Lexus April 2018 Sales Report

[Gecko]

But LX does sell well... they sold over 30k LX's last year worldwide.

Sure FT-1 is going to be awesome, but they are selling LX really well for what it is. And GX also sells really well in the USA.

Combined they sell 8% of Lexus sales worldwide.

FT-1 is going to fit well in specific markets, but not all markets. Strongest markets for LX will not touch LF-1.

It is not just models, but also options, as @mikeavelli, @ssun30 and @maiaramdan mention. I have known several people who have crossed RX and NX off the shopping list because there are no higher performance models offered. There is a big market for a higher horsepower RX. It looks so aggressive that there are a number of people expecting performance credentials to back it up. NX appeals to a younger demographic, and those with money want more power, quad exhaust, more lavish interior, responsive handling, etc.

I think this is the fault of two things: old hardware and platforms that probably can't support higher performance applications, and Lexus being typically slow to respond. Also, quite frankly, Lexus may have no idea what they're doing or how to do it when it comes to high performance FWD or AWD applications. Myself and others were hoping for an AWD ES to give us details on a potential higher performance AWD system, but that didn't happen. I want to hope that TNGA can support a few 350-450hp applications, and being so rigid, it should be able to. However, the missing ingredient is an active, performance-oriented AWD system.

Next gen NX 300 should have something like ~275hp 2.0T, 215hp hybrid option and then a ~375hp V6 NX F.

Next gen RX should have 275hp 2.0T, ~300hp hybrid option, ~340hp V6 and then a 400-425hp V6 RX F.

Those numbers are really far below what competitors offer, but I also don't personally think much more performance than that is necessary in an SUV, and I believe Lexus probably knows that.

Also, Lexus is lucky that GX sells so well here but it truly is a niche product now. X5, GLE and GLS are all very old. Jag has no flagship SUV, Q7 is fairly bland and boring, Cadillac has nothing, Infiniti has nothing. If Lexus produced LF-1 and it could be on the road within ~12 months, they would be incredibly successful. The only credible, desirable vehicle in this segment is the Cayenne, and maybe the Levante.

Gas prices are starting to go up again also - how much and for how long, no idea. But I am hoping Lexus doesn't miss the window of opportunity for the LF-1 because they sit on their hands for too long.

Also, what has taken so long with LX? We are now approaching the 11th model year for this generation. Lexus has done a good job at updating it, but we are really out of updates at this point with new G Class, Bentayga, X7, etc.

 

[RAL]

It is not just models, but also options, as @mikeavelli, @ssun30 and @maiaramdan mention. I have known several people who have crossed RX and NX off the shopping list because there are no higher performance models offered. There is a big market for a higher horsepower RX. It looks so aggressive that there are a number of people expecting performance credentials to back it up. NX appeals to a younger demographic, and those with money want more power, quad exhaust, more lavish interior, responsive handling, etc.

I think this is the fault of two things: old hardware and platforms that probably can't support higher performance applications, and Lexus being typically slow to respond. Also, quite frankly, Lexus may have no idea what they're doing or how to do it when it comes to high performance FWD or AWD applications. Myself and others were hoping for an AWD ES to give us details on a potential higher performance AWD system, but that didn't happen. I want to hope that TNGA can support a few 350-450hp applications, and being so rigid, it should be able to. However, the missing ingredient is an active, performance-oriented AWD system.

Next gen NX 300 should have something like ~275hp 2.0T, 215hp hybrid option and then a ~375hp V6 NX F.

Next gen RX should have 275hp 2.0T, ~300hp hybrid option and then a 400-425hp V6 RX F.

Those numbers are really far below what competitors offer, but I also don't personally think much more performance than that is necessary in an SUV, and I believe Lexus probably knows that.

Also, Lexus is lucky that GX sells so well here but it truly is a niche product now. X5, GLE and GLS are all very old. Jag has no flagship SUV, Q7 is fairly bland and boring, Cadillac has nothing, Infiniti has nothing. If Lexus produced LF-1 and it could be on the road within ~12 months, they would be incredibly successful. The only credible, desirable vehicle in this segment is the Cayenne, and maybe the Levante.

Gas prices are starting to go up again also - how much and for how long, no idea. But I am hoping Lexus doesn't miss the window of opportunity for the LF-1 because they sit on their hands for too long.

Also, what has taken so long with LX? We are now approaching the 11th model year for this generation. Lexus has done a good job at updating it, but we are really out of updates at this point with new G Class, Bentayga, X7, etc.

