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Proprietary and Confidential
Azera Competitive Case StudyBy Jena Silverman
2Proprietary and Confidential
Agenda
― Large Car Category Marketplace
― Azera’s Competitiono Toyota Avalono Buick Lucerne/LeSabreo Buick LaCrosse
― Competitor’s Launch Overviewo Launch/Redesigno Spending and Saleso Media Mixo TV, Print and OOHo Creative
― Executive Summary
3Proprietary and Confidential
Large Car Category Marketplace
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Large Car Category Marketplace
Primary Competitors
Toyota Avalon ($32,445)
Nissan Maxima ($30,810)
Buick LaCrosse($26,495)
Ford Taurus($25,170)
Sources: Azera Exchange and autos.msn.com
Desired Features:
Style Additional Features SafetyPower
Challenges:• Large car segment has been declining over the past 5 consecutive years because:
• Switch to more fuel-efficient vehicle• Vehicle design is outdated• Feel of an “old person” car• Need for speed
5Proprietary and Confidential
2005 Toyota Avalon
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Avalon 2005 Launch Overview Launch Date: February 2005
Base Price: $26,890
• Toyota’s Goal: make the Avalon more powerful, more stylish, and larger
• First introduced to the public at the North American International Auto Show in January 2005
• Offered in four model options:o XLo Touring o XLSo Limited
• Highlights:o 280 hp, 3.5L V-6 engineo 22 mpg city and 30 mpg highwayo Ultra Low Emissions Vehicle rating
Source: http://www.autonews.com/apps/pbcs.dll/article?AID=/20050117/ANA/501170752
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Spending and Unit Sales
+
Launch and Sustain Spending: $43,749,200(February 05-July 05)
• Launched and abandoned• Launch spending from February to March decreased substantially by $22,258,400 and then slightly
increased by $1,646,100• Even with a major decrease in spending from February to March, launch sales continued to increase • Sustain sales stayed consistent from May to July and didn’t Decrease/increase compared with launch
sales
Sources: Polk , Auto News, and Kantar
Month Spending* Units
Feb. 05 $26,376,200 5,137
Mar. 05 $4,117,800 8,625
Apr. 05 $5,763,900 9,229
May 05 $2,627,600 9,165
Jun. 05 $2,231,200 9,134
Jul. 05 $2,632,500 9,432
*Includes Factory and Dealer Association
Launch
Sustain
8Proprietary and Confidential
Launch and Sustain Media Mix
Source: Kantar *Includes factory and association ** Dealer Association Spending
Toyota Dealer Association spent the most on Spot TV (19%)
February-July Total Spending*: $43,749,200• Network TV: $17,287,900
• Magazines: $13,134,400
• Spot TV: $8,019,900
• Cable TV: $4,088,900
• US Internet: $957,600
• Natl Newspaper: $245,500
• B-to-B: $15,000ota factory spent the
most on Network TV (41%)
February-April
May-July
Network TV
47%
Spot TV17% Cable TV
11%
Magazines22%
Natl Newsp1%
US Int-Display2%
Launch
Insight: Launch had heavy factory spending in Network TV, then abandoned TV to sustain run in magazines and Spot TV (sustain spot TV had 50/50 factory and dealer spending)
Network TV4%
Spot TV**5%
Magazines72%
US Int-Display2%
Spot TV16%
Sustain
9Proprietary and Confidential
TV: Network and Cable
Source: Nielsen 9/28/09-2/21/09 and 9/27/10-2/27/10 Excluding Sports
TV Launch and Sustain Spending: $29,396,700
Popular Networks Used:
Toyota Avalon was integrated into Fox’s ‘24’ DVD release:• 10 min promo created by Toyota and
the producers of ‘24’• Exclusive to DVD set• Mini movie bridges the gap between
season 4 and season 5• A “making-of” special on the mini
movie was shown on the Fox Movie Channel
Sources: Kantar and http://adage.com/article/news/toyota-vehicles-integrated-fox-s-24/47653/
Insight: with this campaign, less news programs were used and Toyota chose to incorporate more prime time programs
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Print: Magazines and Sponsorships
Source: Nielsen Aggregate Avg. Rtg. 09/28/08-2/28/09 and 9/28/09-2/28/10
Print Launch and Sustain Spending: $13,379,900
Popular Magazines Categories• Epicurean• News• Affluent Sports
Oprah’s “Live Your Best Life” tour• During launch of vehicle (brand
promotional event)• Auto sponsor of event• Lauren Fix, “The Car Coach” provided
safe-driving and car-care tips to women using a Toyota vehicle as an example
• Sponsored Contest
Glamour Magazine’s “Women Of The Year Awards”:• Honors women who have portrayed to readers
that they are involved with the community• Brand campaign event
http://www.edmunds.com/car-safety/what-are-automakers-doing-for-women-part-ii-toyota-takes-an-american-approach.htmlSources: Kantar and
Insight: Target market included both men and women upscale consumers with a clear interest in business and politics but also maintain a variety of upscale hobbies
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Creative: TV and Print• 360 holistic campaign• Cartoonish/fairytale feel depicted in all forms of
media• TV creative show everyday objects coming to life such
as plastic flamingos or birds made from newspaper flying past the vehicle
• Bright colors are used throughout causing the vehicle to stand out of other commercials and ads.
