5P Campaign Book (2)

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    Strategic Marketing Campaig

    Toyota Highlander Hybrid

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    the five pandas

    Heather LeskoPublic Relations

    Brooke VandenbrandenMedia Planning

    Julia Welytok

    Account Director

    Samson PayneResearch

    Zachary ArosteguiCreative

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    Situation Analysis

    Creative Plan

    Campaign Strategy

    Media Plan

    Public Relations

    5-29

    61-65

    50-60

    40-49

    30-39

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    situationanalysis

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    industry trends

    he whole industry o light vehicle production experienced ajump o 47% in 2010, ollowed by a smooth increase o 11% in2011. Te production o light truck, van and SUV segment is estimat-ed to increase 9.0% per year rom 2009 to 5.1 million units in 2014.

    Currently the biggest players in SUV production are Ford, Honda,oyota and Chevrolet. SUV production is a highly competitive in-dustry. Te GMC and oyota brand images have been underminedin recent years; smaller companies such as Nissan and Hyundai arecatching up in the new cars market.

    As a result o the economic recession and oil price increases rom2001, the American light vehicle manuacturing industry de-clined 13.7% per year rom 2004 to 2009, reaching the low gure at5.6 million units in 2009.

    Te production o Sport Utility Vehicles (SUV) and light trucks wasalso discouraged with an average annual decline o 11.9% rom 2004

    to 2009, reaching 4.9 million units in 2009.

    Automakers are equipping models with more advanced saety

    eatures in response to consumers concern and governmen-tal regulation, such as Electronic Stability Control (ESC) systemrequired or 2012 models by Te National Highway rac SaetyAdministration (NHSA)

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    hybrid electric vehicles

    Due to the rise o gas prices and thegovernmental regulation o emissions,the production o Hybrid ElectricVehicles (HEVs) in USA has beengrowing dramatically. Te governmentis promoting the use o uel ecientvehicles by oering tax credits or pur-

    chases and unding the developmento new technologies.

    In 2009, the govern-ment set new uel e-ciency standards thataim to increase theuel economy o light

    vehicles to an averageo 35.5 mpg by 2016.

    Te US demand or HEVs grew 28.1 percent per yearrom a small 2004 base to 290,300 units in 2009. Demandor HEVs is projected to increase 30.5 percent annuallybetween 2009 and 2014 to 1.1 million. By then, HEVs are

    also estimated to account or more than 7% o all lightvehicles sold.

    In 2009, the three biggest pro-ducers o light HEVs to the USmarket were oyota (Japan),Honda (Japan) and Ford, to-gether holding 94% o the mar-ket share. With technologicaladvances in HEV production,oyotas Prius and Highlanderhave been prevailing in the mar-ket.

    Given that the industry is new andthe technologies are still underdevelopment, new models continueto emerge rapidly orming a highly

    competitive industry. Currentpopular hybrid SUV models in-clude the oyota Highlander, FordEscape, Lexus RX, GM Yukon andChevy ahoe.

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    competitor analysisCompared to other aordable (lower than $40,000) small or mid-sized SUVs.

    Launched: 2000

    Introduced to North America: 2001

    Applied the Prius Hybrid Syn-ergy Drive to the Highlanderin 2006, becoming the rst car-based mid-size SUV.

    Highlander Hybrids sale declinedrom 31,485 in 2006 to 4549 in2011, cumulatively amounting to114,058.

    Te Highlander and HighlanderHybrid created annual sales o

    101,252 units in 2011, with anincrease o 9.6 percent.

    Pros: Powerul engine Good uel economy Long cruising range Spacious and well-made interior Comortable 1st and 2nd row

    seats

    Outstanding saety eatures Virtually no competitors in

    midsize hybrid SUVs lower than

    $40,000.

    Cons: Low aordability Small cargo volume Small 3rd row seats

    ToyotaHighlander Hybrid

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    competitor analysis

    Te best selling suv in 2011and the 4th best selling HEVin history.

    Sales declined rom 21,386 in2007 to 10,089 in 2011.

    Pros: Highest uel economy in the

    same class Large cargo volume Excellently sae, high NHSA

    crash test score Currently very Popular

    Cons: Steep price or a small SUV Load noise o acceleration

    Not as powerul

    FordEscape Hybrid

    HondaPilot

    Pros: Highest uel economy in the

    same class

    Large cargo volume

    Excellently sae, high NHSAcrash test score

    Currently very Popular

    Cons: Steep price or a small SUV Load noise o acceleration Not as powerul

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    competitor analysis

    Pros: Highest uel economy in the

    same class Large cargo volume

    Excellently sae, high NHSAcrash test score

    Currently very Popular

    Cons: Compromised brand image Not so economic Limited visibility

    GMCAcadia

    ChevroletTraverse

    Pros: Large 3rd row

    Excellent saety eatures Powerul engine

    Cons: Steep price or a small SUV Load noise o acceleration

    Not as powerul

    Compared to Lexus RX Hybrid ($47,700), ouareg Hybrid ($62,865)and Porche Cayenne Hybrid ($69,975), Highlander Hybrid generallydoes not have any competitive advantages in perormance and ea-

    tures. However, Highlander Hybrid has more seats and more seatingspace than any o them does.

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    competitor analysis

    oyotaHighlanderHybrid

    Ford EscapeHybrid

    Honda Pilot GMCAcadia

    Chevroletraverse

    MSRP $39,350 $33,145 $33,730 $35,510 $32,335

    SeatingCapacity

    7 5 8 8 8

    Fuel

    Economy(city/hwy)

    28/28 30/27 17/24 16/23 16/23

    ElectricHorsepower(Bhp)

    167 94 Not Listed Not Listed Not Listed

    CruisingRange

    482 438 420 418 418

    CargoVolume(cu. Ft.)

    10.3 30.9 18 24.1 24.4

    InteriorVolume(cu. .)

