Group 3 Project

Android Auto in Toyota and Lexus

Matthew Manatrey

Joshua Walker

Aaron Morales

Logan Leemgraven

Professor Harvey

AMGT 301

Section 001

3519

11/25/2019

1
708 Campus Dr.
Big Rapids MI, 49307

November 26, 2019

Ms. Michele Harvey

Assistant Professor
Ferris State University
Automotive Center 103J
708 Campus Dr.
Big Rapids MI, 49307

Dear Professor Harvey:

Enclosed is our report, titled Android Auto in Toyota and Lexus Vehicles. This report is
for Auto Management 301- Automotive Marketing and Distribution I.

Android Auto in Toyota and Lexus Vehicles is a new way to expand the horizons of
Toyota and Lexus and get into the Android Auto Market with our vehicles. Android is the leader
in the mobile phone world, and we think that this will bring a whole new level of ease and
customers to the Toyota and Lexus Brand.

This report is an overview of our product, as well as a customer acquisition plan, project
charter, and a product development plan. This project also includes some marketing and sales
strategies. Finally, this project also includes meeting minutes and a communication plan for all
team members involved in this project.

The work in this report is entirely ours, except otherwise noted.

Best Regards,

Matt Manatrey, Logan Leemgraven, Josh Walker, Aaron Morales

Matt Manatrey, Logan Leemgraven, Josh Walker, Aaron Morales

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 Table Of Contents

Title Page 1

Letter To Professor 2

Table of Contents 3

Communication Plan 4

Customer Acquisition Plan 6

Project Charter 8

Product Development Plan 11

Marketing and Sales Strategy 15

References 19

Appendix 20

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 Communication Plan
3A Team Communication Plan: AMGT301-001_TTP_CP_TeamA.docx Team Number: _____3_______________

Team Members:
Y/N
Name Phone Number Email Address

Matt Manatrey 219-252-0054 manatrm@ferris.edu Y

Logan Leemgraven 616-570-7467 leemgrl@ferris.edu Y

Aaron Moraai 202-340-7717 aa.basket@hotmail.com N

Josh Walker 408-857-3704 walkej75@ferris.edu Y

Meeting Location: ____FLITE Library__Room 308_______________________________________________

Planned day(s): _____Wednesdays___________________________________________________________

Planned start/end times: _________2:00-3:00 PM_____________________________________________

Backup communication plan:

________Facebook,Email,text,etc._________________________________________________________

___________________________________________________________________________________

___________________________________________________________________________________

Meeting Notes:
Week Week Week Week Week Week Week Week Week Week Week Week Week Week Week
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Matt Logan Aaron Josh Matt Logan Aaron Josh Matt Logan Aaron Josh Matt Logan Aaron

Chart of who is responsible for taking and sharing meeting notes for each meeting.

Assignments:

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 Product
Communication Customer Marketing & Team Term
Project Charter Development Team TP Preso
Plan Acquisition Plan Sales Strategy Project
Plan
Matt Logan Aaron Josh Matt Logan Aaron

Chart of who is responsible for submitting each group assignment

Meeting minutes, research material and other documents, assignment drafts will be stored: __________

_____Will be emailed to each other after every meeting, we will also open up a Microsoft cloud account for
this assignment that we can all add files to
__________________________________________________________________

_____________________________________________________________________________________

_____________________________________________________________________________________
□ Access has been granted to instructor (if applicable).

How we will document and communicate any changes to our project: ___Use the comment feature on
Microsft word and email or send message on Facebook to each other. Also Text if need is immediate

_____________________________________________________________________________________

_____________________________________________________________________________________________________

_____________________________________________________________________________________________________

_____________________________________________________________________________________________________

How we will address issues when team members do not participate as expected: ___________________
We will make sure that everyone is attending, we get that life gets in the way of a lot of time, but we
_____________________________________________________________________________________
are going to implement a plan of communication for those who miss a session, there will be no
_____________________________________________________________________________________________________
Penalty for people who miss, as long as you follow up with the other team members.
_____________________________________________________________________________________________________

_____________________________________________________________________________________________________

How and when we will schedule the mandatory weekly 10 minute report-out to management
(instructor):

We will try and emailing to the instructor, or meet at the end of class every week.
_____________________________________________________________________________________

_____________________________________________________________________________________

____________________________________________________________________________________

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 Customer Acquisition Plan
Critical Need

With so many people relying on their phones for navigation and music/entertainment while
driving, it can become very dangerous. A simple, and more importantly safer, way to have these
features available through a phone onto the infotainment system could reduce the amount of
drivers messing around on their phones.