TV
Source: Kantar
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2000 Toyota Avalon
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Avalon 2000 Launch OverviewLaunch Date: November 1999
Base Price: $25,545
• Toyota’s Goals: design the Avalon as a more powerful, roomier, and more technologically advanced vehicle
• Second generation of Toyota Avalon since entry in 1995
• Two Models:o XLo XLS
• 3.0L V6 Engine with 210 hp• 21 city mpg and 29 mpg highway
Source: www.cars.com/toyota/avalon/2000
14Proprietary and Confidential
Spending, Sales, and Media MixMonth Spending* Units
Nov. 99 $8,834,000 N/A*
Dec. 99 $3,726,500 N/A*
Jan. 00 $5,942,100 8,177
Feb. 00 $3,392,500 9,024
Mar. 00 $2,071,600 9,942
Apr. 00 $3,583,600 9,329
Launch
Sustain
• Launched and abandoned• From November to December 1999, launch spending
decreased by $5,107,500 and then increased in January 2000 by $2,215,600
• Sales increased from January to February 2000 by 847 vehicles and stayed pretty consistent throughout the sustain of the vehicle
November- April Total Spending*:
$27,550,300
• Network TV: $11,123,200
• Magazines: $7,804,000
• Spot TV: $ 5,844,900
• Cable TV: $2,280,900
• Sunday Mags: $307,200
• National Newspaper: $136,800
• B-to-B: $53,300
Network TV41%
Spot TV19%
Cable TV7%
Magazines31%
Sunday Mags1%
Spot TV**1%
Launch
Network TV40%
Spot TV20%
Cable TV12% Magazines
24%Sunday Mags1%
Natl Newsp
1%Spot TV**
3%
Sustain
Source: Kantar *Includes factory and association **Dealer Association Spending
15Proprietary and Confidential
TV and Print DetailsTVSpending: $19,249,000
Categories• News, Travel, and Entertainment
PrintSpending: $8,248,000
Categories• Business, Epicurean, and Travel
Creative• Not a 360 holistic campaign• Print creatives were not cohesive• Affluent theme portrayed in some print creatives
promoting the new spacious interior and the higher quality materials incorporated in vehicle
• In other creatives, the question of “sparkling or still” compares the redesigned vehicle to eating at an upscale restaurant
Source: Kantar *TV creative could not be found for this year
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Insights• From the launch before in 2000 to the launch in 2005, Toyota’s goal changed because:o In 2000 their focus was for consumers to perceive the Avalon as a more luxurious and upscale vehicleo In 2005 their focus was to portray the Avalon as a more fun and stylish vehicle
• Both Avalon launches were launched and abandoned by Toyota
• Spending vs Unit Sales 2005: as launch and sustain spending decreased, units sold increased. This could be a result of increased spending on Spot TV and attracting consumers on a local level.
