BMW Backlash Helps Lexus To Remain The Fastest Growing Prestige Brand
It seems public bad feeling towards BMW over the Rover saga has given many customers reason to investigate other prestige brands. Registrations for the first five months of the year show that the winner from all of this is Lexus.
In the year to the end of May, Lexus sales were up by over 160 per cent compared to the same period last year. Lexus’ nearest rivals grew less than 30 per cent, while others have all suffered a decline in sales over the same period.
New Car Registrations
Jan-May ’99 vs. Jan- May ’00 % change |
May ’99 vs. May ’00 % change |
|
Lexus |
164.8 |
24.2 |
|
Jaguar |
27.9 |
-12.9 |
|
Audi |
16.3 |
38.0 |
|
Volvo |
9.7 |
31.7 |
|
Mercedes-Benz |
– 0.7 |
– 27.4 |
|
BMW |
– 5.2 |
18.4 |
|
Saab |
– 5.8 |
4.2 |
Lexus Centres across the country have been reporting an increase in the number of ex-BMW customers coming to look at what Lexus have to offer and going away with a car.
“Lexus is a young brand, only 10 years old, so we are very used to welcoming owners of other luxury brands,” commented Stuart McCullough, Director of Lexus GB.
“However, recently there has been a very discernible increase in the number of customers who tell us they are looking to move on from BMW,” explained McCullough. “Whatever the reason, large numbers of them are placing orders and our track record of strong loyalty suggests that having made the leap, they are unlikely to change back.”
The success of Lexus is in part due to the new IS200 model. However, a month-on-month increase of almost 25 per cent in May 2000 versus May 1999 – two months after the IS200 went on sale – shows that demand for all Lexus cars is strong.
The Lexus growth will continue later this year thanks to a further two new models. The flagship LS430 will boast class leading refinement and the RX300 4×4 has already taken the US market by storm. Both debut at the British International Motor Show at the NEC in October.
ENDS