Target Market

Our Target Market for this product are Millennial and Gen Z’s. This feature in their car would
likely come from their first new car purchase. It gets them familiar with the technology and
makes sure that they can seamlessly use their phones with their vehicle, without causing a
distraction to them and other drivers on the road.

Distribution Channels

Since this product will come standard with all ENTUNE equipped vehicles, this option will be
fitted from the factory. The warranty relating for the software will fall into the Toyota and Lexus
Factory Warranty of 3 years or 36,000 miles (whichever comes first).

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 Factory Installed Dealer Marketing Customer Purchase

Buyer Persona: Kevin

Demographics
Kevin is 23 years old and full-time college student. He is a senior in the Computer
Science program at Michigan State University. He drives a 2018 Toyota Corolla which he
uses daily to commute. Kevin has always been an Android user. He is a tech-savvy;
however, he does not like Apple products.

Key Attributes
Kevin drives 40 minutes to get to school every day. He is always on his phone and enjoys
listening to music. Being a full-time student and having a part-time job, Kevin is always
on a hurry and has a stressful life. Despite of that he finds driving relaxing and usually
goes back to his home in Detroit for the weekend.

Routines
Kevin spend most of the day at school. He starts classes at 10 o’clock in the morning and
finishes at 4 in the afternoon. He works Mondays, Wednesdays, and Saturdays in a
convenience store at night. When he is not at work, Kevin is usually doing homework.
Every other weekend, he drives one hour and twenty minutes to see his family back in
Detroit.

Wants

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 Kevin wants to be able to use his Android mobile phone as the infotainment system in
his car. He no longer wants to pair his phone trough Bluetooth and only listening to
music while driving. He wants to take advantage of his time and be more productive.

Barriers
Kevin is still paying for his car and cannot afford to buy a new head unit display. He is
not interested in switching to an IPhone. Being a full-time student and having a part-
time, Kevin has no free-time.

Competitive Advantage

The competitive advantage this product has over the competitors is offering a better
and more simple way to connect their phones to the vehicles head unit.. Another
advantage is the safety added by offering a simpler way to access their phones features
while driving, and at on $50 per vehicle, it would be hard for competitors to do for any
less.

Pricing Strategy

Based on the sale of approximately 2.5 million vehicles in 2018, and the cost of
development to include the software in all new vehicles ($250,000) and implementation
and any new hardware (vehicles without WiFi and/or Bluetooth); we will price the
product at an additional $50 per vehicle.

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 Project Charter

OVERVIEW

1. Project Background and Description

There seems to be an ever-growing need for more technology in vehicles, just in 2019, the US
Government mandated that all cars that are sold in the US are required to be fitted with a
backup camera, this is to ease safety and improve the safety of cars. Even though that is just
the start, since automatic braking and collision avoidance systems are not that far behind from
being mandated by the US Government. Going with the times, technology has also come to our
personal selves in the form of smartphones, you can do a lot from go on the internet, to unlock
your vehicle from your phone, the possibilities are endless. We think that we can take the
human-smartphone-vehicle relationship to the next level, with a full integration of Android
Auto into all Toyota and Lexus Models featuring the ENTUNE system. We think that the
technology in cars isn’t going anywhere, so we think that this will be a great addition to the
product line at Toyota and Lexus.

We think that the benefits to the company if we implement this will be massive. There are
more Android users than Apple iPhone users on the planet and we think that we could target a
new market due to people’s brand loyalty with their associated operating systems. Android
Auto is popular among our competition’s products and we think that we can capitalize on it.
The consumer would also have the freedom to not be locked into a certain phone’s operating
system as well which will give the consumers more options when it comes to picking and
choosing their next vehicle. Our goals are simple, to integrate Android auto into the Toyota and
Lexus lineup and to also make people’s purchasing decisions easier when it comes to their new
vehicle.