• Spending vs Unit Sales 2000: a consistent fluctuation of launch and sustain spending led to an continuous increase in units sold. Most of launch and sustain spending was allocated to TV instead of print which could have helped to increase sales because of the mass reach.o Overall, each launch and sustain appeared successful because in both launches Toyota incrementally
decreased while unit sales continuously increased
• Creatives: Print and TVo In 2000 Toyota decided to go with more of a luxurious and upscale theme and then in 2005, Toyota
chose to portray Avalon as a more fun and whimsical vehicle
• Avalon shifted focus on affluent males in 2000 to a campaign focused on both women and men consumers in 2005o Sponsorship of Glamour Magazine’s “Women Of The Year Awards” and Oprah’s “Live Your Best Life
Tour”
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Buick Lucerne
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Lucerne 2005 Launch OverviewLaunch Date: October 2005
Base Price: $27,715
• Buick’s Goals: offer a quieter, safer and more stylish vehicle
• Replaces both the LeSabre and the Park Avenue
• Four Model Options:o CXo CXL V6o CXL V8o CXS
• Engine options:o 197 hp 3.8L V6 o 275 hp 4.6L V8
• 19 mpg city and 28 mpg highway
http://www.autonews.com/article/20051108/SUB/511080701
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Spending and Unit SalesLaunch and Sustain Spending: $63,721,100
• From October to November launch spending drastically increased by $10,466,600 and continued to increase in January by $4,702,400
• Launch sales also experienced a substantial increase when sales jumped by 2,429 units from October to December and continued to increase by 3088 in January
• Sustain spending dramatically increased from January to February by $11,503.1 and then decreased in March by $5,854,300
Sources: Polk and Auto News *Includes Factory and Association
Launch
Sustain
Month Spending* Units
Oct. 05 $90,900 285
Nov. 05 $10,557,600 2,724
Dec. 05 $15,259,900 5,812
Jan. 06 $6,887,400 6,107
Feb. 06 $18,390,200 7,327
Mar. 06 $12,536,100 8,690
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Launch and Sustain Media Mix
Launch and Sustain Spending: $63,721,100(October 2005-March 2006)
• Cable TV: $13,050,500
• Magazines: $10,898,400
• Local Mags: $140,300
• Natl Newspaper: $4,720,600
• Newspapers: $2,945,000
• Network TV: $24,398,300
• Spot TV: $4,752,500
• Syndication: $258,800
• US Internet: $2,557,700
Source: Kantar *Includes factory and association **Dealer Association Spending
Buick Factory spentthe most on Network
TV (38%)
Network TV
39%
Spot TV**4%
Cable TV25%
Syndication1%
Natl Newsp13%
Newspapers11%
US Int-Display7%
Launch
Network TV
38%
Spot TV**3%Cable TV
17%
Mag-azine
s29%
Natl Newsp4%
US Int-Display2%
Spot TV6%
Spot TV0%
Sustain
October-December
January-March
Insight: in both the launch and the sustain TV was the biggest spend
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TVLaunch and Sustain Spending: $42,460,100
Popular Networks Used:
Featured on “The Apprentice: Martha Stewart” and also “Martha Stewart Living”
*More info on OOH slideInsight: seems like more affluent networks such as news and leisure networks are being incorporated into this campaign
http://www.adweek.com/news/advertising/buick-moves-beyond-precision-82678Source:
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Launch and Sustain Spending: $18,704,300
Popular Magazine Categories Used:• Finance• Travel and Leisure• Golf and Cars
Target Market: a more established consumer with a strong interest in the economy but also has other hobbies
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Sponsorships and Events• “The Apprentice: Martha Stewart”: teams
competed to design an in-dealership launch showroom display for Buick Lucerne
• “Martha Stewart Living”: Stewart and Buick teamed up to give away a Lucerne live to an audience member
• Lucerne VIP Premiere Nights:o Elements of the Lucerne VIP Premiere Nights
were featured on Martha Stewart Living on December 1, 2005 which included a recreated scene from Stewart’s 20-page guide the “Perfect Party Handbook” (brought to viewers by Buick)
