Lexus believes it has what it takes to win Europe

Lexus believes it has what it takes to win Europe
Maybe Toyota is taking this beating the Big 3 thing a little to far. Toyota’s Lexus is saying that it promises that it has what it takes to beat its European competition in profitability. The company is hoping that profitability will attract more dealers to sell their cars giving the lead over BMW, Mercedes and Jaguar. Toyota sold 50,570 Lexus models in 2006 in Europe. Maybe this explains why Toyota is giving the US only 1,000 Lexus IS-F models. The rest are probably headed over to the Europeans.
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BillBill - 2/5/2007 11:36:17 AM
-6 Boost
Yes, Lexus, keep offering big gas-guzzling engines and you'll easily conquer the European market.

The European market is harder to crack than the North American market. I don't think this needs explanation.

Let the flame war begin...


SupraNeverBackSupraNeverBack - 2/5/2007 12:16:06 PM
+3 Boost
Gas-guzzling engine?

Lexus clearly states "no gas guzzler tax" for the coming IS-F with 5.0L v8 under 2008 EPA rules.

Unlike other players, I think Lexus won't put out un-responsible power. Look at LS600h, Super-Ultra-Low-Emissions Vehicle, no gas guzzler tax, v12 performance. That is called technique and innovation.








MercBasherMercBasher - 2/5/2007 12:55:11 PM
+2 Boost
Yes but in Europe a 4 cylinder putting out 150hp can be a performance car. So 400hp is excess!


jon21jon21 - 2/5/2007 11:40:55 AM
+1 Boost
They surely will not have any problem making more profits...even with low sales in Europe, since they are already making good profits in the USA. Every other sale beside the USA will be more icing on the profit-cake.

And IMHO, I think the 1,000 Lexus IS-F is a typo. I think the 1,000 is meant for the new Lexus SuperCar LF-A.


S4cabriofoxoneS4cabriofoxone - 2/5/2007 8:17:31 PM
-1 Boost
Stating the obvious...


AlexTxAlexTx - 2/5/2007 11:58:04 AM
+3 Boost
Until they put extremely good diesels in their cars, there is no way they will succeed.
Hybrids won't cut it.


SSP350SSP350 - 2/5/2007 11:59:21 AM
+2 Boost
I think they can. Ultimately,though, is that, they would need to break their current car standard that created their image in the States. If they can break that barrier that has made them successful for so long, I think they can capture some of the European sales. The question is, are they willing to set change that standard.
Like jon21 said, they're already successful in the biggest market, to be successful in Europe also is just icing on the cake.


AUTO_UNIONAUTO_UNION - 2/5/2007 12:17:23 PM
+4 Boost
It'll be hard for lexus to make it in Europe. They need to offer better diesels than competition, till then they will only lose money in Europe.


BMWRocksBMWRocks - 2/5/2007 12:41:26 PM
+4 Boost
Ambitious to be the least. But, Lexus is no doubt capable of beating any compition.


MercBasherMercBasher - 2/5/2007 12:58:17 PM
+1 Boost
This article finally explains one thing that I didn't understand. Namely why Lexus has such high prices in Europe, presumably:
(i.) Its dealer margins have to be higher than in the US
(ii.) Its costs of distribution and marketing per vehicle must be much higher than in the US.

Previously I had assumed that all Lexus had to do to boost its European volume was to lower price [kind of like Mercedes has been doing for the last decade in US].


RupertRupert - 2/5/2007 5:09:25 PM
+1 Boost
no, lower prices don't sell cars in europe.
and an IS250 is still more than a 320i, so people just pick the bimmer. they really need to cut back on options, no heated seats, no electric seats, no leather, a manual, that will make them cheap.


enthusiastx11enthusiastx11 - 2/7/2007 12:40:50 AM
+1 Boost
good idea....but lexus hybrids are a bit of a misnomer. they don't get good gas mileage. only slightly better than their gasoline counterparts as they've chose to make their hybrids "high performance." ironically, they've created hybrids that neither perform nor offer good gas mileage.

my two cents...they should de-tune their hybrids to up the gas mileage/emissions. then they might stand a chance in europe. assuming europeans are willing to overlook derivative design (love the hofmeister kink they've incorporated into their IS, GS and LS...really innovative).


EL34EL34 - 2/5/2007 2:10:21 PM
-6 Boost
Lexus will fail in Europe.

That's a fact.