2. In Scope
This project will include the conceptualization and marketing for a software update for new
passenger vehicles. The update will be applied to all new production vehicles moving forward.
This new software update will not require any new hardware to installed. Based on research
conducted by the group we will find the target market for our product, and market the product
based on who that target market ends up being.

3. Out Scope
This product will require no new hardware; it can be installed on all head units currently being
used in new production vehicles. The new software update can be applied during
manufacturing. The update being created for this project will be available as a retrofit to
existing vehicles with compatible hardware.

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4. Key Product Requirements
Our head unit software update will be applicable to all vehicles with the following hardware:

• Entune 3.0 Audio

• Entune 3.0 Audio Plus
• Entune 3.0 Premium Audio

5. High-Level Requirements
The new system must include the following:
• Ability to allow both internal and external users to access the application without downloading any software
• Ability to interface with the existing data warehouse application
• Ability to incorporate automated routing and notifications based on business rules

6. Cost and Time Estimates

Based on the sale of approximately 2.5 million vehicles across both Toyota and Lexus in 2018, and the cost of development &
implementation to include the software in all new vehicles (approximately $250,000) along with any new hardware (should
not be needed); we will price the product at an additional $50 a vehicle for the upcoming model year. This will allow us to
cover the cost of running our hardware and labor of employees to develop the software; along with the labor of technicians
at dealerships who may perform updates for customers (those who choose not to do it on their own).

7. Milestones
• Completion of software writing
• Completion of alpha testing (internal people/employees only)
• Completion of closed public beta testing (thoroughly registered people that provide feedback)
• Final de-bugging
• Public release

8. Outcomes
• After completion of alpha testing, major bugs/errors will be corrected
• After completion of beta testing, minor bugs/errors missed will be corrected
• After completion of final de-bugging, software should be issue free
• Positive public reception and implementation

9. Assumptions
• No delays in writing of software (hardware failures/equipment issues & difficulties with the code)
• Alpha testing yields results, no delays in correction
• Beta testing yields results, no delays in correction
• Public opinion is positive towards update

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10. Risks
• Major delays in production and release could affect cost and eat into budget
• Bad opinion if bugs/issues are found by public after release
• Lack of popularity among owners

11. Critical Success Factors

• Recover initial costs in the first year of production
• Software fully developed for 2020
• Software fully integrated in all Toyota and Lexus products by end of 2020.
• Timeline is critical and cannot be moved
• Regular updates between work stream

Approval and Authority to Proceed

Contributors:
Name Title Date

Josh Walker Product Planning Manager- R&D 10/24/2019

Matt Manatrey Project Manager 10/24/2019

Logan Leemgraven Product Manager- Manufacturing 10/24/2019

Aaron Morales Villon Tactical Marketing 10/24/2019

We approve the project as described above and authorize the team to proceed.

Approved By Date

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 Product Development Plan

Product Specifications:

Software requirements; min. Toyota Entune ver. 3.0

Applicable Android Phone

Screen Size; Dependent on model, can range from 5.5-8 inches in diameter of screen.

Concept Images:

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Product Development, Testing, and Release Schedule (text)

After approval of the project charter, we can start to develop our software specifications. We
conduct this stage starting on December, 2019 and finish it in late January, 2020.

In early February we turn the software specifications into a design plan (Design Specifications).
During this phase is important that all stakeholders review the design plan and provide
feedback as well as suggestions to incorporate more or change the design specifications. By
early April, the design plan will be finalized. Therefore, leading us to start developing the
software: writing and generating the actual code. The software will be fully developed by the
end of May.

In early June, we will start the alpha testing phase. We will test for any defects and fix them
until the software resembles the original specifications. By early July alpha testing phase will be
finalized and we will move to beta testing phase until late August. Depending on feedback of
end users, we will make additional changes during this stage. At the same time, we will be
developing and testing the marketing communication plan that will be used to launch the final
product.

In early September, we will begin production (volume manufacturing). We estimate that by end
of December, the software will be fully integrated in all Toyota and Lexus products lines.

