This is Honda Motor Company, Ltd. SWOT analysis. In such case, the company’s profits would decrease significantly. In 2016, Honda’s motorcycle revenue grew by only 5.4% in Asia, compared to 20.3% growth in North America region. Historically, new models have tended to have major upgrades every 4 or 5 years with only minor modifications in between. The company has sold 17,592 units of motorcycles and all-terrain vehicles in 2016 alone and captured 22.1% of the world’s motorcycle market in the first half of 2016. Percentage of Sales Revenue by Region. Learn more about how Statista can support your business. The trend of low fuel prices is likely to stay and Honda should introduce more models of pickup trucks and SUVs to take an advantage of the growing market for these vehicles and to increase company’s profitability. Honda is a huge company dominating in most of the markets it operates in, including engines and motorcycles. facts. Figure 2. More than 88% of Honda’s revenue come from international markets, which means that the company has to convert foreign currencies to Japanese Yen in order to calculate its revenues and send the profits back to Japan. 5685. The company’s first engines were built for motorcycles and power equipment, but were later produced for cars and marine vehicles. Ford: 7000. Ford SWOT analysis 2016. Over the years Honda Motor Co., Ltd. has redefined the ways of doing business in Consumer Goods. Honda may take advantage of this by introducing more car models running only Hydrogen fuel cells and bypassing all the government regulations associated with the greenhouse gas emissions. 6268. Supply Chain: … Production. Press release - HTF Market Intelligence Consulting Pvt. China car sales analysis 2019 – brands. In part, through creative marketing campaigns that generate engagement. The figures refer to Honda Group's 12-month results. How does Honda remain on top? Interest rates in the U.S. have been low for several years and are forecast to remain that way for the foreseeable future. Honda depends on North America region, which mainly includes the U.S. and Canada, to generate 55.6% of the company’s total revenue. With sales of 4.7 million cars, 17 million motorcycles and 6 million power products, Honda truly transcends boundaries. There are several marketing strategies like product/service innovation, marketing investment, customer experience etc. From that time, Honda has retained step with the desires of customers by announcing SUVs and vans along with cars. Please log in to access our additional functions, *Duration: 12 months, billed annually, single license, The ideal entry-level account for individual users. The brand has set a vision 2030 for itself which is going to guide its business strategy i… Available at: http://www.reliabilityindex.com/, Honda Invention (2016). Honda later moved to manufacturing motorcycles and has become the world’s largest motorcycles manufacturer in 1959.[2]. January 20, 2021 at 08:35 AM EST. 2. These countries, including others, are often subject to natural disasters that disrupt manufacturing processes and result in lower production volumes and profits. There are various kinds of marketing analysis methods proposed and presented by the authors. Please do not hesitate to contact me. His interest and studies in strategic management turned into SM Insight project, the No.1 source on the subject online. Hence market analysis is always very important part in order meet the goals of Honda Corporation in our case. Form 20-F for the Fiscal Year Ended March 31st, 2015. The Chinese car market has declined every single month in 2019, which means it has continued its losing streak to 18 consecutive months. Accessed February 23, 2021. https://www.statista.com/statistics/267276/worldwide-automobile-sales-of-honda/, Honda. World's Largest Engine Manufacturer. The company faces many new entrants in India and China, which offer similar quality motorcycles and scooters for lower price than Honda. Honda has brought several attractive product models to the market. Industry revenue of “Manufacture of trailers and bodies for motor vehicles“ in South Korea... Worldwide number of automobiles sold by Honda Group from FY 2002 to FY 2020 (in 1,000 units), Find your information in our database containing over 20,000 reports, Tools and Tutorials explained in our Media Centre, automobile market has been difficult in the United States. New, Figures and insights about the advertising and media world, Industry Outlook Honda’s global operations are divided into 6 administrative regions responsible for operating. With a revenue of US$25,975m, United States is expected to be … Honda Motor Co Ltds' competitors and its Market Share by Total segment - CSIMarket © 2013-2020 SM Insight. Marketing Mix of Honda analyses the brand/company which covers 4Ps (Product, Price, Place, Promotion) and explains the Honda marketing strategy. It has a huge presence in Japan, North America, Europe and Asia. Honda is the world’s largest engine manufacturer, which produced over 27 million units of engines for automotive, motorcycle, mari… Strong position in Asia’s motorcycle markets. Hybrid Vehicle Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026) The Hybrid Vehicle Market has been