    145.4 99.5 153.7 154.0 153.1

    ElectronicBrakeDistribution

    Standard Not Avail-able

    Standard Standard Not Avail-able

    Active HeadRestraint

    Standard Not Avail-able

    Not Avail-able

    Not Avail-able

    Not Avail-able

    BakcupCamera

    Standard Not Avail-able

    Not Avail-able

    Not Avail-able

    Not Avail-able

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    By maintaining a ocus on consumer satis-action and high quality products, oyotahas gradually regained positive regard in themarketplace. While the revival o oyota'sbrand image has been a challenge, a BrandIn-dex Survey indicated that by 2010 consumersentiment had already signicantly recov-ered.

    recall and recovery

    Following a recallincident in 2009,

    oyotas brandimage took a blow

    and led to decreasedsales and wavering

    consumer

    condence.

    Since the recall, oyota has also won manyawards or vehicle reliability and ownersatisaction, as well as excellent plant qualityand malunction prevention. One challengethat oyota aces moving orward is dieren-tiation rom other top brands, as consumershave reported that the apparent dierencesbetween automobile companies seem to bedecreasing.

    oyota actively pursues a reputation as a com-pany that cares about consumers and commu-nities. Te company aims to enrich societyby creating jobs, pioneering cleaner, saertechnology, and engaging in philanthropiceorts. oyota strives to develop a reputa-tion as a company that is constantly tryingto make the world a little better through itsautomobiles, a concept that is demonstrated byoyotas dedication to developing eco-riendly

    hybrid models.

    In recent years, oyotas interactive eorts with consumers have generated strong word-o-mouth support. Bringing oyota to consumers in test-drive tours and other grass-roots initiatives has given consumers a personal connection to the brand. As part ooyotas operating philosophy, the company actively seeks consumer input, and attemptsto modiy its products in response to perceived demands. oyotas commitment to build-ing consumer relationships has led to satised owners, word-o-mouth support, and asignicant recovery o the brands reputation in the marketplace.

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    brand analysis

    oyota has been moving people orward or over50 years, as a well-established and highly respectedbrand in the global marketplace. oyota has a large

    presence in the United States economy.

    establishingthousands o

    jobs

    contributing billions indirect investments andmaterial purchases.

    Fortune has repeatedly rankedthe oyota Motor Corpora-tion as one o Americas MostAdmired Companies alongsideprominent brands such as Gen-eral Electric and Starbucks

    oyota Motor Corporationhas orged a brand identity

    rooted in...

    Quality Products

    Respect orCustomers

    Wealth and

    good ortune

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    brand analysis

    Te name oyota is associated withwealth and good fortune inthe Japanese language. Te logo itsel is embedded with the brandsvalues: two ovals orm a , overlapping to symbolize the mutually ben-

    ecial relationship and trust between the customer and the company,and the -shape is surrounded by a larger oval that represents oyotas

    vision o global expansion and unlimited potential.

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    the toyota way

    Te values o continuous improvement and respect or consumers are central com-ponents o oyotas managerial ideology. Developed in 2001, Te oyota Wayis the

    companys operating philosophy.

    Be transparent inproblem identication

    and management

    Address rootproblems to allow ortrue growth

    Makejudicious

    decisions & imple-ment them rapidly

    Mentor employeesand osterteam-building

    Strive or high qualityand continual improvement

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    4

    5

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    consumer analysis

    40-44year olds are the most likely age group to have recently purchasedoreign, midsized SUVs.

    Of people who purchase Asian vehicles 37% have an annualhousehold income o $75,000-$149,000.Tey are also more likely to purchase new carsevery 2-3 years.

    Consumers who are currently married or live inhouse-holds of 3-4 peopleare more likely to own and inclined to purchase a oyotaHighlander. Tey are also more likely to own 2-3 SUVs per household.

    Consumers with college or graduate degreesand business ormanagerial positions are more likely to own and prone to purchase a oreign mid-sizeSUV and a Highlander.

    Professionals in business and managerial elds are more likely to view greenactors as relatively unimportant in their purchasing decisions.

    Consumers in the Western region and consumers who lead activeliestyles are more likely to own and inclined to purchase oyota Highlanders or otherhybrid vehicles. -

    Active consumers are also more likely to own multiple SUVs.

    Hybrid consumers are more likely t to value saety eatures, options, andcutting-edge technology.

    Current Highlander owners are 71% more likely to want their vehicleto contain as many saety eatures as possible.

    People who already own hybrids are 58% more inclined to con-sider purchasing a new vehicle every 2-3 years.

    Affluent Consumers in the age group o 35-44 are more likely than aver-age to view oreign cars avorably and to requently travel with at least one otherpassenger.

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    primary research

    From primary research in which we con-ducted a ocus group o our adult a-thers (members o our target market), welearned that consumers are largely awareo the oyota recall incident, but that they

    still consider oyota to be one o the mostreputable oreign automobile companies.

    Research Members:Dan Welytok, 49, MilwaukeeWI, nance lawyerSteve Berman, 47, WashingtonDC, CEOSteve Waldman, 47, Milwaukee

    WI, AccountantJim Welytok, 42, Milwaukee WI,Manager (Harley)

    One participant, Steve Berman, said that "everyone makes mis-takes, even big corporations. Its what they do to remedythe situation that matters insisting that condence in the oyotabrand has mostly recovered among people he knows.

    From the ocus group, we also learned that automobile purchasers tend toavor television ads over print or radio ads. Cars are or motion, and televi-sion ads enable you envision yoursel inside that moving car in a way that[print and radio] ads just cant (Waldman). Since all o the group members

    were in agreement on this issue, it was assurance that 5Pandas will need todedicate a signicant portion our nancial and creative resources to tele-vised advertisements.

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    What eatures are important whenyou are deciding whether to pur-chase a car (order in terms oimportance)?