Gantt Chart

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Change of Management Process:

The management process itself will have little to no changes made, as we are continuing and
expanding. What will change is only the size of the team of engineers/developers and the
product.

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 Marketing And Sales Strategy
Product value/Vision/Mission Statement

Vision Statement

“Providing true bonding between man and car across the world.”

Mission Statement

“To give our customers the best and the safest driving experience through the use of advanced
technology and honest customer service.”

Finalize Distribution Channels

The finalized software will be integrated during manufacturing of Toyota Motor Corporation’s
vehicle. After completing manufacture of vehicle, it will be transferred to the different Toyota
Motor Corporation’s dealerships where customers (end user) will be able to choose and
purchase it.

Android Auto Expansion for all Toyota and Lexus Models

Project Development: December 2019 – May 2020

Product Testing: June 2020 – August 2020

Product Launch and Production: September 2020

Overall Production Cost: $250,000 or $50 per vehicle

Production Risks/Assumptions: Delays in initial development and issue correction during testing

Volume Estimate: Over 5 million

Product Value: Potential safety benefits and highly desired by most of the general population

Competitive Assessment: One of the first to have full support, be able to attract more
customers

Product requirements: Entune 3.0 equipped vehicle, USB cable, Android Auto capable device

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Finalized Distribution Channel
This product will come standard with all new production vehicles equipped with ENTUNE, so it
will be installed at the factory. Any warranties related to the software will be covered within
the Toyota and Lexus Factory Warranties of 3 year or 36,000 miles.

(Strategies and Evaluate/Debrief)

Strategy I

• Increase the Number of Toyota and Lexus Vehicles with Android Auto

Goals

• Provide Option in all Toyota and Lexus Vehicles by the 4th quarter of 2020
• Promote product at the first quarter of 2020

Tactics

• Provide marketing group to see how to target the market and how to market it to new
models
• Provide sales training to dealership network on how to sell the system to consumers
looking to purchase a new Toyota or Lexus vehicle.

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 • Provide marketing materials to dealerships to market product in forms of brochures,
flyers and marquees

Strategy II

• Generate a positive market footprint for the market

Goals

• Try and get this option in all of Toyota and Lexus vehicles.
• Promote option in social media promotions
• Capture customer feedback from leases and sales of cars.

Tactics

• Provide this option in all dealer service loaner fleet

• Market to all dealers and market on television as well
• Record customer interactions at dealership

Evaluate and Debrief

Once this product is released in the fourth quarter of 2020, we will gauge the market with the
sales with this system installed versus the Apple CarPlay system installed and judge from the
sales the future of the product. We will ask customers to fill out a survey when they purchase
or lease a vehicle with this option installed and gauge their likes and dislikes of the system as a
whole. If we get back overwhelmingly positive review and surveys, we will officially finish the
project and the project will be complete.

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 References

2019, jkielty - 9 September. “Android v IOS Market Share 2019.” DeviceAtlas, September 9,
2019. https://deviceatlas.com/blog/android-v-ios-market-share.

Tsyktor, Vasyl, Freeman, and Bridgette. “Android Auto vs Apple CarPlay: the 2018
Comparison.” CyberPulse, September 27, 2019. https://cyberpulse.info/android-auto-vs-apple-
carplay-the-2018-comparison/.

Alaniz, Anthony. “Toyota Not Implementing Android Auto Due To Privacy Concerns.”
Motor1.com. Motor1.com, April 18, 2019. https://www.motor1.com/news/239477/toyota-
android-auto-privacy-concerns/.

By. “Global In-Car Apps Market to Hit 60 Million Units by 2023.” MarketWatch, November 19,
2018. https://www.marketwatch.com/press-release/global-in-car-apps-market-to-hit-60-million-
units-by-2023-2018-11-19.

Horwitz, Jeremy. “4 Reasons Apple's CarPlay and Google's Android Auto Still Aren't
Ubiquitous.” VentureBeat. VentureBeat, January 19, 2018.
https://venturebeat.com/2018/01/18/4-reasons-apples-carplay-and-googles-android-auto-still-
arent-ubiquitous/.

