The Marketing of Our Environment: Hybrid Automobiles

Presented by: Erika Reddell, Thuy Tran and Tim Zittle

Introduction:

For years Americans have driven gasoline powered vehicles, dealing with rising gas prices. Finally, the future has come and Automobiles not only need less gas but are also kinder to the environment. Yes, Hybrids are the way of the future and Americans have shown that they are willing to help the environment as well as their pocket books. In the following presentation you will see how hybrids work, the influences that Americans have made on the appearance of Hybrids, the benefits of buying a Hybrid, an overview of Hybrids statistics and the advertising that influence and target us to buy Hybrids. The advertising will be deconstructed and show the opinions and effects that the media has on American consumers.

How Hybrids Work:

.

• ACCELERATION - Uses battery to power electric motor to start car.

• BRAKING - Generator converts speed into electricity to charge battery. This is called Regenerative Braking.

• COASTING - After hitting about 20mph, gas engine takes over and charges battery while keeping up with traffic.

•PASSING - Both electric and gas power plants unite to pick up the speed without a glitch.

• AUTOMATIC START/SHUT OFF - Engine automatically shuts off when car stops and restarts when accelerator is pressed.

What Americans Want:

1999 Honda Insight2007 Ford Escape

Since the first Hybrid, Americans have voiced that they want:

• Power, speed and acceleration

• Affordability

• Attractiveness

• Fuel Efficiency

Americans love BIG cars and POWER. This has changed Hybrids from small futuristic cars to big attractive cars that Americans love with the added Hybrid benefits.

Many Americans are Buying Hybrids:

0

50000

100000

150000

200000

250000

300000

2000 2001 2002 2003 2004 2005 2006

Total # of US HybridRegistrations

Benefits to Owning a Hybrid:

• Tax Incentives and Legislative Packages

• Extended Power train warranties

• Fuel Efficiency

• Reducing Environment Issues and Oil Dependency

• Added Discounts on Insurance

• Carpool Lane Exemptions

2007 Hybrid’s at a Glance:

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

2007 Hybrids

Honda Civic

Honda Accord

Toyota Camry

ToyotaHighlanderToyota Prius

Ford Escape

0

10

20

30

40

50

60

70

City Town Combined

Honda Civic

Honda Accord

Toyota Camry

Toyota Highlander4WD

Toyota Prius

Ford Escape 4WD

0

1

2

3

4

5

6

Front-DriverFront-Passanger

Side-DriverSide Passanger

Rollover

Honda CivicHonda AccordToyta CamryToyota PriusFord Escape

Cost of Hybrids

Comparing Miles per GallonStar Crash Test Ratings* Those that were not rated are not shown on graph

$0 $1,000 $2,000 $3,000 $4,000

Ford Escape4WDToyota Prius

ToyotaHighlander 4WDToyota Camry

Honda Accord

Honda Civic

Energy Tax Credits*With tax credits, the high cost of buying a Hybrid is comparable to buying a traditional gas powered vehicle

Hybrid Companies:

*By using Billboards such as this one, reminds people while driving that they could be saving the environment. This is a powerful message to anyone, no matter how old they are.

By using billboards, magazines, internet, television, radio and product advertising Hybrid Companies have successfully:

•Achieved profit

•Maintained a steady pattern of increased sales

•Acquired capital for growth

• Expanded faster than any other business

Introduction to Ads :

The marketing companies use several forms of advertisements to get their message to the intended target, in our case people interested in higher fuel economy and environmental preservation. TV ads, Billboards, and magazine ads are the main sources for these ads. We have chosen to focus on the magazine ads because we are able to provide a visual reference for each. We will also be focusing on the less obvious points of the deconstructions because the ads are included. Our goal is to show a variety of approaches that these marketing companies will take, from fuel economy, conservation, humor, and even power.

Toyota Prius:

Toyota Prius Deconstruction:

What tools of persuasion are used? 

• The need to feel safe: Drive a Toyota Prius and we can still have car to drive in the future. Driving a non-hybrid car will consume too much oil which will leave nothing for future generations.

• The use of humor: Drive a Toyota Prius and the Sheikh will cry because he can no longer sell as much oil.

