SLIDE1

I have been told from multiple dealerships that IS production has been scaled way back to allow for the launch of the new ES. With all production maxed out, Lexus is choosing to make the ES over the IS. While not privy to the minds of Lexus mangement, I would guess it has to do something with the fact the ES customers tend to be more loyal repeat customers and 1/4 of all revenue Lexus does not want them even looking on over manufactures lots if ES supply is not available. On the other hand IS customers are mostly first time buyers who are purchasing the IS because it is the best car at the best price point at this moment. When the typical IS customer wants to replace his car in a few years, they will still compare BMW, Audi, Infiniti, etc.
IS allocations for the dealerships I talked to will be the least next month since launch. I was also told that if I wanted to special order I may as well wait till end of August and order a 2007. The saleman's concern that if I order now there is a possiblity I won't get the 2006 until within weeks of geeting a 2007 and a very unhappy customer.

4TehNguyen

iTrader: (1)

i cant understand their position on this but its disappointing at the same time but if the ES comprises of significantly more sales than the IS then I'd probably do the same thing if I were Lexus

TimboIS

Hmmm. You don't think that it has anything to due with the fact the ES is ALL NEW?!? I'm sure Lexus wants to make a big splash with the intro, just as they did with the IS last year. And hopefully not have a repeat of the poor allocation configurations.

mikewpu04

this is a funny point , bc usually when I see a lexus on the road (esp in NYC where I work), I usually see the ES series cars or the RX trucks. I have yet to see an IS on the road other then mine (actualy I like that ) Considering that Lexus probably does do better with the ES, it makes sense to make more of them. I actually like having a "rarer" car. The ES is more practical for daily drivers then the IS anyway, because many people I know that consider Lexus want luxury from them and not sport. ES's seem more geared toward luxury.

Mike

MSMLexIS

I wonder why they cant increase production on both models so they will have more IS and ES on the lot the IS is still a hot car for lexus why risk hurting sales now.

x986

Sounds like a smart business decision to me. BTW, I looked at the new ES while I was having my car washed. It really underwhelmed me. I expected more, bigger, and better luxury items than the IS; they weren't there.

PhilipMSPT

iTrader: (5)

Did you check out the Ultra Luxury package? That was pretty nice. The regular packages for the ES is quite underwhelming. The ES looks ten times better with the panoramic glass roof and the special polished wheels.

TimboIS

I don't know if anyone else did the math, but a loaded ES is cheaper than a loaded IS.

Kermee

iTrader: (1)

Not to mention for people who lease vehicles, the money factors on the ES are MUCH lower then the IS while retaining about the same residuals across the board.

Cheers,
Kermee

knihc2008

iTrader: (1)

Wait, are they even made in the same factory?

4TehNguyen

iTrader: (1)

yup, all lexus sedans were made in the same factory in japan at a time, however the LS just got a brand new factory that won JD Power awards, so the LS moved out. Now the GS ES IS are made in the same factory. I feel lexus learned their lesson with the IS they do not want the same shortages hitting the ES which is more of a cash cow than the IS

SLIDE1

Link to the thread about the article about the assembly plant.
https://www.clublexus.com/forums/sho...d.php?t=211598
"The ES 350 is being manufactured at the Toyota Motor Kyushu (TMK) assembly plant in Fukuoka, Japan. That plant is equipped with a flexible body line. How flexible? Well, the ES 350, a front-wheel-drive car, will be built interchangeably with the Lexus IS 250/350. "

dong888

iTrader: (1)

I guess it is simplity a capacity issue. Does that mean that the IS350 price will go up? Maybe it will be strictly MSRP price?

LexAppeal

Good, will just make my car more rare. I've only seen around 4 on the road so far. Today I saw like a gazillion BMW 3 series on the road though.

t0e

iTrader: (1)

This is exactly what I hoped would happen!!!!!!!!!!!!!!!!!!!

I dont want everyone and their grandma driving the new IS....

The less people driving it the better!!!!!!!!!!