SWOT Analysis of the 2018 Toyota Camry
Customers are the driving force of any organizational success. The modern business environment has become complex in terms of customer demands therefore creating need for improved customer attraction and retention strategies. Customer attraction and retention is highly influenced by business marketing, which in turn calls for effective market planning. A marketing plan is a business document that features descriptive details of advertising and marketing efforts of a particular product for the following year (Info Entrepreneur, n.d.). A superior marketing plan governs an organization’s growth and survival in the modern volatile business environment. Business experts point out that the modern consumer’s purchase patterns largely depend on subjectivity, contrary to the traditional consumption which was governed by objectivity. A good marketing plan enhances a business’ customer reach and communication. Marketing plans contain segments such as the target market, situational analysis, company positioning and SWOT analysis. This paper focuses on the situational analysis and SWOT analysis of the 2018 Toyota Camry.
There are various approaches employed in gathering information about changes in market conditions, products and companies. Situation analysis, which is one of the strategies of data collection, provides an insight on the condition of both internal and external market environments of certain organizations and/products (Rahman, n.d.). Toyota’s internal environment has played a crucial role to enable it stay on top of the game in terms of productivity, quality and efficiency. A combination of the highly competent management team and the production team, which is strictly committed to efficiency and effectiveness, is behind Toyota’s successful operations. To fully understand the situation analysis of a given company or product, a SWOT analysis is conducted. The SWOT analysis is a tool that determines internal strengths and weaknesses and external opportunities and strengths of a given product (Rahman, n.d.). For instance, the SWOT analysis of the 2018 Toyota Camry will consider questions like what are the advantages of the Camry? What are the flaws of the model? What does the future hold for the model? What can harm the Camry? or What can be improved or eliminated?
SWOT Analysis of the 2018 Toyota Camry
The Toyota Camry has had a long-standing distinction as a competent, well-rounded family sedan. The 2018 Toyota Camry comes with an improved fuel economy of overall 32 mpg. The car targets younger working class ranging between ages 25-40. The car’s price ranges between $26, 364 – $28,949 (LinkedIn Corporation, 2018).
- Toyota is a trusted brand in the automobile industry worldwide. Since its inception, the company has demonstrated relentless commitment to quality, safety and efficiency. The new Toyota Camry will undoubtedly earn customers’ trust.
- Toyota Camry has already gained prominence on the market especially the midsized sedan category. The Camry Hybrid was launched in 2006 and has since then enjoyed a positive reception in the USA, Australia, and Asian markets.
- Improved fuel consumption of 32 mpg overall. The new model is also lighter in weight compared to the previous brand.
- Convenient features of a luxury car including airbags and quiet cabin
- The company also has an effective marketing mix of 4Ps including outstanding print ad and TVC campaigns which enhanced the brand image (LinkedIn Corporation, 2018).
- The Camry’s initial cost is high
- Since Toyota is a foreign company, the Camry can experience less consumer loyalty in the US and Australia.
- The 2018 Camry has a tight headroom
- Compared to other models in the midsize sedan segment like the accord hybrid, the 2018 Camry has a slightly lower performance
- The car cannot attract middle income consumers due to its price (LinkedIn Corporation, 2018)
- With the escalating fuel costs worldwide, driving a big car has become more expensive. Today’s consumers prefer smaller cars with fuel efficient engines (Rahman, n.d.). The 2018 Camry, which is a midsized sedan with efficient fuel consumption, has an upper hand in the market.
- For the last 5 years, the worldwide economy has suffered a crisis. This has consequently lowered the buying power of customers therefore suffocating the demand for big cars due to high costs. Customers therefore prefer to buy smaller cars.
- Due to climate change and global warming, environment awareness has greatly gained prominence through the advocacy for environmental protection. Customers are increasingly buying environmental friendly cars that emit less carbon dioxide like the Camry.
- Camry’s target markets especially Australia and America tend to have smaller families therefore creating opportunities for smaller cars.
- Due to environmental issues, governments have started implementing policies that heavily tax big cars, giving smaller cars like the Camry an advantage.
- Consumer adaptation to the hybrid technology is still slow. Some customers feel adversely towards the hybrid technology (LinkedIn Corporation, 2018)
- The midsized sedan is one of the highly populated segments with various brands manufacturing numerous models. This gives the 2018 Camry stiff competition from models such as the Honda Accord, the Ford Fusion and the Chevrolet Malibu.
- The Camry is perceived as a “hippie” car therefore repelling some buyers
- There are models in the same market segments offering same or improved features at relatively lower prices.
Rahman, S. (n.d.). Marketing Strategy of Toyota Motor Corporation (TMC). Academia. Retrieved from https://www.academia.edu/13175662/Marketing_Strategy_of_Toyota_Motor_Corporation_TMC_
LinkedIn Corporation. (2018). SWOT Analysis. Toyota Camry Hybrid. Retrieved from https://www.slideshare.net/lollie85/toyota-camry-hybrid
Info Entrepreneurs. (n.d.). Write a Marketing Plan. http://www.infoentrepreneurs.org/en/guides/write-a-marketing-plan/