Originally Posted by I8ABMR

I was watching a stand up video where Dave Attell refers to a Kiwi as " the Lexus of the fruit world ". Even common refernces today are made with refrence to Lexus being the top notch

Originally Posted by IS-SV

Exactly, no longer was Lexus the follower they became the leader especcially as it pertains to luxury equipment. And the luxury equipment in a Lexus was reliable too, unlike the German equivalents.

To help clarify:

The examples that I gave pertains to BMW's shift away from predominately straight six to V8's which has a lot to do with influence and success of Lexus LS (although they probably will not admit to this). The other example is just a luxury gizmo that now seems almost a requirement in a premium sedan.

Originally Posted by 1SICKLEX

It has gone to other markets as you have stated, you can read Lexus references in Businessweek, Fortune, Apple mag, etc.

Lexus is in the American subconscious as something that means, quality, smooth, well built.

Originally Posted by MPLexus301

Lexus has truly had a miraculous 20 years...reading an article like this that lists all of their achievements and success really puts things into perspective.

What will be interesting though, is how Lexus will handle the next ten years or so. Until recently the American car companies have posed little threat to Lexus' domination in the luxury arena as they have built several lackluster products that failed to resonate with customers like other premium products have. Times seem to be changing as even Lincoln is showing products that are likely to generate greater interest from consumers- products that are aimed squarely at Lexus bread and butter ES and RX. Whether or not they affect these models will be seen in time, but the American companies seem to be somewhat rejuvenated and more focused even in the turbulent and uncertain automotive market, and the same could be said for Hyundai's relentless and surprising march into the premium market. Additionally we are facing trying economic times, an even greater degree of globalization and connectedness, and interesting opportunities in emerging markets. How Lexus tackles all of these challenges will be interesting.

A Changing and More Competitive Marketplace

Cadillac's new porftolio- CTS, CTSV, SRX and Escalade- are some of the most polished and competitive products that we have seen from an American luxury company in a long time. Lincoln's models- MKZ, MKS, MKX, and MKT- while Ford rebadges, do seem qualified and competitive against some Lexus models. Those owners who are looking for traditionally luxurious, high quality interiors with a smooth ride and new technology will no longer only be considering the ES- Genesis, CTS, MKS, and MKZ are all more competitive than ever and the sales figures show as much. The ES still seems to be holding its sales crown without so much as a sweat, but IMO (and to many others) Lexus got complacent with this generation of ES and it is no longer the rock solid car that it once was. Lexus will have to reevaluate the landscape for the next generation, as I think the Americans and Koreans will become increasingly qualified players in this segment.

The new SRX, while nice, does not seem that interesting to me but I still think that it could pose some problems for the RX. If CTS owners are looking for similar styling and features but with extra ground clearance, the SRX is a sure bet...and I think this generation will do significantly better than the last. Lincoln MKX and MKT are also solid competitors that have done well for Linclon, and are aimed squarely at RX territory. They are both solid first efforts and considering Ford's renewed focus on quality, design, technology and performance, they could cause quite a problem for RX in the future. I would also not be surprised to see Hyundai develop a RWD based crossover that sits on the Genesis platfom.

The new RX has split most of the Lexus faithful- it's exterior design and radical departure from Lexus standards for interior design have left some people scratching their heads, and some anxiously awaiting a test drive. The success of their new efforts remains yet to be determined as the car goes on sale next month. The new remote touch technology, while an interesting and new concept, will probably not be as good as touch screen to me. Working in a dealership, I have seen many of Lexus' older clients struggle with the existing Navigation/HVAC/Audio controls and cannot forsee this being any easier for them. Perhaps I am wrong, but time will tell.

Lexus will also continue to face a myraid of models from the German companies as well- new 1 Series variants, a rumored X4 crossover, hybrids, Mercedes' new GLK and E Class coupe, and Audi seems continually determined to take a larger piece of the luxury segment pie. Can Lexus continue to outsell these brands amidst numerous new product launches? Will they face off with new German products and venture into these new, changing segments? Time will tell.