    Ecoriendliness (2)Vehicle Price (3)

    Appearance (4)Interior Volume (3)Fuel Economy (3)Saety Features (3)Cargo Volume (2)Reliability (4)

    How avorably do you view oyotavehicles?Extremely poorly - Extremely well

    Waldman: 7Berman: 6Welytok, Jim: 8Welytok, Dan: 6

    What words would you associatewith oyota Vehicles? Check allthat apply

    echnologically Advanced (3)Environmentally Friendly (2)Luxury Vehicle (0)Popular (3)Dangerous (1)Adventurous (2)Versatile(3)Expensive (1)Aordable (2)

    How much does a cars brand im-pact your buying decisions?1 Very little-10 Very much

    Waldman: 6Berman: 8Welytok, Dan: 9

    Welytok, Jim: 7

    How much o a dierence do youperceive between top automobilebrands (ex. oyota, Honda, Hyun-dai, Ford) 1(none) - 10 (a ton)

    Waldman: 5Berman:3Welytok, Dan: 4

    Welytok, Jim: 3

    When deciding whether to pur-chase a car, does it matter to youwhat country it comes rom?

    Waldman: YesBerman: YesWelytok, Dan: NoWelytok, Jim: No

    Would you be willing to pay moreto invest in a hybrid car? Yes/No/Maybe

    Waldman: YesBerman: YesWelytok, Dan: MaybeWelytok, Jim: No

    primary research

    Additional Insight:

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    media analysis

    recall advertisingIn the last quarter o 2009, oyota spent roughly $1 billion on a market-ing push or the Cash or Clunkers program. Tat marketing blitz wasollowed in 2010 by the recall o a large number o oyota vehicles. Tecompany planned to spend less on advertising in 2010, but had to matchthat marketing budget in the rst quarter o 2010 in an attempt to main-tain its image as one o the saest car brands, and overall trusted brands,

    oyota released a trio o ads taking responsibility orthe recall, emphasizing xing the problem and mov-ing orward. In 2010, oyota was the worlds largestautomaker. oyotas sales rose 8%, while combinedsales or U.S. automakers dropped 0.4%.

    the nathan showoyota ended 2010 with an advertising campaign eaturing a child meant toconvince parents to buy a new Highlander. o go along with these televisionspots were Youube videos eaturing Te Nathan Show, and the online

    game Smash, Blast, Drop.In the frst ew months o 2011 oyota saw more sales rises.

    earthquakeIn March o 2011, Japan was hit by a massive earthquake, and oyotascar production was shut down. In April, oyota announced that itsglobal car production would not return to normal until the end o theyear, and in May oyotas U.S. sales dropped 33% due to vehicle short-ages.

    reinventedIn 2012, oyotas new Reinvented ad campaign appeared duringthe Superbowl. oyota also integrated social media in a campaignasking ans to submit a video that could be eatured in uture ad-vertising.oyota has over 790,000 Likes on Facebook and over 79,000 ol-

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    creative analysis#1 or a reason campaign

    In 2011 oyota and Saatchi & Saatchi launched avideo and print campaign emphasizing saety ea-tures, known as their #1 or a reason campaign.

    One o the advertise-ments claims that oyo-ta is driving the Americandream,while anotherasks Why do so manycar companies compare

    themselves to oyota?

    Te campaign, while not particularly creative, was an eective

    chance or oyota to brag about being named the op Saety Picksby the Insurance Institute o Highway Saety or 2011 or the Ava-lon, Venza, Highlander and Sienna and highlight the act that 90percent o Camrys sold over the past 15 years still on the road today.Obviously suggesting that the oyota brand is sae as well as de-pendable in an attempt to bolster new sales.

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    creative analysisNathan James, just because youre a parent,doesnt mean you have to be lame campaign

    oyotas latest ad campaign or the new-ly renovated oyota Highlander Hybrid

    hinges on the slogan,Just becauseyoure a parent doesnt mean youhave to be lame. According to a pressrelease statement rom im Morrison, cor-porate manager o marketing communica-tions or oyota Motor Sales,

    its a vehicle that resonates with

    parents while still earning a stampo approval rom kids.

    Actor Riley Tomas Stewart plays, Nathan James, an 8-year-old child with uncool parents.Te commercial was aimed at parents with seven to twelve-year-old children.

    IMEPeopleFamily CircleMens HealthReal Simple

    ParadeSports IllustratedMoreCooking LightO Magazine

    Riley Tomas Stewart as Nathan James would more or lessbecome the spokesperson and ace o the campaign and ayoutube channel in which Nathan gave advice to amilieson how to be less dorky and embarassing.

    Modern Family

    Te Good WieTe Big Bang TeorySunday/Monday Night Football

    Television Ads

    Print ads

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    creative analysisReactions to Nathan James

    Te commercial did not are well, as is evident rom its ab-sence rom the Saatchi & Saatchis webpage, and oyota hassince taken down the Youtube channel. Many were turned

    o by the childs ego and the way he seemed to controlbuying decisions in the amily.

    Is oyota Lame orCalling Parents lame?

    ...basically saying he hates hisparents or being poor.

    Reactions to oyotas Nathan James ad series

    The Siennas:A similar campaign hadpreviously been used or theoyota Sienna with somesuccess, however the chil-dren expressed no reactionto the nerdy parents whoseemed at ease with theirnewound dorkiness. Inthe commercial uncool parents rom the Sienna Family weredepicted with their children in an advertisement known as theSwagger Wagon. Te concept was to create a rap musicvideo in which the nerdy parents think theyre cool because theyhave a cool car. Te general concept is encompassed in the lyric," I used to party as a college chick now Im cruisingto their play-dates looking all sick."

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    creative analysisMoving Forward

    Te oyota Prius hasbecome a household name in the

    hybrid industry and by building on this success5Pandas will transer some o this prestige to theHighlander Hybrid.

    Emphasis Te biggest change which must be madein this campaign is to incorporate someelement which notes the act that the

    Highlander Hybrid is in act a hybridvehicle.

    Te demographics we are seeking to pur-sue are very similar to those previouslysought aer, but our approach will dierrom past campaigns. We will still ocus-ing on the idea o status, but instead oportraying the parents as dorky will ac-tually make them cool parents who arecomortable in their roles, hold the same

    values they did as when they were youngand have ound a car which suits theirneeds as parents as well as individuals.

