Lexus: a brand for the over-50 crowd?

Just_me · 10-15-2007, 06:18 AM

There’s no doubt Lexus is flogging its rivals in America’s competitive luxury market but there remains serious concerns within Lexus that this success could be a single-generation phenomena and that the next-generation of buyers are more likely to look elsewhere for a luxury vehicle. Market researchers predict the average age of luxury buyers will drop dramatically over the next decade, and this could hurt Lexus whose customers are traditionally much older than those of its rivals.

The news comes from former Lexus General Manager Jim Farley, who spoke with Automotive News prior to leaving his job last week to head to Ford. According to Farley, Lexus needs to “look very critically at the 30 to 40 year old customer.” As an example of how severe the situation is Farley explains that the Lexus ES 350’s average customer is aged 61, and their number-one occupation is “retired.” In fact, Farley revealed that 40% of Lexus buyers are over 60.

A study conducted by Power Information Network found that Lexus owners are older on average than all its rivals except Jaguar, Lincoln and Cadillac.

To overcome this Lexus is likely to introduce a small entry-level hatch model along the lines of the BMW 1-series, however the U.S. may miss out on this car. Instead, there are plans to introduce more performance models like the IS-F to help boost Lexus’ image among the young and performance crowds.

Source: - ONLY REGISTERED AND ACTIVATED USERS CAN SEE ALL LINKS - CLICK HERE TO REGISTER

Centurion · 10-15-2007, 06:43 AM

Lexus was pretty much a pension brand during the 90s and kind of is today but the image is slowly diminishing thanks to the introduction of the IS.

Bruce · 10-15-2007, 09:08 AM

Quote:

Originally Posted by Luwalira

Lexus was pretty much a pension brand during the 90s and kind of is today but the image is slowly diminishing thanks to the introduction of the IS.

Yeah, that's true. The RX has also attracted a relatively young crowd too.

Centurion · 10-15-2007, 09:55 AM

Quote:

Originally Posted by Bruce

Yeah, that's true. The RX has also attracted a relatively young crowd too.

Hmm I'm not so sure. My perception of the RX is that it's a car for women in their mid 30s.

bmer · 10-15-2007, 10:01 AM

Quote:

Originally Posted by Luwalira

Hmm I'm not so sure. My perception of the RX is that it's a car for women in their mid 30s.

Even that would be relatively young compared to the 60+ years, wouldn't it?

Bruce · 10-15-2007, 10:04 AM

Quote:

Originally Posted by bmer

Even that would be relatively young compared to the 60+ years, wouldn't it?

Yup, that's what I meant, and they're most definitely young in comparison with "pensioners".

Centurion · 10-15-2007, 10:04 AM

Quote:

Originally Posted by bmer

Even that would be relatively young compared to the 60+ years, wouldn't it?

True but still very uncool though, except if you're parked outside a kindergarten milf hunting.

Tycoon · 10-15-2007, 10:06 AM

Quote:

Originally Posted by Bruce

...and they're most definitely young in comparison with "pensioners"...

...that drive Mercedes - Benz!

j/k guys...

Bruce · 10-15-2007, 10:07 AM

Quote:

Originally Posted by Luwalira

True but still very uncool though, except if you're parked outside a kindergarten milf hunting.

Lol...

On the subject of the RX though, you wouldn't believe how many young Hollywood stars have one. Jessica Alba being one of them.

Bruce · 10-15-2007, 10:08 AM

Quote:

Originally Posted by Tycoon

...that drive Mercedes - Benz!

j/k guys...

Wimmer's going to be mad.

10-15-2007, 06:18 AM	#1
Just_me Executive Join Date: Sep 2005 Location: Sweden Posts: 15,487 Thanks: 1,062 Thanked 3,722 Times in 1,583 Posts	Lexus: a brand for the over-50 crowd? There’s no doubt Lexus is flogging its rivals in America’s competitive luxury market but there remains serious concerns within Lexus that this success could be a single-generation phenomena and that the next-generation of buyers are more likely to look elsewhere for a luxury vehicle. Market researchers predict the average age of luxury buyers will drop dramatically over the next decade, and this could hurt Lexus whose customers are traditionally much older than those of its rivals. The news comes from former Lexus General Manager Jim Farley, who spoke with Automotive News prior to leaving his job last week to head to Ford. According to Farley, Lexus needs to “look very critically at the 30 to 40 year old customer.” As an example of how severe the situation is Farley explains that the Lexus ES 350’s average customer is aged 61, and their number-one occupation is “retired.” In fact, Farley revealed that 40% of Lexus buyers are over 60. A study conducted by Power Information Network found that Lexus owners are older on average than all its rivals except Jaguar, Lincoln and Cadillac. To overcome this Lexus is likely to introduce a small entry-level hatch model along the lines of the BMW 1-series, however the U.S. may miss out on this car. Instead, there are plans to introduce more performance models like the IS-F to help boost Lexus’ image among the young and performance crowds. Source: - ONLY REGISTERED AND ACTIVATED USERS CAN SEE ALL LINKS - CLICK HERE TO REGISTER Last edited by Tycoon; 10-15-2007 at 06:30 AM. Reason: Lazy b!

10-15-2007, 06:43 AM	#2
Centurion Jetsetter Join Date: Sep 2005 Location: Sweden Posts: 9,202 Thanks: 1,037 Thanked 1,507 Times in 805 Posts	Re: Lexus: a brand for the over-50 crowd? Lexus was pretty much a pension brand during the 90s and kind of is today but the image is slowly diminishing thanks to the introduction of the IS.

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode