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Toyota Marketing Toyota: Improving Brand Research Paper

Such a program would not only boost consumer confidence: if drivers did not have any problems after the repairs, this would also repair the public's trust in the Toyota brand. Concern 2: Mistrust of flagship electric car model the Prius

Perhaps even more damaging have been the problems with Toyota's flagship electric car model, the Prius. The Prius has also been accused of unstoppable, unintended acceleration. Toyota had become synonymous with eco-friendly cars. Damaging the reputation for the safety of electric cars not only hurts Toyota's short-term profits; it also impacts the likelihood of consumers to buy electric cars in general. This shift would be particularly damaging to Toyota, given it has invested so much of its brand image and research and development capital in the success of the Prius.

Resolution 2

As well as improving the safety features on new models and repairing old models, Toyota must undertake a particularly aggressive effort to rehabilitate the image of the Prius. Drastically slashing prices would be one way to attract eco-friendly, young, and budget-conscious consumers who are the Prius' target audience. Younger people are making less money, given that the job market has been especially cruel for new college graduates with student loans. It is critical that young people become loyal Toyota customers early on in their driving lives, and are not scarred by the brand's current difficulties.

Problem 3: Appearance of a cover-up at Toyota

Trying to cover up a problem is often worse than the problem itself. Widespread belief that Toyota tried to cover up the technical problems of its cars at the expense of consumer safety has damaged the brand's image as committed to consumer quality. After a long public relations fight to establish a trusted position in the hearts of American car buyers, the Japanese manufacturer Toyota has squandered consumer goodwill. "The brand's quality reputation plunged since its recall-66.4% of consumers now consider it reliable vs. A near-universal 92.4% before" and if the company is required to pay fines regarding the 'foot-dragging' it exhibited in America, its brand image domestically will be even more difficult to resurrect (Steinberg...

It is essential that Toyota cooperate fully with this effort. Toyota asserts that floor mats and condensation are its only problems while "dozens of Toyota owners who had their cars fixed in the recall have complained of more problems with their vehicles surging forward unexpectedly. Regulators have linked 52 deaths in Toyotas to crashes allegedly caused by accelerator problems" (Safety concerns, 2010, AP). Toyota's failure to be fully cooperative in the independent federal investigation will only draw more ill will and makes Toyota's public apologies in press releases and television commercials seem hypocritical and self-serving. Even if the findings are damaging, trying to conceal evidence will be more hurtful to the Toyota brand in the long run, and more costly in lost sales than any product modifications that must be made.
References

Bunkley, Nick. (2010, April 9). Regulators may pursue more fines against Toyota. The New

York Times. Retrieved April 10, 2010

At http://www.nytimes.com/2010/04/10/business/10toyota.html

Healey, James. (2010, January 28). Toyota expands floor mat recall; supplier redesigns pedal.

USA Today. Retrieved April 20, 2010 at http://www.usatoday.com/money/autos/2010-01-27-toyota-recall-latest-developments_N.htm

Maynard, Micheline & Nick Bunkley. (2010, March 22). Toyota to replace accelerator pedals for owners who are unhappy with repairs. The New York Times. Retrieved April 10,

2010 at http://www.nytimes.com/2010/03/23/business/23toyota.html?fta=y

Safety agency adds outside experts in Toyota recall. (2010, March 30). The Associated Press.

Retrieved April 10, 2010 at http://www.nytimes.com/2010/03/31/business/global/31recall.html?fta=y

Steinberg, Brian. (2010). Toyota's loss of consumer trust is domestic rivals' gain. Advertising Age. Retrieved April 10, 2010 at http://www.allbusiness.com/marketing-advertising/marketing-advertising/13910906-1.html

Sources used in this document:
References

Bunkley, Nick. (2010, April 9). Regulators may pursue more fines against Toyota. The New

York Times. Retrieved April 10, 2010

At http://www.nytimes.com/2010/04/10/business/10toyota.html

Healey, James. (2010, January 28). Toyota expands floor mat recall; supplier redesigns pedal.
USA Today. Retrieved April 20, 2010 at http://www.usatoday.com/money/autos/2010-01-27-toyota-recall-latest-developments_N.htm
2010 at http://www.nytimes.com/2010/03/23/business/23toyota.html?fta=y
Retrieved April 10, 2010 at http://www.nytimes.com/2010/03/31/business/global/31recall.html?fta=y
Steinberg, Brian. (2010). Toyota's loss of consumer trust is domestic rivals' gain. Advertising Age. Retrieved April 10, 2010 at http://www.allbusiness.com/marketing-advertising/marketing-advertising/13910906-1.html
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