Lexus Dealers Want Cadillac Escalade Alternative to Sell
Lexus looks to add another SUV to its growing lineup in a bid to grab even more market share.
Expanded Range
In case you just got home after being shipwrecked on an island for years, you already know that the SUV market remains red hot. Automakers have been scrambling to build as many 'utes as they can, trying to capture as much market share as possible. And Lexus already produces some of the more popular luxury SUVs and crossovers on the market. But according to a recent report from Automotive News, it looks like they're not done filling out their model range just yet.
Photos: Lexus
Escalade Alternative
Turns out, North American dealers are currently telling the automaker that they want a massive, 7 or 8-passenger luxury SUV capable of competing with the likes of the Cadillac Escalade. This revelation came up in a conversation with Paul LaRochelle, chairman of the Lexus National Dealer Advisory Council.
Photos: Lexus
>>Join the conversation about Lexus introducing a new SUV right here in the ClubLexus forum.
Profitable Venture
Yes, it appears that the LX is just not quite big enough to fill the needs of some folks. But it isn't just customer demand or the desire for a competitive product that's driving this movement. It all boils down to profitability, in fact. And as we already know, the bigger, better-trimmed SUVs are the vehicles that rake in the most profit.
Photos: Lexus
>>Join the conversation about Lexus introducing a new SUV right here in the ClubLexus forum.
Subtle Changes
LaRochelle points out that Lexus already has a "great product lineup" geared toward today's SUV buyer. But he notes that the brand should expand upon its offerings, as well as update the current product. That includes "Black Line" models or special editions that feature the ultimate in luxury trimmings. Customers have been very receptive to these in the past, and they're also obviously quite profitable to build and sell.
Photos: Lexus
>>Join the conversation about Lexus introducing a new SUV right here in the ClubLexus forum.
5
But the most interesting tidbit from this conversation comes a bit later. "It seems like Lexus has a desire, and dealers have a desire, to have a seven-passenger [Cadillac] Escalade fighter, or a Denali fighter or a Lincoln Navigator fighter," LaRochelle said. "Truly having the prestigious seven-passenger, people-moving, kids' soccer-family-moving vehicle. The LX is great; that vehicle will be getting an enhancement soon."
Photos: Lexus
>>Join the conversation about Lexus introducing a new SUV right here in the ClubLexus forum.
Going Big
"But the biggest want right now, unanimously through Lexus dealers, is to have something in that larger luxury-vehicle segment," he continues. "That larger vehicle is really a big miss for us in a LUV/SUV world, where gas prices are pretty stable and with the job the nation has done to become energy independent." It's a fascinating revelation, really, and one that could potentially lead to a brand new model.
Photos: Lexus
>>Join the conversation about Lexus introducing a new SUV right here in the ClubLexus forum.
Waiting Game
But the question is, will Lexus cave and produce a mega luxury SUV? At least in terms of the current market, it seems like a no-brainer move. People are buying up new Navigators like hotcakes, especially Black Label editions. And the Escalade remains a big seller for GM. Getting in on this profitable action seems like a great move for Lexus. So now, we'll just have to wait and see if they agree.
Photos: Lexus
>>Join the conversation about Lexus introducing a new SUV right here in the ClubLexus forum.
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