http://www.adweek.com/news/advertising/buick-moves-beyond-precision-82678Source:
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Creative• 360 holistic campaign• Both print and TV creatives focus on the
newly redesigned interior and exterior styling of the vehicle
• TV commercials contained basic information about the Lucerne, no real theme to the campaign
Source: Kantar
TV
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Buick LeSabre 2000
26Proprietary and Confidential
LeSabre 2000 Launch Overview
Launch Date: May 2000
Price: $23,400
Average Buyer Age: 66 Goal Age: 60
• 3.8 L V6 engine with 205 hp
• 19 city and 30 highway mpg
• Two Model Options:o Customo Limited
• Goal: to attract younger, more family-oriented buyers
http://autos.msn.com/research/vip/Spec_Glance.aspx?year=2000&make=Buick&model=LeSabre&trimid=1733
http://www.autonews.com/article/19981123/ANA/811230711 http://www.edmunds.com/buick/lesabre/2000/
27Proprietary and Confidential
Spending, Sales, and Media MixMonth Spending* Units
May 00 $11,023,000 12,726
Jun. 00 $10,555,200 16,146
Jul. 00 $1,413,000 14,447
Aug. 00 $494,400 18,116
Sep. 00 $533,000 14,259
Oct. 00 $3,747,600 11,754
Network TV36%
Spot TV
36%
Cable TV18%
Syndication3%
Magazines1%
Natl Newsp2%
Newspapers4% Spot TV**
1%
Launch
Network TV
42%
Spot TV**1%
Cable TV11%
Syndication3%
Magazines24%
Sunday Mags18%
Natl Newsp1%
Sustain
Launch and Sustain Spending:
• Cable TV: $4,607,900
• Magazines: $1,427,400
• Sunday Mags: $878,500
• Natl Newspaper: $493,500
• Newspapers: $904,000
• Network TV: $10,171,400
• Spot TV: $8,518,200
• Syndication: $765,200
• During this launch, spending shows that Buick launched and abandoned
• From May to June launch spending slightly decreased by $467,800 and then decreased substantially in July
by $9,142,200• This decrease in launch spending didn’t have much of an
affect on sales from May to July• Sustain spending was pretty consistent from August to
September but in October, spending increased by$3,214,600
Launch
Sustain
Sources: Polk and Kantar *Includes Factory and Association **Dealer Association Spending
28Proprietary and Confidential
TV and Print DetailsTVSpending: $37,090,300
Categories:• Niche, Leisure, and Sports
PrintSpending: $3,703,400
Categories• Sports, News, and Leisure
Source:Kantar
Creative Not a 360 holistic campaign
Creatives aimed at a very broad target market, each one
portraying their own theme
Print Creatives encouraging consumers that they will gain peace
of mind by purchasing a LeSabre vehicle
Promoting the vehicle’s dependability by focusing on new safety
features
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Events and Partnerships
Partnership with Northwest Airlines:• Free tickets to Lucerne buyers• Consumers who purchase an OnStar-
equipped Lucerne receive two round-trip airline tickets to anywhere in the USA, Canada or the Carribbean
Tiger Woods made his debut as a new spokesperson on Feb. 12-13 at the Buick Invitational Golf Tournament
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Insights
• 2000 was a big year for Buick with the introduction of Tiger Woods as their new main spokesperson o This strengthened their partnership with the PGA Tour which included their Buick Open golf
tournament
• Buick is consistently focusing on an older generation of consumers (baby boomers) in 2000 but is still reinventing the vision of the brando Adding new features and updating the interior and exterior styling of the vehicleo TV integration on the Sopranos maintains Buick’s focus on the baby boomer generation but also
exposes the vehicle to other viewers who follow the program
• Buick Lucerne replaced both the LeSabre and Park Avenue models in 2005o Updated and redesigned version with a better price point for Buick’s target market
• Use of Martha Stewart in the Lucerne’s 2005 campaign helped to attract an older audience, not just women but men as wello Integration with NBC’s Apprentice helped to reinforce this and promote the new Lucerne vehicle
