Lexus Complete Lease Program to Debut with UX Crossover

Posted by Kevin on September 14th, 2018

The Lexus UX will be available with a new leasing program when it arrives in American dealerships later this year. Called Lexus Complete Lease, the new program will be a two-year lease that includes both insurance and maintenance in the price.

The Complete Lease program will launch in Boston, Chicago, Los Angeles & Miami before expanding into other markets. There is no vehicle “swapping”, so leasers will remain in the same UX through the two years. Mileage is limited to 20,000 miles in total.

This pilot is just the beginning for alternative vehicle “ownership” programs from Lexus — Digital Trends spoke with USA general manager of product and consumer marketing Cynthia Tenhouse:

“We are studying other subscription, ride-sharing, and car-sharing options as well. This is our first entry,” [Lexus’ general manager of product and consumer marketing Cynthia] Tenhouse hinted. She stopped short of revealing what else Lexus is looking at. And, while only UX customers will be eligible to sign up for Lexus Complete Lease when the program launches, there’s a strong chance it will become available on other models in the coming months or years.

“We will expand it,” affirmed Tenhouse. When and in which direction will largely depend on how buyers respond to the idea of selecting a car like they choose a smartphone.

Lexus UX: First Generation
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Comments
T
GTG
It’s here !! Hip hip hooray!! Now in two or three years, it along with the rest will kill car rentals and merge insurance companies ,but it will be a move to stay current in the car market and keep customers. I think that this coming to Lexus will keep all ,even me , who lease multiple cars . Price low UX 350 to 400 please ! That would be the best start coming out the gate for Lexus. Merry Christmas to New UX OWNERS !
$350-400 USD? Seems a bit optimistic, especially if it includes insurance (still tbd from Lexus), but I wouldn't turn that down :). I doubt it will mess too much with the insurance industry model. It may bolster the few that end up as partners in these kinds of arrangements, however. If you look at the model Volvo is adopting, the insurance is essentially outsourced to Liberty Mutual for a flat rate that's included in the monthly price. You also have to qualify for it, which makes perfect sense, since you can't offer the same flat rate insurance to someone who has a terrible driving record, credit, and whatever else they might use to determine a normal rate. I expect the "car subscription" idea to have quite a few variations/tweaks over the next few years, assuming that it sticks around.
GTG
  • GTG
    GTG
  • March 27, 2018
I believe that 350 to 400 would be the right area Lexus would need to be with this subscription. If it was 500 max, then okay . The Volvo XC 40 is a bigger vehicle than the UX . Thats why my variation is lower than 600 to 700 which is the cost of the XC40 . At the time the UX comes out , it will be a top seller because of December. You are right there will be more changes to come to the subscription service or services. The December to remember sale will also come with incentives. XC40 subscription service has zero down , if Lexus adopted this with a lower price , there winning. I live in New York City and more for less is big here especially when the price for something is less than 500 then it really becomes affordable here, plus it would fit anywhere you park it . 11 million people live in this city and about 6 million have a license just in the city . Every thing cost more here , so a flat and low free , oh fee, that Newyorkers or any other major city can get with out paying an arm and a leg in insurance would be great . I have seen some people’s car insurance here and it is out of this world .
GTG
  • GTG
    GTG
  • March 27, 2018
I believe that 350 to 400 would be the right area Lexus would need to be with this subscription. If it was 500 max, then okay . The Volvo XC 40 is a bigger vehicle than the UX . Thats why my variation is lower than 600 to 700 which is the cost of the XC40 . At the time the UX comes out , it will be a top seller because of December. You are right there will be more changes to come to the subscription service or services. The December to remember sale will also come with incentives. XC40 subscription service has zero down , if Lexus adopted this with a lower price , there winning. I live in New York City and more for less is big here especially when the price for something is less than 500 then it really becomes affordable here, plus it would fit anywhere you park it . 11 million people live in this city and about 6 million have a license just in the city . Every thing cost more here , so a flat and low free , oh fee, that Newyorkers or any other major city can get with out paying an arm and a leg in insurance would be great . I have seen some people’s car insurance here and it is out of this world .
GTG
  • GTG
    GTG
  • March 27, 2018
I believe that 350 to 400 would be the right area Lexus would need to be with this subscription. If it was 500 max, then okay . The Volvo XC 40 is a bigger vehicle than the UX . Thats why my variation is lower than 600 to 700 which is the cost of the XC40 . At the time the UX comes out , it will be a top seller because of December. You are right there will be more changes to come to the subscription service or services. The December to remember sale will also come with incentives. XC40 subscription service has zero down , if Lexus adopted this with a lower price , there winning. I live in New York City and more for less is big here especially when the price for something is less than 500 then it really becomes affordable here, plus it would fit anywhere you park it . 11 million people live in this city and about 6 million have a license just in the city . Every thing cost more here , so a flat and low free , oh fee, that Newyorkers or any other major city can get with out paying an arm and a leg in insurance would be great . I have seen some people’s car insurance here and it is out of this world .
krew
corradoMR2
I expect in Canada to pay ~$600/mth tax in, $0 down on a 48 mth lease, for a top trim F Sport. I'd consider it if the subscription would be up to $700-$750.
Those prices would be in line with what I consider a "reasonable" price in Canada.