Amen, Amen, and AMEN!!!!!

 

[Gecko]

It is not just models, but also options, as @mikeavelli, @ssun30 and @maiaramdan mention. I have known several people who have crossed RX and NX off the shopping list because there are no higher performance models offered. There is a big market for a higher horsepower RX. It looks so aggressive that there are a number of people expecting performance credentials to back it up. NX appeals to a younger demographic, and those with money want more power, quad exhaust, more lavish interior, responsive handling, etc.

I think this is the fault of two things: old hardware and platforms that probably can't support higher performance applications, and Lexus being typically slow to respond. Also, quite frankly, Lexus may have no idea what they're doing or how to do it when it comes to high performance FWD or AWD applications. Myself and others were hoping for an AWD ES to give us details on a potential higher performance AWD system, but that didn't happen. I want to hope that TNGA can support a few 350-450hp applications, and being so rigid, it should be able to. However, the missing ingredient is an active, performance-oriented AWD system.

Next gen NX 300 should have something like ~275hp 2.0T, 215hp hybrid option and then a ~375hp V6 NX F.

Next gen RX should have 275hp 2.0T, ~300hp hybrid option and then a 400-425hp V6 RX F.

Those numbers are really far below what competitors offer, but I also don't personally think much more performance than that is necessary in an SUV, and I believe Lexus probably knows that.

Also, Lexus is lucky that GX sells so well here but it truly is a niche product now. X5, GLE and GLS are all very old. Jag has no flagship SUV, Q7 is fairly bland and boring, Cadillac has nothing, Infiniti has nothing. If Lexus produced LF-1 and it could be on the road within ~12 months, they would be incredibly successful. The only credible, desirable vehicle in this segment is the Cayenne, and maybe the Levante.

Gas prices are starting to go up again also - how much and for how long, no idea. But I am hoping Lexus doesn't miss the window of opportunity for the LF-1 because they sit on their hands for too long.

Also, what has taken so long with LX? We are now approaching the 11th model year for this generation. Lexus has done a good job at updating it, but we are really out of updates at this point with new G Class, Bentayga, X7, etc.

I've never quoted my own post, but the other issue here is that Lexus truly has no idea how to sell high performance/niche cars like this - it's something the Germans are very good at. Lexus says, "Lets stock some NXs, RXs and ESs in basic color combinations because we know they'll sell quickly."

Mercedes, BMW and Audi say, "Let me talk you into the higher end model, a higher spec package, more options, lets at least take the high performance model for a test drive, have you thought about moving up a class?" etc. They lead with all of the performance, tech and design features that make you think you're buying something really superior, even if you end up settling for something lesser. This is how they sell more AMG, M and RS cars... thus the OEMs continuing to invest in new variants and trims.

Lexus is happy to sell you whatever is on the lot and keep it moving so they can sell a black/black RX to the next person who walks in the door in 35 minutes.

This is how the GS died in America. Lexus will have a lot of work to do in educating and incentivizing their dealer body to sell cars above the $60k price point, especially high performance models.

 

[maiaramdan]

@Gecko
+1 bro, you nailed it
I keep asking myself if the previous smaller Rav4 handled the V6, why the newer luxurious NX can't get one? , I really hope they put the normal 3.5 v6 with 300+hp & if so, Lexus will gain a lot from the crowd who always eyed the lux-sporty ute, with this move Lexus will be among the European league, the thing that Lexus always suffered from

 

[ssun30]

If Lexus produced LF-1 and it could be on the road within ~12 months, they would be incredibly successful. The only credible, desirable vehicle in this segment is the Cayenne, and maybe the Levante.

Gas prices are starting to go up again also - how much and for how long, no idea. But I am hoping Lexus doesn't miss the window of opportunity for the LF-1 because they sit on their hands for too long.

Also, what has taken so long with LX? We are now approaching the 11th model year for this generation. Lexus has done a good job at updating it, but we are really out of updates at this point with new G Class, Bentayga, X7, etc.

The thing that sucks is, they have already missed that window of opportunity. LF-1 isn't coming in 12 months. They reacted too slow. The LF-1 will launch with a dozen competitors in a cut-throat segment. Their high-end crossover situation is very, very bad.

Lexus is happy to sell you whatever is on the lot and keep it moving so they can sell a black/black RX to the next person who walks in the door in 35 minutes.