What healthy messages are communicated?

• Toyota Prius consumes very little gasoline. By driving it, we save gasoline and keep the air clean for future generations.

What unhealthy messages are communicated?  

• It’s obviously not true that we can drive the people who control the oil broke simply by driving the Toyota Prius.

What part of the story is not being told?  

• Toyota Prius still depends on gasoline. It’s just consuming less. The Sheikh still makes plenty of money from the oil he sells.

Ford Escape Hybrid:

Ford Escape Hybrid Deconstruction:

What tools of persuasion are used? 

• The need to feel good about yourself: Ford has built a more fuel-efficient SUV. SUV drivers like the size and space of their vehicles, but take a lot of criticism for wasting energy. By driving a Ford Escape Hybrid and you can drive the type of car you want, but still take care of the environment.

• The need to escape: When life becomes overwhelming, the Ford Escape Hybrid can take you to a secluded hill top where you can escape your normal day-to-day activities, and still get closer to nature without harming it.

• The use of humor: The use of a Kermit the Frog instead of a human being suggests that even an animal knows that it is easy to spare the air, so any human being should know better than that. The Ford Escape Hybrid is the SUV to choose.

What healthy messages are communicated?

• It is very easy to reduce the amount of CO2 emitted into the atmosphere; just drive a car that is more fuel-efficient and that is the Ford SUV Escape Hybrid.

Ford Escape Hybrid Deconstruction: (Continued)

What unhealthy messages are communicated?  

• That you can drive off road anywhere you want. When driving off of designated roads, a great deal of damage is done to plants and the landscape. This should never be done.

What part of the story is not being told?  

• 36 mpg is fuel-efficient for standard SUV’s, but it is nothing compared to other hybrid cars like the Toyota Prius or the Honda Civic Hybrid. At this rate, driving a Ford Escape Hybrid may not help tremendously to keep the air clean and the earth green.

Lexus GS450h:

Lexus GS450h Deconstruction:

What tools of persuasion are used? 

• The need to achieve: The Lexus can help you show that you are successful, but still sensitive. Driving a cleaner car for the environment while not giving up performance. Drive this car and you are powerful and intelligent.

• The need to dominate: Lexus GS450h is as powerful as many other V8 cars. It will give you the speed, performance, and luxury you need.

• The need for prominence: In as short as 5.2 seconds, everyone will realize that Lexus GS450h is different from other hybrid cars. It has an elegant design to satisfy demanding customers. Driving this car will give you the excellent performance Lexus has to offer while taking less oil from the earth’s limited supply.

What healthy messages are communicated?

• It’s possible to save the oil and the air without giving up on speed and luxury. Lexus has just proved it.

Lexus GS450h Deconstruction: (Continued)

What unhealthy messages are communicated?  

• Power and superiority aren’t usually common traits of people that are concerned about saving the earth.

What part of the story is not being told?  

• Lexus GS450h can’t achieve 60 mph in 5.2 seconds using the electric engine but the V6 gas engine with premium gasoline like any other non-hybrid cars. It may cost more to purchase a Lexus hybrid.

Honda Accord Hybrid:

Honda Accord Hybrid Deconstruction:

What tools of persuasion are used? 

• The need for aesthetic sensations: Honda Accord Hybrid is as beautiful and elegant as the surroundings themselves, and whoever buys it has a good aesthetic sense.

• The need to satisfy curiosity: Drive a Honda Accord Hybrid to find out why it is a living species; how it can treat boredom, dullness and road rage.

What healthy messages are communicated?

• Honda Accord Hybrid uses less gas and lives in harmony with nature.

What unhealthy messages are communicated?  

• That saving a couple of miles per gallon is all that needs to be done to become one with nature. The mileage is still below that of many gas only cars.

What part of the story is not being told?  

• It still depends on gas so it’s not completely nature-friendly.

Saturn Vue Greenline Hybrid:

Saturn Vue Greenline Hybrid Deconstruction:

What tools of persuasion are used? 

• The need to achieve: Saturn is smarter than other companies in designing their hybrid SUV at an affordable price. Driving a Saturn Vue can help you demonstrate how intelligent you are.

