Toyota's Hybrid is Hip with Customers

Toyota's Hybrid is Hip with Customers

Answer to Question No. 1

The basic aim of the whole production and marketing system is to provide customers with goods and services that satisfy their needs. Production and marketing both provide five different utilities for consumers. These utilities include place, time, form, task, and possession utility. Marketing usually provides time, possession, and place utility (Hsu et al, 2013). First I will define these utilities and then will apply in Toyota.

When a company produces something tangible for consumers then it is fulfilling the form utility. Toyota is fulfilling this utility by producing Prius and other latest models. Toyota has advanced production systems for fulfilling this utility. Consumers get task utility when a company or organization performs certain tasks for them. Toyota also provides this utility to its consumers. Toyota fulfills this utility by providing repair and maintenance services for the Prius model. Toyota has authorized dealers throughout the leading markets of the world to provide this task utility (Hsu et al, 2013).

When a company provides the product or service when and where the consumers need it, then the firm is fulfilling the time and place utility respectively. Toyota has a unique way of providing these two utilities. Toyota's supply chain of finished goods is very effective. Toyota provides its models in almost all parts of the world. This reduces the concerns about not fulfilling the time and place utility (Hsu et al, 2013).

The last utility, possession utility is the process of transferring the ownership of a product to the customer. Toyota sells Prius and other models to fulfill this utility. The marketing professionals of Toyota first conduct the needs, wants, and demands of a particular product and then provide all the utilities accordingly. Toyota has a different target groups for its diversified range of products (Hsu et al, 2013).

Answer to Question No. 2

Toyota practice relationship marketing in three distinct ways in many parts of the world. Toyota knows the art of retaining and creating customers. The company has a unique way of practicing relationship marketing. Whenever a potential customer search information about the company's products (including Prius), then the firm provides each and every set of relative information. This helps the customers to get full of the product they want to buy. This availability of information makes the potential consumers confident about their decisions. Toyota uses online media, social media, 24 hours hotline services, and information desks at the dealers' shops (Audita, 2012). This makes the potential customers of Toyota get the information they need anytime anywhere.

Toyota also builds this relationship in another unique way. The company believes in maintaining long term positive relationships with customers. Toyota follows the philosophy of “customer first”. The relationship of customer with the company does not end after the sale of a car is executed. The sales representatives stay in constant touch with customers and gather information on the products. If the product is not performing well, then the representatives provide solutions to the problems ...