Sign o' the Times: Even Lexus cancels their annual dealer meeting
01-19-09, 04:11 PM
#16
In 2008 Lexus sold 151,567 cars in US according to the press release. They sold 200,334 in 2007. Even with new products, there is no way Lexus is gonna be selling as many cars as they did in 2007. It's not the products, it's the economy. Most likely 2009 sales number will be between 151,567 and 200,334 unless economic conditions change dramatically - for better or for worse. But even if economic conditions improve, it's gonna be hard to sell more than what they sold in 2007.
TOYOTA RETAIL SALES
(INCLUDES FLEET & HAWAII)
December, 2008
-- CURRENT MONTH -- -- CALENDAR YEAR TO DATE --
DSR % DSR %
2008 2007 CHG 2008 2007 CHG
----------------- ------ ------- ----- --------- --------- ----
ES 5,236 8,005 -34.6 64,135 82,867 -22.9
LS 1,451 3,257 -55.4 20,255 35,226 -42.7
SC 116 348 -66.7 1,986 3,927 -49.6
GS 1,200 2,579 -53.5 15,759 23,381 -32.8
IS 3,539 5,651 -37.4 49,432 54,933 -10.3
TOTAL LEXUS PASS.
CAR 11,542 19,840 -41.8 151,567 200,334 -24.6
TOYOTA RETAIL SALES
(INCLUDES FLEET & HAWAII)
December, 2008
-- CURRENT MONTH -- -- CALENDAR YEAR TO DATE --
DSR % DSR %
2008 2007 CHG 2008 2007 CHG
----------------- ------ ------- ----- --------- --------- ----
ES 5,236 8,005 -34.6 64,135 82,867 -22.9
LS 1,451 3,257 -55.4 20,255 35,226 -42.7
SC 116 348 -66.7 1,986 3,927 -49.6
GS 1,200 2,579 -53.5 15,759 23,381 -32.8
IS 3,539 5,651 -37.4 49,432 54,933 -10.3
TOTAL LEXUS PASS.
CAR 11,542 19,840 -41.8 151,567 200,334 -24.6
I don't think that next year is going to be EASY for Lexus but I think you are being a little too pessimistic here. In 2008 overall sales slid 20% and the only new products that they had were the ISF and LX 570...admittedly very low volume. Their core products had no improvements and we saw an aging RX.
For 2009 we are looking at...
Brand new RX350 and RX 450h- this is the bread and butter of Lexus
Brand new HS 250h- I hate it but I think the market will react well to this car. Their goal of 30,000 a year should be doable.
Brand new GX 460- Lexus' own marketing data has shown a solid market for BOF luxury SUVs and the LX 570 has been a sales home run even when gas was $5 a gallon. The GX overall has really outsold Lexus' initial sales expectations and I think a new generation will probably be a very successful product.
IS 250/350c- Not a volume product but I do think they will move quite a few of these and it will probably help other IS sales a bit.
Refreshed ES 350- another core Lexus product that will likely see a bump in sales with new sheet metal and options, etc.
All in all, it's hard to say how 2009 will go for any of the auto makers but Lexus slid 20% in a year when they had almost no new product. This year they are revamping their core model and refreshing the other, adding an all new hybrid sedan, new GX and ISc. There is no way they are going to SLIDE 50K units with this much product in the pipeline. The economy would have to slide into a deep, deep depression for that to happen.
For 2009 we are looking at...
Brand new RX350 and RX 450h- this is the bread and butter of Lexus
Brand new HS 250h- I hate it but I think the market will react well to this car. Their goal of 30,000 a year should be doable.
Brand new GX 460- Lexus' own marketing data has shown a solid market for BOF luxury SUVs and the LX 570 has been a sales home run even when gas was $5 a gallon. The GX overall has really outsold Lexus' initial sales expectations and I think a new generation will probably be a very successful product.
IS 250/350c- Not a volume product but I do think they will move quite a few of these and it will probably help other IS sales a bit.