• In October of 2005, Buick only sold 285 Lucerne vehicles and then drastically increased their sales to 2724 vehicles in Novembero This could be due to a slight increase in spending and launch exposure of the vehicle
http://www.adweek.com/news/advertising/buick-moves-beyond-precision-82678Source:
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Buick LaCrosse
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Lacrosse 2009 Launch Overview
Launch Date: July 2009
Base Price: $27,835
• 3.8L V6 engine with 200 hp
• 17 mpg city and 28 highway
• Three Model Options:o CXo CXLo Super
• Buick’s Goals: focus on quality and long term dependability
Source: http://www.autonews.com/article/20090622/RETAIL/306229845
33Proprietary and Confidential
Spending and Unit SalesLaunch and Sustain Spending: $79,926,500
• Launch spending slowly gained momentum with an increase from July to August of $5,214,000 and an increase from August to September of $10,05,600
• From July to August launch sales slightly decreased by 219 units and then slightly increased in Septemberby 326 units• From the end of launch (Sept.) to the beginning of sustain (Oct.) spending increased by $5,810,100 and then decreased in November by $9,917,100• Sustain sales continuously increased from October to December
Launch
Sustain
Month Spending* Units
Jul. 09 $2,586,700 1,487
Aug. 09 $7,800,700 1,268
Sep. 09 $17,854,500 1,594
Oct. 09 $23,664,500 2,757
Nov. 09 $13,747,500 3,383
Dec. 09 $14,272,600 3,965
Source: Kantar *Includes Factory and Association
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Launch and Sustain Media MixJuly-December Spending*: $79,926,500
• Network TV: $19,829,100
• Cable TV: $9,570,900
• Sunday Mags: $117,800
• Local Mags: $129,500
• Magazines: $24,586,600
• Hispanic Newspapers: $67,700
• Natl Newspapers: $3,267,800
• Newspapers: $8,024,800
• SLN TV: $1,909,400
• Spot TV: $3,365,300
• Syndication: $3,307,800
• US Internet: $4,058,000
• Outdoor: $1,269,500
• Natl Spot Radio: $357,400
• Network Radio: $64,900
Source: Kantar *Includes factory and association **Dealer Association Spending
Network TV20%
Spot TV**1%
Cable TV7%
Syndication1%
Mag-azine
s39%
Natl Newsp7%
Newspapers15%
US Int-Display5%
Outdoor1%
Natl Spot Radio1%
Launch
Network TV
27%
Spot TV**6%
SLN TV3%
Cable TV15%
Syndication6%
Mag-azine
s26%
Natl Newsp3%
Newspapers7%
US Int-Display5%
Outdoor2%
Sustain
July-September
October-December
Insight: Buick chose to spend the most on magazines for the launch and then sustain with high spending in both TV and magazines
35Proprietary and Confidential
TVLaunch and Sustain Spending: $34,674,700
Popular Networks Used:
30 second spot “Crosswalk”• Involved pedestrians crossing the street and
stopping to stare at the new redesigned 2009 Buick Lacrosse
*Picture found on creative slide
Buick Open Golf Tournament• Date: July 27th to August 2nd • Location: Grand Blanc, Michigan• PGA Tour coverage by the Golf
Channel promotes interactive zone at the 17th hole and the newly redesigned Buick Lacrosse
http://www.pgatour.com/2009/tournaments/r035/06/23/action/index.html
36Proprietary and Confidential
PrintLaunch and Sustain Spending:
$36,194,200
Popular Categories Used:• Sports and Leisure• News• Ethnic
Target Market: ethnic magazine choices show that Buick is trying to appeal to consumers of all races but still maintaining their established audience
Source: Kantar
37Proprietary and Confidential
Billboards and Outdoor Events• Ongoing “billboard war” between Buick
and Lexus sparked consumer attention in areas such as Los Angeles and San Francisco
• Inspired feud between BMW and Audi
• Buick Open Golf Tournamento No. 17 hole Lacrosse Landing interactive
zoneo Fans invited to become members to gain
admission (free)o Get your swing analyzed by GolfTec Systemo Experience the new features of the vehicleo Complimentary sleeve of golf balls and
exclusive access to new bleacher seating and viewing areas
http://adage.com/article/news/marketing-buick-pokes-fun-lexus-ads/139029/http://www.pgatour.com/2009/tournaments/r035/06/23/action/index.html
38Proprietary and Confidential
Creative• 360 holistic campaign• TV commercial “Crosswalk” features
