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OVERVIEW 1.1 Executive Summary Toyota Motor Corporation was found by Kiichiro Toyoda in 1935. The first car that was created is the A1 prototype passenger car in 1935. In 1937, Toyota Motor Co., Ltd. was established in Japan. In 1957, Toyota arrived and established in United States. By July 1967, Toyota has become the third-best-selling import brand in the United States. In 1971, PT. Toyota-Astra Motor (TAM) was initiated as importer and distributor for Toyota vehicle in Indonesia. In December 1997, Toyota Motor Corporation (Toyota) of Japan launched its hybrid vehicle Prius in the Japanese market. Prius has the best fuel consumption system in the world. It also has a great aerodynamic for a group of passengers, all combined to get an optimum fuel efficiency. Toyota Prius has penetrated to Indonesian market in 2009 and became the first hybrid car to be sold publicly in Indonesia. It is a challenge for Toyota in facing the Indonesian market since the sales in 2009 not as good as in another country. However, Prius is still striving to overcome the market by introducing the 3 rd generation in the year 2010. 1
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Page 1: Marketing Plan Prius FINAL

OVERVIEW

1.1 Executive Summary

Toyota Motor Corporation was found by Kiichiro Toyoda in 1935. The first car that

was created is the A1 prototype passenger car in 1935. In 1937, Toyota Motor Co.,

Ltd. was established in Japan. In 1957, Toyota arrived and established in United

States. By July 1967, Toyota has become the third-best-selling import brand in the

United States. In 1971, PT. Toyota-Astra Motor (TAM) was initiated as importer and

distributor for Toyota vehicle in Indonesia.

In December 1997, Toyota Motor Corporation (Toyota) of Japan launched its hybrid

vehicle Prius in the Japanese market. Prius has the best fuel consumption system in

the world. It also has a great aerodynamic for a group of passengers, all combined to

get an optimum fuel efficiency.

Toyota Prius has penetrated to Indonesian market in 2009 and became the first

hybrid car to be sold publicly in Indonesia. It is a challenge for Toyota in facing the

Indonesian market since the sales in 2009 not as good as in another country.

However, Prius is still striving to overcome the market by introducing the 3rd

generation in the year 2010.

Toyota Prius Hybird itself has specific segmentation due they have special

technology that was designed with high level commitment to creating

environmentally responsible vehicles. The best integrated marketing communication

strategy must be conduct in increasing brand awarness and grab the positioning in

target marketwhich will be align to boost the sales.

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1.2 Table of Content

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1.3 Introduction

Moving Forward is about listening other people’s needs and our planet needs.

Moving Forward is about designing environmentally friendly vehicle in the future.

The company goal is to increase the quality of life. Therefore, Moving Forward is

continuity improvement. Toyota believe there is no things such as perfection, there

is only better..

Recognizing consumer demand for better fuel economy and reduced emmisions,

Toyota introduced the Prius hybrid gas-electric vehicle in December 1997 as the

world’s first mass-produced hybrid vehicle available to the public. Toyota Hybrid

System is a development from Toyota as an image on how to increase the quality of

life and give contribution to society. It used the Toyota Hybrid System (THS), which

combined an internal combustion engine fueled by gasoline with an electric motor.

Toyota Hybrid System is focused to reduce pollution and guard the precious

resources and at the same time can give fun and pleasant driving experience. Hybrid

System was designed to reduce fuel consumption and low exhaust emissions which

are environmentally friendly. Although fuel consumption efficiency becomes the

main focus, power and appearance still become the priority. That is what has

become the advantage of Toyota Hybrid System.

First launched in Indonesia in 2009, Toyota Prius Hybrid wasn’t accepted well in the

market in the first year. However, Prius is still striving to overcome the market by

introducing the 3rd generation in the year 2010.

A good and correct marketing strategy is really necessary in not only boosting sale

but also delivering the noble idea to save the Earth. Some Indonesian people are

already adapting the green living lifestyle, despite the country is yet to be eco-

friendly. Therefore, good strategies are needed to popularize green-living as the

modern lifestyle.