(PS. I do not have any insider info. I don't even know if subscriptions are coming to Lexus Canada.)
krew
corradoMR2
I expect in Canada to pay ~$600/mth tax in, $0 down on a 48 mth lease, for a top trim F Sport. I'd consider it if the subscription would be up to $700-$750.
Those prices would be in line with what I consider a "reasonable" price in Canada.

(PS. I do not have any insider info. I don't even know if subscriptions are coming to Lexus Canada.)
krew
corradoMR2
I expect in Canada to pay ~$600/mth tax in, $0 down on a 48 mth lease, for a top trim F Sport. I'd consider it if the subscription would be up to $700-$750.
Those prices would be in line with what I consider a "reasonable" price in Canada.

(PS. I do not have any insider info. I don't even know if subscriptions are coming to Lexus Canada.)
L
GTG
It’s here !! Hip hip hooray!! Now in two or three years, it along with the rest will kill car rentals and merge insurance companies ,but it will be a move to stay current in the car market and keep customers. I think that this coming to Lexus will keep all ,even me , who lease multiple cars . Price low UX 350 to 400 please ! That would be the best start coming out the gate for Lexus. Merry Christmas to New UX OWNERS !
No way it kills rentals, on the contrary rentals will quite probably increase and be cheaper. With rentals you can have a nice car for a few days without long-term contract. I doubt manufacturers 'flat rate' will be as easily cancelable -- on a monthly basis after first month with addition charges -- as Netflix or Spotify.
L
GTG
It’s here !! Hip hip hooray!! Now in two or three years, it along with the rest will kill car rentals and merge insurance companies ,but it will be a move to stay current in the car market and keep customers. I think that this coming to Lexus will keep all ,even me , who lease multiple cars . Price low UX 350 to 400 please ! That would be the best start coming out the gate for Lexus. Merry Christmas to New UX OWNERS !
No way it kills rentals, on the contrary rentals will quite probably increase and be cheaper. With rentals you can have a nice car for a few days without long-term contract. I doubt manufacturers 'flat rate' will be as easily cancelable -- on a monthly basis after first month with addition charges -- as Netflix or Spotify.
L
GTG
It’s here !! Hip hip hooray!! Now in two or three years, it along with the rest will kill car rentals and merge insurance companies ,but it will be a move to stay current in the car market and keep customers. I think that this coming to Lexus will keep all ,even me , who lease multiple cars . Price low UX 350 to 400 please ! That would be the best start coming out the gate for Lexus. Merry Christmas to New UX OWNERS !
No way it kills rentals, on the contrary rentals will quite probably increase and be cheaper. With rentals you can have a nice car for a few days without long-term contract. I doubt manufacturers 'flat rate' will be as easily cancelable -- on a monthly basis after first month with addition charges -- as Netflix or Spotify.
S
  • S
    S10
  • March 27, 2018
Levi
This trend might indicate people get poorer, but still want to profit from the latest. Also probably because people do not rely on the longevity of new products and also do not want to get left behind if their car is banned from cities of BEVs take over. It could also indicate people live in the present moment (short-term) and do not think about the future and what consequences it might have on their life, they are therefore not prepared for any hardships, should they occur.

Furthermore it indicates people are ready to pay their whole life for a service, they can't afford, rather than save or take debt for a certain time, because they consider the current economy unstable.
I think it indicates a shift from owning a product to paying for a service. The car industry is becoming more and more a service industry, This is only one of the steps in that direction. Car sharing, autonomous driving are other steps in the same direction.
S
  • S
    S10
  • March 27, 2018
Levi
This trend might indicate people get poorer, but still want to profit from the latest. Also probably because people do not rely on the longevity of new products and also do not want to get left behind if their car is banned from cities of BEVs take over. It could also indicate people live in the present moment (short-term) and do not think about the future and what consequences it might have on their life, they are therefore not prepared for any hardships, should they occur.