pedestrians stopping in the middle a crosswalk admiring the new redesigned Buick Lacrosse
• Print carries on that idea by stating “you be the judge” encouraging consumers to research the car a little deeper
Source: Kantar
TV
39Proprietary and Confidential
Buick Lacrosse 2005
40Proprietary and Confidential
Lacrosse 2005 Launch OverviewLaunch Date: April 2005
Price: $23,495
Target Buyer Age: 40-59
• Replaced the Buick Regal and Buick Century
• 20 mpg city and 29 mpg highway
• Three Model Options:o CXo CXLo CXS
• Two Engine Options:o 200 hp 3.8L V6 (CXS)o 240 hp 3.6L V6
Source: http://www.autonews.com/article/20040209/SUB/402090795
41Proprietary and Confidential
Spending, Sales, and Media Mix• Buick launched and abandoned this model• From April to June launch gradually decreased
which caused sales to decrease by 2.085 units in May but then increase by 4,167 in June
• From July to August, sustain spending slightly increased then decreased causing sales to decrease by 5642 in August
Month Spending* Units
Apr. 05 $22,048,500 8,612
May 05 $16,905,400 6,527
Jun. 05 $9,126,000 10,694
Jul. 05 $4,679,800 13,327
Aug. 05 $6,182,100 7,685
Sept. 05 $3,870,000 7,871
Cable TV6%
Magazines16%
Natl Newsp8%
Network TV35%
Newspapers16%
Spot TV14%
Syndication2%
US Internet2%
Launch
Cable TV7%
Magazines14%
Natl Newsp1%
Network TV42%
Newspapers1%
Spot TV31%
Syndication1%
US Internet4%
Sustain
Launch and Sustain Spending: $62,811,800
(April-September)
• Cable TV: $3,900,900
• Magazines: $9,773,100
• Local Mags: $62,400
• Natl Newspapers: $4,120,900
• Newspaper: $7,747,300
• Hispanic Newspaper: $2,400
• Network TV: $23,167,900
• Spot TV: $11,344,100
• Syndication: $1,023,200
• US Internet: $1,619,200
Launch
Sustain
Sources: Polk and Excel Pivot Table *Includes Factory and Association
42Proprietary and Confidential
TV and Print Details
TVSpending: $39,436,100
Categories:• News, Leisure, and Sports
PrintSpending: $21,706,100
Categories:• News, Leisure, and Sports
Creative
• 360 holistic campaign• Both print and TV aspects feature
Tiger Woods as the new spokesperson
• Luxury feel to the campaign as Tiger Woods is dressed in a suit driving the Lacrosse/posing next to the vehicle
Sources: Kantar and YouTube
43Proprietary and Confidential
Insights
• 2005 Lacrosse compared with a well equipped Lexus ESo In 2005 Buick shifted it’s campaign focus to quality and long-term dependability o Buick ranks 2nd in long-term dependability behind Lexus
www.welovebuicks.com/news/5-15-2005.html
• 2009 Lacrosse: “Take A Look At Me Now” tagline transforms to “The New Class Of World Class”o Introduced in June and then changed in Septembero Represents the Lacrosse going “upscale”o “A luxury sedan that legitimately competes with Lexus, Acura and BMW”
• New target market 2009: late boomers aged 46-55 (10 years younger than current Buick buyers)
o Slightly different target than 2005 Buick Lacrosse campaign: 40-59
• Creatives:o In 2005, Buick decided to focus their campaign around their new spokesperson Tiger Woods but in 2009, they
shifted their campaign focus to accentuate the redesigned features of the vehicleo More money spent on TV than print in 2005 but then in 2009 Buick decided to spend more money on print than
TV
• 2009: “EX your Lexus”: use of direct competitors in billboards to attract attention to Buick billboards, which received coverage by various auto blogs and advertising websiteso Continued focus on directly competing with Lexus
Sources: Kantar and
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Executive Summary
45Proprietary and Confidential
Executive Summary
Photos: www.bing.com/autos/research
Toyota Avalon
Overall Campaign Goals:2005: make the Avalon more powerful, more stylish, and larger
2000: design the Avalon as a more powerful, roomier, and more technologically advanced vehicle
Buick Lucerne/Lesabre
Overall Campaign Goals:2005: offer a quieter, safer and more stylish vehicle
2000: to attract younger, more family-oriented buyers
Buick Lacrosse
Overall Campaign Goals:2009: attract a new target market that is 10 yrs younger than current target market (late boomers)
2005: focus on quality and long term dependability