This is how the GS died in America. Lexus will have a lot of work to do in educating and incentivizing their dealer body to sell cars above the $60k price point, especially high performance models.

You nailed it. The worst thing about the ES is that it's a very successful product alone, but at the cost of the brand. It's a very disruptive product with a huge value advantage in the mid-size luxury sedan segment. Nothing offers similar amount of features, quality, and engine at such a low price. That's where the success comes from. Obviously it dominates the lower end of the segment, but it deals a huge amount of collateral damage to Lexus itself as well as other Toyota products. It results in a huge financial success, but also limited potential of greater success for the brand.

 

[Gecko]

You nailed it. The worst thing about the ES is that it's a very successful product alone, but at the cost of the brand. It's a very disruptive product with a huge value advantage in the mid-size luxury sedan segment. Nothing offers similar amount of features, quality, and engine at such a low price. That's where the success comes from. Obviously it dominates the lower end of the segment, but it deals a huge amount of collateral damage to Lexus itself as well as other Toyota products. It results in a huge financial success, but also limited potential of greater success for the brand.

 

[maiaramdan]

You nailed it. The worst thing about the ES is that it's a very successful product alone, but at the cost of the brand. It's a very disruptive product with a huge value advantage in the mid-size luxury sedan segment. Nothing offers similar amount of features, quality, and engine at such a low price. That's where the success comes from. Obviously it dominates the lower end of the segment, but it deals a huge amount of collateral damage to Lexus itself as well as other Toyota products. It results in a huge financial success, but also limited potential of greater success for the brand.

That's why from maybe even 15 years ago I wanted Lexus to kill the ES
Now because of only single model Toyota putting 6 other models in danger

1)Avalon which if the ES deleted can be enter easily into the premium category

2)Camry will turn to be a real A4/A6 fighter

Maybe even both Camry & Avalon can put the AWD found in the Sienna

3)GS will always lived to be the midsized warrior and its already the best in class regarding the handling even after those years

4)IS will always have a space to be lengthened and be with its own category regarding the rear leg space

5)Mark-X the always nostalgic Toyota sport sedans and successor to one of the first 4 door coupe with the Chaser, still until now no clear word what will happen to it

6)Crown maybe settled as a true Toyota international flagship and be in the size between LS & GS in TMC lineup

All of this done and scraped, ruined for ever because they don't want to let go for only one stupid nameplate

 

[Ian Schmidt]

I'm gonna lift Mike's point from the Ford thread: if half of the people kvetching about the GS had actually bought one it wouldn't be going away.

 

[ssun30]

I'm gonna lift Mike's point from the Ford thread: if half of the people kvetching about the GS had actually bought one it wouldn't be going away.

And I was among the guilty bunch, well not really. I didn't want to spend that much for the GS460 so I went for the safer option. The ES is still my personal favorite.

 

[maiaramdan]

I'm gonna lift Mike's point from the Ford thread: if half of the people kvetching about the GS had actually bought one it wouldn't be going away.

And if I am from those whom not bought 1 or 3 GSs but 5, who now will give me what I always buy!!!

 

[F1 Silver Arrows]

I see there are people who are rooting for the ES to get eliminated. I don't want it to however. The ES is a huge sweetheart for Lexus and many customers. The solution that I think is plausible is that they revamp the ES to a GS platform. We have been saying this for forever. ES fights E-Class/A6, GS fights CLS-Class/A7. There is still a huge market, and quite enough room for the GS, ES and IS to move upmarket.

- Position the IS more to ES pricing --> will give them more room to make it much more improved and an overall better car than what it is. I do realize it is only a few thousand dollars difference, but if they can offer more with just a few thousand, added to improved structure, engines, transmissions, driveline, interior, infotainment, wheelbase, then I think it is completely justifiable.

- The biggest change is for the ES to shoot even higher than what the IS is shooting for. The ES won't get as pricey as the current GS (because this segment would not command as much as the segment the GS can go to), but they can convert it to RWD and make it very similar to the GS in terms of everything but obviously since it would be a traditional four door sedan, it would be less dynamic, obviously. They can be sister cars, but if you want another step above, you shoot for the GS.

- The GS will also make a big jump. As it is, it has room to move upmarket and still not disrupt the LS. Similar to the ES, but more dynamic because of its design and the engineering they have in mind for the GS, to indicate that while it is not an order of magnitude higher than the ES, it is still obvious that it is a superior product in terms of sportiness.

