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Case Title:
Toyota Tundra in US: The Marketing Strategies
Publication Year : 2006
Authors: Sai Prasanna & Nusrath Jahan Maldar
Industry: Automobiles
Region:US
Case Code: MKS0038
Teaching Note: Available
Structured Assignment: Available
Abstract:
The full-size pick-up truck segment is considered to be the most profitable and the fastest-growing segment in a slow-growing US automobile industry. It is also highly competitive with players like Ford and General Motors dominating the industry. Over the years, Toyota, the second largest automaker after General Motors, has established a strong presence in the car segment of the US auto-market. Following this, the company aimed to increase its share in the light truck segment through the launch of a new pick-up truck model in early 2007, called Tundra. In the market for pick-up trucks, the buyers were known to be tremendously loyal to trucks made by American companies. Thereby, in its efforts to market Tundra, Toyota promoted the pick-up truck at events considered to be traditionally American such as NASCAR racing, fishing tournaments, country-western concerts, etc. The company also made an investment of $850 million to establish a new plant at San Antonio, Texas, for manufacturing only Tundra vehicles and set a sales target of 200,000 units in 2007.
Pedagogical Objectives:
- To analyse the trends, consumer profile and behaviour in the light truck segment of the US auto-industry
- To discuss the product-specific marketing strategies adopted by Toyota for the promotion of Tundra 2007
- To analyse the opportunities and challenges facing Toyota Tundra in the future.
Keywords : US Automobile Industry, General Motors, Ford, DaimlerChrysler, Ladder of consumption, Planned Obsolescence, Conjoint Analysis, Consumer Profile and Behaviour, Market Research, Marketing Strategies Case Study, Need-based Segmentation, Marketing Strategy, Nissan, Honda, Scion, Prius, Light Utility Vehicles (LUVs), Full Size Pickup Trucks, Cross over Utility Vehicles, Competition, Oil Prices
Contents:
- The US Automobile Industry: Market for Light Utility Vehicles
- Toyota Tundra: The Marketing Strategies
- Challenges
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