In one of the recent article on “Honda Motors Co. recalls 21,700 Civics in U.S., Canada”, concerns and curiosity brought forth many discussions. Essentially the article talks about the extreme action Honda Motors Co. took in response to the standard safety issue it found on its prized vehicle, Civic.
Though the problem might not stand out as much on non-civic drivers, but it has aroused great impact on the branding of the Honda Civic’s image. The Civic has always been a symbol to the Honda . Though it’s fuel efficiency may not match that of a Toyota Prius and its performance may not match that of an Audi Q5, but it is just an in between car with a very stylish look. At times when I see a Honda car, Civic always pops into my head, but I was see a Civic, Honda’s name never really crossed my mind. Having such strong brand association, any details on Civic will greatly influence the image of Honda.
This recall action Honda took will probably damage Honda financially, but through that, Honda can protect its brand equity and also maintain customers’ perceived value for Civics.
I think this is a good trade off for Honda because of the significance as well as the value of the Civic image. Through Honda’s recall action, all negative word or mouth comments for Civics will be stopped on its track. Also because of the many adjustments, including this one, on the Civic, a new group of customers, the “Late Majorities”, will also be attracted into its market.