What is the strategy behind that move and what kind of advantage do they expect to get?
2006-08-26 10:26:33 · 7 answers · asked by mjbee42 2 in Cars & Transportation ➔ Other - Cars & Transportation
Market segmentation and brand loyalty. The created the Scion line to capture a segment of the market that Toyota wanted more of: young, hip, urban car owners. By creating cars that looked edgier, they thought that they could capture a part of the market that had been eluding them.
In addition, Toyota hopes that as the people that purchase a Scion have families and outgrow the Scions, they will have a have loyalty to the Toyota brand and will be more likely to upgrade to another Toyota rather than switch brands.
2006-08-26 10:38:57 · answer #1 · answered by Peter K 3 · 0⤊ 0⤋
The basic reason was that they thought it would be advantageous to discriminate 'Scions' from 'Toyotas' or vice versa. They want a different image for Scion and Toyota.
They might be building Scions based on different principles, like maybe they're not made as well as Toyotas, and they don't want to tarnish the Toyota name.
Scions are marketed to younger drivers, and maybe Toyota thought younger drivers hated Toyota too much, or thought they would benefit for creating a whole new brand of car for younger people.
I hope you know other companies, like GM, Ford, Nissan, and Honda all have other brands, themselves. Here's a few of them.
GM - Chevrolet, GMC, Pontiac, Saab, Hummer
Ford - Jaguar, Mercury, Lincoln, Volvo
Nissan - Infiniti
Honda - Acura
2006-08-26 17:41:55 · answer #2 · answered by Paul 7 · 1⤊ 0⤋
The created the Scion line of cars with the 20 somethings in mind. Affordable cars which have options such as custom shift knobs and neon lights. There's not a market right now aimed at that age group or the group that likes having unique cars. Toyota is hoping to increase profit by tapping into this group.
2006-08-26 17:34:55 · answer #3 · answered by Mariposa 7 · 1⤊ 0⤋
They hoped to sell cars to young people, including the beach go-ers in California and Florida.
Note that the boxy looking thing is a competitor to the Honda vehicle of similar shape.
2006-08-26 17:33:37 · answer #4 · answered by retiredslashescaped1 5 · 1⤊ 0⤋
They wanted a line of vehicles that specifically targeted younger buyers.
2006-08-26 17:39:15 · answer #5 · answered by HULK RULES!! 7 · 1⤊ 0⤋
Its all about something called MARKET SHARE just selling more cars
2006-08-29 20:28:28 · answer #6 · answered by bayareart1 6 · 1⤊ 0⤋
Making more money.
2006-08-26 17:29:13 · answer #7 · answered by Silverstang 7 · 1⤊ 0⤋