Iceman

So I was in the service department for 90 minutes this morning with nothing to do, so I picked up and almost read all the way through The Lexus Story. What a great book! It really made me appreciate everything that went into making Lexus, and is surprisingly honest about the shortcomings and problems as well as the successes.

Anyway, I was left thinking that Lexus of today isn't Lexus of 1989. Everything from the utter superiority of the LS400 over its competition (for tens of thousands less), to the brilliant marketing, to the absolute pampering of customers... Lexus was a game-changer, no doubt about it.

Then I looked at the product lineup of today--nice cars, but nothing vastly superior to the competition, and the prices are not the bargain they once were, either. And I don't know about you, but they seem to have totally given up on the relentless pursuit of perfection when it comes to customer service at the dealership and service department level. Nowadays it takes more than a coffee machine and a plasma TV showing the news to impress people.

So, not being one to point out problems without also thinking of solutions, I got to thinking about what Lexus needs to do to get back that magic they had in the early years. Keeping in mind that all of my suggestions would cost them money that would have to get passed onto the consumer somehow, here's what I came up with:

- A rededication to product excellence. "Good enough", isn't. Every car should be the clear superior to its competition in terms of feature set, fit & finish, and driving experience. And, they should still undercut them on price.
- A rededication to the sales experience. Dealers need to be revalidated on an annual basis through some kind of mystery shop program. Those who do not uphold unimpeachable standards of integrity and respect should get one warning, then be dropped from the brand. Don't treat each sales experience as a chance to make a quick buck, but as a chance to establish a relationship with a new, long-term friend.
- A rededication to the service experience. They need to hire more service reps and more technicians so that customers rarely wait for anything. They should bring back the concept of the open service bay so that customers can watch their cars being worked on. And they should pledge that you'll never get a loaner car of a lower class than the one you have in for service.
- A rededication to groundbreaking marketing. Lexus ads in recent years have been boring to the point where they fade into the noise. Take away the typeface and the distinctive voice, and they could be selling any BMW or Acura. They need a creative ad agency that will be as passionate about telling the story of the vehicles as the engineers are about making them.

Notice that all of those suggestions are rededications to principles they once held dear. It really struck me when I read the "Lexus Covenant"--words that, when followed, make them untouchable. But when ignored or forgotten (as seems to be the case today), they are meaningless. Lexus has to stop coasting and resting on their laurels. Otherwise they may find someday soon that "good enough" no longer is.

Shawnmack

IMO Lexus still leads the way. Yeah I was disappointed in the GS 460 and the new LS. The IS-F after driving one exceeded my expectation.

hughh

I still remember going from a Mercedes-Benz to a Lexus way back in 1991. It was like night and day and I swore I'd never purchase another brand. Then the owner of the Lexus franchise got killed while piloting a show plane and things have never been the same.

LexFather

I think you mean to talk about Acura, not Lexus.

As for your points, Lexus has pretty much stated they will have them addressed. The next RX is supposed to be the first Lexus that is built like the old Lexus, like a tank.

Maybe your dealership experience is different. Mine is one that I wish every COMPANY could emulate. Even the dealers I rarely deal with have gotten a lot better in regards to service and relationships. Lexus is well aware that there were the first with the grand customer experience and that everyone copied. So they are going beyond the dealership. For instance when I go to Braves games, I park in the "Lexus lot" which is right across the stadium.

Funny I was behind a IS 350 today at night thinking "wow nice LEDs for the plate". Its small but I have retrofit LEDs and its funny to read from Acura to Audi to Volvo people saying "how do u get the bright rear lights like Lexus". Lexus is still a big leader, they continue to win award after awards moved UP on the most valuable brands list in the world.

My last point is no matter what Lexus does today, it will NEVER replicate what they did in 1989, when they caught the entire automotive world. Lexus has blessed EVERYONE as EVERYONE has gotten better from service to qualiity to features. Today everyone from Audi, to Caddy to Infiniti to Volvo has a fantastic lineup. So its much harder to be a stand out today, compared to the 1990s, when many luxury brands had some pretty crappy lineups.

bad co

What you just said sounds like the turnaround Mercedes made in about 2006. forget classes a b c. look at the line up now compared to the same cars in 2000. Imo the new cl is one of the nices looking cars you will ever see





the dated e class still imo is the best midsized sedan you can buy

I dont think the new S class needs a explanation.

The new mercedes lineup is striking and Lexus has alot of work to do to catch up to the new Mercedes

Allen K

iTrader: (4)

I have to agree with dave, the upper echelon of MB cars are some of the nicest ones on the road inside and out.