46Proprietary and Confidential
Appendix
47Proprietary and Confidential
Insights
• Feel of Lexus without status symbol: Toyota aiming for more of a luxury appealo Promoting the high quality of Toyota vehicleso Vehicle embodies the luxury appeal of a Lexus without the high price
• Toyota seems to be targeting a more youthful-boomer consumero Use of established but stimulating magazines and TV programso Mindset of “even though you’re a boomer, you don’t have to drive like one”
• Toyota was executing a brand campaign while launching the 2000 Toyota Avalon to increase brand opinion while drawing attention to the newly redesigned vehicle
• Seems like they are trying to attract more women consumers to their brandbased on their sponsorship of Glamour Magazine’s “Women Of The Year Awards”and Oprah’s “Live Your Best Life tour
48Proprietary and Confidential
Spending and Unit Sales
+
Launch Spending: $36,257,900
% Change: +98%
• There was a 98% increase in spending from pre-launch to launch and an 79% decrease in spending for launch to sustain which shows this model was launched and abandoned
• Launch spending from February to March decreased substantially by $22,258,400 and then slightly increased by $1,646,100
• Even with a major decrease in spending from February to March, launch sales continued to increase • Sustain sales stayed consistent from May to July and didn’t Decrease/increase compared with launch
sales
Pre-launch Launch Sustain
Nov. 04: $329,800 Feb. 05: $22,419,800 May 05: $2,627,600
Dec. 04: $225,200 Mar. 05: $3,500,000 Jun. 05: $2,231,200
Jan. 05: $46,800 Apr. 05: $5,118,500 Jun. 05: $2,231,200
Total: $601,800 Total: $ Total: $7,491,300
2005 Feb Mar Apr May Jun Jul Aug Sep Oct
Units 5,317 8,625 9,229 9,165 9,134 9,432 9,020 8,707 8,195
% Change: -79%
Sources: Polk and Auto News
Launch Sustain
49Proprietary and Confidential
Spending and Unit SalesLaunch Spending: $18,502,600
Pre-launch Launch Sustain
Aug. 99: $2,928,600 Nov. 99: $8,834,000 Feb. 00: $3,392,500
Sep. 99: $1,968,700 Dec. 99: $3,726,500 Mar 00: $2,071,600
Oct. 99: $5,968,200 Jan. 00: $5,942,100 Apr. 00: $ 3,583,600
Total: $10,865,500 Total: $18,502,600 Total: $9,047,700
% Change: +41% % Change: -51%
• Launched and abandoned• From November to December 1999, launch spending decreased by $5,107,500 and then increased in
January 2000 by $2,215,600• Sales increased from January to February 2000 by 847 vehicles and stayed pretty consistent throughout
the sustain of the vehicle
1999/2000 Nov Dec Jan Feb Mar Apr May Jun Jul
Units N/A N/A 8,177 9,024 9,942 9,329 9,608 8,904 3,396
Launch Sustain
*Unit sales not available for 1999*Sources: Polk and Auto News
50Proprietary and Confidential
OOH and Radio
http://www.theautochannel.com/news/2005/05/13/076229.html
Oprah’s “Live Your Best Life” tour• During launch of vehicle• Auto sponsor of event• Lauren Fix, “The Car Coach”
provided safe-driving and car-care tips to women using a Toyota vehicle as an example
• Sponsored Contest: winner received their own series of life-coaching seminars
XM Satellite Radio announced that the 2005 Toyota Avalon were available in dealerships on May 13, 2005 during the sustain of the vehicle
http://www.edmunds.com/car-safety/what-are-automakers-doing-for-women-part-ii-toyota-takes-an-american-approach.html
51Proprietary and Confidential
Buick Lucerne 2005
2005 Oct Nov Dec Jan Feb Mar Apr May JunUnits 285 2,724 5,812 6,107 7,327 8,690 6,998 7,311 10,690
Pre-launch Launch SustainJul. 05: $49,600 Oct. 05: $90,900 Jan. 06: $6,887,300Aug. 05: $126,300 Nov. 05: $10,557,000 Feb. 06: $18,390,400Sep. 05: $580,000 Dec. 05: $15,259,900 Mar. 06: $12,536,100Total: $755,900 Total: $25,907,800 Total: $37,813,800
52Proprietary and Confidential
2000 May Jun Jul Aug Sep Oct Nov Dec JanUnits 12,726 16,146 14,447 18,116 14,259 11,754 9,878 11,369 9,948
Pre-launch Launch SustainFeb. 00: $1,571,000 May 00: $11,023,000 Aug. 00: $494,400Mar. 00: $974,300 Jun. 00: $10,555,200 Sep. 00: $533,000Apr. 00: $5,453,100 Jul. 00: $1,413,000 Oct. 00: $3,747,600Total: $7,998,400 Total: $22,991,200 Total: $4,775,000
Buick LeSabre 2000
53Proprietary and Confidential