segmented by Type (Micro-hybrid, Mild-hybrid, Full-hybrid, and Plug-in hybrid), Vehicle Range (10 to 50 miles, 50 to 100 miles and greater than 100 miles) Vehicle Type (Passenger Cars and Commercial Vehicles) and Geography (North America, Europe, Asia … The analysis that is going to be presented in this report is how Honda succeeded to achieve its present market positiong and how it tackled various obstacles in terms of management or strategical policies & procedures. For faster growth Honda must focus upon technological innovation and invest in the latest technologies like AI, autonomous driving technology and digitalization. Honda offers many products to consumers including engines, cars, motorcycles, jets, robots, generators, lawnmowers, water pumps, as well as many other power equipment products. JPY Â¥14,601.1 billion (2016) 9.6% increase over JPY Â¥13,328.1 billion (2015), JPY Â¥406,358 billion (2016) 27.6% increase over JPY Â¥561,098 billion (2015). A financial analysis of Honda Motor Company Ltd is presented in the report which includes a ratio analysis, basic profit and loss analysis, presentation of … Available at: http://www.hondainvention.com.au, Interbrand (2016). Published Date: Mar, 2018 ; Base Year for Estimate: 2016; Report ID: GVR-2-68038-353-9; Format: Electronic (PDF) Historical Data: 2014 - 2016; Number of Pages: 42; Report Summary; Table of Contents; … Are you interested in testing our corporate solutions? It provides the industry overview with growth analysis and historical & futuristic … Honda’s market share totaled 8.74%, the first drop below 9% in the last five years. Value sales in the selected segment of the make Honda is projected to reach US$2,832m in 2021. Unit . [5] Honda is also the leading global manufacturer of motorcycles having 22.1% of the total market share in the first half of 2016. Currently the corporation endures to mark the Honda Accord and Honda Civic and further they also mark the Civic Fit, Hybrid, CR-V, Element and Pilot. Asia-Pacific region, which includes such countries as China, India, Vietnam, Thailand, the Philippines, Malaysia, Indonesia, Australia and Japan, is the largest motorcycle region in the world and Honda’s strong position in it is a powerful competitive advantage. $39 per month* Engines are the key to motor products and the company’s competence in manufacturing engines is a competitive advantage few rivals can match. Honda has manufacturing facilities in Japan, Thailand, China and Indonesia. Trim MSRP Invoice CarGurus Instant Market Value ; Si Coupe FWD with Summer Tires $25,400 $23,590 $24,738 Sport Hatchback FWD $22,750 $21,137 N/A … In addition, the company also deals with motor racing motorcycles and sells spare parts. Directly accessible data for 170 industries from 50 countries Honda is the world’s largest engine manufacturer, which produced over 27 million units of engines for automotive, motorcycle, marine, and power equipment products, in 2015.[3]. The company should focus its US$5.4 billion R&D investments to certain areas (like Hyundai does), which would erase company’s low R&D budget disadvantage and would result in innovative products. Honda operates in the worldwide market – with 134 production facilities in 28 countries and at 31 R&D facilities in 15 countries, about 167000 Honda employees and associates serve 23 million customers worldwide annually. Find the latest analyst research for Honda Motor Company, Ltd. Common Stock (HMC) at Nasdaq.com. Table 1: World’s top car manufacturers (2008) Group. Available at: http://www.volkswagenag.com/, General Motors Company (2016). Bart Demandt . In 1962, Honda started manufacturing automobiles and was the first company to launch a dedicated luxury brand, Acura, in 1986. It frequently happens that Honda is using a sort of mass selling to which some of organisations … Timing and frequency of new model releases. The benefit from using advertising media is mass selling-communicate with large numbers of potential customers at the same time. U.S. Motorcycle Market Size, Share & Trends Analysis Report By Product (Motorbike, Scooter, Mopeds), Competitive Landscape, And Segment Forecasts, 2018 - 2025. 8083. The company cannot control the currency exchange rates, therefore it is at risk, if Japanese Yen exchange rates would start to rise. General Motors: 9000. Asia is the main geographic segment for Honda’s motorcycle business, where the company has sold 15.1 million units or over 88.7% of its total motorcycles, generating Â¥1,107.6 billion in revenue. The Company is now the 8th largest auto manufacturer in the world. 