    Demographics

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    stakeholder analysis

    companyoyota is recovering rom the wake o vehicle recalls in 2009 and 2010.Te company is working to regain public trust o their vehicles. However,oyota has a long history o strong customer interaction which has leadto a high rate o owner satisaction and long standing brand loyal custom-ers. in America.

    shareholders/investorsIn 2009 oyota stock prices collapsed amidst the vehicle recalls and were

    cut almost in hal rom around $103/share to $58/share , which resulted ina $30 billion drop in company stock value. Since then, the stocks have beensteadily increasing around $5/share per year. Investors are hopeul that thestocks will return to pre-recall times.

    employeesoyota has around 300,000 employees worldwide and has plans to cre-ate jobs by increasing production at multiple plants worldwide, includ-ing in Mississippi and Indonesia. Meanwhile, oyota employees have

    protested against low pay by striking at production plants in France,Australia, and Venezuela .

    governmentMultiple US government agencies were involved with the investigation ooyota and their vehicle deects in 2010. oyota was ned over $16 millionor not reporting known problems to the National Highway ransportationSaety Administration (NHSA). From 2005-2009 a ederal tax credit up

    to $3, 400 was oered to consumers who bought a new hybrid vehicle. Tiswas meant to stimulate growth in the emerging green vehicle market.

    consumersCustomers are concerned about the possibility o uture recalls and theyhave voiced their concerns on oyotas Facebook and witter accounts. Con-sumers eel like they are being blamed or vehicle deects. Tis concern ismatched with consumers who pledge their loyalty to the brand. ConsumerReports 2012 op Picks awarded hal o the awards to oyota.

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    SWOTStrengths, Weaknesses, Opportunities & Treats

    or oyota brand.

    S TOWStrengths Weaknesses Opportunites ThreatsToyota is viewed asfresh, leading the

    industry ininnovative, greentechnology

    Toyota has a largepresence in the US

    economy, establishingjobs, directly invest-ing and purchasing

    U.S. materials.

    Toyota is resilient

    responded to chal-lenges by maintain-

    ing a focus onconsumers and

    continuing to pro-duce quality

    vehicles

    longevity - it is well-established, and has

    been moving peopleforward for over 50

    years.

    Toyota struggles-

    tiation - consumersincreasingly reportrecognizing few

    between the topbrands.

    Consumers areconcerned about the

    safety of Toyotavehicles

    recall crisis in 2009and received a lot of

    negative press; publicopinion of the brandis steadily recovering

    Toyotas lines con-tinue to incorporate

    large cars such asSUVs and trucks,while consumer

    preferences may be

    smaller cars

    Continue to invest ininnovation to set

    Toyota apart fromother brands

    Continuing toemploy methodsthat have been

    successful in thepast - especially

    hands-on tours thatengage consumers(test drives, grass

    Ensuring greaterdefect/malfunctionprevention in order

    to show consumers acommitment tovehicle safety

    Toyota brand fromcompetitors by focus-

    ing on the novel

    models

    Rapidly decreasing

    in the automobileindustry

    Fierce competitorsare quick to repli-cate Toyotas new

    technologies

    Consumer prefer--

    ing towardssmaller/domestic

    cars

    Still recoveringfrom plummet in

    -

    recall crisis

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    SWOTStrengths, Weaknesses, Opportunities & Treats

    or 2012 Highlander Hybrid27

    S TOWStrengths Weaknesses Opportunites Threats

    Extremely highowner satisfaction -

    top rankings inConsumer Owner-

    ship Survey

    e test drive sellsbuyers - it makesyou want to get in

    and cruise

    e Highlander is

    generally perceivedas a good value -Best Value of the

    Year Ranking 2006,also 10 Top Picks of

    2006

    Consumers feel they

    are treating them-selves to its luxuryand the price is worthit because you only

    live once

    Emphasizing some

    of the things con-sumers like:

    smooth, quietengine, luxury

    features, gas mile-age, easy, sturdy

    handling

    Emphasizing valueor treating your-

    self over price

    In this economy,consumers prize low

    operating costs,which hybrids claim

    to provide

    Emphasize value andthe idea that you

    only live once

    It is expensive topurchase - denitely

    an investment

    While the High-

    lander prides itselfin decreasing

    owner costs, stud-ies have shown that

    it is actually lesscost-eective than

    gas-using cars

    It is not durableenough for o-

    roading & it is notexciting hardly getsthe blood owing

    It is a large car -consumer prefer-ences are shiing

    towards smaller cars

    Fierce competition -cheaper hybrids by

    other companies

    Even if it does have

    lower operatingcosts, in this eco-nomic downturn,

    consumers may notwant to pay thehigh initial pur-

    chase price

    Consumer prefer-ences shiing

    toward smaller carsover SUVs

    Gas prices are

    lower due to eco-nomic downturn;fuel-eciencybecomes less

    important to con-sumers

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    key issues and implications

    oyotas main issue at this point is branddierentiation. Consumer condence inthe brand has largely recovered rom the

    2009 recall incident, but oyota strugglesto truly set itsel apart rom other topautomobile manuacturers.In a day and age where consumers areincreasingly busy, oyota needs to ex-plicitly emphasize its unique strengths inorder to stand out rom its competitors.

    In marketing the Highlander, oyota should build o o les-

    sons learned rom the success o the already-stablished Prius.By emphasizing the Highlander as a sibling o the Prius,oyota can capitalize on the Priuss stance as the top-sellinghybrid vehicle o all time. Since consumers who are likely topurchase oyota Highlanders are more likelyto be auent, the value o the vehicle and therates o owner satisaction should be emphasi-zed over the purchase price.

    In an economy where consumers are also con-erned about rising gas prices and global warm-ing, uel eciency should also be emphasized.

    While the U.S. automobile industry has struggled in recent years dueto the economic downturn, consumer interest in green technology andhybrid vehicles is on the rise. oyota has positioned itsel as the industryleader in eco-riendly innovations, and it should capitalize on this brandassociation in order to appeal to environmentally-conscious consumers.

    Te Highlander shouldbe marketed as: dependable reliable good or your uture good or the planet

    In order to capitalize onstrengths and set itsel apartin the marketplace oyotasshould ocus on its position

    as a leader in: green innovation the customer-based ser-

    vice, Te oyota Way. outstanding rates o

    owner satisaction, original comort/saety

    eatures

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    campaignstrategy

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    Te oyota Highlanderis a high-quality, practi-cal luxury hybrid-SUV,but its sales are cur-rently not up to par withcompeting vehicles.

