We shouldn't immediately question whether Lexus is heading in the wrong direction like a knee-jerk reaction. The suffering of Lexus sedans could be the result of what I call the 'Lost Generation' i.e. the first half of the 2010 where their sedan lineup did not receive meaningful updates. One thing they definitely mismanaged was the LS situation: the 'bean counters' couldn't justify a more thorough update for the 4.5LS and as a result the model faded into obscurity, forcing the 5LS to fight a very hard uphill battle. That shouldn't be as big a problem if the 5LS was released in time for 2016, but it ended up delayed by two years. The SUV boom hit at the right moment and any problem with their sedan lineup becomes even more exaggerated. It takes a few years for those negative decisions to fully take effect, and we shouldn't be surprised if their sedan situation is worse than ever. On the other hand, BMW's sedans got hit less hard by the SUV boom today because of what they did in the past, in particular the 'Golden Generation' which first took advantage of downsizing.
But it does not mean what they do now will not improve the situation (with a delay). The 5LS has all the correct ingredients for success: a refreshing look, competent powertrain lineup that fits the segment (especially considering the value), and unmatched interior quality. Who knows, the 5LS may enjoy a short period of success after 2019, before it gets inevitably destroyed by the LF-1.
I'm not entirely convinced that 5LS sold only 768 in June due to SUV purchases.
Because the current model S Class with its higher price tag debut with 1914, 1907 & 1857 sales in its initial months, and in its first full year, the current model S Class sold over 24,000 units USA - averaging over 2,000 units/month.
Even today, the S Class is 5 years old with 1569, 1369, 1627, 1535, 1169 & 1156 units sold so far this year.
Keep in mind that on debut, ALL previous generations of LS's including 1LS, 2LS, 3LS & 4LS's have ALWAYS outsold the more expensive Mercedes S Class.
The 5LS is the only LS in Lexus history on debut, to have ever undersold the Mercedes S Class sedans.
I saw a new 5LS the other day in person, and I suspect it's more a styling issue, and maybe a styling & front mid-engine issue than anything else.
The 7ES hasn't been released, yet the styling and public reception has been so good.
Unlike the 7ES, the 5LS on the otherhand didn't get off to as good a styling reception.
President Akio races his Maserati at the Nurburgring, and the Quattroporte has a front mid-engine with the front wheels a long way away from the front door, but there is proportionately a shorter front overhang.
On the other hand, the 5LS also has a front mid-engine with the front wheels a long way forward of the front door, but I find that the 5LS's front overhang is way too long for my tastes; with a front mid-engine layout, the front overhang should be shorter.
Also the 5LS ends up with a rather liftback like rear end, compared to the Quattroporte's more conventional trunk.
To a lesser extent, the front mid-engine layout also impacts on the 5LS's shorter cabin & interior space, compared to the old LS460L.
The 5LS is certainly a smaller interior, but I think the styling affects the car more than the interior space.
Look at the forthcoming 7ES.
President Akio's aim is to make no more boring cars.
Yet the well styled FWD 7ES doesn't need RWD, let alone a front mid-engine to succeed; why then must a 5LS have a front mid-engine to succeed?
Something that will ultimately impact on its styling, and its compromized cabin length.
The all new next generation Mercedes S Class is less than 2 years away, and I'm not convinced that it will only sell 789 units in its initial months.
I'm shocked that the 5LS cannot hold the Lexus tradition of outselling S Classes on debut.
I believe that it is very wrong to style and design a car poorly, watch sales plummet, and then axe the sedan altogether - citing that sedan sales are falling due to SUV sales.
Why not accept that the sedan wasn't well styled, or not as well designed - rather than blaming it on SUV sales?
Sadly, I see people blaming my 4GS 2012 poor sales falling to 22k units [from 3GS's 33.5k] due to SUV's, when back in 2012/13, the BMW 5 Series maintained its previous annual peak sales 57k/year peak, while in 2012, the E Class actually increased it previous 2002-09 Series peak sales of 59k/year to 2012 & 2013's 69k/year.
4GS sales didn't fall due to SUV's, because 5 Series maintained its 57k/year peak sales, while the E Class actually increased its peak sales to 69k units/year!
IMO, I thought that my 4GS didn't sell as well as my 3GS or even 2GS, because the 4GS was bit boxy with a rather bland rear end, bland dash, and perhaps the base model's suspension was too firmly sprung & damped, because the base model with luxury pack used exactly the same spring and damper part numbers - perhaps it would have been better if the base and the F Sport used different spring & damper part numbers for a more compliant ride on the base/luxury model.
I love the styling of the RX, and I can understand why it is currently America's biggest selling luxury motor vehicle with nearly 110k/year - despite my personal belief that the current RX uses too low a profile noisy tires, with damping that is too firm & tiring; scientifically, firm damping is more rebound control with a high frequency of vertical oscillations, as opposed to a floaty ride which is less rebound control with a lower frequency of vertical oscillations.
However, I am unconvinced of the forthcoming Lexus LF-1's styling.
My prediction is that the new very attractively styled 7ES will sell very well - and that's despite the fact that the new low center of gravity Camry is actually smaller inside than the outgoing 2011-17 model - despite manufacturers constantly quoting that their new model has a longer wheelbase and is more spacious inside!
I believe that styling is very important in sales threads & sales success....