Designer1Designer1 - 2/5/2007 2:56:36 PM
+5 Boost
Toyota is a success in the whole world, biggest car company in the world and that IS a fact. :-)


RupertRupert - 2/5/2007 5:16:09 PM
0 Boost
i can't read this giant block of capitals so i won't read it....

but the lexus formula of big equipment/big power/low prices doesn't work. lexus has no brand image in europe, they are not regarded as prestigious, probably level with volvo or saab.


wooodwoood - 2/6/2007 8:21:50 AM
+2 Boost
Not yet but given their determination, its not impossible.


lexusis350lexusis350 - 2/5/2007 6:01:49 PM
+4 Boost
I think we all believe Lexus has what it takes to make it in Europe. That's why German fan boys hate them so much. That's also why Lexus has the #1 commented articles on this website..


trd1trd1 - 2/5/2007 6:05:00 PM
+4 Boost
Iv'e only been to europe once and it was in germany and austria. while i was there, i saw many lexuses, so i dont know why people keep saying nobody in europe likes lexus. i also saw almost more Ls430s then i see here.


S4cabriofoxoneS4cabriofoxone - 2/5/2007 8:18:49 PM
-1 Boost
I'm sure you saw all 50,000 cars Lexus sells in Europe each year.

Audi, BMW and Merc each sell 250,000-300,000 cars in GERMANY ALONE.

Personal experiences with "sales" mean nothing.


XYZZXYZZ - 2/6/2007 5:49:23 AM
+2 Boost
the thing is, bimmers and benzes are SO COMMON there, they just blend into the background.

naturally lexi will be more noticed.

that actually adds to MORE EXCLUSIVENESS. backed up by durability and RELIABILITY, it is inevitable their sales WILL GROW in europe.

the fact that ALL lexi are v6 or v8 engined, also ADDS to the distinctiveness and exclusiveness. (the IS 4 diesel excluded)


S4cabriofoxoneS4cabriofoxone - 2/5/2007 8:19:23 PM
0 Boost
I don't think Lexus will make it in Europe.

I don't think Lexus won't make it in Europe.


S4cabriofoxoneS4cabriofoxone - 2/6/2007 5:26:46 PM
0 Boost
I love how I get de-boosted for not saying anything good, or bad, about any carmaker.


wooodwoood - 2/6/2007 8:24:57 AM
+2 Boost
Profitability per unit sold.


S4cabriofoxoneS4cabriofoxone - 2/6/2007 5:27:46 PM
-1 Boost
"For Lexus to ever even reach the sales ranges of BMW and Mercedes..."

And Audi.

You have no idea how close the three are. Audi could surpass Mercedes in sales in the next five years... if not less.


XYZZXYZZ - 2/6/2007 6:17:16 AM
0 Boost
lexus has NO NEED to offer counters to the 1-Series, the A3, the A- and B-Classes,

there is TOYOTA to do that. and toyota ALSO has the advantage of RELIABLE ELECTRONICS and drivetrains.

only a matter of time before lexus + toyota become #1 in europe along with the rest of the planet.


S4cabriofoxoneS4cabriofoxone - 2/6/2007 5:28:54 PM
+2 Boost
German cars are held in high esteem in terms of reliability over in Europe.

Especially the UK.

In the latest "top ten most reliable cars in the UK" article, the A3, A4 and 3 Series were all on the list- and all were ahead of the Lexus IS.


RupertRupert - 2/6/2007 6:22:41 PM
+1 Boost
don't forget the passat.
and a honda accord claimed top spot.


enthusiastx11enthusiastx11 - 2/7/2007 12:44:34 AM
+2 Boost
don't think they'll be "number 1" in europe. europeans tend to be more demanding than american consumers in terms of 1) handling (which lexus is abysmal at delivering) and 2) style (which lexus lacks and is totally derivative in). on top of that, they don't offer cars that getting mileage anywhere near diesels.

they'll need new products to make it in europe as their current line was designed for the american market (where lexus has essentially usurped cadillac's 1980's position as the ultimate luxury car for the american masses).




enthusiastx11enthusiastx11 - 2/7/2007 12:44:42 AM
+2 Boost
don't think they'll be "number 1" in europe. europeans tend to be more demanding than american consumers in terms of 1) handling (which lexus is abysmal at delivering) and 2) style (which lexus lacks and is totally derivative in). on top of that, they don't offer cars that getting mileage anywhere near diesels.

they'll need new products to make it in europe as their current line was designed for the american market (where lexus has essentially usurped cadillac's 1980's position as the ultimate luxury car for the american masses).




AUTO_UNIONAUTO_UNION - 2/6/2007 11:57:35 AM
+2 Boost
People, have you ever been in Europe? There are very few lexus cars out there. You will see more bentleys than lexus cars.


RupertRupert - 2/6/2007 5:00:40 PM
+2 Boost
that is true.
i see more porsches than lexi, for sure.
i saw 1 LS last week, about 5 RXs. no others.
mercs, audis and bmws? loads.



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