Launch Spending: Buick Lacrosse 2009Launch Spending: $28,241,700
Pre-launch Launch Sustain
Apr. 09: $1,583,400 Jul. 09: $2,586,700 Oct. 09: $23,664,400
May 09: $388,600 Aug. 09: $7,800,700 Nov. 09: $13,747,300
Jun. 09: $2,092,900 Sep. 09: $17,854,300 Dec. 09: $14,272,700
Total: $4,064,900 Total: $28,241,700 Total: $51,684,400
2009 Jul Aug Sep Oct Nov Dec Jan Feb Mar
Units 1,487 1,268 1,594 2,757 3,383 3,965 3,594 3,013 4,372
• Launch spending slowly gained momentum with an increase from July to August of $5,214,000 and an increase from August to September of $10,05,600
• From July to August launch sales slightly decreased by 219 units and then slightly increased in Septemberby 326 units• From the end of launch (Sept.) to the beginning of sustain (Oct.) spending increased by $5,810,100 and then decreased in November by $9,917,100• Sustain sales continuously increased from October to December
Launch Sustain
54Proprietary and Confidential
Buick Lacrosse 2005
2005 Apr May Jun Jul Aug Sep Oct Nov Dec
Units 8,612 6,527 10,694 13,327 7,685 7,871 5,161 6,720 6,790
Pre-launch Launch Sustain
Jan. 05: $9,918,900 Apr. 05: $25,939,300 Jul. 05: $5,145,700
Feb. 05: $20,159,000 May 05: $19,888,600 Aug. 05: $7,054,100
Mar. 05: $15,959,900 Jun. 05: $10,730,700 Sep. 05: $4,407,000
Total: $46,037,800 Total: $56,558,600 Total: $16,606,800
55Proprietary and Confidential
BUICK LaSabre and Buick Lacrosse 2005
– Please use the below templates for the previous launch models of Buick LaSabre and Buick Lacross 2005…
56Proprietary and Confidential
Spending, Sales, and Media Mix
57Proprietary and Confidential
TV and Print DetailsTV
Spending: $XX
Place logos
Categories
Spending: $XX
Place book covers
Categories
Creative
Place pictures and add a caption of basic description
58Proprietary and Confidential
TV Spending, Networks, and Insights
Launch TV Spending: $19,249,000
Popular Cable Networks Used:Insight: seems like they are targeting a more mature audience who enjoys watching the news but also keeps up with world/celeb events
Source: Kantar
59Proprietary and Confidential
Print-Toyota 2000
Launch Print Spending: $8,248,000
Popular Magazines Categories Used:• Business• Epicurean• Travel
Source: Kantar
Insight: target market was affluent males that enjoy leisure activities such as traveling and food tasting
60Proprietary and Confidential
OOH and Promotions
Princess Cruises:• Avalon vehicles displayed
on some of the ships
Hilton Hotels:• Teamed up with Toyota
to offer perks to Rewards Program members
www.adweek.com/news/advertising/saatchi-praises-avalon-41278
61Proprietary and Confidential
TV-Buick Lesabre 20002000 TV Spending: $37,090,300
Popular Networks Used:• TLC• USA• Golf• News Channels• HGTV• Bravo
The Sopranos:• Vehicle was featured in
episode 7 of season 4 which was titled “Watching Too Much Television”
• Owned by New Jersey State Assemblyman Ronald Zellman who is played by guest star Peter Riegert in the episode
• Quick glimpse of character’s license plate and Buick emblem
http://www.imcdb.org/vehicle_26402-Buick-LeSabre-2000.html
62Proprietary and Confidential
Print-Buick Lesabre 2000
2000 Print Spending: $3,703,400
Popular Magazine Used:• Golf World• AARP• O Magazine• Sports Illustrated• Time
Target Market: mature consumers from both sexes that have a variety of such as sports and world news
63Proprietary and Confidential
TV-Buick Lacrosse 2000
2005 TV Spending: $
Popular Networks Used:• Food Network• ESPN• ABC• A&E• Discovery Channel• CBS
http://adage.com/article/news/buick/105207/
http://trishield.com/buick-021705a-release.shtml
Desperate Housewives:• Exclusive sponsor of AOL’s weekly
recap of ABC’s hit series “Desperate Housewives”
• Shortened versions of Buick commercials played before each recap
• Product integration: Lacrosse featured on an episode
• Extension of TV series sponsorship
64Proprietary and Confidential
Print-Buick Lacrosse 2005
Total Print Spending: $34,623,700
Popular Magazines Used:• Time• Golf Digest• Food Network• Essence• Newsweek• Ebony
Target Market: multi-racial audience with an interest in current events and more sophisticated hobbies