The issue is Lexus is too stubborn to take notes from others. Someone wrote a post how it is history writing itself like Mercedes-Benz back in the day, but while Mercedes-Benz did have lots of money, but it doesn't compare to what Lexus has today in its reserves. They can move up and sacrifice their wallets a little. Yes, they won't earn as much as they would want to, but in the long run it would actually do them wonders.

Even if Lexus is willing to change, the change the ES has to make would be gargantuan, it would hurt Lexus in many ways because of the attachment there is to the current ES. It would be shocking for the whole world to react, and may have a hard time initially in terms of sales, but if they do put effort into it they do have a very good chance to swing it in the long run. Lexus thinks short term and I think that's what's hurting them. I mean honestly, look at today, they're hurting, but they're also shooting themselves in the foot. I would post that meme with the guy and the two buttons, getting sweaty deciding between two very hard choices, but I can't blame them whatsoever. They're at a crossroad right now (so we hope it would be), and they're making the decision of their lifetime.

 

[maiaramdan]

@F1 Silver Arrows
You forgot the name recognition, ES world wide "even in Europe which was never sold until this generation" known as Lexus Camry / Avalon, so it won't ever be except a FWD model, so they can either make this generation as a transient generation and give it AWD system if they want to change its recognition BUT they keep it just plain FWD

 

[F1 Silver Arrows]

@F1 Silver Arrows
You forgot the name recognition, ES world wide "even in Europe which was never sold until this generation" known as Lexus Camry / Avalon, so it won't ever be except a FWD model, so they can either make this generation as a transient generation and give it AWD system if they want to change its recognition BUT they keep it just plain FWD

I already mentioned that. Read it again. I said how "the ES is a huge sweetheart for Lexus and many customers". I also divulged on that point that towards the end too.

 

[maiaramdan]

Sorry about it
Anyway
ES= Bloated FWD old Buick sedan formula, not a European prestigious car, not before and it will never be, all what ES is doing is turning Lexus brand to another Toyota

 

[mikeavelli]

I've never quoted my own post, but the other issue here is that Lexus truly has no idea how to sell high performance/niche cars like this - it's something the Germans are very good at. Lexus says, "Lets stock some NXs, RXs and ESs in basic color combinations because we know they'll sell quickly."

Mercedes, BMW and Audi say, "Let me talk you into the higher end model, a higher spec package, more options, lets at least take the high performance model for a test drive, have you thought about moving up a class?" etc. They lead with all of the performance, tech and design features that make you think you're buying something really superior, even if you end up settling for something lesser. This is how they sell more AMG, M and RS cars... thus the OEMs continuing to invest in new variants and trims.

Lexus is happy to sell you whatever is on the lot and keep it moving so they can sell a black/black RX to the next person who walks in the door in 35 minutes.

This is how the GS died in America. Lexus will have a lot of work to do in educating and incentivizing their dealer body to sell cars above the $60k price point, especially high performance models.

I get to your point at the bottom...

I think the Germans didn't see their AMG/M/RS as a problem but as an opportunity, for profit and image. It took some time but mahn when they figured it out they slap the badge on anything. Lexus is soon going to be hopefully in that mode of figuring it out like they did.

Note BMW only had the M3 and M5 until the M6 came along in the early/mid 2000s and then jumped to SUVs. Something they adamantly stated would never happen. You can't deny money lol and the money is in SUVs.

AMG wasn't even an official part of Mercedes until they purchased them in the early 1990s and they had one car, the C36 (forgive me if I'm wrong) then the E55. Then the S55 and things REALLY jumped when they figured out the engine, the 6.3 NA. They slapped it in everything.

Audi also just had the S4, then S6 and then S8. Then we got the RS cars but they still jump around a bit. It took some time.

Now note they are treating these divisions as stand alone in dealerships. If you go into a lot of new German dealerships, they separate the M/AMG cars. AMG has pretty much dropped all Mercedes-Benz badging and references in particular.

Lets bridge this with Lexus Racing worldwide, still in its infancy but showing a bit of promise. If they get some serious winning going, this will translate into the cars.

There are a lot of separate entities at Lexus working toward the same goal. I think they are trying to figure it out (let us all remember they still have just moved to Plano and there is A LOT of catching up to do, it is amazing how they kept the momentum going).

I am in 100% agreement they need to find the dealer employees who are TRUE LEXUS ENTHUSIASTS and train them separately to be the F brand ambassadors. It would make a world of difference.

