Lexus Refuses To Go Further Downmarket To Compete With Mercedes

Lexus has been busy lately, releasing new models like the UX CUV, and trademarking new names like LM350 and 350h. Speaking to Wards Auto, Jeff Bracken, executive advisor to Toyota North America’s Lexus Division, answered questions about the brand and how it will fit in the US market in the coming years. When asked about an electric vehicle from Lexus, Bracken said "There has been no official announcement, but I would say that we would eventually have an electrified option. It could be a plug-in hybrid, an EV or a fuel-cell vehicle."
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TomM - 7/2/2018 11:08:02 AM

-9 Boost

Lexus is not on the same level as Mercedes to Begin with - they are a step below - with Infiniti - Acura - Volvo- and others. The idea that they THINK they compete with Mercedes simply is laughable.

ilovecar2015 - 7/2/2018 11:17:48 AM

+2 Boost

Key word Tom, "downmarket", that means A-Class, CLA etc...

MDarringer - 7/2/2018 4:41:24 PM

+3 Boost

TomM your 1955 view of the world is what is laughable.

TomM - 7/2/2018 5:36:37 PM

-7 Boost

Lexus is a producer of NEAR Luxury cars - that simply do not have the prestige of a Mercedes.

Their Big sellers - are a Front WHeel Drive sedan based on the Toyota Avalon - and a 4x4 based on the Toyota Highlander.

ANd Lexus did not exist in 1955

Today - a Lexus is simply the Older richer mans Toyota. It competes with Infiniti - Acura -Volvo - Buick- Audi - and a number of other WANNA be brands that never quite made it to the top. THAT is the reality.

cidflekken - 7/2/2018 12:31:48 PM

+2 Boost

"Further downmarket". That's called "Toyota". LOL

Mercedes does not have a "sub-$30K" model. The CLA and GLA both start at around $33K. The NX is priced at $36K and the UX will undercut that, so it will be in the same market as Mercedes lowest SUV.

ilovecar2015 - 7/2/2018 1:55:22 PM

+2 Boost

@Ciflek, that's the whole point of their argument, they will sell it as Toyotas. Unlike MB, who will gladly try to use their MB brand on those low end models as if they are giving consumers something MB's worthy.

cidflekken - 7/2/2018 5:39:48 PM

0 Boost

No, the whole point is they're claiming that MB is more downmarket than they are, whereas in reality, they are in the same segment with the upcoming UX and they were with the previous CT250 (or whatever it was called). So claiming anyone else is further downmarket than themselves is hypocritical.

USNA1999 - 7/2/2018 5:20:02 PM

0 Boost

And still LEXUS continues to chase MB in the US and worldwide regardless if they go or don't want to go down market. It would be a great plan for LEXUS since most of their volume leaders are small SUV/CUVs and its easy just to switch badges on a RAV4 or Highlander and call it a LEXUS. By the way, I have seen lots of GS models as taxis here in France usually only see them in Asia.

ilovecar2015 - 7/3/2018 9:48:17 AM

+1 Boost

Cidflek, Lexus was talking about MB's global line up, as in A-Class, B-Class which went down market, not just U.S market. But agreed, why keep bring this up because MB high-end is a lot more expensive than Lexus high-end (LC is their top at near $100k).

Dr550 - 7/3/2018 2:33:44 PM

+2 Boost

Lexus already went "downmarket" with the HS and CT.

MrEE - 7/4/2018 9:54:24 PM

+1 Boost

The small MB models are substantial in Europe and as are taxi sales.