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1.4 About Toyota Prius Hybrid

In December 1997, Toyota Motor Corporation (Toyota) of Japan launched its hybrid

vehicle Prius in the Japanese market. 3 years later, the Prius was introduced in

United States and successfully managed to sell 15.000 units in the first year. Prius

was offered initially with a single-spec trim level that included air conditioning,

power door locks and windows, ABS and other amenities. It featured the Toyota

Hybrid System powered by an all-aluminum, 1.5-liter VVT gasoline engine with 70

horsepower at 4,500 rpm and a 25-kilowatt battery pack producing 34 horsepower.

Prius has the best fuel consumption system in the world. It also has a great

aerodynamic for a group of passengers, all combined to get an optimum fuel

efficiency.

The hybrid system makes the use of electric motor and internal combustion engine

possible to get maximum benefit. It ensures that the car works at an optimum fuel-

efficient level. When it starts to move and at low speed, Toyota Hybrid only uses the

electric motor since at this speed, the engine cannot work efficiently.

Toyota Hybrid system

Electric Motor + Internal Combustion Engine = Optimum Fuel Efficiency

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When it reaches certain speed, the engine will start working efficiently while the

power generator will recharge the battery.

When the car is stopping or slowing down, Toyota Hybrid system switches the car’s

kinetic energy into power to recharge the battery.

Up to now, Prius has been launched for their third generation. The first-generation

Prius was a certified Super Ultra Low Emissions Vehicle with an EPA estimated fuel

economy rating of 52 miles per gallon city and 45 highways. Its technical advances

and low emissions led to a variety of awards throughout 2001 from environmental

groups like Sierra Club and engineering groups like the Society of Automotive

Engineers. It also caught the interest of many environmentally conscious celebrities

and public figures.

The second-generation Prius featured the Hybrid Synergy Drive power train and

grew to a mid-size sedan for 2004. It debuted at the 2003 New York International

Auto Show. Demand for the second-generation Prius was so high Toyota increased

production several times while customers were put on waiting lists at dealerships.

The second-generation Prius won widespread acclaim for value, environmental

responsibility, engineering, and design.

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The third generation Prius is bigger and more powerful. The engine grew from 1.5

liters to 1.8 liters—giving a boost in horsepower from 110 to 134, and thereby

reducing zero-to-60 time by a full second. In addition, the body is about four inches

longer and about an inch wider. Despite the added power and size, the 2010 Toyota

Prius becomes the only vehicle available today to offer 50 miles per gallon in

combined city/highway driving. Toyota achieved this level of fuel efficiency by

keeping the vehicle’s weight down, maintaining the best aerodynamics of any

production vehicle in the world, and re-engineering the powertrain to extend the

range of all-electric gas-free driving.

Toyota added a slightly sportier feel and more aggressive stance to the 2010 Prius—

perhaps to disarm criticism that the Prius looks like a corrective appliance on wheels.

The logo shifts from the hood to the top of the point of the grille. The crease in the

doors has shifted lower, but a more pronounced angle is added above the door

handles. The overall effect is to make the 2010 Prius stand taller—not as rounded

and squat—as its predecessor.The distinct space-age shape of the Prius is still

apparent: a deliberate effort by Toyota to maintain the Prius’s essential and iconic

appearance. Its large, diamond-cut headlamps and snub-nose front-end are the

starting point for the Prius’s quasi-flying saucer appearance. The angled hood

seamlessly flows into the windshield, then to a flowing roofline that is sleek and low.

Short overhangs and a sawed-off rear section finish off the hybrid’s futuristic

hatchback character.

The previous Prius had loads of gizmos—including keyless entry, joystick shifter,

high-tech energy monitor, and a rear-view camera system. Toyota throws even more

technology at the new model.