Furthermore it indicates people are ready to pay their whole life for a service, they can't afford, rather than save or take debt for a certain time, because they consider the current economy unstable.
I think it indicates a shift from owning a product to paying for a service. The car industry is becoming more and more a service industry, This is only one of the steps in that direction. Car sharing, autonomous driving are other steps in the same direction.
S
  • S
    S10
  • March 27, 2018
Levi
This trend might indicate people get poorer, but still want to profit from the latest. Also probably because people do not rely on the longevity of new products and also do not want to get left behind if their car is banned from cities of BEVs take over. It could also indicate people live in the present moment (short-term) and do not think about the future and what consequences it might have on their life, they are therefore not prepared for any hardships, should they occur.

Furthermore it indicates people are ready to pay their whole life for a service, they can't afford, rather than save or take debt for a certain time, because they consider the current economy unstable.
I think it indicates a shift from owning a product to paying for a service. The car industry is becoming more and more a service industry, This is only one of the steps in that direction. Car sharing, autonomous driving are other steps in the same direction.
M
To me subscription means I get to hot swap the vehicles like Porsche of Atlanta is doing. Everything else is a tart up lease.
M
To me subscription means I get to hot swap the vehicles like Porsche of Atlanta is doing. Everything else is a tart up lease.
M
To me subscription means I get to hot swap the vehicles like Porsche of Atlanta is doing. Everything else is a tart up lease.
S
GTG
I believe that 350 to 400 would be the right area Lexus would need to be with this subscription. If it was 500 max, then okay . The Volvo XC 40 is a bigger vehicle than the UX . Thats why my variation is lower than 600 to 700 which is the cost of the XC40 . At the time the UX comes out , it will be a top seller because of December. You are right there will be more changes to come to the subscription service or services. The December to remember sale will also come with incentives. XC40 subscription service has zero down , if Lexus adopted this with a lower price , there winning. I live in New York City and more for less is big here especially when the price for something is less than 500 then it really becomes affordable here, plus it would fit anywhere you park it . 11 million people live in this city and about 6 million have a license just in the city . Every thing cost more here , so a flat and low free , oh fee, that Newyorkers or any other major city can get with out paying an arm and a leg in insurance would be great . I have seen some people’s car insurance here and it is out of this world .
It is not going to be cheaper than Volvo that costs about the same. It is not going to be cheaper than you getting a great lease deal and good insurance deal on your own.

Otherwise they would not be doing it... it is an value added service.
S
GTG
I believe that 350 to 400 would be the right area Lexus would need to be with this subscription. If it was 500 max, then okay . The Volvo XC 40 is a bigger vehicle than the UX . Thats why my variation is lower than 600 to 700 which is the cost of the XC40 . At the time the UX comes out , it will be a top seller because of December. You are right there will be more changes to come to the subscription service or services. The December to remember sale will also come with incentives. XC40 subscription service has zero down , if Lexus adopted this with a lower price , there winning. I live in New York City and more for less is big here especially when the price for something is less than 500 then it really becomes affordable here, plus it would fit anywhere you park it . 11 million people live in this city and about 6 million have a license just in the city . Every thing cost more here , so a flat and low free , oh fee, that Newyorkers or any other major city can get with out paying an arm and a leg in insurance would be great . I have seen some people’s car insurance here and it is out of this world .
It is not going to be cheaper than Volvo that costs about the same. It is not going to be cheaper than you getting a great lease deal and good insurance deal on your own.

Otherwise they would not be doing it... it is an value added service.
S
GTG
I believe that 350 to 400 would be the right area Lexus would need to be with this subscription. If it was 500 max, then okay . The Volvo XC 40 is a bigger vehicle than the UX . Thats why my variation is lower than 600 to 700 which is the cost of the XC40 . At the time the UX comes out , it will be a top seller because of December. You are right there will be more changes to come to the subscription service or services. The December to remember sale will also come with incentives. XC40 subscription service has zero down , if Lexus adopted this with a lower price , there winning. I live in New York City and more for less is big here especially when the price for something is less than 500 then it really becomes affordable here, plus it would fit anywhere you park it . 11 million people live in this city and about 6 million have a license just in the city . Every thing cost more here , so a flat and low free , oh fee, that Newyorkers or any other major city can get with out paying an arm and a leg in insurance would be great . I have seen some people’s car insurance here and it is out of this world .
It is not going to be cheaper than Volvo that costs about the same. It is not going to be cheaper than you getting a great lease deal and good insurance deal on your own.

