The issue of environment has been growing and become a trend in recent years. The public are more environmentally aware and has responsible for it. (Elliott, Rundle-Thiele & Waller, 2012) This could be proven by the growth of demand for the Prius model hybrid car internationally. By taking this opportunity, Toyota Company has decided to come out with a brand new Toyota Hybrid Camry which is the first Australian manufactured hybrid car.
(Elliott, Rundle-Thiele & Waller, 2012) With the advanced hybrid technology such as hybrid synergy drive, best fuel economy and lowest carbon emission, the car has been awarded 5-star green environmental rating from Australia government. (Elliott, Rundle-Thiele & Waller, 2012) Product classification In order to survive in the competitive automotive industry, it’s important for Toyota to understand the consumer behavior and implement a product classification strategy because it affecting the marketing decision making of both sellers and buyers.
(Adeoti, 2003) According to Elliott, Rundle-Thiele & Waller (2012), consumer product could be classified into four areas. Those are: (1) Shopping products This type of product involves shopping comparison on the features, quality, price and sustainability. (Adeoti, 2003) (2) Convenience products These items are inexpensive and frequently purchased. (Elliott, Rundle-Thiele & Waller, 2012) Consumer do not meant to compare the price and quality of the product. (Adeoti, 2003) (3) Specialty products This refers to goods that have their very special features that could attract consumer to put in considerable effort to reach the dealers coggan.
(Adeoti, 2003) (4) Unsought product. These are products where customer either know but does not think of buying it or they do not know the existent of it. (Adeoti, 2003) Further analyze the Toyota Hybrid Camry, it is actually classified under specialty products. This could be explaining by its very special features, electric and petrol power engine. Besides, potential buyers are willing to put in effort to look for the authorized dealers for further information. (Elliott, Rundle-Thiele & Waller, 2012) In addition, the first Hybrid Camry is relatively new product, thus it is non-substitutable.
Lastly, it actually generating high profit margin as the price of the car are the secondary considered factor to the customer. (Adeoti, 2003) Four levels of total product concept The hybrid cars are different from the others car mainly of their distinctive features. Every customer has different needs and wants, each of them evaluate the value distinctively. Total product concept can be used by customer to do the evaluation as it represents the bundle of benefits of the products. (Saleeth, 2010) Hybrid car has minimal fuel usage and very low carbon emission.
(Heutel,G & Muehlegger,E ,2010)The features fall under the first level of the concept which is core product. This is basic benefit to satisfy customer wants and differentiate hybrid car from the normal car which is expected from potential buyers as well. (Elliott, Rundle-Thiele & Waller, 2012) Secondly, the battery of Hybrid car is rechargeable in two ways, either by normal electric or the car’s gasoline engine. (Heutel,G & Muehlegger,E ,2010) This is one of the expected products which serve as additional attributes to the core products.
( Maryraab, 2009) Next, extended warranty of the hybrid car is the example of augmented product, as well as the smaller and efficient engine. (Heutel,G & Muehlegger,E ,2010) Buyers do not expect that warranty are included in the price of the car, it is the additional benefits given to increase value of it. (Maryraab, 2009) Lastly, the potential product. It included the augmented and expected products that undergo development to provide greater improvement in the future. (Maryraab, 2009) The improvement could be done on hybrid car might be the lighter battery with greater power storage or even lower cost of production.