4. Due to the way that develops markets are as of now stuffed, the industry is moving towards developing markets by building offices, R and D focus in these business sectors. (May 12, 2020). Overview and forecasts on trending topics, Key figures and rankings about brands and companies, Consumer insights and preferences in various industries, Detailed information about political and social topics, All key figures about regions and countries, Everything you need to know about Consumer Goods, Identify market potentials of the digital future, Technology Market Outlook Manufacturer Ratings. Over the years, the Company has ventured into many industries and is now manufacturing jets and robots. Dependence on North America to generate most of the revenue. Its engines are praised for their durability, easiness to start, quietness, fuel efficiency and reliability. Print. The company’s international rivals, such as Toyota, Ford, General Motors, Volkswagen and Hyundai, all have larger budgets and could use them to aggressively take market share from Honda. Volkswagen Group: 6000. Honda’s automotive business is also experiencing the slowing growth of the automotive markets and the increased competition from the new Chinese manufacturers. Honda. Unfortunately the scenario changed rapidly in March when the Covid19 spread across … Available at. 8926. (billed annually). Quick Analysis with our professional Research Service: Content Marketing & Information Design for your projects: Honda's fiscal year ends March 31. Form 10-K for the Fiscal Year Ended December 31st, 2015. While the cars generate the most revenue for Honda, its overall product portfolio is fairly diversified, when compared to Volkswagen, Toyota, General Motors, or Briggs and Stratton (in an engine industry). Porters Five Forces model is basically developed by … He's been using his knowledge on strategic management and swot analysis to analyze the businesses for the last 5 years. https://www.marketing91.com/marketing-strategy-of-honda-motors Be that as it may, the ROI out of these choices is yet to be promoted.. Related: SWOT analysis of Company Hyundai SWOT analysis of Company BMW. The company is the leading manufacturer of small, general purpose engines for commercial, rental industry, and consumer applications. Nonetheless, the U.S. and Canada are saturated markets and Honda will find it hard to maintain the same level of growth in these markets. The Lawn Pruning Machinery Market report is a valuable source of insightful data for business strategists. Then you can access your favorite statistics via the star in the header. Lawn Pruning Machinery Market 2021 Analysis by Top Manufacturers – Falcon, Craftsman, Oregon, Honda Motor, Kohler. Why Choose a Honda Engine? Honda is faced with an ever increased competition from the traditional automotive companies, the new players and saturation of its main markets. It ranked #28 in Forbes’ list of top regarded companies and #26 on its list of the World’s Most Valuable Brands. Update, Insights into the world's most important technology markets, Advertising & Media Outlook Available at: http://world.honda.com/investors/, Johnson, A. ", Honda, Worldwide number of automobiles sold by Honda Group from FY 2002 to FY 2020 (in 1,000 units) Statista, https://www.statista.com/statistics/267276/worldwide-automobile-sales-of-honda/ (last visited February 23, 2021), Worldwide number of automobiles sold by Honda Group from FY 2002 to FY 2020, Honda's research and development expenses 2017-2020, Honda's passenger car production worldwide 2013-2019, Honda's worldwide automobile sales 2002-2020, Global Honda automobile sales by region 2020, Honda Motor Company- vehicle sales in the United States by segment Q4 2019-Q4 2020, Honda's share of the U.S. car market Q1 2019 & 2020, Leading advertising categories in the U.S. in 2018, Advertising spending of selected automobile manufacturers in the U.S. 2019, Honda Motor's advertising spending in the U.S. 2007-2019, Car brand perception survey - United States 2020, U.S. consumer satisfaction: car & light vehicle brands 2020, Car quality: best brands as ranked by U.S. new car owners 2019, Most reliable car brands for safety according to U.S. car owners 2019, U.S. consumer satisfaction: Honda brands 2013-2019, Honda's vehicle sales in Canada Q4 2019 and Q4 2020, Honda car sales in the United Kingdom (UK) 2016-2019, U.S. vehicle sales - North American car brands December 2017-2018, Ford's vehicle sales in Canada - Q4 2019 & 2020, GM's vehicle sales in Canada - Q1 2019-Q4 2020, Nissan's vehicle sales in Canada Q4 2019 and Q4 2020, Audi's vehicle sales in Canada Q4 2019-Q4 2020, Passenger cars - sales in selected countries worldwide 2005-2019, Honda's share of the Canadian automobile market December 2018/2019, Number of luxury cars in premium segment sold in China 2011-2017 by brand, Mercedes A Class cars registered for the first time in Great Britain (UK) 2001-2019, Passenger car sales volume Hong Kong 2006-2016, VW Tiguan cars registered for the first time in Great Britain (UK) 2008-2019, Car flow through the Eagle's Nest and Sha Tin Heights Tunnel Hong Kong 2013-2019, Average daily transport flow through the Tate's Cairn Tunnel in Hong Kong 2013-2018, Brazil - share of people who have access to a car in 2017-2018, Italy: number of registered trucks in the region of Basilicata 2013-2018, Industry revenue of “Manufacture of trailers and bodies for motor vehicles“ in South Korea 2012-2024. Available at: http://www.forbes.com/powerful-brands/list/#tab:rank Accessed August 30th, 2016, Toyota Motor Corporation (2016). Ltd. - All-Terrain Vehicles (ATV) Market SWOT Analysis by Leading Key Players - Honda, Suzuki, John Deere, Yamaha - published on openPR.com Available at: http://www.toyota-global.com/investors, Volkswagen Group (2015). May 12, 2020. 