1. 10 STEP
Marketing Plan for
HONDA Cars Philippines
1

2. 5 Steps for Part 1
(PTM & Positioning)
 PTM: Up and coming Class A and B
 NEW: Want value for money and at the same time want
elegance and prestige – there are no Honda PUVs!
 Competitors: Can choose Toyota or other car
manufacturers
 Gap: Other car makes may be used as PUV, Honda is
exclusively for Private use only
 3C’s: Php144.6B Market!

3. 5 Steps for Part 2
(Marketing Mix & Strategy)
 Product: Cars and SUVs
 Price: Varies on model of vehicle, but usually more
expensive or the same as their Toyota counterparts
 Promo: Uses print and some TV ads –also ties up with
other promos with car prizes, race teams
 Place: Available in dealers nationwide
 Uses a differentiation strategy, with their designs and
exclusivity of being for Private only

4. Positioning to the
Primary Target Market
Part 1:
Steps 1 to 5
4

5. 1. Honda PTM are the Up and Coming Class A
&B
• Demographics: 30-50 yrs old, M/F, social class AB, single
and married
• Lifestyle: working class, established with work and has
buying power, fairly successful, wants value for money
and prestige in what they drive
• Behavior: replaces car every 5 to 7 years, monthly
amortization of 15 to 20K, good ride, efficient fuel
consumption

6. Self acceptance, “I am a
success in my own right”
I feel “made” and confident
In my nice car
I belong to the higher
classes who can afford
Safe from the
hazards of commuting

7. 2. My PTM’s NWE
Class A and B need…
To be safe from the hazards of commuting, belong socially, be
confident, self actualization and acceptance
Honda over Toyota or other makes because…
“Power of dreams (Honda tagline)” –dream fulfilled, the look
and feel of the car, the efficient fuel consumption, price,
credibility & image of the company, the exclusivity of Honda for
private use only

8. 2. My PTM’s NWE (cont’d…)
Expectations are…
A luxury item and increased convenience when traveling, above
average fuel efficiency, a good ride, an image booster

9. 3a. Honda Competitors
• Direct: Toyota, Mitsubishi, Mazda, Ford, Nissan
• Indirect: Motorcycles, improved or promises of
improved mass transit, investment opportunities
(business, real estate, etc.)
• Variables: Price, income bracket, vehicle type
(compact sedan, sedan, SUV, UV, van, pick-up truck,
etc.), aesthetics, car features, fuel consumption,
brand

10. Honda is the Clear Number 2 in Sedan and
Compact vehicles, next only to Toyota
Price vs. Vehicle type need
Price / vehicle Compact Sedan UV SUV
type
High price
Ford
Medium price Toyota Mazda
Mitsu
Honda Nissan
Low price

11. Honda’s Unique Positioning is Shown in This
Competitive Map
Positioning vs. Brand Matrix
Honda Toyota Mitsu Nissan Mazda Ford
SUV
UV
Pick-up Truck
Sedan
Compact
Van
Hybrid
Private Only
Vehicle types are only those offered here in the
Philippines

12. 4. Honda Banks on its Image and Reputation
Honda is the only brand…
• Which is exclusively for private only
• Which gives owners the feeling of class, elegance,
and prestige (most especially in the lower priced
compact cars and sedans –others are seen as PUVs,
but not Honda!)
No other manufacturer has a similar position. Others
sacrifice this image by allowing their vehicles to be
PUVs in exchange of higher sales

13. 5a. Based on LTO Data, there are 156K New
Cars, SUV, & UV in 2008!
Source: http://www.lto.gov.ph/Stats2008/no_of_registered_MV_typeMode_LTO2008_2.pdf

14. 5b. Based on Assumption of Vehicle Prices
using Market Knowledge, it’s a P144.6B Market
Breakdown:
49K new cars
26K new SUV
81K new UV
Assuming Php750K per car, Php1.5M SUV, Php850K per UV –
that’s a Php144.6B Market!

