TRDFantasy

Not surprised. The extraordinary situation in Japan will lead to Lexus losing the sales spot this year.

Last time I checked, the RX is still pretty "new" and it continues to sell amazingly well. Otherwise, yes you have a valid point.

Facts say otherwise. People said that about last year, and it never happened. Without the earthquake, Lexus would have had enough of a boost from the CT to remain #1 this year. I would have bet on it.

It's silly to talk about "what ifs". The fact is, the earthquake DID happen, and production of ALL Lexus models will be limited for several months until everything can be brought back to full production levels.

Fizzboy7

I agree with DustinV. We've talked about this many times at CL within the last year. The core Lexus line-up is old and overdue for redesign. When the IS, ES, and GS are changed, sales will spike and once again everyone will be talking about Lexus at the watercooler. I don't think the earthquake has made much of an impact on sales (if any at all). From what I've read and investigated locally, most larger Lexus dealers have plenty of inventory to go around.

DustinV

Whoops, I forgot that one.

spwolf

despite IS, ES, GS, LS now entering their final stage in life, they have lost around 30-40 days of production and are now producing at 50% of their usual volume.

Which means that for next few months, they simply wont have enough cars, including great selling RX, which is already in short supply when it comes to popular RX450h, as well as CT200h which leads industry with shortest time on lot.

So yeah, this will impact Lexus severely. It is not question of winning or loosing by 10k units now, it is question of being 30% down or more compared to last year.

TRDFantasy

Production will hover around 50% or so for ALL Lexus models over the next few months, while slowing ramping up back towards 100%. Inventory might seem fine today, but give it a month or so and dealers will be very low on inventory.

spwolf

Especially great selling RX and CT - they sell 10k per month, together, and now... CT200h is already bad and it will be non existent in May, and RX probably as well, especially 450h.

Cars that have longer time on lot will be fine for next 3 months maybe, and afterwards it will get bad.

Look at it this way - for next 90 days, they will lose 60 days of cars. So even cars that had 60 days average on the lot, will become problematic. and If they cant solve issues by August, then there will be no Lexus model on dealer lot that is without significant supply issue.

Vladi

I agree. Eathquake will bring severe shortages and unfortunately Lexus will sink even lower with sales, its a shame really because they deserve better. What I dont belive is the earthquake as a sole or main reason which will cause them not to be number one by the end of the year. They found a perfect PR spin while other manufacturers are catching up fast. And on top of that to make them look even more miserable they had to throw in the story about selling lower numbers than competitors in order to keep being special. That doesnt make any sense, what are they trying to say? That their quality and technology will not be up to par because of bigger volumes or that Acura is very special now because it sells way less than Lexus? If thats the case then Jaguar is super special, just go to their dealership ask them how super special they are they will try to sell you their grandmother if you dont want their car.

My point is this is a bad press release that makes Lexus looks bad and they are far, far away from being a company with bad business and ethics practices. So they dont need this typicall spin garbage that offends reader's intelligence.

Trexus

I wasn't offended at all. One shouldn't take things personally. Take it with a grain of salt.

I like how you stated that Jaguar must be really special as they don't sell the number of units like Lexus, BMW or Mercedes does.

All in all Lexus isn't gunning for the number 1 sales spot but if they do get it again then congratulations. Lexus is an all around company with three suv's four sedans, five hybrids, a few convertibles, few performance and one exotic. Can't knock off Lexus for trying to reach many people from different markets...

I8ABMR

As a lexus buyer I feel that the volume is not what impresses me. What I want is a vehicle that is more reliable and pleasurable to drive. In fact I believe that the push for volume is why Lexus cars are not as reliable as they were 10 years ago. They are more advanced but still not better made. I am looking forward to seeing Lexus drop out of this numbers race and try to focus on simply blowing their customers away with reliability, attention to detail, and the famous Lexus customer service.

LexFather

For those that have been long time members here this is nothing new. Mark is simply reiterating what Lexus has always said. The do not chase being #1 in sales but if they do win that title, well they welcome it.

This isn't even news. I personally stated they would lose this title over a year ago. Many of us have discussed BMW or Benz taking it this year. All good things come to an end.

This market is really different than in 2000 when Lexus took the title. Back then it really was BMW, Benz, Lexus and the rest were also rans. Today everyone has stepped their game up including non luxury brands offering luxury vehicles. Gas has quadrupled in price. Small luxury is becoming more popular. Some people are down-sizing. Luxury SUVs have exploded in popularity. In 2000 there were no luxury hybrids.

The funny thing is even with Lexus being #2 or #3, well that is still better than most everyone else. Its not like sales fell off a cliff.

Looking forward to see the new generation of Lexus!

RXSF

looks like Lexus wants to milk the crown before they lose it

http://www.youtube.com/watch?v=SOHA6...ure=feedu_more

http://www.youtube.com/watch?v=BUcE0...feature=relmfu

http://www.youtube.com/watch?v=Kmf2V...feature=relmfu

LexBob2

Saw the ES version on TV tonight. Good ad.

Fizzboy7

Here's an interesting question: What would have been better for Lexus and for their sales numbers? The earthquake now with the struggling old models? Or the earthquake later when the new IS, ES, and GS are just getting under way?

TRDFantasy

Easily the earthquake now, rather than later. Some of the older models have pretty high inventory levels, which will last for a while before inventory runs down. As opposed to having new models, which at the beginning Lexus would naturally be low on inventory. An earthquake happening later would bring inventory levels of new models to almost zero very quickly. It would completely stop the momentum of new model launches.

Kira X

iTrader: (24)

I feel the same way. As long as they keep their reliability and customer service, I'm happy.