Why the drastic design change? The Surprising Reason for the Complete Revamp of Toyota’s New “”Crown/Prius
How to keep Crown going in the midst of the sedan slump?
There are two types of full model changes. The first is a “”keep concept”” that follows the conventional line, and the second is a “”concept change”” that even changes the character of the vehicle.
In the 20th century, when cars evolved rapidly, there were many concept changes. This is because the spaciousness of the cabin and acceleration performance have gone through a process of evolution and entered a period of stability, while the contents of the car, such as environmental performance and safety, have been enhanced.
For this reason, even when a full model change is implemented, the basic size and style of the body remain the same. This trend can be seen in Toyota’s Noah/Voxy and Nissan’s Serena, which have recently undergone full model changes.
Ride Height Agaeshige! The new off-road spec Crown is amazing!
Toyota’s New “”Crown”” Revamped in Crossover Style
However, the new Toyota Crown and the new Prius, which will be introduced in 2022, have undergone rare and drastic changes in vehicle concept and appearance. The two models shared a common problem: a sharp decline in sales.
In 1990, the Crown had the highest number of registrations in Japan, reaching 208,016 units; the average monthly volume was about 17,300 units, but in 2021 it will be about 1,800 units, due in part to the Corona disaster. Over the past 30 years, sales of the Crown have dropped to one-tenth of its previous level.
As for the Prius, the third-generation Prius had the highest number of registrations in Japan, with an average of 26,300 units per month in 2010, and 26,500 units in 2012 after the Great East Japan Earthquake. In 2021, the number of registered Prius cars will be approximately 5,000, which means that the number of registered Prius cars has decreased to one-fifth of its peak.
Now, let us consider the reasons for the decline in sales of Crown and Prius. First, for the Crown, there is the shrinkage of the sedan market.
Sedans were the best-selling category in Japan until around 1990, when the Crown was sold in the largest numbers, but since the mid-1990s, minivans such as the Toyota Estima, Honda Step Wagon, and Serena have been selling well.
Furthermore, in October 1998, the light car standard was changed to the same content as now, and 16 new light car models were launched by various companies at about the same time. As a result, the best-selling category has changed since 2000, with 39% of new cars sold in 2022 being minicars, while sedans/wagons/coupes accounted for only 7% of new cars sold.
As sedan sales declined, one option was to discontinue the Crown, as was done with the Toyota Mark X and Premio/Allion, but since the first generation model was launched in 1955, it was decided to keep it as a traditional model.
Instead, the category must be changed as the sedan market is shrinking. In addition, the previous Crown was sold mainly in the domestic market with limited production, and we wanted to sell the new model overseas as well, which is why we developed the new Crown into an SUV.
Moreover, there is a concern that sales will not increase with only one model, so multiple body types are available. Considering the demand for a changeover from a conventional model, we also developed a rear-wheel-drive sedan, which has a different drive system from that of the SUV.
The development of a sedan into an SUV will drastically change the design and character of the vehicle, but we wanted the users of the conventional model to inherit the new model to some extent, so the first phase of the new Crown is a crossover that combines a sedan and an SUV with trunk space in the rear. This model will serve as a bridge between the new and old Crowns.
However, the model with the most potential for sales will be the upcoming Crown Estate, which will also be equipped with a third row of seats to accommodate multiple passengers. Thus, the new Crown will survive by offering several SUVs in the best-selling category, including the Crown Sport.
Why the drastic design change? The Surprising Reason for the Complete Revamp of Toyota’s New “”Crown/Prius
What is the value of Prius other than being a hybrid-only car?
On the other hand, the reason why the Prius has been selling less is because hybrids have become the norm for the majority of Toyota vehicles.
Looking back at the spread of hybrids, around 2010, when the third-generation Prius became a big hit, Toyota hybrids were mainly some high-priced cars such as the Crown, SAI, and Harrier, but when the first-generation (predecessor) Aqua was launched in 2011, compact models began to increase, and now the minivan “” Hybrids are now available for the Sienta, Noah/Voxy, and the best-selling SUVs Yaris Cross and Corolla Cross.