    Consumers view the dierencesbetween the top models as ever-diminishing, and our challengeis to emphasize that there is nosimilar, cheaper substitute to theHighlander that provides thesame high quality and overall

    value.

    Raise awareness

    about the High-lander hybrid-SUVsunique value.

    Regain consumercondence in the

    oyota brand aerthe 2009 recallincident.

    Increase Highlandersales by at least 100%in the next year.

    1.)

    2.)

    3.)

    Tereore, our ultimatebusiness objectives will be

    business objectives30

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    target markets

    Simmons research showed that families are the most likelyconsumers to acquire SUVs, and that consumers with collegeeducations (or above) are the most likely to seek environ-mentally-riendly and/or high quality vehicles. We ound thatlarger families tend to be concentrated in the Western U.Sand that they tend to be younger, have more children, andhave a keen sense of adventure.

    Primary Market

    We also ound that smaller, moremature families witheco-friendlyhabits tend to live in the Northeast and con-sider themselves work-centered multi-taskers.

    We will emphasize that theHighlander is an excellentamily vehicle, dierenti-ating our campaign tacticsto appeal to our two sepa-

    rate target groups:

    Secondary Market

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    primary target

    Kevin (36) and NinaPenkala (34) live onthe outskirts o LosAngeles near Kevinsextended amily.

    Amelia and Kevin metin college, where they

    both played on intra-mural sports teams.

    oday, Amelia owns on online travel-booking business, and Kev-in is the owner o a popular sports store in L.A.. Kevin and Ame-lias fexible schedules enable them to spend ample time with theirthree kids Zachary (3), Jacob (6) and Ellie (8).

    Kevin and Amelia consider themselves to be very amily oriented

    and adventurous, and they enjoy skiing in the winter and bikingin the summer. Tey are looking or an SUV that can accommo-date their active liestyle, and would like something sae,spacious, and eco-riendly.

    Primary arget Active, growing amilies, Westernregion, parents age 34-39, college graduates, business/managerial occupations, 5+ person household,adventure seeking and outdoorsy, amily-centered.

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    secondary market

    Michael (41) and Jane Anderson (39) live in the suburbs o Philadelphia, Penn-sylvania and have two children, Ross (12) and Kate (14). Jane and Michael met ingraduate school, where they were both involved in student government and envi-ronmental activism clubs.

    Michael is now a branch manager at a large utilities company, and Jane worksas an accountant. Worried about rising gas prices and the deteriorating naturallandscape o their city, they make an eort to recycle and carpool to work as muchas possible. Jane and Michael also have individual hobbies Michael plays on hiscompanys soball team, and Jane is on the local school board.

    Both Jane and Michael aim to nd a balance between working hard and spendingquality time with their kids, who have matured and developed their own agendasor their ree-time. Ross plays soccer and the guitar, and Kate is just starting highschool and is involved with the dance team and the choir. A busy amily, the An-dersons aim to keep up with each other and spend quality time together.

    AuentUrban

    Proessionals

    Eco-Conscious

    Parents

    Age 40-44

    Kids,age: 12-17

    GraduateDegrees

    Financial/BusinessOccupations

    Work-CenteredNortheast

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    unique selling proposition

    While many consumers are aware othe benets o a hybrid or an SUV,there is a tendency to view those

    model types as mutually exclusive.

    With the oyota Highlander, this is not the case.

    Truly HybridTe oyota Highlanders unique selling proposition is that it combinesthe size and luxury o an SUV with the green technology to make it ahybrid. Consumers looking to be eco-riendly no longer have to com-promise on size, and consumers who need larger vehicles no longerhave to compromise on environmental-riendliness.

    Te oyota Highlander not only does it all; it does it well.

    Te oyota Highlander is a unique model because it oersthe best o both worlds a true hybrid

    Compared to other hybrid SUVs, the oyota Highlanders advantage is itsoverall value. In attempting to create a vehicle that included the many ea-

    tures modern consumers seek in a car, oyota did not compromise in anyarea: the Highlander combines size, green technology, luxury, and saetyeatures, not sacricing on quality in any o these areas. Te Highlander isa well-rounded vehicle that owners are passionate about, and consumerslooking or excellent quality do not have to settle or less on any aspect.

    A Refusal to Compromise

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    differentiationIn order to dierentiate the Highlander rom competing vehicles, we

    will emphasize that it is the best practical luxury vehicle in its pricerange. Te Highlander is dierent than other aordable, mid-sized, hy-brid SUVs because it stands out as ar higher quality. Owners rave aboutits smooth drive, quiet engine, spacious eel, and sleek appearance. Onthe other hand, there is a signicant price jump between the Highlanderand luxury hybrid SUVs. Aside rom its quality and value, we can di-erentiate the Highlander as the ideal amily vehicle: well-rounded and

    versatile, the Highlander provides an array o high-quality eatures and istruly equipped with something or everybody. Placing an emphasis on theHighlanders saety eatures will also help dierentiate it rom competitorswhile simultaneously rebuilding consumer condence in oyotas com-mitment to saety.

    positioningOur product is currently positioned as one o the lower-selling SUV hy-brids on the market, trailing ar behind the (leading) Ford Escape. Wewant to elevate our sales by at least 100% in the next year, with the ul-timate goal o closing in on the Ford Escape to become one o the top-

    selling, mid-sized SUV hybrids on the market. o obtain this position, wewill link the Highlander to the popular oyota Prius. By emphasizing thatthe Prius and the Highlander utilize the same green technology, we willcapitalize on the Prius popularity in an eort to elevate Highlander salesto the level o the Prius. Ultimately, our desired position is that o the bestoverall value o the midsized, SUV hybrids available to consumers today.

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    SeasonalityIn our campaign or the oyota Highlander, we plan to use an array opromotional tools including television, social media, print ads, specialevents and sponsorships. Simmons data indicated that large amilies (es-pecially those in the Western region) lead active liestyles and are likely tosupport brands that sponsor sports teams or events.

