[gjnnbagal]

Rebadged Maruti Ciaz To Replace Toyota Yaris, Launching soon

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As per our sources, As part of the rebadge exercise, Maruti Suzuki Ciaz will be supplied to Toyota, for it to be rebadged as a Toyota with minor changes to the front. It will act as a replacement to the Yaris and the launch will happen in the coming months. This will help in saving the production costs involved with the Yaris, and the Ciaz can be manufactured under one roof. The production of Yaris will be stopped in a couple of months.

(Pic credit GOT)
I hope Toyota gets the benefit of the popularity of MS Ciaz this time

[GTO]

Originally Posted by gjnnbagal

Rebadged Maruti Ciaz To Replace Toyota Yaris, Launching soon

The world's largest car manufacturer is reduced to cut-copy-paste in India. What a sorry state of affairs. But then, other than the Innova & Fortuner, Toyota has never really done anything impressive or noteworthy in India.

I have to just weep at the missed opportunities. If Toyota had brought the pick of their global portfolio here, they could have been a force to reckon with. But the wrong product choices stunted Toyota's growth prospects. See what Kia has done in 2 years with the Seltos, Sonet & Carnival. Imagine what Toyota India could've done in 25 years if they had launched world-class products in India!

The only brilliant thing Toyota has done is buy into Suzuki. The day isn't too far when it will have majority control. If you have deep pockets, why bother with working hard for market-share. Simply buy it!

[Mafia]

Is this the future strategy for all new Toyota launches? Not surprising though! Just like Honda, the Toyota products are somewhat overpriced in the Global markets. That may be what is prompting Toyota to rebadge instead of reengineering.

So disappointed!

Maruti Suzuki & Maruti Toyota, Maruti Ford next?

[ramki.grandhi]

I don't know where to start my rant but its freaking sad to see this news. And I don't think of any few good reasons why people keep buying these rebadged vehicles.

Actually, other way around would be helpful to end users. i.e. Maruti selling rebadged Innova, so that Toyota can sell more vehicles even in tier 2 cities with help of Maruti showrooms and service. But looks like Toyota India is interested to become as premium brand and produce only 25-50 lakh cars

[Axe77]

@GTO. You’ve pretty much summed up my key sentiments here.

I would add that even the Altis was reasonably successful at one time and its brand too was diluted (much like the Civic) over the years where it simply did not progress with the times and the growing expectations of Indian consumers in that segment (keep aside the crossover trend).

I still firmly believe that if they could bring the Altis as a well specced “proper” hybrid in under 28 lakh on road they would find themselves a unique foothold in the D segment sedans.

Toyota selling rebadged Marutis is the ultimate sign of their lethargy and lack of initiative in our market. I am curious to know how much a Glanza has fundamentally broadened the Baleno’s appeal. That will be instructive to predict how much difference a Toyota Ciaz would make.

[VKumar]

Maruti Suzuki is at the grassroot level, Hyundai a bit above. If there is a brand which has the brand pull / brand equity, and the capability of ruling all the segments right from the price level of 10 lac to 40 lac, it is Toyota IMO.

And they decide not to do it!

They have a nice set of products in international markets, and deep pockets to go and set up business anywhere, can't understand what's stopping them from launching a few more here.

One Marketing Pundit once said: "When you are a mass market brand, or anything lesser than 'premium or luxury category', better make sure that you are visible around. Your presence everywhere is your biggest marketing". With Indian and Korean brands rapidly pushing up the ladder, Toyota is taking a risk of getting caught with its pants down at this point now. Even Honda also felt invincible in 2010, look where they are heading now. If Toyota continues with same attitude, they will also be inviting the trouble in coming days.

Looks like they are happy selling the Innova and Fortuner at huge profits, along with the rebadged Maruti cars with no development cost. Ciaz is indeed a nice vehicle, but I wouldn't want to look at it with a 'T' logo.

Brand building was well taught in PGDM, brand dilution is being taught in real life by Toyota India

So manufacturers become success, some become case studies. Looks like Toyota, the world's largest manufacturer, is clear that they want to stay conservative, not only in design and performance; but also in terms of market success too!

People buy rebadged Maruti cars only because they want Toyota service, I have Urban Cruiser owners in my circle, and their purpose of buying Toyota was not the car, it was because they didn't want to visit the crowded Maruti service stations. Same will happen for Ciaz too. People will simply buy 'Toyota waali Ciaz (Ciaz from Toyota)', and not a 'Toyota Ciaz', that one word in the middle makes a difference of two worlds.

[CEF_Beasts]

Originally Posted by Axe77

I still firmly believe that if they could bring the Altis as a well specced “proper” hybrid in under 28 lakh on road they would find themselves a unique foothold in the D segment sedans.

That segment is dying, no point getting another sedan in that segment and see it die once again. Also with hybrid tech the Corolla will cost as much as the regular Camry (non-hybrid) which used to sell at ₹35Lakh.