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 Appendix

Meeting Minutes

1st Team Meeting – 09/25/2019

Meeting Time: 2 PM

Meeting Location: FLITE Library Room 308

Meeting Attendees:

Logan Leemgraven

Joshua Walker

Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Assigned portions of Communication Plan to each team member for completion by

9/26/2019

• Set weekly team meeting location (FLITE Library)

• Set meeting time for Wednesdays at 2 PM

• Discussed product ideas for the project

• Matt will be turning in the Communication Plan for the team.

Meeting concluded at 3 PM

2nd Team Meeting – 10/02/2019

Meeting Time: 2 PM

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Meeting Location: FLITE Library Room 308

Meeting Attendees:

Logan Leemgraven

Joshua Walker

Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Further discussed ideas for the group project

• Considered OEM’s to design our project for

Meeting concluded at 3 PM

3rd Team Meeting - 10/09/2019

Meeting Time: 2 PM

Meeting Location: FLITE Library Room 308

Meeting Attendees:

Logan Leemgraven

Joshua Walker

Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Worked on Customer Acquisition Plan

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 • Broke up the rest of the Customer Acquisition plan for the group members to complete

on their own

• Logan will be submitting the Customer Acquisition Plan for the team

Meeting concluded at 3 PM

4th Team Meeting – 10/16/2019

Meeting Location: FLITE Library Room 308

Meeting Time: 2 PM

Meeting Attendees:

Logan Leemgraven

Joshua Walker

Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Further discussed the details of our final project product

5th Team Meeting: - 10/23/2019

Meeting Location: FLITE Library Room 308

Meeting Time: 2 PM

Meeting Attendees:

Logan Leemgraven

Joshua Walker

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 Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Began work on the Project Charter

• Divided Project Charter into sections for individual team members to complete

• Aaron will be turning in the Project Charter for the group

Meeting concluded at 3 PM

6th Team Meeting: - 10/30/2019

Meeting Location: FLITE Library Room 308

Meeting Time: 2 PM

Meeting Attendees:

Logan Leemgraven

Joshua Walker

Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Worked on Product Development Plan as a group

• Assigned remaining Product Development Plan to group members to complete

individually

• Josh will be turning the Product Development Plan for the team, all other team

members will email him their completed section of the plan

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Meeting concluded at 3 PM

7th Team Meeting – 11/14/2019

Meeting Location: FLITE Library Room 308

Meeting Time: 2 PM

Meeting Attendees:

Joshua Walker

Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Logan absent from meeting due to work

• Assigned portions of Marketing Sales Strategy to each team member for individual

completion

• Worked on fixing some previous drafts for the final document

• Matt will turn in the Marketing Sales Strategy for the group

Meeting concluded at 3 PM

8th Team Meeting – 11/25/2019 Room 308

Meeting Location: FLITE Library

Meeting Time: 1 PM

Meeting Attendees:

Logan Leemgraven

Joshua Walker

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 Matthew Manatrey

Aaron Morales

Meeting Discussion:

• Cleaned up first drafts for the final document

• Assigned title page, letter of transmittal, appendix, and references to team members for

individual completion

• Matt will be turning in the completed final project

Meeting concluded at 3 PM

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Article B

Android VS. iPhone Market

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Article C

Distribution Channels

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Article D

Concept Images

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Article E

Gantt chart

Powered by TCPDF (www.tcpdf.org)

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 Article F

Project Description
Android Auto in Toyota and Lexus Vehicles is developing a way to integrate
Android Auto into all production Toyota and Lexus Models.

Issues and Assumptions

Some of the issues that we may face is that the only cars that can use this are
new cars from the factory line, so older vehicles are not going to be formatted to include this
software inside it.

Estimated Annual Sales and Volume

Toyota and Lexus currently sell around 11 million cars per year worldwide
(www.best-selling-cars.com), we hope that this system is fitted to every model coming down
the assembly line. We hope that we can integrate this system into all of the models that Toyota
and Lexus sells.

Value to Customer

We think that this system will open up a whole new market for car buyers that
own Android devices. We think that the decision to have Toyota and Lexus offer this system in
their vehicles will sway some people from looking into other cars that already offer Android
Auto and have them consider something from the Toyota and Lexus Portfolio.

Production Date

Late 2020, will be integrated into 2021 model year Toyota and Lexus vehicles.

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