 

[spwolf]

I've never quoted my own post, but the other issue here is that Lexus truly has no idea how to sell high performance/niche cars like this - it's something the Germans are very good at. Lexus says, "Lets stock some NXs, RXs and ESs in basic color combinations because we know they'll sell quickly."

Mercedes, BMW and Audi say, "Let me talk you into the higher end model, a higher spec package, more options, lets at least take the high performance model for a test drive, have you thought about moving up a class?" etc. They lead with all of the performance, tech and design features that make you think you're buying something really superior, even if you end up settling for something lesser. This is how they sell more AMG, M and RS cars... thus the OEMs continuing to invest in new variants and trims.

Lexus is happy to sell you whatever is on the lot and keep it moving so they can sell a black/black RX to the next person who walks in the door in 35 minutes.

This is how the GS died in America. Lexus will have a lot of work to do in educating and incentivizing their dealer body to sell cars above the $60k price point, especially high performance models.

lol. This is just not true.

How do we begin this conversation if you think TPS works by Lexus stocking some random cars on the lot?

Is this how F-Sport has been such sales success, by Lexus stocking random colors and cars and selling them? Oh wait, do you think it is better when Audi, BMW and MB sell you individual poser S-line parts? You can buy just a sticker if you want, lol.

Is the fact that most BMW vehicles in the USA are sold with 4cly engine is how they upsell the customer to performance versions? Or how X1 has been taking sales away from X3, is that example of BMW selling upwards? Plenty of actually worse examples to be found with germans.

GS is not $60k vehicle, starts at $45k now, they lowered the entry price and still did not help. RX sells at higher average prices than GS, and does that at 100k units per year. They also manage to increase average selling price of RX significantly with this generation.

You cant analyze what Germans are doing by only looking at certain part of their sales that you like and ignore models like 1, 2 (MPV), X1, X2, A, B, GLA, CLA, A1, A3 Sedan, Q2, etc.

And completely ignore models like LFA and LC, which for instance BMW does not have anything to compete with, let alone Audi.

Honestly this talk about slowly selling GS model is exhausting. People who want one seem to be on internet, and others are getting RX or ES, or LS or some other brand, definitely not GS.

 

[mikeavelli]

The thing that sucks is, they have already missed that window of opportunity. LF-1 isn't coming in 12 months. They reacted too slow. The LF-1 will launch with a dozen competitors in a cut-throat segment. Their high-end crossover situation is very, very bad.



You nailed it. The worst thing about the ES is that it's a very successful product alone, but at the cost of the brand. It's a very disruptive product with a huge value advantage in the mid-size luxury sedan segment. Nothing offers similar amount of features, quality, and engine at such a low price. That's where the success comes from. Obviously it dominates the lower end of the segment, but it deals a huge amount of collateral damage to Lexus itself as well as other Toyota products. It results in a huge financial success, but also limited potential of greater success for the brand.

That is seeing it as a 0 sum game. The ES and GS has co-existed for over 20 years. The current models could not be further apart in execution. Obviously with this generation Lexus felt fit to move the ES up and go sportier than make the GS bigger and plusher.

We are also under the huge assumption that the ES will continue to do well. It is entirely plausible consumers that traditionally like the ES jump to Acura, Buick, etc for the plusher more boring look and ride. I wonder will ES sales goals be the same (50-70k a year) or have a higher expectation.

While not the model for automotive luxury success, Acura canned the TL and TSX, merged them into the TLX and that is basically a sales disaster. They had one car that sold at its peak 55k plus units and another around 40k units and canned both and have one that peaks around 40k units I believe. So the canning of two models for one just didn't work. TL buyers felt the TLX was a step down and TSX buyers didn't like the TSX as much. Obviosuly some did but the sales just are not there like they used to (this is not talking about how good/bad the TLX is compared to competition etc just the 2 became 1 example).

Lexus I am confident knows quite a bit more of what it is doing but it a possiblity;

-GS buyers don't go for the new ES and go elsewhere
-ES buyers don't like the new model and go elsewhere

Now you have one model making less sales than before. This is ALL VERY HYPOTHETICAL and a DOOMSDAY Scenerio hahhaha

 

[Ian Schmidt]

If ES buyers were gonna jump it would've been when the spindle went on, but as we know Lexus sales went up with the advent of the spindle. The nice thing about the TNGA/GA-L cars is that even though they have far sharper handling if you drive in a slightly crazy manner, they're still docile when you drive them that way. So I don't see the 7ES scaring Granny, and she'll probably appreciate the more upscale styling.

