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A Tale Of A Lost Brand: Has Scion Become Toyota's Jaguar?
When Scion burst on to the scene back in 2003 Toyota provided the world with a truly unique concept. Take any model and add all of the custom accessories you want and craft your own unique ride. Cookie cutter cars the scourge of the industry were “out”, and individuality was “in”, Generation Y finally had a chance to express themselves.

So how is that concept panning out? Not quite as well as we would like to expect I guess. Rather sales of the novel concept initially were promising, they have consistently dwindled to merely a trickle for such a mainstream make.

While the xA is now history, the incoming xD has railed to gain momentum and combined sales are down a startling 42.8% for the year. The story with the xB is not much better down 33% for 2006. The best performer of the bunch the sporty tC by contrast is down only 17.7% for 2007.


A Tale Of A Lost Brand: Has Scion Become Toyota's Jaguar?



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00Vegas00Vegas - 10/12/2007 3:58:51 PM
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Unfortunately the only car with any "appeal" is the tc. The xb is kind of cool from a VW Minibus remix type of feel. As for the rest... What Generation Y wants to roll around a 4 door grocery cart? Stupid idea. If you want to appeal to youth, provide them with the mistakes youth make... Go for style over substance... Toyota's are always reliable vehicles... Grab some crap out of the parts bin but wrap it in the body of something that looks more exotic... In the end, kids don't care about reliability, and substance... they want something that looks cool and goes reasonably fast...

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DaHarderDaHarder - 10/12/2007 4:10:34 PM
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I personally resent the tC, not only for its 'brick on wheels' looks, but for the fact that Toyota killed the Celica to make room for this rolling atrocity.

As for the other two, the new xB is a disaster, but the xD has a certain appeal.

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HyundaiHyundai - 10/12/2007 9:43:30 PM
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+ 1,000,000,000

And then what, 2-3 years later, Toyota instates a committee to create "interesting cars" and bring back the likes of the Celica? Sounds like fixing up a major screw-up to me.


DaHarderDaHarder - 10/12/2007 4:21:44 PM
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Additionally:

What's with the headline, and how does it make any sense what-so-ever, or did you simply feel the need to make (yet anther) stab at Jaguar?

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Agent009Agent009 - 10/12/2007 4:37:57 PMView My AgentSpace
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Jaguar has become synonymous with dismal sales performance in the US


bmwdrvrbmwdrvr - 10/13/2007 9:22:47 AM
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isuzu would have been a good one


S4cabriofoxoneS4cabriofoxone - 10/13/2007 9:56:57 PMView My AgentSpace
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LOL, yes, I agree! Isuzu has, what, 2 dealers?

Jaguar still makes some beautiful cars (XJ and XK). This was just unnecessary. I know some Jag fans will find it offensive.


cdokecdoke - 10/15/2007 12:13:57 AMView My AgentSpace
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I don't know if I find it offensive. Unessassary perhaps, but not really offensive- when I think of a comparison I think of Mercury. I've said before that I felt Scion was...irrelevent in a way, and really that it was just a fad.


cdokecdoke - 10/15/2007 12:16:17 AMView My AgentSpace
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In addition, in the end I am secure enough with my things and my position in life that I truly don't care what other people have to say about it. I know the truth that is the product.


r_driver04r_driver04 - 10/12/2007 5:08:11 PM
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Man some people will post anything. This worse than the news at ten o'clock.

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tundrahqtundrahq - 10/12/2007 5:15:01 PMView My AgentSpace
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Scion's mission isn't really about sales. The cars were brought out to solve a major problem for Toyota - back in 2004, Toyota's average customer was the oldest in the industry at about 45. This older customer base is great for short-term sales, but hurts the brand's long-term value because younger customers are turned off by a "stodgy, old person's car". SO, Scion was created to pull Gen Y into the fold. It's been a moderate success in this department.