    We plan to launch most o our televised media around the time o the

    Superbowl (January/February), and continue our campaign throughoutbasketballs March Madness. We will also tie the Highlander to other ac-tive/sporting events throughout this time. Launching our campaign atthe start o the year will also ensure that consumers have the Highlanderin mind when they receive their tax returns.

    When the weather becomes warmer in late Summer, we will proceed tolaunch some o our promotional events which will take place outdoors,

    such as our special scavenger hunt.

    We will continue our campaign rom the Fall through the holiday seasonwhen people are looking to purchase holiday gis.

    Although our campaign will take place or an entire year, the bulk o ourresources will be allocated towards the beginning o the year (January-

    end o March) and the end o the year (September-December).

    unique selling proposition

    January to March

    Late Summer

    Fall

    Overall

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    unique selling proposition

    the big ideaOur creative concept will attempt to take our disparate groups and unitethem under the common theme o a hybrid lie. Te idea behind this isthat our hybrid compromises nothing and can be adapt to suit whateverliestyle you live. Whether youre packing the kids into the car or soc-cer practice, or lling it with skis and hitting the slopes with your hubby,the oyota Highlander hybrid provides quality or an aordable price andluxury that is practical.

    Te oyota Highlander is a hybrid vehicle or more reasons than just itsuse o green technology. It has the ability to merge all o the aspects oyour hybrid lie, making it the right choice or you as a proessional, aparent, an environmentally-conscious citizen, and everything in between.At 5Pandas, we understand that the no consumer is one-dimensional. TeHighlanders hybrid nature allows owners to experience everything theydesire in a vehicle without having to sacrice on other important eatures.While consumers may be parents now, that doesnt mean that theyve lostsight o their individual dreams and goals.

    Our campaign will show them that the oyota Highlander Hybrid tsright into how they always envisioned their lives, and it is versatile to ac-commodate their ever-changing needs and preerences. It will take ourparents rom stopping wailing, to stopping whaling; rom rocking out,to rocking the PA, and it will do it all in a smooth, seamless transition.

    With the oyota Highlander, the possibilities are endless.

    more than just a hybrid

    a perfect fit

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    campaign strategy/brandingIn order to make the Highlander resonate with our target markets, wewill emphasize values that are important to them, drawing on state-ments that they have made about their liestyles

    Our urban proessionals(smaller, more mature, North-eastern amilies) reported that

    they are... concerned about car

    pollution in urban areas.

    work-centered

    busy

    Our growing amilies(larger, younger, West-ern) indicated strong

    interests in: ethical companies

    exercise

    sports

    Both groups expressed adesire or saety eatures andoptions. Te values that wewill tie to our brand in orderto accommodate our con-sumers liestyles include:

    reliability practicality luxury saety

    eco-riendliness versatility simplicity

    { Highlander consumers are parentslooking to nd the balance where amilymeets proessionalism. Te HighlanderHybrid is a model that can unction in-terchangeably between the two. }

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    campaign strategy/branding

    Our product will be branded as a practical luxury vehicle oramilies with active liestyles. Whether it be a small, mature, North-eastern amily, or a larger, younger, Western amily, the versatile

    Highlander has an array of features that can satisy a widerange o needs. Te size o the vehicle enables it to t an entire am-ily comortably, and the safety features ensure that the amily

    is secure. Te eco-riendly eatures cater to amilies who are envi-ronmentally conscious and/or enjoy spending time outdoors,

    and the Highlanders sleek appearance and luxurious eel make itsuitable or anything rom short commutes to long excursions.

    ruly made to suit the Highlanderis a versatile vehicle that can satisy the diverse needs o the

    modern amily.

    Your Hybrid Life

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    creativeplan

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    Hybrid life

    Te world is a busy place lled with busy people.Tese people have diverse needs.

    Luckily, weve got the car to cover you.

    Its luxury meets utility.Its speed and eco-riendliness.

    Its a hybrid, and its perect or your hybrid lie.

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    Print ad

    Your Family's getting bigger.

    So Is Ours.For Your Hybrid Life.

    The New 2012 Highlander Hybrid

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    Banner Advertisements

    Te online banner advertisements or the 2012 oyota Highlander

    Hybrid are interactive ads. When the user scrolls their mouse near theanimation activates and the car drives down the road, driving o intothe horizon. Once the car reaches the position indicated in the secondimage the text will change. At the end o the road the car will drive oand resurace rom o-screen back into its original position.

    Te message in the 2nd bubble will continue to change i us-ers move their mouse onto it again. No seriously, ollowedby were not quitting, you thought we were joking? Wereseriusly dedicated to you All right we give up, Just kid-ding, and other similar messages will cycle through.

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    TV Advertisement

    Scene opens with a high-speedcar chase, ront car is the 2012oyota Highlander HybridNASO: explosions, car noises

    Man moves around dodgingVO: With Roomy interiorspace...

    NASO: Engine revvingVO: ...high horsepower,

    VO: not to mention the selcharging motor...Other cars ade away, sputteringor gas

    Car goes spinning through theair, lands and zooms away

    VO: ...and a high saety rating

    VO: ...the 2012 oyota High-lander Hybrid has the power tosuit..

    VO: ...just about any need.NASO: school bell ringsKids come running up to car

    Kids throw books and sportsgear in the trunk o the car

    SO: oyota Highlander Hybrid,or my hybrid lie

    1 5

    62

    3

    7

    84

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    TV Advertisement

    Man stands in driveway, light-hearted acoustic music plays inbackground

    SO: Im a amily man.Mini-van, children and wieappear in background, #1 Dad

    shirt appears on his body

    SO: I work hard.Convertible appears in thebackground alongisde mini

    van, children, and wie. Mannow wears a suit coat over #1dad shirt. Family begins to lookconcerned.

    SO: ...Im ruggedJeep appears with mountainbikes on top, man now wearsBMX style helmet

    SO: ...I like to go astMotorcycle appears in back-ground, leather gloves and jack-

    et appear on man. More vehiclesand excess clothing build up atan accelerating rate as more othe mans personality traits arespoken. Man grows more andmore uncomortable.

