Marketing Strategy of Toyota and Honda
Did you know that Toyota Motors Company produces five other brands known as Toyota, Lexus, Ranz, Hino, and Daihatsu? Generating an annual turnover of about $272 billion, the company markets vehicles in more than 170 countries worldwide. Honda is another giant in the motor vehicle industry. Developing sales in Asia-Pacific regions, in 2019, the company generated annual revenue of 143.1 Billion Dollars. So much about Toyota and Honda Motor Companies, now let’s discuss the marketing strategy applied by the companies and conduct SWOT Analysis.
Let’s commence with the Mission and Vision Statements of Toyota.
Mission Statement of Toyota
Mission Statement: “To attract and attain customers with high-valued products and services and the most satisfying ownership experience in America.”
Toyota Motors pursues its destination properly as the most significant sales are taking place in Japan and North America. Camry, Corolla, Highlander, RAV4 are the best-selling ones in the US.
Vision Statement of Toyota
Vision Statement:“Toyota will lead the way to the future of mobility, enriching lives around the world with the safest and most responsible ways of moving people. Through our commitment to quality, constant innovation and respect for the planet, we aim to exceed expectations and be rewarded with a smile. We will meet our challenging goals by engaging the talent and passion of people, who believe there is always a better way.”
Toyota brand is in its path to prove the visionary, as it is the first car in the US in the list of popularity rankings. The company displays its focus on innovation, entrepreneurship, and quality. It does not deny the factor of human engagement as they consider the point as another significant facet.
Let’s start the main discussion with finding out the positioning strategy of Toyota Motors Inc.
To do so, let’s have a look at the image below.
What kind of impression did the image abandon from the first sight? Did you notice its beautiful colors? Yes, that’s your beloved Toyota Camry that is so popular throughout the world. The blue color of the car is alluring the audience of the Instagram Official Account of Toyota, leaving them with thoughts of the attraction. Do you think the color, design, and the parking style transmit several messages to potential customers?
It tells about being an outstanding, inspiring, stable, strong, elitist, and empathetic vehicle one could own. You can experience and express a sense of freedom and independence, confidence, loyalty, and luxury due to Toyota cars. All these points lead me to sum the Brand Archetype of the company to the Everyman one.
What do we know about this? Let’s explore it below.
Desire: to keep interconnectedness with others
Aim: to belong and conform with
Strategy: to evolve goodness and the common touch
What messaging levels Everyman Brand Archetype has?
Level 1: severance and detachment
Level 2: search for annexing
Level 3: carpenters, who are ready to accept and propose help, value friendship
Level 4: kind, believing human beings are philanthropists
The Everyman Brand Archetype is a promising one for a company if:
- It makes people feel that they belong
- The products give people a chance for daily use, in standard everyday life
- The pricing is on average.
Brand Archetypes. Why do we need them in practice?
All of us know that many companies have problems in presenting their key values and attitudes. Sometimes our messaging leads to misunderstanding or it does not represent what we aimed to say in reality. Here of course the importance of the brand archetypes is very crucial. How to create a good company culture? What are its values?
Here are some questions that need to be answered properly. “8 steps to a complete archetypal branding” e-book tells us a lot. We have written a book that goes deeper in these notions and reveals archetypes in specific ways. Just uncover the brand archetypes with “8 steps to a complete archetypal branding” e-book.
Now, it’s time to make SWOT Analysis of Toyota
Strengths
Green Innovation Vehicles: Toyota Motors is the first company that has exerted massive production of hybrid vehicles. It has made mass sales because of two main reasons: it avoids being charged high prices of petrol and diesel in a considerable quantity and meets the requirements of maintenance of the environment.
Fame and Revenue: The company has a reliable branding name, which resulted in keeping being the leader in the motors industry. This addresses the annual revenues and all the turnouts in general, as Toyota is one of the most profitable automaker companies in the industry.
Range Of Models: The company offers a wide range of vehicle categories that can satisfy all kinds of customer groups. They fit in all price categories, models, patents, etc.
Weaknesses:
Green Technology
As green technology application is useful in many cases, it also has a drawback: their many countries are not fuel-efficient countries where hybrids are not much welcomed, or they still need much time. It has left the company is a financial loss.
Lack of Recognition: As discussed above, Toyota Motors Inc. manages five brands. However, only Toyota and Lexus have achieved global popularity and recognition.
Opportunities
Green Technology: Even though the hybrid models are developing demand and sales slowly, the company can have a narrower focus on this area and generate high income.