Refreshed ES 350- another core Lexus product that will likely see a bump in sales with new sheet metal and options, etc.
All in all, it's hard to say how 2009 will go for any of the auto makers but Lexus slid 20% in a year when they had almost no new product. This year they are revamping their core model and refreshing the other, adding an all new hybrid sedan, new GX and ISc. There is no way they are going to SLIDE 50K units with this much product in the pipeline. The economy would have to slide into a deep, deep depression for that to happen.
01-19-09, 04:21 PM
#17
Moderator
In 2008 Lexus sold 151,567 cars in US according to the press release. They sold 200,334 in 2007. Even with new products, there is no way Lexus is gonna be selling as many cars as they did in 2007. It's not the products, it's the economy. Most likely 2009 sales number will be between 151,567 and 200,334 unless economic conditions change dramatically - for better or for worse. But even if economic conditions improve, it's gonna be hard to sell more than what they sold in 2007.
TOYOTA RETAIL SALES
(INCLUDES FLEET & HAWAII)
December, 2008
-- CURRENT MONTH -- -- CALENDAR YEAR TO DATE --
DSR % DSR %
2008 2007 CHG 2008 2007 CHG
----------------- ------ ------- ----- --------- --------- ----
ES 5,236 8,005 -34.6 64,135 82,867 -22.9
LS 1,451 3,257 -55.4 20,255 35,226 -42.7
SC 116 348 -66.7 1,986 3,927 -49.6
GS 1,200 2,579 -53.5 15,759 23,381 -32.8
IS 3,539 5,651 -37.4 49,432 54,933 -10.3
TOTAL LEXUS PASS.
CAR 11,542 19,840 -41.8 151,567 200,334 -24.6
TOYOTA RETAIL SALES
(INCLUDES FLEET & HAWAII)
December, 2008
-- CURRENT MONTH -- -- CALENDAR YEAR TO DATE --
DSR % DSR %
2008 2007 CHG 2008 2007 CHG
----------------- ------ ------- ----- --------- --------- ----
ES 5,236 8,005 -34.6 64,135 82,867 -22.9
LS 1,451 3,257 -55.4 20,255 35,226 -42.7
SC 116 348 -66.7 1,986 3,927 -49.6
GS 1,200 2,579 -53.5 15,759 23,381 -32.8
IS 3,539 5,651 -37.4 49,432 54,933 -10.3
TOTAL LEXUS PASS.
CAR 11,542 19,840 -41.8 151,567 200,334 -24.6
01-19-09, 04:22 PM
#18
In 2008 Lexus sold 151,567 cars in US according to the press release. They sold 200,334 in 2007. Even with new products, there is no way Lexus is gonna be selling as many cars as they did in 2007. It's not the products, it's the economy. Most likely 2009 sales number will be between 151,567 and 200,334 unless economic conditions change dramatically - for better or for worse. But even if economic conditions improve, it's gonna be hard to sell more than what they sold in 2007.
When people say "cars" (especially in total sales number) in this day and age they normally means "vehicles", which is everything in the brand's lineup.
01-19-09, 04:22 PM
#19
kt22cliff-
TORRANCE, Calif. (Jan. 5, 2009) – Toyota Motor Sales (TMS), U.S.A., Inc., today reported year-end sales of 2,217,662 vehicles, a decrease of 15.7 percent from the same period in 2007, on a daily selling rate basis.
Toyota Division recorded year-end sales of 1,957,575 vehicles, down 14.9 percent from the prior year. Lexus reported sales of 260,087 units in 2008, down 21.2 percent from 2007. Scion Division reported sales of 113,904 units for the year.
TMS reported December sales results of 141,949, a decrease of 36.7 percent from the same period last year.
TORRANCE, Calif. (Jan. 5, 2009) – Toyota Motor Sales (TMS), U.S.A., Inc., today reported year-end sales of 2,217,662 vehicles, a decrease of 15.7 percent from the same period in 2007, on a daily selling rate basis.