• The need to escape: Saturn is powerful enough to take you to remote areas like the creek in a quiet valley for a relaxing atmosphere.

What healthy messages are communicated?

• You don’t have to break your bank account to help spare the air. Buy a Saturn Vue Green Line Hybrid and you can have a powerful SUV that is cleaner for the air, better for the earth, and is very affordable.

What unhealthy messages are communicated?  

• Again, this is an example of telling people that it is okay to drive off of designated pathways for your own amusement.

What part of the story is not being told?  

• The EPA rating of 32 mpg of the Saturn Vue Green Line Hybrid is no longer the best highway gas mileage of any SUV. Ford Escape SUV Hybrid can achieve 36 mpg. Saturn Vue may be innovative but it’s not much different from other hybrid cars in that it still depends on gasoline.

Conclusion to Ads:

The consistent theme across all of these ads was fuel economy. Some touted fuel savings while still delivering the power and prestige some people really want. Others are focused on fuel economy only. Some use humor, while still others combine the great outdoors with environmental concerns such as a cleaner environment, helping to fight global warming, and preservation of natural resources. Although these cars won’t make a big impact by themselves, it’s a start. We have to start somewhere. Ribbit!

Conclusion:

In the Final analysis, we can see that Hybrids will keep changing to adapt to new generations. They will no doubt change shape, amenities, and engine types to appease the American consumer as they changed from the Honda Insight to the Ford Escape. As long as there is a demand for a better efficiency vehicle which we have seen to be the case, the automobile companies will work to make this possible. As well as changing physical aspects Hybrid companies will also change the way they advertise to gain the trust and attention of Americans to benefit the environment, Americans, and car companies. Many Americans have adopted this new found technology and who wouldn't with the attractiveness, amenities, tax incentives, reducing oil dependency and the benefit to the environment, America, and future generations. All in all it is safe to say that this is a step forward to a new and rewarding future.

Resources:Edmunds.com:http://www.edmunds.com/carreviews.html; http://www.edmunds.com/apps/vdpcontainers/do/ViewMarketCenter/category=market/attribute=hybrid

Fueleconomy.com:http://www.fueleconomy.gov/feg/hybrid_sbs.shtml; http://www.fueleconomy.gov/feg/tax_hybrid.shtml; http://www.fueleconomy.gov/feg/hybridtech.shtml

Star testing graph:http://www.nhtsa.dot.gov/cars/testing/ncap/Index2.cfm

Registration graph:http://www.theautochannel.com/news/2006/05/04/005589.html; http://www.detnews.com/2005/autosinsider/0504/26/autos-160848.htm;

Cnet.com:http://reviews.cnet.com/4520-10845_7-6212547-1.html?tag=feat.2

Marketing of Hybrid Vehicles - Hybrid Cars Honda Civic Hybrid - Ford Escape Hybrid - Honda Accord Hybrid Toyota Prius Hybrid - Buick Rendezvous<http://www.researchthisstuff.com/hybrid_vehicle_marketing_002.htm>

Hybrid Cars: The Slow Drive to Energy SecurityPrepared by the Institute for the Analysis of Global Security, January 13, 2005 <http://www.iags.org/n011504t1.htm>

GM, Honda pitted at the pump By Stephanie I. Cohen, MarketWatchLast Update: 12:13 PM ET May 12, 2005http://www.marketwatch.com

the Hybrid Company, Target Marketing, by Bernadette Tiernan http://www.business-plan.com/HybridCo.html

Pictures:http://www.sierraclub.org/energysummer/3cars/faq.asp; http://www.treehugger.com/files/2005/11/gallons_saved_t.php; http://www.soultek.com/clean_energy/hybrid_cars/hybrid_car_types/Honda_Insight_Hybrid.htm;

All printed ads:http://adsoftheworld.com/media/print/toyota_prius_sheikh?size=_originalMotor Trend magazine, May 2006 Vol. 58, No. 5 page 7 and 8. Motor Trend magazine, May 2006 Vol. 58, No. 5 page 101. Motor Trend magazine, November 2006 Vol. 58, No. 11 page 141 Car and Driver magazine, May 2006 Vol. 51, No. 11 page 81