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Innovative Hybrid Marketing Campaign Launches Toyota's Clean Car for the Future

21 July 2000

Unprecedented On-line Demand Fuels Initial Prius Sales
            

    TORRANCE, Calif. - The much-anticipated U.S. launch of Prius, Toyota's 
revolutionary gasoline/electric hybrid car, is underway with the unveiling of an 
innovative marketing campaign spearheaded by Toyota Motor Sales U.S.A., along 
with Saatchi & Saatchi of Los Angeles and Oasis Advertising of New York.

    The teams have created a unique and fully integrated media plan.
Broadcast and print advertising combined with interactive, outdoor and
lifestyle marketing are fully synthesized within a campaign that strives to
intrigue the buyer to make the intelligent choice, without compromising
comfort, convenience or performance.

    The campaign theme, " PRIUS / genius", is not only reflective of the new
technology, but of the creative web-based marketing approach.

    The inherent challenge of marketing new technology to a new audience led
TMS marketing to utilize a unique tactic.  For nearly two years, the campaign
has revolved around developing a dialogue with interested consumers.  This
resulted in a pool of over 40,000 interested consumers or "handraisers" in
industry speak.

    These prospects were given early access to the Prius microsite and its 
special order feature.

    Even before arriving in showrooms across the country, nearly 1,800 of the
revolutionary Toyota Prius have been sold via on-line purchase requests.
Toyota dealers started placing U.S. orders for the world's first mass-produced
gasoline/electric hybrid vehicle on June 30, 2000.  The site officially opened
to the public on July 14.

     "Prius enthusiasts have been following the development and availability
of this new technology for more than two years," said Steve Sturm, vice
president of marketing for TMS.  "We wanted to reward the enthusiastic
reception for Prius among these early intenders by offering them the first
opportunity to submit an on-line purchase request."

    All orders will be finalized by dealerships on a first come/first serve
basis, with initial deliveries arriving in August.

    In order for consumers to evaluate the Prius for an extended length of
time, not just a short test-drive, 100 percent of the initial build will be
allocated to a special dealer rental program.  Interested consumers will be
able to drive a Prius for up to one full day.  This special demo program will
begin in mid-July with the arrival of Prius at over 900 participating dealers.

    Built for the future, Prius is the world's first mass-produced vehicle to
use a combination of electric and gasoline power to boost fuel efficiency and
dramatically lower exhaust emissions.  In addition to complying with all
current clean air regulations, Prius also meets California's strict Super
Ultra Low Emissions Vehicle (SULEV) standards.  With a SULEV certification,
Prius is 90 percent cleaner than any car on the road today.

    Toyota engineers are just as concerned about the air inside Prius as they
are with the outside atmosphere.  The sedan is so conscious of air quality
that it won't even have an ashtray.

    To coincide with Prius's summer introduction, interior comfort is enhanced
by a layered air conditioning system that encompasses upper and lower tiers of
circulation for maximum efficiency.  And, when the car is stopped under normal
driving conditions, the engine is turned off and the air conditioner
compressor typically ceases operation, further reducing fuel consumption.

    A stylish, roomy four-door five-passenger sedan, Prius requires no
charging stations, nor any change in consumer driving habits.  With more than
35,000 already on the road in Japan, the Prius is a commercial success.
Prius, with such standard features as ABS brakes, air conditioning, power
windows and AM/FM cassette stereo system, arrives in U.S. showrooms starting
mid-July and is priced at $19, 995 MSRP.  The price also includes an
eight-year/100,000 - mile battery and hybrid system warranty, plus a free
seven-day/24-hour roadside assistance.

                       Prius Campaign Launch Highlights

    Broadcast Advertising
    --  : 30 and: 15 commercials beginning July 31 communicate innovation in
        technology and the benefits for the environment and the consumer.

    Print Advertising
    --  Three print ads starting in mid July behind the "PRIUS / genius" theme
        will have a strong presence in consumer magazines and newspapers.  Key
        categories include: business/finance, environmental,
        technology/computer, thought leaders and automotive enthusiast
        publications.

    Outdoor Advertising
    --  Seven outdoor postings start in August.  Locations include: Los
        Angeles, San Francisco, New York, New Jersey, and Chicago.

    Interactive Advertising & Marketing
    --  Banner and button advertising begins in August on search engines and
        automotive sites.
    --  High impact positioning of vertical placement ads and sponsorships on
        news/business, technology, finance, health, environmental and women
        web sites.
    --  :15 video ads will run on USA Today on-line and excite@home
    --  E-commercials sent to approximately 40,000 Prius "handraisers."  Email
        will display the :15 "Applause" (Monkey) TV spot and allow for a
        "viral marketing" effect as recipients forward the email to others.
    --  A Prius Microsite -- launched in April of 1999 and updated in June.
    --  "Handraisers" and dealers given early access to fill out an on-line
        "purchase request" form, which places an order for a 2001 Prius.  July
        14th this feature becomes available to the public.

    Lifestyle and Sponsorship marketing
    --  Sponsor and official pace car of the American Lung Association's Big
        Ride Across America
    --  Vehicle displays and sponsorships include Nabisco Golf Championship,
        Gravity Games, Skins Games, and technology trade shows (COMDEX and
        CES.)
    --  Special gift given to buyers during the "wait period" between order
        submission and vehicle delivery.