15. 6a. In Sedans, Honda has 5 Major Direct
Competitors
Honda Toyota Mitsu Nissan Mazda Ford
Compact
Sedan
SUV

16. 6a. Indirect Competitors vary from Real Estate
to Business Ventures
Business Condominiums
Real estate
Bank Investments

17. 6b. Product Description
• Honda usually flaunt stylish curves and sleek interior
designs. Their engines are often considered as one of
the more powerful in the Asian car manufacturers
industry
• Honda caters to the compact car, Sedan, and SUV
(actually mini-SUV) market
• In each offering above, they offer several variances –
ranging from engine displacement, transmission type
(MT/AT), and other features

18. 7. Honda is Priced Higher by 41% than
the Cheapest Make
In the Sedan type, lowest prices offered are as follows:
•Honda Civic 1.8V: Php858K
•Toyota Altis 1.6E: Php784K
•Mitsubishi Lancer 1.6GLX: Php685K
•Nissan Sentra 1.3GX: Php610K
•Mazda 3 1.6S: Php860K
•Ford Focus Style 1.8: Php779K
Honda is usually more expensive, but gives value for money with
the engine displacement and features they have – in the
cheapest variant, Honda has power everything (windows, side
mirrors, steering, etc.)

19. 8a. Promo
Proposal: billboard ads
along main
thoroughfares such
as EDSA

20. 8a. Promo
Proposed: Direct mail
To their PTM!

21. 8a. Promo
Proposed: More TV
commercials on
programs watched
by PTM –news
programs, car
enthusiast shows,
feature shows, etc.

22. 8a. Promo
Proposed: testimonials
from bankable
celebrities who exude
“class” and “prestige”
-- offhand: Piolo, Sam,
Jericho, Dingdong,
John Lloyd
(Clear shampoo
chose well!)

23. 8a. Promo
Print ads in top 3
Broadsheets –placed
In sections read by
PTM (special feature,
sports, business, etc.)

24. 8a. Promo
Honda currently has
their own racing team,
further showing that
their engine
technology can
compete with the best

25. 8a. Promo
Honda has a clean-
looking website which
banners their latest
car models and other
news briefs

26. 8b. Competitor promo
Toyota has sales
Promotions every
now and then

27. 8b. Competitor promo
They also place print
ads in major
broadsheets
(and so does the
other makes)

28. 8b. Competitor promo
Toyota maintains an
uncluttered site,
which banners their
latest sales promo

29. 8b. Competitor promo
Toyota also has TVCs,
just like Honda and
some other car makes

30. 8b. Competitor promo
They also have a
racing team!

31. 8b. Competitor promo
The primary competitor, Toyota, is practically doing what
Honda has been doing and more (bigger sales promos).
The only disadvantage Toyota has in the Class A and
(upper) B market is that Toyota is used as PUVs and might
turn off potential buyers.

32. 9. Honda has Dealers nationwide in Key
Luzvismin Areas
– Honda has 26 dealers nationwide, with 10 in NCR,
9 in Luzon, 4 in Visayas, and 3 in Mindanao
– Cars are ordered and may be delivered at your
home or picked up at the dealer
– Mode of payment may vary from a mix of credit
card (for down/partial payment), cash or financing

33. 10. Honda is Different
Honda’s main strategy is to target up and coming class A &
B through differentiation by offering a product that
cannot be associated with PUVs (despite their price range
competing with some PUV-affordable models)
It benefits from the global marketing machinery used by
Honda (F1, ads over cable channel, etc.)
Has premium priced, excellent product available
nationwide

34. SUMMARY
34

35. 5 Steps for Part 1
(PTM & Positioning)
 PTM: Up and coming Class A and B
 NEW: Want value for money and at the same time want
elegance and prestige – there are no Honda PUVs!
 Competitors: Can choose Toyota or other car
manufacturers
 Gap: Other car makes may be used as PUV, Honda is
exclusively for Private use only
 3C’s: Php144.6B Market!

36. 5 Steps for Part 2
(Marketing Mix & Strategy)
 Product: Cars and SUVs
 Price: Varies on model of vehicle, but usually more
expensive or the same as their Toyota counterparts
 Promo: Uses print and some TV ads –also ties up with
other promos with car prizes, race teams
 Place: Available in dealers nationwide
 Uses a differentiation strategy, with their designs and
exclusivity of being for Private only