More Varieties Of Machines: There is still room for expanding car categories. After conducting surveys, the company can produce new ones that will correspond to potential customers’ needs. Furthermore, the demand for vehicles is consistently growing.
Threats
Keen Competition: Ford, Honda, Mitsubishi, etc. are considered to be real competitors for the company. This means it is increasingly hard to preserve its leadership in this industry.
High costs of raw materials: Recently, the costs of raw materials required for producing the vehicles have increased. Consequently, higher prices for cars will follow.
Now, it’s time to discuss segmentation strategy of Toyota Motors Inc.
To do so, let’s look at a commercial of the company first.
The commercial shows a young boy who has extra natural abilities. He can make transformative changes for people that make their life more advanced in terms of innovation and readily. He touches old and out of fashion cars, after which they become the latest versions of the Toyota brand.
The commercial shows a young boy who has extra natural abilities. He can make transformative changes for people that make their life more advanced in terms of innovation and readily.
He touches old and out of fashion cars, after which they become the latest versions of the Toyota brand.
People are shocked and appreciate the marvels done by the young boy. His helpful actions tend me to conclude that Toyota Motors has opted to target Sharers segment. What do we know about them, their brand usage, lifestyle, and values, shopping preferences, etc.
What do we need to know about Sharers?
Lifestyle and Values
Sharers value every moment of even everyday tasks that they can do properly. They take care of their family members and close friends, as they consider it as a duty. Also, they like to be appreciated for the efforts they have exerted. They like having an adventurous, challenging, and risky life.
Sharers go to work to achieve professional advancement and are financially secure. From their very point of view, money is the best response to their efforts and a measure of success.
Shopping Preferences
Sharers like visiting to shopping malls, as it is a considerable part of their life. Actually, they are good at managing money. However if they like an item and consider it a special one, they will undoubtedly purchase the good denying all circumstances and cases.
The fashionable and glamorous scenes of movies, commercials, etc. always capture them. This prompts to seek for being an outstanding individual applying their shopping preferences.
Interesting Facts about Sharers
- Sharers like to spend time on TV News, read articles about lifestyles, health, and beauty, and explore topics about prominent stars.
- They are not good at using Internet, because they feel uncomfortable with technologies and innovation.
- Sharers like going out for moderate entertainment incidents. For example, they visit cafes and bars, but not cultural events, museums or art exhibitions.
16 Personalities (why do you need them in your business?)
After understanding the basics of Sharers behavior you may ask, what kind of brand will be interesting for them? Which hidden and at the same time important things have to be considered? You can find all the answers to these questions in our e-book called “16 Personalities”. You will also find all the solutions for your marketing problems, which will obviously change your insights about buyer persona.
Of course this is one of the 16 personalities and with this book you will discover all of them. With knowledge of each 16 personalities you will confidently find your ideal buyer persona and change your marketing strategy to achieve new levels. The book also gives you some other hints for selling your product and negotiating with your clients.
Its time to discuss Honda Motors Company. Let’s start from Mission and Vision Statements of Honda
Honda Mission Statement
“A dynamic growth oriented company through market leadership, excellence in quality and service and maximizing export, ensuring attractive returns to equity holders, rewarding associates according to their ability and performance, fostering a network of engineers and researchers ensuing unique contribution to the development of the industry, customer satisfaction and protection of the environment by producing emission friendly green products as a good corporate citizen fulfilling its social responsibilities in all respects.”
The mission statement of the company tells the customers and public about its key factors. The main impact is on quality, performance and innovative technology.
The company has stressed on research of producing environmentally friendly motorcycles to fulfill the needs of people, globally.
Honda Vision Statement
“Serve people worldwide with the joy of expanding their life s potential – Lead the advancement of mobility and enable people everywhere in the world to improve their daily lives“.
The vision statement of Honda transmits messages about innovative tools the company uses to make people’s lives easier and enhance their welfare level.
Another important aspect of the brand is to acknowledge what positioning strategy the company has chosen.
To complete this let’s have a look at the image below
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The post is from Instagram Official Account of Honda. The image tells the followers a newness that is coming. In other words, it is creating something special that is going to appeal to the customers. Creativity and innovation in a devising structure are on their way of completing the vision of the company by virtue of introducing the vehicle.
The post leads me to think that Honda belongs to Creator’s Brand Archetype. Are you already eager to find out the archetype? Here are main points Creator Brand Archetype below.
Desire: to invent something that abides by
Aim: devise the structure of vision
Strategy: to evolve artistic control and expertise
Levels of the Creator
Level 1: impulses of creativity and imagination
Level 2: being innovative and dynamic
Level 3: develop the destination that will end up with vision
Level 4: summarize doings and establish something that impacts people’s lives
Brand Archetypes. Why we need them in practice?
