Posts Tagged ‘Toyota Europe’

Toyota Pulled Out Its Account in Saatchi

Rain Stockton asked:


Toyota the producer of Toyota Tacoma parts has pulled out its £50m UK advertising business from Saatchi & Saatchi and transfers it to CHI & Partners. The Japanese automaker is Saatchi’s second-biggest global account next to Procter & Gamble with $2.5bn advertising expense per year with UK as its only biggest European market.

It was already expected that CHI which has sold 49.9 percent of its stake to WPP earlier this year will be given the majority of the UK business. CHI has been working out to get the Toyota account since 2004 when it was appointed to handle the launching of the Aygo model across Europe. And since then the agency has been given pan-European briefs for the Corolla and the Yaris.

It is also CHI that handles the promotion of Toyota’s luxury brand Lexus across Europe. However for this year the only UK project that it has won was Toyota’s tactical advertising business.

The news of Toyota’s transfer of its ad account came at the time when Saatchi is struggling find a new UK chief executive that could replace Lee Daley, who left Saatchi to join the Manchester United as commercial director last March. According to source familiar with the issue, Saatchi’s EMEA, Asia, and Latin America Chief Executive Jim O’Mahony who has been heading the search for Daley’s replacement could now be given the responsibility for the UK agency in addition to his other duties.

The decision of Toyota to move the majority of its UK account out of Saatchi follows the changes in the company’s senior team starting last year. Toyota’s former European marketing director Jon Williams has moved to Toyota GB as commercial director earlier this year in replacement of Paul Philpott who also left to join Kia UK as managing director. Similarly, Toyota GB’s long-serving managing director Graham Smith has also left to take on a new role in Toyota Europe last year.

A source close to WPP said that the company’s chief executive Sir Martin Sorrell has been keeping track of Toyota’s business for a couple of years now and the presence of CHI in the Japanese automaker’s roster was one of the primary reasons why he bought the stake in the agency.

But industry experts think that the Toyota news will not sit well with its rival automaker Ford that happens to be one of WPP’s biggest clients. Publicist-owned ZenithOptimedia is handling Toyota’s media planning and buying.

CHI founding partner Johnny Hornby refutes reports claiming that the agency has won the UK account and instead stated that the agency will take a more prominent role in Europe and also possibly in the US. He added, “As we understand it, it’s business as usual in the UK and we haven’t won the business in Europe or America, as much as we¹d love to one day.”

Toyota GB Marketing Director Mark Hall also said that they are still working with both Saatchi and CHI—at the moment there would be no changes.



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South African-made Toyota Corollas Head to Europe

Kaye Leery asked:


The South African subsidiary of motor company Toyota is expected to export its locally produced Toyota Corollas from Durban to Europe starting next year. This is a move set to build up the economy of KwaZulu-Natal.

The decision was taken after a meeting on Wednesday in Tokyo, Japan between the provincial government and Toyota representatives.

The vice chairperson of Toyota Motor Corporation, Katsuhiro Nakagawa said that Toyota South Africa would produce Corollas specifically to be exported to Europe. The statement was made at the meeting with KwaZulu-Natal Premier Sbu Ndebele.

In his statement, Mr. Nakagawa announced that almost 50 engineers had already been sent to South Africa to help with the manufacturing of the vehicles. He said that Toyota is determined to produce more vehicles in South Africa for exportation to other countries which is vital for South Africa’s economy.

Furthermore, he said that they also wanted an increased presence in Japanese automotive parts suppliers in South Africa since the country was considered to be the gateway to the rest of the continent. According to him, they want to make their South African plant more competitive compared to Toyota plants in other countries.

He acknowledged that the training of workers would be necessary to achieve, in a bid to ensure the competitiveness of their South African plant. He uttered that if they train more workers, more automotive parts supplier companies will go to South Africa.

He also explained that they planned to put up a Toyota Training School in South Africa, which would benefit the company’s employees and create a much needed skills base for growth.

The production of the latest model of the Toyota Corolla in South Africa is well in process and will be launched in August this year.

In his speech, Mr. Nakagawa further said that they are trying hard to introduce new models of Toyota to be produced is South Africa as well.

Premier Ndebele appreciated the assurance shown by the company to South Africa, particularly to KwaZulu-Natal. He said that they appreciate the new investment of more than R4 billion at the plant at Prospecton in Durban. But he would also like to see Toyota producing other automotive components in KwaZulu-Natal.

Mr. Ndebele said that they would welcome and highly appreciate the development of an Automotive Supplier Park in the province as it is important to accelerate training of the current and future workforce.

He added that training is needed all the time for the market elsewhere.

Toyota Motor Corporation is the world’s leading automaker. Maker of quality Toyota tonneau covers, the car company has held its reputation as an excellent manufacturer since its first year of existence.



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