Scion To Salvage Brand By Slotting In Below Lexus?

Scion To Salvage Brand By Slotting In Below Lexus?
The new lower-luxury niche includes Mini, the front-wheel-drive Mercedes-Benz CLA arriving this fall and Audi's compact A3 sedan shown last week on the eve of the New York auto show. Scion has gone after young entry-level buyers since its inception 10 years ago but has lost its early momentum.

"Everybody is looking at what direction Scion should go," said Jim Lentz, CEO of Toyota's North America Region. "We have to take a real hard look at what the future of the industry looks like strategically, and where we want Scion to play."

Scion, not Lexus, may be the way Toyota meets the new premium competition typified by the CLA, which will start at under $30,000, not including shipping. The Toyota brand, which has 18 nameplates, may be too product-heavy to compete in the mass market and join the entry-luxury fight as well.

And Lexus has refused to drop below the $30,000 price point.



Read Article

ScirosSciros - 4/1/2013 1:19:45 PM
0 Boost
Cool, seeing as I have no interest in Scion as-is, but they'll have their work cut out for them. The CLA sets the bar pretty high and Scion will have to fight its current reputation as the "cheap, reliable, but ugly as shit car for people in their early 20s." It can be done... not sure how. I just don't see how someone shopping for an "aspirational" (entry-level) BMW or Merc is going to walk into a Scion dealership, see an xB on the floor and not immediately walk out. So those will have to go entirely won't they.


Agent009Agent009 - 4/1/2013 2:00:03 PM
-4 Boost
Obviously trying to appeal to a generation not interested in a car isn't working out.

From the get go they really did nothing other other than attract older people and limited income individuals who want Toyota quality without paying Toyota prices.



thetruth01thetruth01 - 4/2/2013 12:13:18 PM
+2 Boost
wrong 009. they attracted 75% new Toyota customers and had the lowest average age in the industry. exactly what they set out to do.
i think this new positioning is great. think mini to BMW.


cidflekkencidflekken - 4/1/2013 3:57:45 PM
+1 Boost
Not a smart idea. Frankly, it's a stupid idea.


HughJassHughJass - 4/1/2013 4:45:38 PM
+2 Boost
Maybe turn it into a niche brand with unique cars that may be more expensive that they may not want to experiment as Toyotas.

Personally though, they should just axe Scion since they never really had anything that good except the tC.


222max222max - 4/1/2013 5:03:40 PM
+1 Boost
Scion never should have been in the first place. Everything that carries the Scion name would have done just fine as a Toyota. If anything, it would have made more sense to spin Prius off as a separate, alternative energy and innovation brand.


Agent009Agent009 - 4/1/2013 10:06:46 PM
-3 Boost
Sadly no


Dr550Dr550 - 4/2/2013 2:18:02 AM
-2 Boost
Lentz says Lexus does not want to drop below $30,000 because "we don't want to cheapen our cars." Can he explain the Lexus HS and CT. That was Lexus attempt to reach this lower end of the "premium" market. Lexus was designed for Toyota owners looking to move upmarket, so most already own or have owned a Toyota. Scion is another matter.


Dr550Dr550 - 4/2/2013 12:07:44 PM
0 Boost
These are opinions, not questions. The HS was discontinued and the CT sells around 1,000 units per month. Explain Lexus entry level strategy bright boy. Maybe the owners of the HS that spent $36,330 want to question the resale value of their cars.


thetruth01thetruth01 - 4/2/2013 12:19:03 PM
+1 Boost
if Lexus was serious about a race to the bottom, streets would be filled with CTs. 200h, 300h. They could have even made lower cost non-hybrid models. Their goal was about 1000 a month, exceeded every month. But for some reason, Lexus is not currently chasing volume. No small engine for the GS in the US is another good example. Maybe they have been planning this for awhile. The new FR-S certainly sparked a departure for Scion from cheap little cars to slightly more expensive and more premium feeling little cars. a la mini.
(I'll just ignore the HS, as I'm sure Lexus wishes they could have also.)


Dr550Dr550 - 4/2/2013 3:10:30 PM
0 Boost
Nice response. I think the bigger picture is reaching a younger demographic, age 25-35. We shall see how the strategies play out.


skytopskytop - 4/5/2013 5:19:10 AM
+1 Boost
Scion now has the hip design and engineering of the hyper aggressive Kia and Hyundai to contend with.
Unless Scion is very, very good to combat the S. Korean competition, they will evaporate.
Copyright 2026 AutoSpies.com, LLC