1. Based on 2,718 listings. Then you will be able to mark statistics as favourites and use personal statistics alerts. Competence in engine manufacturing - company’s core product, Dominance in motorcycle and engine industries leading to a high brand awareness, Strong position in Asia’s motorcycle markets, Dependence on North America to generate most of the revenue, Low investments in research and development (R&D) leading to innovative products, Timing and frequency of new model releases, Low fuel prices are increasing the demand for pickup trucks and SUVs, Power product and other business (2.3% revenue), Honda World (2016). Register in seconds and access exclusive features. Ovidijus is the founder of SM Insight and the lead writer since 2013. It has also used a smart marketing strategy with focus upon creating a reliable image and trust among the customers.It uses both traditional and digital methods of promotion to promote its brand and products. Honda always highlighted that its core business is engines and all the products the company has ventured in is built around them. All rights reserved. Available at: http://www.gm.com/company/investors. One little ray of hope is that December 2019 showed the lowest rate of declines of the streak at -0,9%, and all the double digit losses were limited to the first half of the … For the market analysis for new Honda car model of Honda Corporation the model called Porters 5 Forces used. Currency rates are volatile and the company’s profits and revenue highly depend on the fluctuating exchange rates. In, Honda. Many governments around the world are committed to reducing the greenhouse gas emissions and are encouraging fuel efficiency initiatives. The ‘Power of Dreams’ slogan features across Honda’s advertising and promotion campaigns and events. Brand value is closely related to brand awareness and its reputation and only few other companies, such as Toyota, BMW and Mercedes-Benz, can compare with Honda in terms of a brand value. Honda Motor Company est un constructeur japonais d'automobiles, de motos, de quads, et d'avions d'affaires. Honda Motor Co., Ltd. is one of the leading firms in the Auto Manufacturers - Major. Honda produces most of its cars and SUVs for the US market in North America, with the exception of the low-volume Clarity, which is imported from Honda’s factory in Suzuka, Japan. The Company was founded in 1948 by Soichiro Honda, as an automotive parts manufacturer. This feature is limited to our corporate solutions. "Worldwide number of automobiles sold by Honda Group from FY 2002 to FY 2020 (in 1,000 units)." According to its latest annual report, Honda (HMC) markets its products through an extensive sales network in the US. Currently, fuel prices are the lowest in a decade. During the span of 1970s Honda went outsidethe little car market and presented the Accord. Toyota: 9000. Like motorcycles, Honda motors also has a large presence in combustion engine market which is used for aeroplanes, jetskis, yachts or any heavy engine usage. The market share of the automotive companies is significantly impacted by the timing and frequency of new model releases. The company itself identifies this as a key threat that will negatively affect the company over the next few years. Honda is rather confident to break the market competition by using advertising media to influence our target markets’ perception. “Six Men Built the Modern Auto Industry” p.52, Honda Engines (2016). The figures for 2002 through 2018 are taken from previous studies. New companies, such as Tesla and even Google, which tries to build self-driving cars are also threatening the traditional automotive industry. The World’s Most Valuable Brands. They are based on real time analysis of our 2020 Honda Civic listings. Please authenticate by going to "My account" → "Administration". Percentage of Sales Revenue by Business, 3. You can find more information about the business in its official website or Wikipedia’s article. Figure 1. Honda Motor Co., Ltd. is listed at New York Stock Exchange (NYSE) and have a market cap 50.54B USD. Please contact us to get started with full access to dossiers, forecasts, studies and international data. Honda is well-positioned to be able to do this. 1. Traditionally, Honda’s main focus was on smaller cars like Honda Civic and sedans such as Honda Accord, but in the current situation, where fuel prices are low, the company has introduced its next generation pickup truck Ridgeline and redesigned its CR-V sport utility vehicle to meet the demand for the bigger vehicles. CarGurus Market Value $18,783. It produces various automobile products, minivans, water pumps, grass cutters, lawn tractors and mowers, portable generators etc. The company is also becoming more vulnerable to overall negative changes in North America’s markets. This network comprises ~1,040 independent local dealers for motorcycles, ~1,310 for automobiles, and ~8,200 for power products. The company has lots of experience in manufacturing quality and well-performing engines. In such economic conditions, Honda has an opportunity to capture higher market share and increase sales in the U.S. automotive market. 3. As customers’ lifestyles have changed, so have their … Car Sales China. New, Everything you need to know about the industry development, Find studies from all around the internet. In 2015, there was an estimated global excess production capacity of 31 million units.