For the first time, the Prius offers a moonroof and heated seats. The sliding glass

moonroof, packaged with a slick-looking solar panel, provides power to a new

ventilation system that doesn’t require help from the gas engine. Not only does the

AC system keep the interior air temperature from heating up when the vehicle is

parked (thus reducing the time/energy needed to cool things down), the system can

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be operated remotely to heat or cool the cabin before getting into the car. (That’s a

neat trick even if the rooftop solar panels don’t produce enough energy to power the

wheels.) Three driving modes are now available: Power, Economy and EV. Power

improves throttle response; economy reduces throttle response for better gas

mileage; and with a flip of the dashboard EV button, the car can go about one mile at

low speeds without using any gasoline.

An optional radar system using advanced millimeter waves enables “Lane Keep

Assist” to help the driver stay safely within the lane, and the “Pre-Collision System”

retracts seatbelts and applies the brakes in certain conditions when a crash is

unavoidable. Intelligent parking offers settings to help guide the Prius into parking

spaces. A backup monitor, which provides a view of rear obstacles when reverse is

engaged, is available with an optional voice-activated navigation system.

The new touch sensor system on the steering wheel helps keep the driver’s eyes on

the road. Images of the switches and their positions are shown on the instrument

panel directly in front.

The past success of the Toyota Prius has been its ability to combine great fuel

efficiency and utter practicality. Five adults can fit comfortably, with more than 16

cubic feet of cargo room left over in back. The 60/40 split rear seats also can be

folded flat, creating a surprisingly large cargo space for hauling groceries, strollers,

large boxes, and gardening supplies—all at the same time. Short and tall drivers

should feel equally comfortable behind the wheel. The back seat is roomy. Interior

storage spaces are abundant and flexible. The sound system is adequate, but not

groundbreaking compared to other cars in this class. The stereo's most-used

functions are easy to see, read and use. Many of the Prius’s standard features are

either optional or unavailable on comparably priced competitive vehicles.

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SITUATION ANALYSIS

2.1 Macroeconomic environment

Indonesia is one of the world’s emerging market economies and the world’s

fourth most popolous country with 240 million population. In 2003-2009, the GDP

growth has steadily increased between 3.5, 5.5 and 6.1 percent year on year.

Therfore, Indonesian people’s demand on vehicles is very high. This can be seen

from the raise of car sale in Q1 2010 that reached 239.036 unit for wholesales and

226.565 for retail.

The biggest contribution to the raise comes from the hatchback category,

which is popular for its modern and aerodynamic body. However, it is also important

to consider the fuel efficiency factor when choosing car, as the roads in big cities in

Indonesia (Jakarta for instance) are congested. Consumers are aware that this is no

longer the time to emit smoke just to show whose engine is the best.

The knowledge on global warming and disaster caused by it are continuously

spread by environmental NGO all over the world to raise awareness among the

people. They will in turn begin to know the importance to have an environmentally-

friendly. The automotive industry will switch their main product, from medium-sized

carssuch as Kijang, Avanza, Jeep, etc to smaller ones (city car). Toyota Prius Hybird

has all the features that modern cars have. The elegant body can accommodate the

high-class people since it is fuel efficient and environmentally-friendly.

However, in 2009, only 19 units of Toyota Prius Hybrid were sold. It is a very

small number, compared to the US (139,700 unit) in the same year. It is caused by

the green living lifestyle is still not popular in Indonesia. The government has already

got the program to check car emission as a form of policy to raise the people’s

awareness on environmentally-friendly cars, but there is no support on the sale of

the mentioned cars. This is different from the US and Japan government which give

tax incentive for people with eco-friendly cars. The high tax makes the Toyota Prius

Hybrid sold at double price.

Toyota Prius Hybrid is actually designed as middle-class car, but the pricing in

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Indonesia makes it perceived as high-class. Despite the excellent efficiency rate, Prius

has to compete with the luxurious and prestigious cars.

Facing the current situation, it is so important to emphasize on the green-

living lifestyle to boost the Prius’ popularity and sale. Having eco-friendly cars should

be campaigned as today’s trend.

