University of Toronto Marketing Professor David Dunne writes in the Globe & Mail today that the Toyota brand will ride this out.
According to Professor Dunne, “while the crisis strikes at the heart of Toyota's brand promise, the company's management has handled the situation, if not perfectly, then reasonably well. It has assumed responsibility for the problem, pledged to fix it and appointed a task force to undertake a deeper investigation of the issues.”
He adds “look for Toyota's brand to recover, not instantly but, like some of its cars, faster than you expect.”
A survey published yesterday by Canadian Press/Harris Decima tends to support Dunne’s point of view.
The survey asked Canadians about the recall of Toyota vehicles.
Nine in ten Canadians have heard of the recall.
At this point in time, most say they hold a positive impression of the company, although one in five holds a negative impression. Quebec and B.C. residents, as well as more affluent Canadians tend to hold more positive views.
A majority feel the company has done at least a good job in handling the issue, with Quebec residents being most favourable in this regard.
In terms of how this may affect sales, just under one third of Canadians say this recall has made them at least a little less likely to purchase a Toyota in the future.
Fitting with their impression of how the company has responded, Quebec residents stand out as standing by the manufacturer more than residents from the rest of the country. For any subset of the population, the plurality is saying this recall has not yet had any effect on whether or not they would purchase a Toyota.
On the surface, the opinions expressed in this survey suggest that North American automakers may net out with a slight increase in market share as a result of Toyota’s recall.
26% of Canadians are saying this issue makes them more likely to buy North American next time. However, the majority does say this has no bearing on whether they would buy Toyota, another foreign brand or a North American brand in the future.
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Based on what you have read, seen or heard would you say Toyota has done a very good job, a good job, a poor job or a very poor job of handling this issue?
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