Toyota Division recorded year-end sales of 1,957,575 vehicles, down 14.9 percent from the prior year. Lexus reported sales of 260,087 units in 2008, down 21.2 percent from 2007. Scion Division reported sales of 113,904 units for the year.
TMS reported December sales results of 141,949, a decrease of 36.7 percent from the same period last year.
01-19-09, 04:27 PM
#20
01-19-09, 06:44 PM
#24
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I don't think so. This sends a "panic" message from corporate to the dealers. They would have better off spending the money at the corporate level to send 2-3 folks from each dealership to this meeting, and using it as a huge pep talk. A downturn like this is just the opportunity Lexus needs to clearly vault above the competition sales-wise, but not if they retreat into a conservative mode.
It seems to me that maintaining dealer enthusiasm is more important than $1M more marketing (which is a drop in the bucket).
It seems to me that maintaining dealer enthusiasm is more important than $1M more marketing (which is a drop in the bucket).
01-19-09, 07:39 PM
#25
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I don't think so. This sends a "panic" message from corporate to the dealers. They would have better off spending the money at the corporate level to send 2-3 folks from each dealership to this meeting, and using it as a huge pep talk. A downturn like this is just the opportunity Lexus needs to clearly vault above the competition sales-wise, but not if they retreat into a conservative mode.
It seems to me that maintaining dealer enthusiasm is more important than $1M more marketing (which is a drop in the bucket).
It seems to me that maintaining dealer enthusiasm is more important than $1M more marketing (which is a drop in the bucket).
Here is a pic from last years event.
The message is simple. Lets not celebrate this year since there is nothing to celebrate. We all have to tie our shoes the next couple of years. The dealers just found out about the new Lexus product in Oct anyway. They saw the HS, new GX, RX, etc.
This saves dealers money as well (travel expenses etc).
Lexus still has a RX launch party, they didn't cancel that for consumers. I go next Tuesday.
01-19-09, 09:18 PM
#26
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but not if they retreat into a conservative mode.
Toyota has a great opportunity to redesign the LS and GS into the perfect vehicle for the changing economy in 2010.
Last edited by pagemaster; 01-19-09 at 09:21 PM.
01-19-09, 09:49 PM
#27
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Put it this way. Toyota last year dropped 70k in sales from the year before. Toyota can't even sell the Lexus cars they have now without stopping production lines. The inventories are at record highs.
The economy is going to be even worse just after February. There will be a few Lexus dealer closings, more production idling, larger inventories...(Toyota is now going to idle the Corolla plants, a car that should do well in these times)....
Toyota will be lucky if they can move 200,000 Lexus units in the USA for 2009.
The economy is going to be even worse just after February. There will be a few Lexus dealer closings, more production idling, larger inventories...(Toyota is now going to idle the Corolla plants, a car that should do well in these times)....
Toyota will be lucky if they can move 200,000 Lexus units in the USA for 2009.
01-20-09, 06:11 AM
#28
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we've gone through a lot of sub prime foreclosures... this year it will be the next big wave, and it WILL hurt luxury vehicles. big time.
i wouldn't be surprised to see lexus still outsell mb/bmw, but i also wouldn't be surprised to see lexus 09 sales less than 08.
about the dealer meeting, as i said, they canceled it because in this economy no dealer would pay to send people to attend and the dealers themselves have laid off people so don't have 'spare hands' to send away.
i wouldn't be surprised to see lexus still outsell mb/bmw, but i also wouldn't be surprised to see lexus 09 sales less than 08.
about the dealer meeting, as i said, they canceled it because in this economy no dealer would pay to send people to attend and the dealers themselves have laid off people so don't have 'spare hands' to send away.
01-20-09, 11:38 AM
#30
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about the dealer meeting, as i said, they canceled it because in this economy no dealer would pay to send people to attend and the dealers themselves have laid off people so don't have 'spare hands' to send away
It is now reported that all 12 of the Japan Toyota plants will all idle for 11 days in Feb and Mar.