2.1 Competitor Overview

There are not many hybrid cars that have been mass produced and sold in Indonesia.

Based on the market research there is still Toyota Prius who has enter the Indonesia

market. But the competition is about the get tougher as some automotive industry

players have considered to enter Indonesian market and launch their hybrid car.

Below are the lists of hybrid cars that have launch in other countries and have good

selling reputation in United States and also predicted ready to enter Indonesia:

2010 Honda Insight 2010 Honda Civic Hybrid 2010 Ford Fusion HybridCOST MSRP Including Delivery Charge $20,550 $24,550 $28,675 Comparably Equipped Price $20,550 + DPI $24,550 $28,675 FEATURE Remote 12V Power Outlet Standard Standard StandardClimate Control Standard Standard StandardAudio System Standard Standard StandardCD Player Standard Standard StandardAutomatic Climate Control Standard Standard Standard

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Toyota has an advantage over one or more vehicles in this comparison

Toyota has an advantage over all vehicles in this comparison

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Auxiliary Input Jack Standard Standard StandardCargo Area Cover Optional Not Available Not AvailableCargo Area Light Standard Standard Not ListedCargo Net Not Listed Not Listed Not ListedOn-Board Computer Standard Standard StandardCruise Control Not Available Standard StandardCupholders 8 2 6Delayed Power Retention System Not Listed Not Listed Not ListedDoor Mounted Storage Standard Standard Not ListedSide Guard Door Beams Standard Standard StandardOutside Temperature Gauge Standard Standard Not AvailableSeating Capacity 5 5 5Front Bucket Seat Standard Standard StandardFront Adjustable Seat Height Standard Standard StandardHeated Exterior Mirror Not Available Not Available StandardIlluminated Vanity Mirrors Not Listed Not Available StandardCloth, Vinyl or Leather Seats Cloth Cloth ClothSmart Key System Not Available Not Available Not AvailableKeyless Entry Standard Standard StandardConsole Storage Standard Standard StandardMP3 Player Standard Standard StandardMulti-function Remote Standard Standard StandardOverhead Console Storage Not Listed Not Available Not ListedPower Mirrors Standard Standard StandardPower Door Locks Standard Standard StandardPower Windows Standard Standard StandardReading Lights Not Available Standard StandardRear Seat Folding Center Armrest Not Available Not Available StandardRear Headrests Standard Standard StandardRear Spoiler Standard Standard Not AvailableRear Window Wiper Standard Not Available Not AvailableRemote Fuel Filler Door Release Not Listed Standard Not AvailableSatellite Radio Not Available Optional StandardSeatback Storage Not Available Standard StandardNumber of Speakers 4 6 6Steering Wheel Standard Standard Standard

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Telescopic AdjustmentSteering Wheel Tilt Adjustment Standard Standard StandardSteering Wheel Mounted Controls Standard Standard StandardBluetooth Hands Free Telephone Access Not Available Not Available StandardCabin Air Filter Standard Standard StandardVoice Activated Controls Not Available Not Available StandardWheels Steel Alloy Alloy

TiresSBRP175/65R15 84S, All-Season Tires

SBRP195/65R15 89S All-Season Tires

SBRP225/50VR17 BSW All-Season Tires

Intermittent Wipers Standard Standard StandardFUEL ECONOMY Emissions Rating ULEV AT-PZEV SULEVCombined Fuel Economy (City/Hwy) 41 42 Not ListedCruising Range 435 517 Not ListedEPA City (MPG) 40 40 41EPA Highway (MPG) 43 45 36MEASUREMENTS Cargo Volume (cu. Ft.) 15.9 10.4 11.8Curb to Curb Turning Circle 36.1 34.8 37.5Front Track (In) 58.7 59.1 61.7Ground Clearance (In) Not Listed 5.5 Not ListedWheel Diameter 15 15 17Overall Height (In) 56.2 56.3 56.9Overall Length (In) 172.3 177.3 190.6Overall Width (In) 66.7 69 72.2Rear Track (In) 58.1 60.2 61.3Wheelbase (In) 100.4 106.3 107.4Headroom Front (In) 38.4 39.4 38.7Headroom Rear (In) 35.9 37.4 37.8Hip Room Front (In) 51.6 51.9 54Hip Room Rear (In) 48.7 51 53.3Interior Volume (cu. ft.) 85 90.9 99.8Leg Room Front (In) 42.3 42.2 42.3Leg Room Rear (In) 33.5 34.6 36.7Shoulder Room Front (In) 52.7 53.6 57.4Shoulder Room Rear (In) 50.4 52.3 56.5Curb Weight (Lbs) 2723 2877 3720

