Toyota - Setting Product Strategy

TOYOTA : Setting Product Strategy

In 1936, Toyota launched its first

passenger car, the Modell AA.

The company’s products are based on the view that there should be something for everyone.

In 1980s and 1990s, Toyota, as a part of its marketing strategy,

started to expand its product mix.

Launched, Camry in 1982.

Entry into the SUV segment.

Introduced Lexus in 1989 – Luxury division of Toyota.

In 1997, Toyota applied line filling between Corollaand Camry to launchPrius.

One major reason behind Toyota’s success is its lean manufacturing plant.

Its plants can make as many as eight models at the same time.

Employee’s vision:

1) Make cars.2) Make cars better.3) Teach everyone how to make cars better.

One key feature of Toyota is

INTEGRATION

The New Tagline

Toyota has built a manufacturing capacity that

produces millions of cars each year for a wide variety of

consumers. Why was it able to become so much bigger than any other auto manufacturer?

• Toyota integrates its assembly plants around the world into a single giant network.• This can customize cars for local markets and shift production quickly

to meet surges in demand from markets worldwide.• Other manufacturers fail in this aspect and hence are not able to fulfil

the surges in demand.

Has Toyota done the right thing by manufacturing a car brand for everyone? Why

or why not?

• By introducing a strong product line, Toyota makes sure that its consumers do not have to move to other brands for specific purposes.• It also helps to increase the market share of Toyota.• It ensures that it has consumer loyalty.

Recap• Company Background• Product Strategy• Manufacturing Strategy• Tagline• Some Obvious Questions

Disclaimer: Presented by Karan Shah, IIT (ISM) Dhanbad as a part of marketing internship under

Prof. Sameer Mathur