Customer loyalty and Toyota
There have been 8 million Toyota vehicles recalled. There are car manufacturer meetings, government meetings, blog entries, and water-cooler discussions, yet brand loyalty has not dropped as much as expected. The Consumer Reports 2010 Car Brand Survey shows Toyota only down by 10% with Honda now in the lead.
Depending on which survey you read, it is difficult to discern if Chevrolet and Ford have surpassed Toyota or still lag behind in sales. According to Edmunds.com, a popular automotive network newsletter where you can also buy and sell new and used cars, Ford increased 35% this past month. Snowstorms in the Northeast kept many buyers out of the showrooms in February, so the numbers may not be accurate.
So how are the Toyota representatives putting the giant back together again? After all, Toyota has had the most complaints about rogue gas pedal car acceleration over a 5 year period, and 52 people have died in sudden acceleration crashes in Toyota vehicles since the year 2000. Jim Lentz, President and Chief Operating Officer of Toyota Motor Sales stated, “We’re committed to doing everything we can – as fast as we can- to restore consumer trust in Toyota, and these recalls are part of this effort.” Toyota has promised more stringent quality control, more investigations into customer complaints, and a quicker response time when identifying safety issues, and has apologized to consumers and loyal customers repeatedly. Car dealerships have staff working 24/7 to repair and replace parts, and local and national television commercials have been launched reiterating customer loyalty.
Bob Carter, group vice president and general manager of Toyota Motor Sales, USA stated, “We launched this program to expand the focus on our customers, and thank them for their loyalty by adding value to our products.” And with that promise, Toyota introduced new financing programs and incentives offering 0% financing on popular models, low lease rates, and complimentary 2 year premium maintenance programs.
It will be interesting to follow Toyota’s rise and fall; will they be able to regain their giant market share and their once stellar reputation as a car manufacturer that provided reliability, durability, and safety? It’s not over yet; the hypersensitive press and public are waiting.
photo credit: ThreadedThoughts
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Kathy Clark said:
Mar 15, 10 at 1:14 pmI agree it will be a very interesting case study as Toyota tries to recover from this nightmare.
Barb said:
Mar 30, 10 at 9:50 pmI’ve been driving the same Toyota Rav4 since 1998. It only has 34,000 mile on it, because I walk to work. I maintain my vehicle well and keep my car from extreme weather conditions.
Although Toyota is currently going through a very “trying” time, to say the least, I hope this company keeps focused on moving forward and doesn’t waste time looking back. I’ve always had quality service from the Toyota Service Department I frequent for my oil changes, and if I’m ever in the market again to purchase another vehicle, it will ONLY be a Toyota! Keep up your good work and remain true to your products and customers!