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Nor does Lexus sell anything over 70K, which is where a lot of Mercedes' asking prices are so there is no way the sales race is going to be a level and even playing field. I'm not talking about what the actual prices are paid, I'm talking about their relative asking prices of their overall lineups, which puts Lexus at an sales advantage. Yes Mercedes sells a lot of C, E and ML level cars, but they also at least try to sell a lot of upper E, S, CL, SL cars too, of which Lexus doesn't compete pricewise. To suggest that the sales playing field is even is to ignore everything at MB and BMW from the 545i/E500 on up because Lexus only has one car and one Suv that crosses the 50K mark. If you need "figures" to understand this take glance at the model configurators at BMW, MB and Lexus.
M
I guess in 2010 it'll be $90K.
Putting out 40 models and trims doesn't make you successful, omnipotent, or more exclusive.
If nothing else, it's kind of silly, to segment a market YOU ARE TRYING TO LEAD that much. Why?
That's a good idea for a forum...oh...what?
Anywho, Lexus has EARNED a spot at the Adult's table, through unprecedented performance and excellence in sales, service, luxury, durability, and appeal.
What bothers me about your commentary is you paint Lexus as not appealing, for those who can't afford x, as if Mercedes and BMW could do more if they felt like it. This is all the same arrogance espoused by the marques themselves.
They could make their cars friendlier but, they could make their service better but, they could make the ride smoother but, they could be easier to use but, they could have fewer problems but....
Enough excuses! Show Lexus more respect! If the Germans don't, they will be the Cadillac/Lincoln/Jaguar of tomorrow.
Regarding the prices of the cars, Lexus will never sell a Lexus of comparable strength for the same as Mercedes because Lexus has built their company on value, and always will. That's their strength, building a car as good or better for $10-20k less, then force Mercedes to react. Lexus brought out a V8 with 32 valves in 1989 to fight against a S-Class Mercedes with what engine? They didn't have anything that could even think about keeping up with that!
Lexus earned respect by being better, at interiors, at ride quality, at quietness, at service. Luxury car buyers don't buy 4-door rockets, they buy great cars. Lexus builds great cars, whether you will admit that or not, makes no difference. The market has spoken.
And Lexus ain't through yet! BY 2010, they will change themselves, and the luxury car industry again. I'm very proud of what they've done, and welcome their leadership past the old, dazed, and confused competition.
Thank You.
DrFill
The basic problem is Lexus controls the US Luxury Market! The Germans are now held to Lexus' standard. They've changed everything you expect from a luxury car. And every year more disgruntled Benz owners migrate to Lexus, for good, if for nothing more than excellent quality and service they deserve.
These are things they shouldn't have to make apologies for, or rationalize away for a German badge. The badge is nice, a car well done is better.
Americans would rather have a nice car done great over a super car half-baked!
And now Lexus will start building super cars.
And for anyone naive enough to think Mercedes doesn't want to sell a higher volume of cars (like Lexus does), please ignore the haphazard December Sales Event promotions they (and every other Luxury marque) have copied (poorly) from Lexus.
What'll they think of next, washing the cars after service?
DrFill
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callmedrfill,
Now you should know me better than that. That 40K cutover point is a GM thing that Cadillac fans used to use in order to say that Caddy was the leading seller of luxury priced cars in the U.S. They have since dropped that because they were so badly overrun by Lexus and Mercedes in the 40K plus sales bracket. The Deville is what they were basing that on anyway, hardly a modern luxury car worthy of discussion here. I never at any time tried to suggest that Lexus is selling a non-luxury item because their best sellers are below 50K. You missunderstood my point (above). Believe me I've had that arguement for years and years with the GM folk who used to claim this "luxury sales" title for Cadillac because they were excluding BMW's, Lexus', and Mercedes' sub 40K cars. I have never subscribed to the theory that only cars of this XX,XXX price are true luxury cars because it is way to messy to try and decide which are true luxury because everyone has different or at least varying criteria for what a true luxury car or product is.
M
It's obvious Lexus wanted to extablish a base for their marque as far as dealership proliferation, sales and marketing strategy, dealer networks, service, and a strong customer base, with excellent word of mouth. Now they can do whatever they want, and have a long lease to play with. It wasn't a matter of if they were going upmarket, just when.
I guess after 15 years, time is due.
All there recent concepts have been very attractive, hopefully a product onslaught awaits us, as indicated by Mr. Cho over New Year's.
DrFill
True, Mercedes has higher priced cars. But how does that limit their sales? Mercedes, for example, also has more models. Overall they have over 20 models and probably more than 3x the number of models Lexus does. This alone should translate to more sales(more models reach more prospective customers). Also, each Lexus model has a similarly priced Mercedes model which are direct competitors. For example, the RX330 vs. ML350. The ES330 vs. C320. The Lexus LS430 vs. S430, the E320/430 vs. GS300/430. I don't see how these models are limiting Benz's sales. Does anyone else? The ES330, RX330, & LS430 aren't limiting Lexus sales yet their direct competitors the C320, ML350, S430 are limiting sales? Ultimately sales figures mean very little, but fact is, with the number of models & variations Mercedes has in the US, they should be crushing Lexus because Mercedes competes head on with every product Lexus has yet Mercedes has additional products which Lexus has no competition for.
