1. iQ Pan-European marketing presentation Serge Gachot Product Communications, TME

2. iQ. Radical thinking.

3. iQ answers the needs of modern lifestyle By 2015, 70% of the European population will live in urban areas iQ answers the needs of progressive and modern lifestyle iQ reflects Toyota’s environmental leadership

4. A+B segment is the biggest in Europe Segment mix forecast ’08 – Total Europe PC market A + B 30% 24% 10% 8% 15% 4% 9% LCV SUV MPV Premium C Source: TME Others

5. Opportunity for New Small Car segment definition Individuality Economic Style, Performance All-round use A-Segment B-Segment New Small Car Segment

6. Play or Playstation Timberlanders New customer segmentation with 11 groups falling into 3 broad categories “Practical” dominated“Fashion” dominated“Fun” dominated Big brother generation Rock steady Smart achievers Living.com Red Bull generation New Yuppies Easy riders Because I’m worth it Responsible socialites

7. Play or Playstation Timberlanders New customer segmentation with 11 groups falling into 3 broad categories “Practical” dominated“Fashion” dominated“Fun” dominated Big brother generation Rock steady Smart achievers Living.com Red Bull generation New Yuppies Easy riders Because I’m worth it Responsible socialites

8. iQ targets new-to-Toyota customers New Yuppies: Expressing their individuality is key Style and design are their most important consideration Responsible socialites: New experiences and challenges are prominent needs Fashion-oriented and wanting to demonstrate good taste

9. iQ will contribute to Toyota primary brand enhancement Quintessence Halo effect iQ to conquest customers that will reinforce the positive and aspirational image of the brand

10. iQ is already perceived as a unique product proposition i pour intelligence

11. Unconventional launch approach Objectives Maximise the impact of iQ on the market Sell 80,000 units annually Build affinity amongst younger, urban social milieus

12. Unconventional launch approach 1.Product (launch edition) 2.Communications: Innovative pre-launch activities Media strategy Financing scheme

13. 2 grades, high equipment level from entry Standard on iQ grade:Standard on iQ² grade:

14. Black and White as launch visual theme At launch Jan ‘09 2nd Wave Mar ‘09 3rd Wave Sep ‘09

15. Formula 1 grand prix in Spa Innovative Pre-launch activities Le Rendez-Vous Toyota Paris Motorshow 2008

16. Innovative Pre-launch activities ITALY FRANCE Image

17. Innovative Pre-launch activities UK GERMANY

18. Targeted media strategy Focus on most relevant ‘touch points’ for iQ target DigitalPressOutdoor

19. Unconventional creative campaign Themed around iQ’s Safety and Quality attributes www.incredible –iQ.com/comingsoonwww.incredible –iQ.com/safety

20. Innovative 3flex financing scheme How does it work? Customer pays the initial down payment & then decides every 12 months whether to: 1.Continue driving their iQ for a further year 2.Exchange for new or upgraded iQ 3.Return their iQ

21. iQ European sales target Annual target of 80K units Europe to represent 80% of total sales Volume concentrated in MM5 (80%) Volume concentrated in urban areas Diesel: 7% Petrol: 93% Multidrive: 40% Manual: 60% Engine mix Transmission mix

22. iQ launch in 3 waves 1st Wave Jan ‘09 2nd Wave Mar ‘09 3rd Wave May ‘09 UK France Germany Italy Switzerland Belgium Sweden Netherlands Greece Ireland Austria Portugal Poland Denmark Finland Norway Croatia Cyprus Hungary Slovenia Bosnia Herzegovina Iceland Spain

23. Average CO 2 emissions from Toyota & Lexus range 160 150 140 130 20042005200620082009 Values based on EU 15C TTL Toyota & Lexus sales forecasts CO 2 emissions (g/km) 120 2007 170 iQ to lead Toyota Optimal Drive

24. iQ to lead Toyota product launch offensive iQ first model out of 13 new launches Six brand-new or next generation models Seven major upgrades