Hybrids are no longer an uncommon feature, and the Prius’ value as a “”hybrid-only”” vehicle has diminished, resulting in lower sales.
Sporty new “”Prius”” model
After all, there was a way to discontinue the Prius, but the first-generation model was the world’s first mass-produced hybrid. Like the Crown, it is a traditional car with a high level of recognition, and it was decided to keep it.
The Prius is a hybrid-only vehicle, where fuel economy is important, and the appearance of the five-door hatchback with a reclined rear gate is also an important feature of the Prius, so losing this feature would make the Prius look less like a Prius.
Therefore, the new Prius further accentuates the appearance with the front window and the rear gate laid down, and has been developed into a 5-door coupe style to symbolize and refine the Prius-like features.
In addition to the 1.8-liter power unit, a powerful 2-liter unit was added to the 1.8-liter unit, increasing its dynamic performance and making it a hybrid specialty car.
In the WLTC mode fuel economy competition, the Yaris Hybrid X, which is compact and lightweight, is no match for the Yaris Hybrid X’s 36 km/L. Instead, we focused on the high instantaneous power of the motor drive and smooth and quiet acceleration, which are considered the characteristics of hybrids other than low fuel consumption.
One of the reasons for the creation of the new Crown is the lack of similar models in Toyota. The Crown Crossover is an SUV with a sedan body, so it is different from and does not overlap with the Harrier and RAV4, which use the same platform.
The same goes for the new Prius. Toyota today does not have a 5-door coupe-like vehicle with an overall height of 1430mm. Instead of being unsatisfactory in terms of ease of getting in and out of the car, the exterior looks sleek and cool.
In other words, the new Crown and the new Prius were commercialized because they fit into a “”vacant”” part of Toyota’s lineup and may attract customers that conventional Toyota cars could not attract. The two models have much in common.
What is interesting is the popularity of both cars. Normally, this can be determined by the number of registrations, but nowadays, delivery of new cars is delayed due to the shortage of semiconductors and other factors, so the data does not provide an accurate measure of popularity.
So I asked the dealers about the new Crown, and they replied as follows.
The new Crown has been a big hit with customers who have been reluctant to purchase a new model. However, with the new model, there is a tendency to hold off on purchases, and there are not so many customers for the conventional model.
Instead, customers who use SUVs such as the Harrier and RAV4 are paying attention. Mercedes-Benz, BMW, Audi, and others are also trading up, and customers who have never shown interest in Toyota vehicles, including Crown, are now showing interest.
In May 2020, Toyota shifted to a sales structure in which all dealerships in Japan handle all of its vehicles. Previously, only Toyota dealers handled the Crown, while the Harrier and Alphard were handled by Toyopet dealers, but now all cars can be purchased at any dealership.
This led to a shift to the Harrier and Alphard for the previous generation Crown, reducing the number of registrations, but the new model has conversely caused a shift from Harriers and RAV4s to Crowns.
The following is what a staff member at a dealership had to say about the reaction of Prius users.
The new Prius has increased the number of customers who value the cool exterior. This is why we are seeing customers switching from European cars, and we are seeing customers who are different from those who used to come to our dealerships.
For these new customers, powerful 2-liter engine cars are popular, but customers who are switching from conventional Prius cars say that a 1.8-liter engine is sufficient.
Yet the only 1.8-liter models available are the “”X”” for corporate customers and the “”U”” for KINTO (fixed-price car leasing) customers. I would like to see a full lineup of 1.8-liter engine vehicles that are less expensive.
We still don’t know the exact sales of the new Crown and the new Prius, but we are taking on the challenge of building new cars to survive.
Recently, all manufacturers have been discontinuing an increasing number of models, with sedans at the top of the list, but it seems that serious consideration of survival will create new avenues of activity.