That's no competition!
Did you guys check out Mercedes "market adjusted" prices for 2005, effective 2/1/05?
Maybach starts at $325k
SL starts at $91k+
E-Class: $48k (V8 about $57k)
They have a ways to go if they wanna "Get Down"!
DrFill
M
DrFill
I guess they same way it looks when you have to pay at least 70K to get into a S, CL, SL Benz, past the top price of any Japanese luxury car. If the Germans aren't at a sales disadvantage at the high end then its Lexus' own fault if they choose not compete any lower in the market. Since price doesn't matter luxury brands should be able to compete in any segment of the market, right?
sorter,
Mini and Smart have nothing to do anything, only luxury-brand-badge vehicles.
M
The M is one ugly stepsister, if you ask me, but they seem to have everything else sorted out.
The STS didn't exactly light up the scoreboard. That's too bad.
DrFill
I didnt expect it to. Japan may have figured out the German formula, but Cadillac still hasnt.
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Another interesting pricing happened for GX, for a while, the third row seat was for free (last year) and this year they add more HP, and all of a sudden the third row seat cost money again. Is it the Yen vs Dollar? Things made in Japan price hike?
DrFill
jamesfletcher2, "2007 Lexus LS" #40, 31 Jan 2005 11:16 pm
Recap: Lexus will bring out the GS350/GS460 Spring 2005
Yes, you heard right. No weenie 3L/4.3L, but the real deal - 3.5L/4.6L motors. Do I hear the M35/45 defenders cringe just a little now ???
Um... what's there to cringe about. If true, which I highly doubt, it's good for all consumers, including M "defenders". What's your beef with the M, BTW?
oac, "2007 Infiniti Q series" #24, 30 Jan 2005 7:32 pm
My *beef* ain't with the M, its with Infiniti.
I mean, can Lexus really afford to release these new designs with carryover motors like the 4.3L ? The Bimmer is going 3.5L, the M is at 3.5L, the RL is also at 3.5L, how can Lexus compete with a 3L 245bhp motor ? Won't cut it imo.
So a 3.5L (we know they have this motor already) and a 4.6L (which could be a new engine, or a rebore of the 4.3L to add more displacement) makes the most sense. BUT, I hope this is not smoke and mirrors....My fingers are crossed...
So if the GS460 is so close to being on the street, why doesn't anyone even have a hint to it's power?
Will the GS350 have the 300HP the IS will have?
Why is the IS and 300Hp known, but nothing is known about the GS that goes on sale in...4 weeks....6 weeks?
I've heard of keeping a secret, but this is giving me "Crying Game" flashbacks!
All I know is the hot rumor on pricing is over $45k for the base model, which is high. But if it is a 300HP base model, than the price is right, about $3k under the RL, but with less equipment, and AWD optional ($2k option?)
So it would more or less match 5-series pricing, but with 75hp more (potentially)? The 460 would have to have AT LEAST 350HP, maybe more to justify a $7-9k price difference.
DrFill
There seems to be a market shift to much more powerful cars, and BMW seems unprepared!
The CTS has 255 (don't think Caddy salesmen won't bring that up to their customers, TWICE!).
Questionable looks (I like), questionable user-friendliness and over-compensating tech, and modest power (relatively), could be the start of a fall.
For the 3 and 5.
DrFill
If Lexus needs to make a splash, that'll do it.
They could start at 275, then go to 300 in a future update.
They don't NEED to go to 300, yet.
They could go 220 (IS250) to 275 (IS350), then bring in the 3.0 (245-250) and tweak the 3.5 (300) in 2008.
DrFill
DrFill
BMW's problem is Bangle's styling, iDrive, and Active Steering, the trident of doom. Have you seen the new supposedly fixed 7? They actually made it WORSE
IMO, Infiniti should start following the same strategy of offering cheaper, smaller engine versions of the G and the M. They need to build a bigger customer base and brand awareness.
A GS250 Lexus does make more sense!
Lexusguy
If BMW falls 40-50HP behind, they will lose share, not become second-rate, but the martket will start to shift away, coinciding with their other issues (Active steering, interior, exterior, high price).
DrFill
Without it, add a .5 TO .75 second auto tranny penalty, it would've been bottom-feeding next Audi in speed (about 7.4 or so)!
The manual saved it from an embarrassing 4th place! The Audi's interior and AWD would've beat out the Bimmer of similar performance.
DrFill
l V8 with 300bhp. So I doubt the 2006 GS will come with 3.5 & 4.6L V8s.
jrock65, I agree with fill. I'd rather have an Altima SE-R than a weak G, even if it was a few grand cheaper.
And they would have to eat their words from 2004, specing the engines.
DrFill