Professional Documents
Culture Documents
(THE ROLLOUT)
Introduction
Identified market opportunity in All
Purpose Vehicle (APV) segment in
Indonesia.
Head of Marketing Planning & Analysis
Department convinced that TAM had the
capability to capture the market.
Head of Marketing Planning & Analysis
Department ought to carefully lay out a
marketing strategy that upheld the Toyota
image and customer expectation.
Indonesian Automotive
Industry
In 1997, Indonesian industries were
negatively impacted by economic crisis.
This economic crisis resulting in a major
decrease in the countrys nominal income
and purchasing power.
The price of vehicles to be far from
affordable for the population.
Automotive market was shrinking from
400.000 vehicles sold to a low 75.000 in
1998.
Indonesian Automotive
Market
Composition Market
Marketing Research
Marketing report showed that market was
composed of
High 4x2
Medium 4x2 (78% of sales in 2000)
Low 4x2
Based on data, the markets for low 4x2 were increasing in all
areas, and were concentrated in Jakarta, followed by West
Java and East Java.
Even when it was evident that low 4x2 had a constant growth for the past several years
and was showing an increasing future trend, yet, the prospect of low 4x2 market had
attracted numerous brands to compete in the market. The market competition concluded
that Suzuki was dominant in both 4x2 city car model and 4x3 MPV.
Research Result
Toyotas brand image was strong among
this 4x2 low segment.
The potential car buyers could be divided
into 3 segments based on their life stages:
(1) young people who just started their
career; (2) older people who were less
likely to improve their social economic
status; (3) young students from the
wealthier family where they still depended
on.
Marketing Challenge
The new Toyota was to be named
Avanza.
Considering the tight competition in
the low 4x2 markets and strong
opponent like Suzuki, the new Toyota
had to be carefully and effectively
launched.