children? OBJ 1,4 a) How many? b) What are their ages? c) What kind of activities are they involved in? 4. Do you own other cars besides your Prius? OBJ 1 5. Where do you drive during a normal day? OBJ 1
  • 84. + 84 Discussion Guide 6. In what ways do you consider yourself to be eco-conscious? OBJ 1 -----ENGAGEMENT TECHNIQUE----- (10 minutes) General car questions (8 minutes) 1. Tell me the reasons why you are considering purchasing a hybrid. 2. Explain what your ideal car would be. 3. Describe your experience looking for cars so far. a) How did you begin the process? b) Have you done any research? c) Which cars have you looked at? d) What did you think of them? 
  • 85. + 85 Discussion Guide  Prius Questions (7 minutes) 1. Describe your feelings toward the Prius. OBJ 2 2. Would you consider purchasing a Prius? OBJ 2 a) Why/Why not? 3. How does the current recall affect your attitude towards the Prius and/or Toyota? OBJ 2 4. Explain what Toyota should do to get you to buy a Prius. OBJ 2
  • 86. + 86 Discussion Guide  Discussion Guide- Prius owners  Warm up questions/General personal questions (5 minutes) 1. Tell me about yourself. a) What do you do when you have free time? OBJ 1 b) What are the three most important things in your life? OBJ 1 c) Do you have children? OBJ 1,4 1. How many? 2. What are their ages? 3. What kind of activities are they involved in? 2. Do you own other cars besides your Prius? OBJ 1 3. Where do you drive during a normal day? OBJ 1 4. In what ways do you consider yourself to be eco-conscious? OBJ 1
  • 87. + 87 Discussion Guide  -----ENGAGEMENT TECHNIQUE----- (10 minutes)  General Prius questions (8 minutes) 1. How long have you owned your Prius? OBJ 1 2. What kind of cars have you previously driven? OBJ 1 3. What initially drew you to the Prius? OBJ 3 4. Tell me about the process you went through when purchasing your Prius. OBJ 1,2 5. Were you considering any other hybrid sedans? OBJ 1,2,3 a) If so, why did you choose the Prius over the other choices? 6. What is it about your Prius that you enjoy the most? OBJ 3 7. If you could change anything about your Prius, what would it be? OBJ 3
  • 88. + 88 Discussion Guide 8. Would you recommend the Prius to your friends? OBJ 2,3  The recall (7 minutes) 1. How did you initially hear of the recalls involving Toyota cars? OBJ 2 2. Tell me how you feel about the way Toyota has responded to the recall. OBJ 2 3. Were you contacted in any way by Toyota or your dealer regarding the recall? OBJ 2 4. What would you have done if you were in charge of Toyota? OBJ 2 5. If you could say anything to the President of Toyota, what would you say? OBJ 2,3
  • 89. + 89 Engagement Exercise  Engagement Exercise: Honda Toyota Mercedes Lexus Ford Nissan Hyundai Chevy
  • 90. + 90 Engagement Narrative  Engagement Exercise Narrative:  Choose one from below:  I have names of different car companies. I want you to pretend they are people at a party. Tell me what about the kind of person each brand would be. You can use age, gender, personality, etc.   I have names of different car companies. I want you to pretend they are the different people in a family. Tell me what about the role each person will play. (Mom, Dad, Daughter, Grandma, etc.)
  • 91. + 91 Creative Brief
  • 92. + Creative Brief 92  Why are we advertising?  To reinforce and promote desire and interest for the Toyota Prius.  Who are we talking to?  We are talking to men and women ages 21-50, single or married, who live in the U.S. in primarily urban areas. They are professionals with some college or college degrees. They are otherwise known as “Eco- Concerned Solutionists.”  What do we know about them?  They place a high value on protecting the environment. They would be classified as “Thinkers” according to the VALS framework, since they are mature, educated individuals who are receptive to social change.  What do they currently think/feel/do?  Prius owners are generally happy with their car, but seem to be conflicted over their satisfaction with the way Toyota has handled the recall situation. Many of them feel a strong sense of belonging with other Prius owners.  What would we like them to think/do?  “They Toyota Prius is the leader in this hybrid transportation movement. I’m going to buy one.”  What is the main idea we need to communicate (the proposition)?  The Toyota Prius is a reliable and fuel-efficient vehicle.
  • 93. + 93 Creative Brief Cont’d  Why should they believe it?  The Toyota Prius has been among the most popular hybrid vehicles since 1997 and is currently the most fuel-efficient hybrid car sold in the U.S. according to the United State Environmental Protection Agency.  Positioning Statement  For hybrid sedan buyers, the Toyota Prius is the best hybrid sedan because of its fuel-efficiency.  Brand Personality  The Toyota Prius is dependable and safe, yet trendy and vivactious, evoking a happy-go-lucky spirit. The Prius embodies a clean and beatiful environment and stands for environmentally conscious values. A mature intellectual, the Prius is both the embracer of technological advancement and the tree-hugger.