Additionally, Scion was designed to test a new vehicle marketing model (customization) as well as a new pricing model (fixed price). Both of these concepts have been moderately successful.

Finally, Scion isn't really about sales volume - it never has been. Toyota's goal is to keep the cars exclusive and intriguing - they want to limit them to the "trend-setters" of Gen Y. Unfortunately for Toyota, their strategy of limited production and sales has ultimately worked to their detriment, as other brands have scooped up customers not interested in waiting months for a specific car (like people often did when buying a Scion back when they were really hot).

As far as the particular models go, the tC is/was a good seller, but in my opinion it lacks "heart". For the same money as a nice tC, one could buy a much sportier Acura RSX. The xB/xD are gimmicks, and the xA was supposed to be the car that parents bought teens, but no one wanted a 1.6L that seemed so small as to be unsafe.

Overall, I think Toyota greatly mismanaged the Scion brand. They had an opportunity to grab an entirely new (and large) group of customers and keep them in the Toyota family for the next fifty years, but instead they decided they didn't "need" high volumes (in order to preserve exclusivity). Ultimately, they've strangled Scion themselves.

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DaHarderDaHarder - 10/12/2007 5:27:24 PM
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The Acura RSX i.e. Civic+ hasn't been available since the 2006 model year... Hmmm?


RupertRupert - 10/13/2007 7:19:06 AMView My AgentSpace
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A 1.6 is too small???

Americans are so funny...


bmwdrvrbmwdrvr - 10/13/2007 9:23:53 AM
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not sure what one poster has to do with all americans, but ok.


DaHarderDaHarder - 10/13/2007 2:33:26 PM
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An intelligently engineered 1600cc engine can provide plenty of power for a small vehicle.

Heck it wasn't too long ago when 1.6l was the standard for the Civic/Corolla/etc. set.

I swear, when will this gluttony for displacement/horsepower end?


kart1kart1 - 10/13/2007 2:49:38 PM
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Actually the engine size was 1.5L, which is small. Sorry Rupert but we'd like to get to 60 faster than 15 seconds.


kart1kart1 - 10/13/2007 2:49:58 PM
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;)


RupertRupert - 10/13/2007 6:37:35 PMView My AgentSpace
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Daharder - In Europe a 1.4 is the standard (the base engine at least) for the Civic/Corolla/Golf Class.
That is a bit underpowered, but if you're only doing city work, it's fine.
A 1.6 is also a perfectly acceptable engine. A 1.6 Golf does 0-60 in 10.5 seconds, so not too slow.
And a 1.4 Renault Megane (A golf-sized car) does 0-60 in 12 seconds. Not sparkling performance, and sure, for faster overtaking a bit of gear work is needed, but for regular application, it's fine.


S4cabriofoxoneS4cabriofoxone - 10/13/2007 9:58:09 PMView My AgentSpace
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"A 1.6 is also a perfectly acceptable engine. A 1.6 Golf does 0-60 in 10.5 seconds, so not too slow."

But why get that when you could get a Golf TwinCharger that's faster and probably gets better mileage?


RupertRupert - 10/14/2007 5:39:58 PMView My AgentSpace
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Because the twin charger costs 4000 dollars more.


chewychewy - 10/12/2007 5:59:33 PMView My AgentSpace
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Initial hype was too much for a car that is nothing but an econobox. The ad budget is probably only 1/10 this time around. Xb ads were all over the TV, I have only seen 1 for the new one.

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1970toyotamarc1970toyotamarc - 10/12/2007 6:46:54 PM
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009, interesting analysis, but your data is a misrepresentation.

First, yes, sales of the xB were down moderately last month, around 10%. Now this could be attributable to a buying public not so into the new larger style. But I dont think so. Toyota clearly stated early this year (prior to the release of the new models) that they were not going to produce as many this year, that sales had gotten too high for the brand to sustain its mission. I dont know how to research this, (perhaps 009 in your infinite wisdom can), but how many days' supply do dealers have on hand? My guess is that the number will be quite low.