IMO, luxury buyers since Lexus came out have to give the company credit regardless of what they drive. It forced the German companies to up their game and we all know that more competition is always good for the consumer

I8ABMR

I have to say I am amzed by lexus service compared to service for my 2 2003 G35's,2006 acura tl. I have checked out the japanese competition and the serice sucks at acura, and infiniti is mediocre at best

farquad

I agree, not to sound biased owning a 91LS.. my friend's dad has a G35, he's surprised to see some of the features i have in the LS as they're being utilized in the G and probably other cars.. the ls probably wasn't the first with some of those features, but it was still pretty technologically advanced, imo lexus still has it's game (recall first self-parallel parking vehicle).. just harder now with the competition around

farquad

lol, really? once again with my friend's dad's experience.. apparently the local infiniti dealer is amazing.. my local lexus dealer isn't so great, or so i get the impression.. i guess it's just got to do with the dealer

pagemaster

Lexus has losts its way.

1. The competition is so close now.
2. Lexus models are now designed to sell with features first, then the car. I remember back when Lexus lacked certain items and yet were moving off the lots fast.
3. Lexus failed to move into the super uber premiun market such as the S-Class and upcoming BMW
4. People are not stupid. Pampering at the dealer doesn't cut it anymore. My local Toyota dealer offers free internet, coffee, leather couches, big screen and even a water fountain.
5. Lexus has cost cut the current models more than ever before so they can stuff more features in them.
6. Reliability is no longer a prime selling point. See point #1
7. Lexus still does not have a dedicated hybrid model
8. LS460 competes with the S-Class, 7series and A8 but no better than a 4th place finisher.

I have been outspoken about Lexus not being as good as they are used to before. With that being said. I think Lexus will be back on track shortly.

1. IS-f looks like a $60,000 car.
2. Dedicated Hybrid on the way
3. New gen RX hybrid is the right move.
4. IS-c is a winner.

IS350jet

Has Lexus lost their way? I don't think so. They have never lost focus of their core values. What you are seeing, though, is other manufacturers are now re-writing their own core values to compete better with Lexus, and it shows. Lexus did what no other car company could, and possibly what no other car company could do again. They literally redefined the automotive industry while completely turning it up-side-down. 1990 can't be re-written. 1990 was easy for Lexus. Not so much anymore. The bottom line is, Mercedes is where they are today *because* of Lexus. That's huge.

mmarshall

My views on this subject are rather well-known, so I won't spend a lot of time on them here. The biggest problems at Lexus are: First, they have economized some of the materials they put into their cars (especially the interior), to the point that the construction is notably lighter and shoddier than in previous years. Second, they have forgotten what Lexus stands for, and are trying to make stiff-riding/handling BMWs out of their products. That is fine with one or two models like the IS, but they are doing it to too many of their products. Third, they delayed the introduction of AWD sedans too long....that should have been done years ago.

LexFather

I will say what is slightly confusing is Lexus is trying very hard to please its traditional customers with the ES/LS and SUVs and trying to get sportier wanting customers in the IS/GS. The IS-F takes Lexus somewhere unimaginable. They you have Lexus hybrids that try to advertise efficiency AND performance.

I would like to see Lexus stay true to itself here.
I would like to see Lexus get dedicated in Europe and then bring some of those cars here.
I would like to see more "F" cars
I would like to see "h" moved from performance to efficiency only.
It will be a challenge to continue to blend all 3 together.

19psi

something i've noticed that i don' tcare for, which is the definition of "losing their way" is that they are now tring to compete with the germans for having hte most advanced electronic wizardry in teh cars. that's great but they're also copying hte germans by not completely testing each adn every system in the cars for years before releasing them. the first LS was tested since the mid 80's to make sure it was PERFECT before the first one was sold.
now they are simply in a race to come out with something before another brand does. i have friends who are techs at the lexus dealer and they all complain about the new cars and how they are nowhere near as reliable as the old models because of all the garbage in them that wasn't fully tested. reminds me of when i worked at audi and all the trouble we had with the electronic systems they crammed in the cars at the last minute and had to continually update and modify to make them work right.

Threxx

I'd say the Lexus is today is like the Lexus of 89 except for the following major changes:
-They no longer offer nearly as substantial of a value. Yes they're still a bit cheaper than their Euro competitors in most cases, but Hyundai's genesis is still able to undercut them masses of cash... that's where Lexus was in 89 but they are no longer
-Their product line is substantially broader... for better or for worse. Some vehicles you just have to wonder what they're planning on doing with, like the SC430. Other cars you're glad they're making because there was nothing at all like it from Japan in the early 90s... like the IS350.
-Their competitors have caught up in many ways. Think of Lexus' entry into the market like a surprise attack... well after 18 years its competition is very well aware of their presence and is doing and has been doing all it can to adjust for them.
-'Perfected' reliability and perfect build quality seems to be more compromised now. I'm not sure why this is... if they just decided it wasn't as important to consumers as they believed it was back then or if it's because the Lexus of today is closer to (though still not quite) on par with its competition in terms of gadgetry in most ways... more high tech stuff = more stuff to break?