Scion sales are down, brand image in flux
Click above for a high-res gallery of the 2008 Scion xB.
My older brother Brian drives a Scion xD. He's 39 years old, and probably considered anything but cool by 18-24 year-old standards. He bought his little xD because he was tired of filling up his AWD 2001 Chevy Astro conversion van, and he's gone from getting 12 mpg to about 30. While that's a big-time win for Scion sales, the brand's marketing arm has to cringe. Scion was built to be Toyota's youth-oriented brand, with cars that would finally bring younger buyers into the Toyota showroom. The early days of Scion were a boon, with 80% of Scion buyers having never shopped Toyota before. Young people were clamoring for the xB and tC, and 100-200k online shoppers flocked to the Scion site each month.
Only a year after the redesign of the xB and xD, the Scion site is seeing less than half the traffic. Overall, year over year sales fell for 17 strait months until March, when gas prices skyrocketed. Even then, sales were back down by June, which was the peak of high fuel prices. The problems began to surface when the redesigned Scions were little more than larger versions of their former selves. A larger xB became more attractive to the mother of two, while losing some of the edginess that made it a smash hit with teens and early-20-somethings.
Scion's leadership would like to turn the tide by creating a fourth member of the Scion family that exudes cool for under $20k. It could be an SUV or a hybrid, but Scion execs want it to be free from the grasps of the parent company. The current models also have to be refocused to once again attract the coveted 18-30 crowd. That's a tall order, and a lot of work for a brand that's only five years old.
Gallery: 2008 Scion xB
Gallery: 2008 Scion xD
[Source: Automotive News - Sub. Req.]
Reader Comments (Page 1 of 7)
azzo45 7:35PM (8/04/2008)
The Scion XB/ XD, the Honda Element, & the PT Cruiser debuted with all this hype about 18-24 demographic & rock solid research done at high schools & numerous colleges.
Who drives most of these vehicles? The authors 39 year old brother & a helluva lot of 55-65 "Empty Nesters"!!!
Nice to know the Japanese can goof up too!
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tankd0g 10:07AM (8/05/2008)
One thing they forgot about the 18-24 demographic, they hate being marketed too. Hence the Matrix it's the #1 choice of people with grey hair.
Dan 10:47PM (8/04/2008)
The 18-24 demographic (and no small part of the 24-30 for that matter) frankly should never have been shopping new cars in the first place.
That market existing at all was a symptom of an insane credit market where anyone with a pulse could get a huge low interest loan.
That's over and done with now. 18-24 year olds aren't jumping ship for hipper cars with a different badge, they're back to shopping the 6995 and under used car lots.
Vintage 11:34PM (8/04/2008)
Newsflash: Young people don't buy new cars. New cars cost a lot of money and depreciate rapidly, so buying any car new doesn't make any sense, and can only be done if you feel like wasting a lot of money.
Polly Prissy Pants 10:12AM (8/05/2008)
"One thing they forgot about the 18-24 demographic, they hate being marketed too."
Heh, good one. Yea, that demo is too busy being unique by wearing their AE jeans, Abercrombie shirts, drinking their Red Bull and listening to their iPods to be marketed to.
jamie 10:57AM (8/05/2008)
Toyota
Rule One:
Don't mess with success!
icetraxx 7:35PM (8/04/2008)
Since when did young people ever think Scion was "cool"? I'm 20 btw.
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zamafir 7:39PM (8/04/2008)
x2, 25 now, far younger when the brand first came out. The only people i know with their cars are moms in their late 30s and early 40s.
BRIAN 8:03PM (8/04/2008)
When did 20 become young? I'm 2 and a half and I hate the new Scions.
Torrent 7:41PM (8/04/2008)
Ever since Toyota created Scion did they think it would answer to the youth. Actually, the average tC buyer is around 35. Sad, IMO.
The xB: 36
xA: 30
But the scariest part is the overall average age for Scion buyers is 40. Freaky.
BTW I kinda like the new Xb. It's very unique. and it has to be one of the roomiest cars I've ever sat in. I'd never buy one, but it's a great car.
Farris 8:38PM (8/04/2008)
Torrent, if the average age of tC buyers is 35, xB is 36 and xA is 30, how is the total average 40?
Are they really selling that many xDs to WAY older people?
500 10:10PM (8/04/2008)
Torrent, I'm not particularly a fan of Scion, but keep in mind the average Toyota buyer is over 50. So if Scion's buyers average 35-40, they are drawing a significantly younger demographic.
Torrent 10:45PM (8/04/2008)
to Farris: I never said anything about xD's
to BRIAN:WTF
to 500: that makes sense.
Brandon 2:32AM (8/05/2008)
Torrent,
What Farris meant was that, in your argument, you said
average tC buyer is around 35, The xB, 36, and xA, 30. But you came to conclusion that average Scion buyer is 40. So, in order to have average of 40, we need xD with way more sales figure with very old average buyers.
Torrent 4:37AM (8/05/2008)
Yeah, well JD Power gives you all the info.
Seminole 9:23AM (8/05/2008)
Torrent and everyone,
Keep in mind that most kids don't have any means to buy their first cars. All those teenage girls driving tC's got them from their daddies. So when someone calculates the average age based off sales receipts it shows the buyer as the 45 year old dad, not the 17 year old girl. That is the inherent problem with the average age calculations. They only take into account who bought the car, not who is actually driving it.
Flashpoint 7:36PM (8/04/2008)
When I pass scion xB on the road, I can't help but laugh. Their only cool car is the tC. Other than that, these cheapo cars are nothing more than sub compacts for small people.
Scion is going to stay just like Kia. Its gonna be the low end hand me down of the parent company for a long time.
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flychinook 1:07AM (8/05/2008)
For small people? You obviously never sat in the first xB, it remains one of the roomiest cars I've ever sat in. Especially rare for under $20K.
Had it not been so underpowered, I would own one now.
mehugtree 10:29AM (8/05/2008)
the 1st gen xB is huge inside. I'm 6ft and can drive it wearing a top hat.
I know, I tried it.
And the materials inside are way nicer than just about anything in it's price range.
Shaft 7:38PM (8/04/2008)
The redesigned xB is the old xB without the cool. It's bigger where it doesn't matter, the gas mileage is worse, the edgy styling is softened, the awesome seating is gone. It's lost much of its love it or hate it style. It's now just a lame SUV. It became conventional.
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