 

[ssun30]

Yes, while we can hypothesize all kinds of doomsday scenarios where GS buyers flock to BBA, one scenario that will not happen is the ES failing. The 7ES is a very good execution of a proven success formula. It is superior to anything Acura or Buick has to offer, period. If the 6ES was the best selling midsize premium car, the superior 7ES will also be the best selling midsize premium car. It's as simple as that.

 

[Gecko]

lol. This is just not true.

How do we begin this conversation if you think TPS works by Lexus stocking some random cars on the lot?

Is this how F-Sport has been such sales success, by Lexus stocking random colors and cars and selling them? Oh wait, do you think it is better when Audi, BMW and MB sell you individual poser S-line parts? You can buy just a sticker if you want, lol.

Is the fact that most BMW vehicles in the USA are sold with 4cly engine is how they upsell the customer to performance versions? Or how X1 has been taking sales away from X3, is that example of BMW selling upwards? Plenty of actually worse examples to be found with germans.

GS is not $60k vehicle, starts at $45k now, they lowered the entry price and still did not help. RX sells at higher average prices than GS, and does that at 100k units per year. They also manage to increase average selling price of RX significantly with this generation.

You cant analyze what Germans are doing by only looking at certain part of their sales that you like and ignore models like 1, 2 (MPV), X1, X2, A, B, GLA, CLA, A1, A3 Sedan, Q2, etc.

And completely ignore models like LFA and LC, which for instance BMW does not have anything to compete with, let alone Audi.

Honestly this talk about slowly selling GS model is exhausting. People who want one seem to be on internet, and others are getting RX or ES, or LS or some other brand, definitely not GS.

We can agree to disagree here - I work in the industry, have worked for Lexus dealers, worked for Lexus corporate, talk to dealers frequently and help several friends/family members each year buy cars by going through the sales process with them - across many brands.

Lexus' sales strategy is to order fast selling models in popular color combinations like black/black, gray/black, white/tan, silver/black, silver/gray and then try to push people into that inventory despite what they really want. A dealer might get wild and order something in red/black or blue/tan, but those are far and few between. There's nothing wrong with this strategy because it's very efficient. However, what this does not take into account is showcasing what the brand is capable of or expanding the brand beyond what people expect. F Sport has been successful because it is well advertised, looks good and makes shoppers think they are getting into a sportier/"cooler" model. Lexus has done a great job of merchandising F Sport - I think much better than the Germans.

My comment does not apply just to performance models, but also to higher end tech/luxury packages. I have, on multiple occasions, listened to Lexus salespeople talk shoppers out of expensive options like that because they don't have such a model on the lot - vs. MB, BMW, etc. who will offer to build or special order a car to get what a consumer wants. Part of this is because they offer better overall customization whereas Lexus locks you into color combinations and offers fewer standalone options. In my opinion and experience, BMW would rather wait to sell you a $88k 550i with upgraded wheels, tires, tech packages, nicer paint, better leather, LED everything, vs just saying, "Oh, we have a 550i here that's almost the same colors you want and it has most of the options that most people like for $70k."

In my experience, Lexus dealers will say, "Oh, you wanted a black RX 350 with AWD, triple LED headlights, noble brown interior, Mark Levinson audio and luxury package? Well, we have one here on the lot that is FWD black/black with Mark Levinson audio. I think you would like that - and it's a lot cheaper without all of the options you don't need. You also don't need AWD - this is Georgia. Let me grab the keys."

I am well aware of 1 series, 2 series, CLA, Q3, etc. and most dealers hate selling those cars because they're so low profit and the shopper is typically very difficult to deal with. With those models, I'd do the same thing as Lexus and just order basic color combinations and hope 90% of shoppers want one of them. Why not?

However, in my experience, when you start getting into C/3, and E/5, dealers start talking to you about sports packages, AMG packages, tech, upgraded quilted leather packages, wheel options, etc.

Lexus' bread and butter has always been ES and RX, now NX, so they're just used to the cars selling themselves. But if we ever get to a day where we have NX F or RX F and things like that, Lexus is going to have to change how they approach the customer once they walk into the showroom. Of course, another big part of this is marketing and advertising, but still. Once you move above $60-65k, Lexus needs some help with training their sales force on articulating the value in things like luxury packages, sports packages, performance options, etc.