    VO: Im a hybrid.All the excess clothing and

    vehicles dissapears. Only oyotaHighlander Hybrid remains,kids and wie get into car. Manexpresses relie with a sigh/smile.

    1 4

    52

    3

    6

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    TV Advertisement

    NASO: small crowd makingexcited noises

    SO: Singing song about howthey embody the hybrid spirit.VO: When we told people about

    our new Im a hybrid website...well, they got...

    NASO: Wind Whipping, manscreaming.SO: Im a hybrid!VO: ...pretty excited

    SO: and thats why I...

    SO ...am a hybrid

    VO: ells us about your hybridlie at www.myhybridlie.com ora chance to win a oyota High-lander Hybrid. Te perect tor your hybrid lie.

    1 4

    52

    3

    6

    www.myhybridlife.com

    #imahybrid

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    Billboard

    I'manad.I'maworkofart.I'mahybrid.

    2012ToyotaHighlanderHybrid.ForyourHybridlife.

    oyota will team up with local artists in order to pro-douce visually appealing hybrid art advertisements.Tis will help to rejuvenate the brand, appeal to ouryounger age group as well as make oyota seem morelike a local and trusted brand.

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    Radio Advertisement

    Deep gravelly voice singing

    SO: Why do you build me up, build me upbuttercup baby...(Te Foundations, Build Me Up Buttercup)

    Old womans voice:SO: ...Bawitdaba, da bang, da dang diggydiggy diggy, said the boogie, said up jumpthe boogie.(Kid Rocks, Bawitdaba)

    Male Opera Voice: Day and Night, I toss andturn, I keep stressing my mind(Kid Cudis, Day N Nite)

    eenage Male Voice: Dont worry Ill nd,someone like you(Adeles, Someone Like You)

    Small Young Girls VoiceCause I eel like Im runningAnd Im eeling like I gotta get away, getaway, get away. Better know that I dont andI wont ever, see they dont really wanna popme just know that you will never stop me(Busta Rhymes, Look at me Now)NASO: record scratching

    VO: Teres a little bit o everything outthere, see it all with the 2012 HighlanderHybrid, or your hybrid lie.

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    publicrelations

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    media relations strategy

    For YourHybrid Life

    For Your Hybrid Liehigh-lights how the 2012 oyotaHighlander Hybrid representsthe active, diverse liestyles othe modern amily. Te public

    relations campaign will ocus on how the 2012 HighlanderHybrid is an important part o the amily dynamic. Our

    public relations campaign will ocus on dierent aspects oamily lie.

    All public relations events and promotions will be publicized throughtraditional media contacts as well as non-traditional contacts.

    Media Relations Strategy

    raditional Contacts Non-raditional Contacts

    New York imes Washington Post Wall Street Journal Los Angeles imes USA oday Te Oregonian Boston Globe

    Te Hungton Post Infuential bloggers Car review sites Social media witter Youube Reddit Pintrest

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    media vehicle distribution

    buzz marketing$2,000,000

    dollar amounts are measured per city

    ree standing inserts$275,000

    media relations$50,000

    press kit

    $30,000

    media tour$10,000

    radio$5,000

    *per city

    *per event

    *per city

    *per kit

    *or national run& redemption

    Mass opinion will be tracked by monitoring press cover-age, spokesperson quotes, and the amount o conversationthat is being generated online. Tis will be outsourced to a

    media monitoring company BurrellesLuce.

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    events and promotions

    In order to ocus on the active liestyle o the 2012 Highlander Hybridconsumer , oyota will place itsel in the center o activates that amiliesenjoy spending time doing together. Child ocused tournament events likelittle league, soccer, and summer sports recreation is riendly competitionthat teaches children valuable lessons o dedication, responsibility andteamwork. oyota will promote these ideals through the sponsorship ochild ocused tournament events.

    Getting the Whole Family Involved

    Competitive sports are not just or the kids. Adult ocused tournamentevents like soball, pool, and beach volleyball show parents engaging inamily riendly activities. By sponsoring these events, oyota will reach alarge audience dedicated and passionate about the results. Te 2012 High-lander Hybrid logo will be displayed on all inormative material or the

    tournaments including calendars showing team schedules, banners thatare displayed at the games, and the awards or end o the season winners.

    Tournament Sponsorships

    Families spend hours together discussing and watching national sportingevents like the Superbowl, Daytona500, and March Madness. It is a na-tional pastime that can be enjoyed by everyone in the amily. oyota willsponsor national sporting events to reach a large audience and promote a

    un activity that the whole amily can be involved in.

    Sporting Events

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    bloggers

    Many people trust and rely on the inormative opinions o bloggers. Tisorm o grassroots media is meant to give an authentic analysis rom

    the perspective o a real world person.

    People like blogs because they eel like they are conversing with theirneighbor and getting both sides o the story, not being ed one sided

    inormation that only puts the best oot orward.

    oyota will get bloggers talking about the 2012 HighlanderHybrid by letting them experience it or themselves. Five in-fuential bloggers will get a ree one month lease to test the

    vehicle out and blog about their experience.

    Tis will generate coverage by people thatare alreadytrusted or their opinion.

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    toyota dealerships

    oyota dealerships are one o the most important places consumers gowhen deciding on a vehicle purchase. Tis point o contact lets people seeor themselves how their new vehicle will be suitable or their needs. Tenext step is getting the consumer to get inside the vehicle and go or a testdrive. Once someone gets behind the wheel o a oyota vehicle they areable to experience or themselves the luxurious eatures and picture them-selves driving home in their new vehicle.

    Incentives

    oyota will promote test driving the 2012 Highlander Hybrid by creatingamazing incentives or people to go to the dealerships and to bring theiramily and riends to do test drives as well. All o the people who testdrive a 2012 Highlander Hybrid will have the opportunity to enter their

    name into a drawing or a chance to win a $500 gas gi card. In addition,the dealership with the highest number o test drives will have a seconddrawing or the people who participated. Tey will have the chance to wina ree one year lease o a 2012 Highlander Hybrid.