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Automatic TransmissionFuel Capacity (Gal.) 10.6 12.3 17Standard Towing Capacity (Lbs) Not Recommended Not Recommended Not ListedMaximum Towing Capacity (Lbs) Not Recommended Not Recommended Not ListedPERFORMANCE Battery Power Output 13 19.6 Not ListedDriveline Front Wheel Drive Front Wheel Drive Front Wheel DriveBore X Stroke 2.87 X 3.15 2.87 X 3.15 3.50 X 3.94Engine Displacement 1339 1339 2488Number of Cylinders 4 4 4Number of Valves 8 8 16Variable Valve Timing Not Listed Not Listed Not ListedHorsepower @ Max RPM 98@5800 110@6000 156@6000Torque Ft. Lbs.@ Max RPM 123@1000 123@1000 136@2250Electric Horsepower (Bhp) 98 110 106Electric Torque Ft Lbs 123 123 Not ListedStabilizer Bar Standard Standard StandardFront Suspension Independent Independent IndependentRear Suspension Semi-Independent Independent IndependentAdaptive Automatic Transmission Not Available Not Listed Not ListedNumber of Transmission Speeds Variable Variable VariableStandard Transmission Automatic Automatic AutomaticSAFETY 4 Wheel ABS Brakes Standard Standard StandardActive Head Restraints Standard Standard Not AvailableAnti-Theft Protection Standard Standard StandardAutomatic Headlights Not Listed Not Available StandardBrake Assist System Not Available Standard Not AvailableBrake System (front) Disc Disc DiscBrake System (rear) Drum Disc DiscChild Safety Door Locks Standard Standard StandardNHTSA Front Crash Test Rating - Driver 5* 5* 5*NHTSA Front Crash Test Rating - Passenger 4* 5* 5*Electronic Brake Standard Standard Standard

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DistributionElectronic Traction Control Not Available Standard StandardFront Airbags Standard Standard StandardKnee Airbags Not Listed Not Listed Not ListedAutomatic Locking Retractor Standard Standard StandardFront Seat Belt Height Adjuster Standard Standard Not ListedPre-Tensioners Standard Standard StandardFront Side Airbags Standard Standard StandardHalogen Headlights Standard Standard StandardImmobilizer Standard Standard StandardLow Tire Pressure Indicator Standard Standard StandardPassenger Air Bag Cutoff Standard Standard StandardRear Window Defogger Standard Standard StandardSide Head Curtain Airbag Standard Standard StandardStability Control Not Available Standard StandardWARRANTY Anti-Corrosion Warranty Miles Unlimited Unlimited UnlimitedAnti-Corrosion Warranty Months 60 60 60Powertrain Warranty Miles 60000 60000 60000Powertrain Warranty Months 60 60 60Basic Warranty Miles 36000 36000 36000Basic Warranty Months 36 36 36

2.3 SWOT Analysis

Strength :

1. Toyota Prius 3rd Generation the only vehicle available today to offer 50 miles

per gallon in combined city/highway driving.

2. Toyota Prius is the first hybrid car to be sold publicly in Indonesia.

3. Toyota has grabbed the 34.7 % automotive market in Indonesia.

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4. Toyota has produced a large range of different vehicles across many different

markets and has the capacity to produce new technology as it has already

done before with the introduction of the Toyota Prius.