Second, the tC's sales are probably the biggest disppointment, not the biggest success. The tC is down about 18% this year, with no model changeover to explain it. What does explain it is the natural cycle of sporty and other specialty cars selling less in the latter half of their model runs. I believe you will agree that most makes suffer this problem. (mini, 7 series, beetle, celica). After all, we're not talking Camr or Accord here. These kinds of cars ebb and flow.

Finally, I believe that the xD is going to be a hit based on early returns. Your analysis shows that sales are lower than the previous xA. However, the xD has only reported one month's worth of sales. Last year the xA sold a lowly 26000 through this point in the year. If this month is any indication, the xD is on target to beat that easily.

You cant look at just the yearly percentages being down as indicative of sales, because both the xB and xA/xD went months between 2007 and 2008 models, dealers had few on hand for 2-3 months for each vehicle.

Looking at just September gives a more accurate picture. Scion was only moderately down in September. Despite being only the first month for the xD, Scion sold over 13239 vehicles last month (down from 16195 last Sep), most of which can be attributed to the expected lower sales of the aging tC. But this still more cars sold than Audi, Infiniti, Lincoln, Hummer, Jaguar, Land Rover, Mercury, mini, Mitsubishi, Porsche, Saab, Suzuki and Volvo. (Okay, one would assume Porsche wont sell as much, but you get my point. They sold more than Mercury!!) Scion is still on a pace to sell 150,000 vehicles, right about where they should be with three niche vehicles. I think the only trend you will see with Scion this year is a more even distribution of sales amongst three now strong cars, as opposed to only two last year.

and there's my two cents worth. thanks for the topic, 009.

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aznstuartaznstuart - 10/12/2007 10:34:34 PM
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That's because Toyota offers virtually the same cars. The tC is a Corolla w/o two doors. The xB is a Matrix. The xD is a clone of the Yaris.

Why doesnt Toyota just spice up its own Corolla, Matrix, and Yaris lines and make them sportier instead of starting a whole new brand to do that. That's what Honda has basically done with the Fit and Civic.

Scion has no where to go. Pretty soon the base price for a Scion will be above $15,000 which will hardly be the bargain it started out as. And Toyota isn't going to keep the cars the same size each consecutive generation. They're going to add an inch here and there and pretty soon the Scion xH (or w/e letter) will be the size of a Toyota Sienna. And the tC will be a Camry coupe.

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JUGNUJUGNU - 10/13/2007 3:05:21 AMView My AgentSpace
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aznstuart

Scion xA sells as Toyota xA outside America and Scion xB is a Dhaitsu Meteria.

all scion models (rebadged) sells really good in other markets.

I mean sales is not an issue.Overall all these models sell well.

JUGNU

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kart1kart1 - 10/13/2007 2:55:22 PM
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I would not expect the Scion division to do very well because of its limited market. Scion's main goal is to sell cars to 21-35 year olds and that's it (A lot of people in this division don't have money because they are stupid, paying college loans, etc.). This limited scope means that there will be a limited people visiting the showrooms, thus resulting in lower sales.

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Homer008Homer008 - 10/14/2007 1:09:16 PM
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Scion is another shining example of how Toyota knows how to comeout victorious in a toughest market place in car industry which are compact cars, mid-size family sedans and trucks.


XYZZXYZZ - 10/16/2007 4:10:53 AM
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this is a stupid analysis.

EVERY YEAR there are new young drivers. while it may take a few years before they earn enuff to buy a NEW car, many will have their parents buy them one.




deepwaterdeepwater - 10/14/2007 1:40:31 PM
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Scion is a typical sample where the old people (designers) would create cars/brand for young people.

The good excercise is Mini. Much "younger" and fresh than Scion. (Where is the Scion vice president at the moment? At Ford)
http://www.automotive.com/features/90/auto-news/31762/index.html

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