Head to Head Comparison of the Honda Civic and Toyota Corolla
Patrick Nolasco
June 25, 2014
Audience: College Graduates

Table of Contents Executive Summary 1 Introduction 2 Purpose, Scope and Methodology 2 Efficiency 3 Safety 4 Overall Cost 5 Conclusion 7 Recommendation 7 Works Cited 8

The 2014 Honda Civic

The 2014 Toyota Corolla
Executive Summary

The following report compares and contrasts the 2014 versions of the Honda Civic and Toyota in various criteria with the focus in mind to be for college graduates. That means, it values efficiency and affordability over luxury and features. Out of college, graduates are usually dirt poor because of the vast amount of student loans. Some also even struggle to find jobs, but its important to be able to have self-transportation whenever possible. So, because of the financial status college graduates are in, its important to note that this report was based on lower costing cars like the Civic and Corolla, while also maintaining a standard of safety and professionalism. By aggregating information from various automobile evaluation outlets and also information directly from the manufacturers’ websites, I was able to observe accurate depictions of what each car has to offer. In the report I reviewed gas efficiency, safety, and lastly overall cost. Each of the media outlets I looked at, even the cars websites themselves offered a fair amount of information that added up and was consistent. After reading through them all, I was able to make accurate observations based on the facts presented. Although the findings were quite close, the Honda Civic ended up having the slight edge over the Toyota Corolla. The Civic had relatively more to offer in fuel economy and options, as it had a hybrid edition whereas the Corolla did not. However, if the two base gas-powered models were to be compared, the two would be basically equal. In the category of safety, the Civic won mostly because the definitive critics who evaluate safety have yet to rate the Corolla. This report was constructed for someone in a buy now mindset, so it would only make sense to choose to proven safe car. The Corolla just did not have enough safety information from respected outlets to warrant challenging the Civic in that matter. Lastly, in cost, the Corolla very slightly edges out the Civic, but the Civic makes up for it in that it has a better resale value. It was given a 5 star resale value whereas the Corolla was awarded only 3 stars. In terms of value and cost, it had came out to be a draw. I was able to conclude that the Civic was probably the better option, although the Corolla itself is not too far off. Both cars are great first options for first-time buyers, as they offer a bevy of features and reliability at a good price. The only thing that is suspect on the Corolla’s side is the safety, because it is not yet proven. Based on past performances in safety though, the Corolla seems to be reliable, and to add, Toyota had stated it had made safety upgrades. Following the conclusion, I was able to make an educated recommendation based on all the work that I had put in over the duration of the report; the civic was the winner, even though it was not the thickest of margins. I recommended that potential buyers should opt to go in person to dealership to get a feel for the two vehicles themselves, and also to bargain for the best financing plan possible.

Introduction

As I near my graduation date, a flurry of different questions is swirling around in my mind, pertaining to my lifestyle after school upon entering the real world. One of the more immediate issues graduates and soon-to-be graduates face is choosing an automobile, as it is very critical part of mapping out a life plan. The world of automobiles is vast and within it exist many options, so trying to find the right car to suit one’s lifestyle can be at times, overwhelming. Many graduates struggle with this decision, as there are a plethora of makes and models to choose from, with various features interspersed throughout. The majority of college graduates will be first-time car buyers. With this report, I will break the decision down into three categories: gas efficiency, safety, and overall cost. ALG, a company that prides itself as the value benchmark for vehicles in terms of reselling, notes that the depreciation of a Corolla is worse than a Civic, with a ranking of three stars, to five stars, respectively.
Purpose, Scope and Methodology

The report was an effort to streamline the car-buying process by compiling and aggregating given data from various sources. By dividing the choice into three major categories the report gives the audience, college graduates, an easier way of prioritizing their needs in terms of what they want out of an automobile. By the end of the report, the reader should have a good understanding of what both the Civic and Corolla have to offer, and in knowing that, be able to make an informed decision on which to purchase.
The scope of the report isn’t very wide, as it is strictly between two low cost automobiles, and also puts a larger focus on affordability then luxury. While it could be useful to, for example, a family who is looking to purchase a car, it is more focused on college graduates, as their position isn’t yet set financially. Therefore, the affordability of said cars allows for more financial flexibility. Car buyers who are further down the road in life may want to opt for a luxurious and feature-filled options, so really the scope of this report is predominately confined to the intended party, college graduates.
In terms of methodology, strictly secondary sources were used for the content of the report. All of the secondary sources were web based, due to the nature of the comparison in that the cars compared are fairly recent so naturally web information would be the most up to date. Popular car evaluation media outlets were consulted, such as Edmunds and AutoTrader, as well as the actual Honda and Toyota websites. The criteria for each car was divided into were safety, price, and efficiency.
Efficiency

In a world where limited energy like fossil fuels is declining rapidly, the prices of gasoline have inflated immensely with each passing year. Therefore, one of the most important if not the most important qualities consumers look for in a car is fuel economy and efficiency. Factors like how many miles per gallon, what type of fuel grade, and overall gas tank size are carefully considered.
Both cars are equipped with inline 4 cylinder engines. Generally speaking, the more cylinders there are, the more gasoline is needed. With cars that have more cylinders, sport performance is sought after and as a result, premium grade gasoline must be used. That is not the case with the Civic and Corolla as they are both touted as vehicles in the “efficient” platform. The Toyota Corolla has an EPA-estimated 27 mile per gallon in city environments, and a 34 on the highway. (Toyota, 2014) The Civic boasts a 30 mile per gallon in the city, with 42 on the highway. According to AutoTrader.com, the vehicles possess efficiency that is almost equal though. Judging by this, its safe to assume the two vehicles use gasoline at a very similar and almost negligible rate. The Civics’ sports trim edition, entitled SI, averages only about 25 miles per gallon where as its hybrid edition averages about 44, averaging about somewhere in the middle where the Corolla stands. (AutoTrader, 2014) For the sake of argument though, it’s fairly neck and neck.
In essence, both vehicles are tied in terms of efficiency. If a consumer were to base their decision wholly on the fuel economy, either car would be a fair option. The Corolla however, does not have a hybrid option, whereas the Civic does. If the option of hybrid is something that’s viable for a college lifestyle, then the Honda Civic wins this round.
Safety