All of us know that many companies have problems in presenting their key values and attitudes. Sometimes our messaging leads to misunderstanding or it does not represent what we aimed to say in reality. Here of course the importance of the brand archetypes is very crucial. How to create a good company culture?
What are its values? Here are some questions that need to be answered properly. “8 steps to a complete archetypal branding” eBook tells us a lot. We have written a book that goes deeper in these notions and reveals archetypes in specific ways. Just uncover the brand archetypes with “8 steps to a complete archetypal branding” eBook.
Brand Archetypes. Why we need them in practice?
All of us know that many companies have problems in presenting their key values and attitudes. Sometimes our messaging leads to misunderstanding or it does not represent what we aimed to say in reality.
Here of course the importance of the brand archetypes is very crucial. How to create a good company culture?
What are its values? Here are some questions that need to be answered properly. “8 steps to a complete archetypal branding” eBook tells us a lot. We have written a book that goes deeper in these notions and reveals archetypes in specific ways. Just uncover the brand archetypes with “8 steps to a complete archetypal branding” eBook.
Now its time to move into SWOT Analysis of Honda
Strengths
Leading Manufacturer: A largest motorcycle manufacturer. Honda is one of the world largest and leading motorcycle manufacturer. It also has a great diversity of models of vehicles.
Investment on R&D: The company considers Research and Development (R&D) facet as a vital one, and has nurtured work force on that area. It helped the company to achieve huge turnouts and evite serious financial losses.
Market Share: Due to manufacturing advantage of Honda, the company has the major part of market share for the products it manufactures.
Weaknesses
Dependency: Dependency on the North America to have huge turnouts. Having the majority of dependence on a certain location, risks to have unexpected financial losses.
Growing prices: As the company makes more investments like in R&D, the prices of the vehicles are tending to become higher in their turn.
Class segment variation: Honda is for classes above average that becomes unattainable for classes that are below the middle one. This rises competition as other company offer vehicles for that segment with more affordable prices.
Opportunities
Electric Cars: Recently, electronic cars have come by in motorcycle market and have high demand. Although Honda has E-cars, however there is a room to produce more varieties of electronic cars in the future.
High Demand on Cars: Nowads, it is a must for people to own a vehicle. Due to low rates of bank loans, a huge score of people purchase and convert cars frequently.
Threats
Competition: Honda has challenging competitors in motors industry like Toyota, Ford, General Motors, Hyundai.
Fuel costs: Even though there is a high demand of cars, rising prices of petrol and fuel types are making people cautious before buying a new car.
Now, let’s explore segmentation strategy of Honda
To do so the commercial of Honda will assist us.
The commercial shows the value of family and its relation with Honda motorcycles. The company values and puts the safety of customers and people as a priority. You see, how the family members of the man were feeling that he is in danger.
However, due to Honda car, nothing occurred with the driver and the pedestrian, and it allowed them to unite with their family members again. This scenario messages me about the target audience that Honda chose: the Traditionalists.
Who are Traditionalists?
Lifestyle and Values
Traditionalists give extremal attention and worth to their families. They think it is their mission and duty to take care of family members, kids, etc. and be concerned about their welfare and goodness. Their focus is on having well arranged, secure and protected family.
Feeding with fresh and delicious meals to their family members is a way of displaying care. It is also vital to keep home nice and welcoming.
Shopping Preferences
Traditionalists like spending on practical things mainly. In case of shopping clothes, they like to buy items in their comfort zone rather than in style. They like trying to brands and new tastes. They prefer quantity above quality, however in case of their kids they will purchase premium goods and pay more.
Traditionalists do not spend much on vacations, thus they do not travel abroad frequently. They hesitate going art or museum exhibitions, cultural shows, etc. Rather, they are fond of spending evenings with family members watching a movie or TV Show.
Interesting Facts about Traditionalists
- They like working in an ethical environment and be appreciated and admitted by their colleges.
- Traditionalists prefer watching movies rather than reading books. However, they insist their kids to be educated by reading lots of books.
- In order to get reliable information they use TV News Channels. Traditionalists are below users of Internet and Radio.
- They like reading magazines mainly about stars. Getting acquainted with new recipes, methods of cooking and furnishing house is another interest field.
So much about Toyota and Honda Motors Companies, their brand archetypes, target segments, marketing strategies, and SWOT Analysis. We hope this was an efficient blog post and you found the answers of the questions you were curious about. For more similar posts check out the main page of our website.