Otherwise they would not be doing it... it is an value added service.
T
spwolf
It is not going to be cheaper than Volvo that costs about the same. It is not going to be cheaper than you getting a great lease deal and good insurance deal on your own.

Otherwise they would not be doing it... it is an value added service.
Agreed, with the only caveat being that the insurance portion of it might end up being cheaper if you live in an area with extraordinarily high insurance rates. There’s nothing to say that they may not offer the program in such cases either. At the end of the day, it’s really just a modified take on leasing. They still have to cover any costs of depreciation and make sure there’s plenty of profit built in. If it’s anything like Volvo as well, you don’t really get a chance to negotiate on price.
T
spwolf
It is not going to be cheaper than Volvo that costs about the same. It is not going to be cheaper than you getting a great lease deal and good insurance deal on your own.

Otherwise they would not be doing it... it is an value added service.
Agreed, with the only caveat being that the insurance portion of it might end up being cheaper if you live in an area with extraordinarily high insurance rates. There’s nothing to say that they may not offer the program in such cases either. At the end of the day, it’s really just a modified take on leasing. They still have to cover any costs of depreciation and make sure there’s plenty of profit built in. If it’s anything like Volvo as well, you don’t really get a chance to negotiate on price.
T
spwolf
It is not going to be cheaper than Volvo that costs about the same. It is not going to be cheaper than you getting a great lease deal and good insurance deal on your own.

Otherwise they would not be doing it... it is an value added service.
Agreed, with the only caveat being that the insurance portion of it might end up being cheaper if you live in an area with extraordinarily high insurance rates. There’s nothing to say that they may not offer the program in such cases either. At the end of the day, it’s really just a modified take on leasing. They still have to cover any costs of depreciation and make sure there’s plenty of profit built in. If it’s anything like Volvo as well, you don’t really get a chance to negotiate on price.
krew
More on the Lexus UX Subscription Service Planned for USA

[​IMG]

Lexus also predicts 20k UX sales a year in the USA.
View the original article post
krew
More on the Lexus UX Subscription Service Planned for USA

[​IMG]

Lexus also predicts 20k UX sales a year in the USA.
View the original article post
krew
More on the Lexus UX Subscription Service Planned for USA

[​IMG]

Lexus also predicts 20k UX sales a year in the USA.
View the original article post
zeusus
And of course 20k UX projection is super conservative. Could the UX put Lexus to #1?

For the Lexus subscription model, makes a ton of sense to get more customer satisfaction style usage out of the cars already being loaner'd out anyways. Most people getting this plan, I assume is going to be young since thats who they are targeting (the sharing economy).

Thoughts?
zeusus
And of course 20k UX projection is super conservative. Could the UX put Lexus to #1?

For the Lexus subscription model, makes a ton of sense to get more customer satisfaction style usage out of the cars already being loaner'd out anyways. Most people getting this plan, I assume is going to be young since thats who they are targeting (the sharing economy).

Thoughts?
zeusus
And of course 20k UX projection is super conservative. Could the UX put Lexus to #1?

For the Lexus subscription model, makes a ton of sense to get more customer satisfaction style usage out of the cars already being loaner'd out anyways. Most people getting this plan, I assume is going to be young since thats who they are targeting (the sharing economy).

Thoughts?
GTG
  • GTG
    GTG
  • April 10, 2018
I saw someone say the NX is cheaper than the XC40 , no it’s not on a lease . The lease price is different from what I was talking about . The price that I was talking about was including full coverage insurance for the subscription . Let’s remember that no money down is savings and that could be what you pay for the car for a year so you are already saving money . Leasing only saves money if your credit is 760 to 800 and whatever, so your down payment is less added with a relationship with the brand and time of year with the model you want . It would be less hassle to do a subscription but you still need good credit .
GTG
  • GTG
    GTG
  • April 10, 2018
I saw someone say the NX is cheaper than the XC40 , no it’s not on a lease . The lease price is different from what I was talking about . The price that I was talking about was including full coverage insurance for the subscription . Let’s remember that no money down is savings and that could be what you pay for the car for a year so you are already saving money . Leasing only saves money if your credit is 760 to 800 and whatever, so your down payment is less added with a relationship with the brand and time of year with the model you want . It would be less hassle to do a subscription but you still need good credit .

G