    Test Drives

    Tis will stimulate consumer interest by rst giving incentive or theindividual to participate and win the gas card and second, or them to gettheir riends and amily to test drive at the same dealership so they canhave a change at the year lease.

    The Result

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    toyota dealerships

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    social media

    Social media is at the center o many peoples lives. Tis ishow they connect with their networks and how they promotethemselves to the world. Just like the 2012 Highlander Hybridhas many sides, rom luxury and eco-consciousness, so dopeople and social media is how they express this.

    5Pandas will create a social media campaign showing themany sides o the 2012 Highlander Hybrid. In response, peo-ple will be asked to share interesting aspects o their lie thatrefect the same idea o their hybrid lie. Within the campaignthere will be a social media contest where people submit en-tries depicting their dualistic liestyles in any creative ormatrom videos on Youube to Facebook updates and witterposts. Te winner will be treated to an all expenses paid trip

    to the Superbowl. Tis campaign ties the consumer to the2012 Highlander Hybrid on a personal level by having themrelate aspects o their lie to the idea o Hybrid technology.

    Our Campaign

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    Highlander Hybrid Games

    Te app is ocusedaround three main

    sections

    Rewards

    Challenges

    Places

    oyota will partner with the mobile scavenger hunt app company SCVNGRto aciliate the interactive scavenger hunt in ten select cities ocused onbuilding brand recognition or the 2012 Highlander Hybrid. SCVNGR is anestablished social location-based gaming company that has over 1 millionusers. Partnering with SCVNGR will provide a large network to beginpromoting to and will save the costs o developing an independent app.

    Te app will be used to keep track o point totalsthroughout the scavenger hunt, as well as providing

    prompts, clues, and directions.

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    Te partnership will take place over twomonths and lead up to a nal day-long scav-enger hunt event, Te oyota HighlanderHybrid Games. Prior to the day o the eventusers will be able to earn limited points allthroughout the city and by completing chal-lenges on their phones.On the event day users will need to ollow aspecic map to earn triple the normal points

    and participate in the oyota HighlanderHybrid Games.

    Points can be earnedtowards your High-

    lander Hybrid Gamesscore beore the dayin a variety o ways

    including:

    Mini-Games

    Brie Surveys

    rivia Questions

    Te oyota brand will be integrated into each step o this process throughlogo placement and content integration. Inormation and statistics about the2012 Highlander Hybrid will be represented in each location and users mayhave to solve a puzzle a riddle or participate in physical challenges.

    Highlander Hybrid Games

    Te app is ocusedaround three main

    sections

    weeting #High-landerhybridgames

    All points will go to deciding the Final winnero the oyota Highlander Hybrid Games, anda 1/4 o all the points earned at the event willalso go towards your regular SCVNGR points

    Upon completion o the oyota Highlander Hybrid Games participants must

    check in at the oyota dealership, where oyota will provide rereshmentsas well as representatives ready to announce winners, talk about the oyotaHighlander Hybrid and take participants or test drives.

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    mediaplan

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    budgetdistribution.bym

    onth

    Becauseourprimaryandsecondarytargetsareeducated,work-

    ingindividuals,wewilladvertisearoundthenormalworkday.

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    ItwillkickofwithtwoSuperBowlcomm

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    budgetdistribution.bymedia

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    CNBC

    Discovery

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    Mintel. (2012). Hybrid-Electric Vehicles Industry, Freedonia,2010. Retrieved rom MintelMarket Research Reports database.

    Mintel. (2012). Light Vehicles Industry, Freedonia, 2010. Retrieved rom Mintel MarketResearch Reports database.

    Mintel. (2012). Car Manuacturing in the United States, Data Monitor, 2010. Retrieved romMintel Market Research Reports database.

    Mintel. (2012). Historical Hybrid Sales Figures, Alternative Fuels and Advanced Vehicle DataCenter,2011. Retrieved rom Mintel Market Research Reports database.

    Mintel. (2012). op 20 Best-Selling SUVs In America 2011, Manuacturers & ANDC, 2012.Retrieved rom Mintel Market Research Reports database.

    Simmons Market Research Bureau. (2007). [Computer soware]. New York: Simmons MarketResearch Bureau.

    Recall Study Finds Flaws at oyota Te New York imes, May 24, 2011 uesday, Section B;Column 0; Business/Financial Desk; Pg. 1, By NICK BUNKLEY

    Local gas prices continue a gradual upward trend Picayune Item (Mississippi),

    February 3, 2012 Friday, SAE AND REGIONAL NEWS, David A. Farrell, Picayune Item,Miss.

    2012 Green Living Show Breaks Attendance Record - Proo Tat Demand For a Green Econo-my Is Growing 3BL Blogs, April 19, 2012 Tursday 9:30 PM ES,

    oyota Investor Guide. http://www.investorguide.com/stock.php?ticker=M

    BRIEF: LEAD: Japanese stocks mixed aer modest overseas gains Eds: Adds closing gures

    DPA (Berlin), March 26, 2012 Monday, BUSINESS AND FINANCIAL NEWS, akehiko Kam-

    bayashi, Berlin

    oyota In Te World 2010 (PDF). Retrieved October 11, 2011.

    oyota aces legal challenge on cuts; Union says company targeted its ocials in sackings

    Te Age (Melbourne, Australia), April 25, 2012 Wednesday, NEWS; Pg. 7, CLAY LUCASWORKPLACE EDIOR

    Going green can help you save green Te Anniston Star (Alabama), December 20, 2010 Mon-day, SAE AND REGIONAL NEWS, John Fleming, Te Anniston Star, Ala.

    oyota plans more grass-roots marketing Rechtin, Mark. Automotive News, http://search.proquest.com.ezproxy.library.wisc.edu/assets/r7.0.5-4/core/spacer.gi82.6277

    Hybrids Come out on op in IntelliChoice.coms 2006 Best Overall Value o the Year

    Awards; Ford Escape Hybrid and oyota Highlander Hybrid Join oyota Prius at op o Auto-motive Value Chain Honda Odyssey Sweeps Minivan Category, Business Wire, 2/8/2006.