L-Finesse will also be entering it's second generation in most applications, and we have yet to see how the current designs will progress and evolve. The GX and SC are the only two products that have not received this design treatment but their days are coming soon. With these changes in the sheetmetal, we can obviously expect Remote Touch to sweet across all redesigned vehicles. Will it resonate with customers?

One thing is for certain, the old days of "big, medium, small" are no longer going to apply in the luxury segment as competitors and classifications are ever changing. Lexus has obviously responded to this with the new HS, and it's GS-ES-IS sedan strategy, but as the Germans diversify past these classes, how will Lexus respond? Also to consider is the hopeful expansion of F cars, hybrid models, and if we are lucky...coupes. This is one segment that I do hope they follow as the SC and ISc will not necessarily suffice against a new C coupe, E coupe, CL, SL, 6 series, 3 series, Z4, A/S5, and others. Lexus needs to show consumers that they are willing to diversify and change. And once again, Hyundai has shown that they are capable of building a worthy competitor...this will not end with just the Genesis and Genesis coupe. Lexus needs to be aware, responsive, and intuitive and yet the Japanese have shown to be historically slow to respond.


Slowing Economies and Emerging Markets

We will not have the full answer of "how bad is it?" until the market actually starts to swing upwards and we can look back and determine where the bottom actually was. That said, I think this financial crisis has caused many Americans to rethink what is really necessary and often the first things to get cut are luxury products and goods. For the next few years I think we are likely to see a retraction in spending from American households even if things bounce back. Last year was the first time in history that Americans started actively trying to pay off their debts, foreclosures swept our own neighborhoods, towns, cities, and states, and millions of people are filing for unemployment right this minute. Even if the economy does start to come back, I think it will be a while before any of the luxury brands start to sell close to 300,000 cars again. This year has been a brutal one for all in the car industry, but each of the car companies is going to have to reevaluate their customers, the economy, and their products from here on out- this is vastly different landscape than the 90s, or even the early 2000s. Luxury companies will be in a harder place as Americans will likely be less willing to dish out $50, $70, or $100K on a car that essentially does the same thing as one that costs half as much without the extras. How will they cope with America's new more discretionary spending habits?

Lexus boomed in the late 90s and early 2000s with a thriving economy and little worry about tomorrow...now people in all income brackets are trying to figure out how to put food on the table tomorrow or to send their kids to college. These matters were laughable just a few years ago when luxury car sales increased substantially year over year, and now they are very harsh realities. How will Lexus respond? How will Americans respond?

China, India, Russia, and other Asian markets once held great promise for both Lexus and Infiniti but it has been proven that both India and China, while thriving for a while, were economies that are propped up largely by our own and they have begun to feel the waves generated by our own financial crisis. The insatiable demand for American and luxury goods is now slowing down significantly. To what extent? We don't know yet, but recent reports are showing that China's economy could potentially be in a worse situation than ours with India somewhat sure to follow.

Europe has also proven to be a hard egg to crack for Lexus. The IS220d, while a seemingly great first effort, has not exactly been a booming success. How will Lexus continue their European strategy? Hybrids? New Diesels? Who knows but the economic woes and financial reservation of buyers around the globe makes it hard to even predict.


Where to go from Here

As outlined above, the landscape that Lexus thrived in for the last several years has now been set almost completely ablaze in just the last few months. Even considering all of this, the company has seen dark times before and it has also shown that it has the prudence and ability to respond accordingly, with both due intelligence and insight. That said, recent world and economic events would dictate that the rule books are currently being written, pen still in hand. If Lexus can continue to deliver on it's core competency of a high quality product with seamless customer service, will that be enough to bring them through the next decade or two, with similar success to what we have already seen? Even despite the L-Finesse, remote touch, and hybrid technology, this is still the same company that we have all grown to know and love (and sometimes hate) so perhaps for now we have to trust that they will continue to extend the Lexus legacy far into the future with a sound business strategy and the ability to respond, to anything, accordingly.

Originally Posted by RXSF

Toyota removed the Toyota print on the windows some time between 1999 and 2002. My 99 RX had it, 02 IS had Lexus logos. lol