One of the more vital qualities that car consumers look for is safety. Nobody is safe from an accident, no matter how good or responsible a driver they are, because mistakes can and do happen. Both companies, Honda and Toyota have been respected for decades for their dedication to safety. Lets see how their vehicles stack up this year.
On their score cards on US News’ Best Cars series, the cars came pretty close in terms of ratings. The Civic scored as 9.3 whereas the Corolla received a 9.2. (US News, 2014) Those are so close its almost negligible. However, the National Traffic Safety Administration, what some view as the gold standard for safety ratings, has not yet released their review of the Toyota Corolla. From the article on AutoTrader: “Unfortunately, as this article is written, neither organization has performed testing on the redesigned 2014 Toyota Corolla. Toyota spokespeople say that they made structural changes to the new Corolla for the vehicle to pass the tough new small overlap frontal-impact crash test conducted by IIHS, and they predict the Corolla will pass all rounds of testing with the highest possible ratings.” (AutoTrader, 2014)
That being said, the Civic has garnered 5 star overall crash-test safety picks from them and also a Top Safety Pick from the Institute for Highway Safety. Toyota claims to have made many structural changes to the Corolla that have prepared it for full marks on the aforementioned ratings bureaus but that remains to be seen.
Because what Toyota said about their safety changes is strictly conjecture, its best to rely on the ratings that have been already released. The Civic has excelled in all departments, and should be regarded as the safer option, until further notice.
Overall Cost

Lastly, another thing that is looked at just as much as the fuel economy and safety, is overall cost. There are so many different ways in which to finance a car, and they vary from dealership to dealership. The main aspect to focus on is the manufacturer’s suggested retail price (MSRP).
In past years, the Honda Civic base model was the less equipped DX, and then after that the LX. This year, in 2014, Honda opted to eliminate the base DX and make the LX their base model. This LX model is equivalent to the Toyota Corolla trim entitled LE. The LX trim Civic stacks up at $19,755 whereas the LE trim Corolla comes in at a lesser $19,110. The Corolla LE is also offered with a plus package, that offer aluminum wheels, fog lights, and a rear view camera for reversing, for the price of $19.510, which is still lower than the Civic LX, although not by too much. When feature filled, the Corolla goes up to a value of $21,870, compared to a stacked Civic at $23,105. (AutoTrader, 2014) If a consumer is planning to buy a car for keeps, rather than lease it, depreciation value really comes into play. Also, Toyota offers two years of roadside assistance whereas Honda does not. Jonathan Yarkony of Autos.ca had this to say about the two vehicles’ value:
“If you want one more prediction regarding long-term cost of ownership, I consulted a trusted source and asked whether the Civic and Corolla will be reliable, cost little to run and hold their value and my Magic 8-Ball foretells: “Most likely”.
Where does all that leave us? All this is to say that both the Corolla and Civic are paragons of reliability and long-term value. You really can’t go wrong and the odds are in favour of you getting a low-maintenance non-lemon that will serve you well for years.’ (Yarkony)
At this point its really a toss up between the two in terms of overall cost. The Corolla edges out the Civic in overall cost, but the Civic might be a better decision in the long run because of its better depreciation value. While the resale value of the Civic beats that of the Corolla, I believe reselling is a matter of making a good pitch and finding the right buyer, and its not exactly like the Corolla is a slacker in terms of resale. I would opt for the Civic mainly because of its resale value, because it is verified, but the Corolla is no slump.
Conclusion

Out of the three criteria that were consulted for the basis of the report, the Honda Civic was the winner in fuel economy and safety, while it was a draw between the two cars in the value department. In terms of fuel economy, although the Civic won, it was only because of the availability of a hybrid version. If as a buyer was strictly looking for the average gas powered car, the difference would be entirely negligible, as the gas-powered versions of each car are tied in miles per gallon. The Civic clearly wins the safety comparison, because the Corolla has only little information to back itself up. In a buy now mindset, one should opt for Honda. In terms of overall cost, the Civic is more expensive by half a grand, but offers more in terms of resale value so it’s a draw there. Ultimately though, the Civic is the clear-cut choice.
Recommendation
Because of the nature of the comparison, both cars offer a good amount of value. The Civic wins the battle, but the consumer won’t lose with either choice. The only way to mend this it by going out to dealerships and getting a feel for both vehicles, and seeing which you can find a better deal on, because financing and payment plans for cars can fluctuate from area to area.

Works Cited
USNews. Honda Civic Safety. 2014. http://usnews.rankingsandreviews.com/cars-trucks/Honda_Civic/Safety/.
USNews. Toyota Corolla Safety. 2014. http://usnews.rankingsandreviews.com/cars-trucks/Toyota_Corolla/Safety/.
Yarkony, Jonathan. Comparison Test: 2014 Honda Civic vs 2014 Toyota Corolla. March 30, 2014. http://www.autos.ca/car-comparisons/comparison-test-2014-honda-civic-vs-2014-toyota-corolla/.
AutoTrader. 2014 Toyota Corolla vs. Honda Civic. 2014. http://www.autotrader.com/research/article/car-info/215391/2014-toyota-corolla-vs-honda-civic.jsp.
Toyota. Toyota Corolla vs. Honda Civic. 2014. http://www.toyota.com/corolla/compare/corolla-vs-civic.html.