Weakness :

1. Hybrid is new technology that is not "tried and true" and little is known

about potential maintanance issues.

2.Toyota's petrol and diesel vehicles have been around for decades and have

been proven reliable time and time again. Electric/solar powered vehicles are

new to the market and consumers might be reluctant to swap.

3. Petrol-free design means the Synergy loses some acceleration as a trade-

off for economy and being environmentally friendly.

4. No tax incentive for custumers to have eco-friendly cars, making the price

expensive.

Opportunity :

1. Petrol prices are currently high due to the cost of oil, this is a perfect

opportunity for a car that does not require petrol to enter the market.

2. Heavy traffic build-up in Indonesia cities means congestion and pollution

are only going to get worse. The Prius is a low emissions vehicle as and

therefore will appeal to those wanting to help "keep the air clean".

3. Trends of people to live greener.

Threat :

1. The competitor has similar product and has big brand as well.

2. At present the automotive industries are able to create diesel engines that

are as efficient and environmentally-friendly as hybrid.

MARKETING SEGMENTATION, TARGET MARKET AND POSTIONING

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3.1 Market Segment

Toyota Prius Hybird has specific segmentation due to the specialtechnology that was designed with high level commitment to creating environmentally responsible vehicles.

We identify the market segment of Prius as below:

• People who are aware of the environmentWanting to do more for the environment, having a desire to get a better bang for their buck, and having a commitment to reducing fossil fuel dependency. This targeted group is considered influencers in the term that they are more educated, more affluent, which in turn will help shape the (car) buying decision of their relatives.

Based on the research of Natural Marketing Institute’s labels for LOHAS ( lifestyles of health and sustainability) consumers with these following characteristics :- very progressive on environment and society looking for ways to do more- not too concerned about price.

• Technology AdopterMarket segmentation and strategy for high-technology product follow atypical pattern called “Technology Adoption Life Cycle”. When new technologies are introduced, a typical marketing strategy focuses on attracting the “Innovators” and subsequently the “early adopters”

Innovators are defined as those who pursue products with the new technology aggressively, consider technology to be central interest in their life and buy because

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they enjoy exploring the new technology features product. They represent a small segment of total market (approximately 2.5%) but they are critical to accelerate adoption in later stages. They validate a new product functionality and bear theburden of testing for other market segments.

Often the Early Adopter segment, an estimated 13.5% of the market, is pursued in conjunction with the innovators. Early adopters, perceived as “visionaries” in the market, buy new products early in the life cycle. They are imaginative thinkers who find it easy to envision and use new technology. They also rely on their own intuition in purchasing, as opposed to depending on references from others, and are more tolerant of bugs or glitches in new products than average consumer.

A member of the early majority is considered to be highly practical. They watch and wait for proven technology. As a pragmatist, this consumer is disinterested in fads, as they want technological evolution to enhance the existing technology. It is estimated that 34% of the total market for a given product falls in to early majority segment.

Following them is the late majority, 34% potential buyers. Laggards are at the tail end of distribution. Little attention is paid to this segment by marketers due to its refusal to adopt or understand new technologies.

3.2 Target Market• Geographic: Cities : All major cities in Indonesia Region : Indonesia

• Demographic : Sex : Male and Female Age : 30-55 Social Economic Status : A and A+ Education : Have attended college and/or graduate school Religion : All religions

• Psychographic : Behavior : Having respect for environment, responsible, energetic, dynamic, technology- savvy, up to date, trend-setter, inspiring people to think long-term.

• Lifestyle : Buy and use “green” products and implemented healthy lifestyle.

• Interest :

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Green product and high-technology product

• Insight : Well-educated people who have high appreciation toward the environment and technology for the future.

3.2 Positioning

In developing and marketing the Prius, Toyota has established a strong model of how successfully aligning suitable goals and values with lifestyle needs consumers, while drawing on its own core competencies. Toyota continues to drive revenue growth and brand equity from the Prius, which adds environmental benefit without compromising traditional product quality, including such intangible consumer valuesas styling, forwardness and fun.