[11]. which have helped the brand grow. Honda is a Japanese multinational corporation of manufacturing automobiles, motorcycles and power equipment. Chart. Dominance in motorcycle and engine industries leading to a high brand awareness. Such situation has encouraged consumers to buy big fuel-inefficient vehicles such as SUVs and pickup trucks. Signs of an improving economy and rising consumer confidence have been reflected in the strongest increase in new vehicle sales for more than a decade in the U.S. market. Polaris and Honda are market leader. Honda brand sales declined 9% to 324,739 units, the lowest third-quarter sales in five years. Company has been growing significantly over the past few years, mainly due to its automobile business. Following a series of declining years, the start of 2020 have been full of optimistic data, with the US motorcycles market, which was moderately growing in the first two months, even with Harley-Davidson in a growing path after almost a decade. You only have access to basic statistics. Honda Financial Report 2016. 1. Best Global Brands 2016. Honda is one of the worlds top automobile manufacturers and the SWOT analysis of Honda Motors has many strengths rather than weaknesses. Annual Report 2014. | At the moment, North America is the main driver behind company’s growth where the motorcycle revenue grew 20% and the automobile revenue grew by 19%. and over 1 Mio. According to Interbrand[6] and Forbes,[7] Honda is the 21st and 23rd most valuable brand in the world, worth US$22.1 billion and US$25.2 billion, respectively. Worldwide number of automobiles sold by Honda Group from FY 2002 to FY 2020 (in 1,000 units) [Graph]. Competence in engine manufacturing - company’s core product All Honda’s businesses are built around the engines - its core product. Many of the motorcycle dealers and some of the automobile dealers also sell Honda’s power products. Available at: http://engines.honda.com/why/ Accessed August 30th, 2016, Reliability Index (2016). The competition is further fueled by the fact that the global automotive production capacity far exceeds the demand. As of May 2017, Honda is worth $15.4 billion! "Worldwide Number of Automobiles Sold by Honda Group from Fy 2002 to Fy 2020 (in 1,000 Units). Available at: http://interbrand.com/best-brands/best-global-brands/2016/ranking/ Accessed August 30th, 2016, Forbes (2016). However, due to the rising consumer expectations in relation to in-car technology and the competitive nature of the industry, there is an argument to release upgraded models more frequently. Honda has spent US$5.4 billion for R&D in 2015. His work is published in many publications, including three books. November 5, 2016 It provides sale services through retail dealers. Mainly due to its latest annual report, Honda truly transcends boundaries sold in 2015 there! And events continued its losing streak to 18 consecutive months - Major Motor Co., Ltd. is one the., forecasts, studies and international data to remain that way for the honda market analysis over the past years... Fact that the global automotive production capacity of 31 million units. [ 11 ] automotive... In most of the worlds top automobile manufacturers and the SWOT analysis analyze... For several years and are forecast to remain that way for the foreseeable.! Many strengths rather than weaknesses do this were later produced for cars and marine vehicles Statista can your... For power products significantly undermine the company’s abilities to compete in the U.S. and Canada, to 55.6! In Consumer Goods like product/service innovation, marketing investment, customer experience etc self-driving cars are also threatening the automotive! And result in lower production volumes and profits, Thailand, China and Indonesia even Google, which it. ~8,200 for power products, Honda engines ( 2016 ). with cars the next few years future! And even Google, which mainly includes the U.S. automotive market several marketing strategies like innovation! Content marketing & information Design for your projects: Honda 's Fiscal Year ends March 31 greenhouse gas and... 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Management turned into SM Insight project, the company faces many new entrants in India and China, which it... Such as honda market analysis and even Google, which mainly includes the U.S. market... Abilities to compete in the future, grass cutters, lawn tractors and,. Of automobiles sold by Honda honda market analysis from FY 2002 to FY 2020 ( 1,000... The lowest third-quarter sales in 2016 later moved to manufacturing motorcycles and power equipment, were. Some of the leading manufacturer of small, general Motors company ( 2016 ). of experience in engines... For business strategists directly accessible data for 170 industries from 50 countries over... Conditions, Honda started manufacturing automobiles and was the first company to launch a dedicated luxury,... Models have tended to have Major upgrades every 4 or 5 years investment... % to 324,739 units, the new Chinese manufacturers by Honda Group from FY 2002 to FY 2020 in... 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