Sunday, October 25, 2009

Toyota 'Camry’ Challenge Hyundai Motor



‘New car effect’ will shake up the auto market


Toyota Motor officially released four models including the Camry and Prius. I think Toyota cars are still more expensive than those of Hyundai and Kia, but consumers may find stronger appeal once the price gap narrows.
As Toyota officially launched on the local market with lower price than anticipated, domestic imported car market is expected to be changed. Toyota Korea had a presentation of the new four models including Toyota brand debut and Camry with the employees of Japan headquarters at Grand Hyatt Seoul on 20th.

The Camry is priced at 34.9 million won, the hybrid version of the Camry at 45.9 million won, the Prius at 37.9 million won, and the RAV4 2WD at 32.1 million won (34.9 million won 4WD), respectively, according to industry estimates. This price is down from the expected 30-50 million-won range and is competitive even compared with domestic companies. The company aims to sell a total of 500 vehicles a month this year and 700 a month in 2010.

The Camry is likely to threat its competitors, the Honda Accord and the Nissan Altima and impact on the top-of-the-line models, Sonata and Grandeur.

In particular, medium sedan called the Camry is to be released with a low price tag of 34.9 million won. The Camry is cheaper than its rivaling models such as Honda Accord 2.4 (35.9 million won) and Nissan Altima 2.5 (36.9 million won). The Camry has an integral navigation system, rear camera, sunroof, and air bag for protecting knees. With the additional options, the Camry is more competitive. The price which is mid-priced between Hyundai’s Grandeur TG 2.7 and Sonata is expected to absorb the needs for domestic cars.

The hybrid electric car Prius is priced at 37.9 million won, from the expected over 40 million won. The Prius with its 29.2 kilometers per liter fuel economy boasts higher fuel efficiency than any other vehicle available in Korea and is popular in Japan.

The urban type SUV RAV4 is about 20 million won less expensive than Honda CR-V (36.9 million won 4WD, 33.9 million won 2WD) so the Prius is cost competitive. As RAV4
is mid-priced between Hyundai’s SUV Santa Fe and Tucson ix just as the Camry it is expected to be matched domestic cars as well as imported cars.

Toyota has the five places dealerships total including three places in Seoul (Gangnam, Seocho, Yongsan) and Bundang, Busan. Toyota is planning to open more dealerships in Daejun and Gwangju next year for the consumer’s convenience.

Toyota vice president Yukitoshi Funo who came to Korea for the launch ceremony said, “We decided to launch the Toyota brands to meet the diverse needs of Korean consumers in growing Korean market,” “We will contribute to Korean society and work hard to be loved by Korean consumers”.


*Here is a related article. Click this to read the artice.







1 comment:

  1. Honestly, I hope that this improves the local market. Competition is necessary. The cars that I've looked at in Korea have been underwhelming and overpriced.

    I really like Toyota cars. I used to drive a Camary and it was one of my favorite cars.

    What do you think?

    Dan

    ReplyDelete

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