The Toyota Prius is not only hybrid vehicle in Indonesia market. It should also symbolize hybrid vehicle technology to most Indonesian consumers. A symbol that can reflects the spirit of green lifestyle as sexy trend in this modern era. The Prius should be seen as stylish, distinct, innovative, versatile, technological and smart as the emblem of environmental sustainability.

MARKETING GOALS AND OBJECTIVES

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The goals and objectives of all the Toyota Prius marketing strategy in 2010 are :

Prius will become Top of Mind for hybrid car in Indonesia.

Prius will become the prestigious symbol of the green living trend.

Delivering and educate people the concept of green lifetyle.

Increasing brand awarness and creating distinctive brand image through the

creative advertisement and experience the excitement through brand

activities.

Increasing sales.

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MARKETING STRATEGIES

5.1 General Marketing Strategies

Basically, the Toyota Prius’ marketing strategy is to continuously spread awareness

to people about the importance to keep the environment clean. When people are

already aware, they will have the need to keep the environment clean and they will

adapt it as their lifestyle. A goal of lifestyle marketing is to allow consumers to

pursue their chosen ways to enjoy their lives and express their social identities.

By emphasizing on the attention to the environment, a certain level of awareness is

expected to raise until it becomes an urgent need and become an irreplaceable

lifestyle.

The grand theme for Toyota Prius’ campaign in Indonesia is:

Be Prius, Be proud.

The theme will cover all marketing-communication activities for Prius in 2010. It will

try to touch the consumers’ emotional side, make them proud to use Prius as a

lifestyle. A susscessful product by definition provides grafity a consumer’s needs and

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Awareness

Need

Lifestyle

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wants. Product benefits can be intrinsic (e.g pleasure that results from owning or

using the product) or extrinsic (e.g monetary value generated from owning or using

the product). This communication strategy try to grab both dimensions and

therefore extend relevance to multiple consumer segments.

With this theme Prius could be a pride for each and every of its users, it will also

highlight the prestigious aspects of the car so it can compete with the more popular

luxurious cars in the same price range. People should have the prestige when they

use Prius and save the Earth at the same time.

The core Prius advantage is simple to understand-the car requires less gasoline to

run, and therefore cheaper to operate. The more you drive, the more you “save”. In

addition to saving money, Prius also saves the consumers' time spent at the gas

station, create intrinsic pride for its owner as “responsible” consumer and provides

consumers with a role in addressing environmental concerns. The latter benefit often

is overlooked by companies outside niche indsutry, but with societal challenges such

as global warming and foreign oil dependency becoming more prevalent, consumers

increasingly want to feel like they are part of solution, and Prius makes this possible.

Prius will make its users feel like a proud grand ambassador. And as people share

their proud feeling with others, they will inspire and influence other people. It will

bring two benefits to Prius: spreading knowledge on the importance to save the

Earth and use an eco-friendly car and the increase in sales.

Marketing strategies that will be used by Prius are Above the Line and Below the

line. Both categories are aimed at raising the brand awareness dan shape the brand

image as well as reaching the positioning wanted by the target market. TV

commercial will be broadcast mainly on weekends, during sport or talk show

program.

One of the critical main strategies is to organize some events to build emotional

bounding between the target market and the brand. It can also be used as a medium

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to share experience. Since a strong impression will have a long-term effect in human

brain, they will surely recall it when they are making decision. It is very important to

choose carefully the program, broadcast time, and the event format, in order to

make the marketing communication effective.

5.2 Marketing Mix

Product

Name of the Product: Toyota Prius 3rd generation (2ZR-FXE)

Engine Capacity: The engine has 1.5 liters to 1.8 liters—giving a boost in horsepower

from 110 to 134, and thereby reducing zero-to-60 time by a full second.

Fuel Economy: Prius is the only vehicle available today to offer 50 miles per gallon in

combined city/highway driving.

Price

Toyota Prius 3rd generation price is Rp. 585.000.000,-.