What Toyota needs is a SUV in that price range to compete with the other 5 seater SUVs in that segment but if Toyota does that, they are worried their Innova and Fortuner sales will drop. So the issue is not that they don’t want to bring new cars, but that they are not able to move forward from the same Innova and Fortuner, because they don’t want to lose their cash cows.

Keeping this in mind they are now trying to tap the lower end of the segment, using MS rebadged cars. With the Glanza and Urban-Cruiser bringing in ~5000 units a month, it is exactly what numbers Toyota wanted! That is roughly 30-40% of their overall sales sometimes even 50%. So for them it is a success.

OT: Now considering Baleno was called Glanza (a Toyota product)
Vitara Brezza was called Urban Cruiser (again a Toyota product)
Ciaz could be called Vios (can’t be called Yaris now because it flopped badly)

[DicKy]

Almost as if Toyota is still sore over the Etios project failure, and is like, "Oh you guys like this?. Huh? Then have it, more, even more" and pushing down even more Marutis down our throats.

Absolutely pathetic for Toyota to do so. Sure, they had JVs in many places and badge engineering is not something new for them. But those projects atleast had their technical/production expertise in the products. This is just slapping a badge on with least effort. Ofcourse, they are trying to buy time till the jointly developed Creta rival and MPV is launched. But for how long can the excuse be used.

Even if they have written off the sub 15 lakhs market to rebadged Marutis, they could atleast launch some models above it. VAG is using the 2500/year import quota like anything and is atleast trying to cater to niche segments that appreciate their cars.

Even if they have the most diverse line-up in the entire planet, for some reason the Indian market doesn't deserve any of those. The Toyota tax not helping matters.

In a parallel universe, India would have been the first market to receive the Yaris Cross and Corolla Cross. They are so tailored for our market needs.

[hellmet]

While Toyota's at it, I'd have preferred a Toyota-badged S-Cross instead of the Ciaz.

[V.Narayan]

Despite having a very positive opinion of Toyota in general I am confused about this. As a strategy it makes perfect sense to capture a healthy slice of the 4th or 5th biggest auto market ie take over the market leader. But for us the poor customer what benefit does this re-badging bring. Better ASS? - Maruti is quite good to start with. Better cars with Toyota legendary reliability? - can't see how as it is exactly the same Maruti under the badge !?! Better price? -

If a customer was not inclined to buy a Maruti Ciaz in the first place, for whatever reason, then he is not likely to buy a Toyota badged Ciaz either. Oh sorry silly me. I forgot this was not about the customer to start with. This was about lazy Toyota wanting to take over a plump slice of the Indian market by changing the name plate.

[NICHE]

Even if Toyota wants to save costs and do a badge engineering why do they do it with such an old model. Ciaz is due for a generation change. They could have at least waited for the new generation Ciaz

[padmrajravi]

Yaris failed because of next segment pricing. Except for the additional airbags, Yaris' feature set and size belonged to Etios segment. But the pricing was City/Verna segment and it failed.

This will happen to any Toyota global offering if brought to India. I call it the Toyota quality premium. Because of that additional pricing, every Toyota global product will end up in the next segment(compared to what its featureset deserves) in the consumer mindset and Hyundai and Suzuki will kill it. India is a price conscious market and Toyota global products will only work in segment where competitors suffer a severe quality disadvantage. Innova succeeded because that segment only had Tata and Mahindra. And Toyota had a big quality advantage. Fortuner operates in a segment with no competition. In both these segments, Toyota will suffer the moment Hyundai-Kia enters them. In segments where Hyundai and Suzuki operates, Toyota quality angle do not work because even though no at Toyota levels, they offer quality better than the desi bad boys.

Toyota is using Suzuki as its cheap segment offering. I find this strategy sensible. Otherwise Toyota will have to start India specific or third world specific product development like Hyundai/Kia/Suzuki making compromises in Safety and quality.

[fhdowntheline]

I have a feeling that brands like Toyota and Honda are merely doing lip service to the market because of the geo-politico-economic stature and relationship of India and Japan. Hark back to the fiasco about TKML statements and the 'nudge' from Japan hq.

Otherwise their lack of interest in making attempts to grow in the India market is unfathomable. While an unknown Chinese brand succeeds inspite of unfavourable geo-political tensions, established and respected Japanese brands dont even try.

[ManneAtWheelz]

Originally Posted by GTO

The world's largest car manufacturer is reduced to cut-copy-paste in India. What a sorry state of affairs. But then, other than the Innova & Fortuner, Toyota has never really done anything impressive or noteworthy in India.

Are we here forgetting the past glory of what Toyota has done in India with Qualis?

[barefeetdriver]

Originally Posted by V.Narayan

.... But for us the poor customer what benefit does this re-badging bring. Better ASS? - Maruti is quite good to start with. Better cars with Toyota legendary reliability? - can't see how as it is exactly the same Maruti under the badge !?! Better price? -

Perhaps its Toyota's idea of rewarding their ASS network with more traffic and at the same time lightening the load on Maruti's ASS network, which tend to get pretty crowded. Optimal traffic at service centers should theoretically improve service provided.