Scion, the new line of vehicles from Toyota Motor Sales (TMS), U.S.A., Inc., was created to meet the demands of an emerging culture of new car buyers. Scion began selling its first two production models, xA and xB, in 105 California dealership showrooms on June 9, 2003. In February 2004, sales expanded to cover 23 more states in the Gulf States, Southeast and East Coast regions. In June 2004, the launch of the 2005 tC sports coupe coincided with the completion of Scion's national rollout.
"Scion is a laboratory, a work in progress, that will continue to evolve along with the quickly-changing demands of a new generation of consumer," said Jim Farley, vice president, Scion. "Where we are today may be far from where we will be tomorrow."

The Products
Scion products all share three key characteristics: style, versatility and surprise. The long-term styling goal focuses on vehicles that are expressive, but subtle. Versatility can be found in the numerous combinations of passenger and cargo configurations. The element of surprise is seen in the high-quality materials and the long list of standard equipment.
Simplicity is important to Scion's key buyers, and the extensive standard specifications list was derived with this key objective in mind. The xA, xB and tC are mono-spec vehicles, with frontal and seat-mounted side and front and rear side curtain airbags for xA and tC as the only factory option. As a result of this approach, a customer must only make a few key choices when purchasing a Scion: model, transmission, color and accessories.
In addition to wheel covers and audio, Scion has developed approximately 40 accessories for each vehicle that are covered under the standard Scion limited warranty of three years or 36,000 miles, whichever comes first. Consumers can choose from a wide array of appearance, convenience and underhood items, such as a cold air intake or a strut tower brace, essentially bringing a build-to-order process to the consumer. The aftermarket also weighs in with a wide variety of items like turbochargers, superchargers and lowering kits.
In Spring 2003, Scion developed a process with SEMA (Specialty Equipment Manufacturers' Association) to transfer technology from Toyota's development side to aftermarket manufacturers who want to develop products for Scion vehicles. This is the first time that a Japanese carmaker has participated in this program.

The Dealer and Process
Although the dealer represents credibility for the brand and the sales process, Scion's target market made it clear that they want a different relationship with the salesperson. Target buyers point to timeliness, simplicity and comfort level as the three essentials in a sales experience.
"We looked at the traditional process, talked with younger buyers and identified improvements to three key processes - information- gathering, inventory management and the retail experience," explained Farley.
Scion.com and the dealership showroom let customers explore at their leisure and learn about the brand at their own pace. Scion inventory management utilizes a pull philosophy rather than the traditional push method. By using a pooled inventory approach, dealers will be able to get the car they need, at the right time. When combined with the ability to accessorize vehicles at the dealership, this customer-driven approach helps ensure that the right car is matched to the right customer. Research showed that although Gen Y wants a more timely transaction, most are willing to wait about a week for their custom-built car.
Each Scion dealer underwent extensive training to learn more about this unique target audience and how to provide a sales process tailored to their needs. In addition to the normal two-day off-site product training, each dealership participated in six days of customized, in-dealership education. The Scion Covenant, key standards that focus on improving the customer experience through sales and marketing, and image and facilities, was introduced across all dealerships, with applications customized for each retailer's specific circumstance.

The Dealer Showroom
The Scion dealership environment caters to buyers who want the resources to answer their questions, but who also need the freedom to explore at their own pace. The Scion showroom accomplishes this through three key areas, each with a specific focus:

• The product area includes highlights of the vehicles' features on 50-inch plasma screens, several accessory display cases, freestanding paint and fabric selector stands and, in many showrooms, a Scion vehicle customized with accessories.
• The discovery zone is supported by self-service Internet kiosks and printer stands, where users can log onto the Scion Web site, simulate customization of their chosen vehicle, including installation of the approximately 40 accessories, and then save or print out the data for reference. This streamlines the purchase process and facilitates a more personalized shopping experience.
• Finally, the consultation space involves a certified Scion sales staff that will offer assistance and guidance for shoppers who have any additional questions.