This commercial price is due to basic price + custom tax + other taxes (PPN barang

mewah, Pajak Kendaraan Bermotor)

Promotion

Above The Line Below The Line

TV

- TVC : 60’ will be appear in weekend

- Report Commercial

Event Exhibition

At Mall, National/ International Car

Exhibition

Print Ad

- AutoExpert Magazine

- Esquire

- Bazaar

Golf Tournament Sponsorship

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- Prestige

- Elle

Billboard

Will be placing in business center district

such as in Jakarta is Sudirman, Semanggi.

Go Green Conference Sponsorship

Radio : Talk show

Touring Jakarta – Bali

Program : Plant 5000 trees

Online Marketing :

Online ad

Facebook

Twitter

Blog

Place

Channels: Toyota Prius available in Toyota Showroom in all major city all over

Indonesia. Locations: Toyota Prius is distributed to all major city across

Indonesia.

Income Statement Toyota Prius year 2009

Price per Unit Rp585,000,000

Profit per Unit (%) 15%Profit per Unit Rp87,750,000

Unit Sold 19

Revenue Rp11,115,000,000.00

Income Rp1,667,250,000.00

Marketing Expense (Rp500,000,000)

Total Net Income Rp1,167,250,000.00

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Projected Income Statement & Marketing Expense Budget

Year 2010 2011 2012Sales (unit) 100 200 300Profit Per Unit (%) 15% 15% 15%Profit Per Unit Rp87,750,000 Rp87,750,000 Rp87,750,000Revenue Rp58,500,000,000 Rp117,000,000,000 Rp175,500,000,000Income Rp8,775,000,000 Rp17,550,000,000 Rp26,325,000,000

Marketing ExpenseAbove The Line Advertising Television

- Commercial Advertisement (Rp5,000,000,000) (Rp5,000,000,000) (Rp10,000,000,000)

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- Report Advertisement (Rp2,000,000,000) (Rp2,000,000,000) (Rp2,000,000,000)

Print Advertisement (Rp1,000,000,000) (Rp1,000,000,000) (Rp1,000,000,000)

Billboard (Rp3,000,000,000) (Rp3,000,000,000) (Rp3,000,000,000) Radio - Talkshow (Rp60,000,000) (Rp60,000,000) (Rp60,000,000) Online Marketing (Rp50,000,000) (Rp50,000,000) (Rp50,000,000)Below The Line Advertising Event Exhibition (Rp500,000,000) (Rp500,000,000) (Rp500,000,000)

Golf Tournament Sponsorship (Rp500,000,000) (Rp500,000,000) (Rp500,000,000)

Go Green Conference Sponsorship (Rp500,000,000) (Rp500,000,000) (Rp500,000,000)

Touring Jakarta - Bali (30 cars)

- Plant 5,000 trees (Rp200,000,000) (Rp200,000,000) (Rp200,000,000)Total Expenses (Rp12,810,000,000) (Rp12,810,000,000) (Rp17,810,000,000)Total Net Income (Rp4,035,000,000) Rp4,740,000,000 Rp8,515,000,000

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Page 25: Marketing Plan Prius FINAL

CONTROL

The main purpose of Toyota Prius marketing plan is to create an integrated

marketing concept in order to increase its revenue but with optimum cost-efficient.

Some aspects to be considered in the process of Capri-Sonne marketing campaign:

- Expenses: monthly and annual.

- Check revenue and expenses every quarter.

- Distribution channel.

- Make questionnaire to consumer satisfaction.

- Brand awareness level.

- Market research.

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Page 26: Marketing Plan Prius FINAL

MARKETING ORGANIZATION

Johnny Darmawan, as President Director of PT. Toyota Astra Motor, is primarily

responsible for marketing activities. Together with Marketing Director of PT. Toyota

Astra Motor, Joko Trisanyoto, Johnny Darmawan has a big challenge in Marketing

Toyota Prius especially in this Go Green era. This also helped by their marketing

team and other resources for advertising campaign, and of course, creativity.

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