Toyota Sales Down 18.7% In July

[CarShark]

August 1, 2008 - Torrance, CA - Toyota Motor Sales (TMS), U.S.A., Inc., today reported July sales of 197,424 vehicles, a decrease of 18.7 percent from last July, on a daily selling rate basis.
The Toyota Division posted July sales of 175,242 units, a decrease of 17.9 percent from last July. The Lexus Division reported July sales of 22,182 units, a decrease of 24.6 percent from the year-ago month.

Some highlights:

"Having the industry’s most fuel-efficient lineup is of value to us so long as we have the right product mix in our showrooms," said TMS President Jim Lentz. "That’s why we're accelerating production of 4-cylinder models and quickly responding to market conditions with repurposed U.S. plants and plans for a U.S.-built Prius."

* Toyota Division passenger cars recorded July sales of 114,880 units, down 5.4 percent from the same period last year.

* Toyota Division light trucks recorded July sales of 60,362 units, down 34.3 percent from July 2007.

* Lexus passenger cars reported July sales of 13,219 units, a decrease of 27.2 percent from July 2007.

* Lexus Division light trucks recorded July sales of 8,963 units, down 20.3 percent from the year-ago month.

Link to Toyota press release

Link to sales chart

[ECHOKnight2000]

I wonder why Lexus sales have been going down. I know they have some gas guzzlers (SUVs) in their lineup but still. I wonder why cars are down? Maybe cause there isn't a enough from the demand. From the Prius to the Corolla, Yaris.

[Jegan_V]

Originally Posted by ECHOKnight2000

I wonder why Lexus sales have been going down. I know they have some gas guzzlers (SUVs) in their lineup but still. I wonder why cars are down? Maybe cause there isn't a enough from the demand. From the Prius to the Corolla, Yaris.

Likely its because they're just expensive altogether. The lowest priced Lexus is the IS 250 RWD and in Canada you could get a Camry V6 for that price, they're more of a luxury to spend on. Plus its likely that people won't be replacing their car every 3-5 years as often anymore especially on expensive brands like Lexus...kind of silly especially for Lexus since that is what the brand is known for...longetivity.

[TRD-MX83]

Perhaps they need that "Lexus" Prius model? or perhaps something like a "Lexus" 4 cylinder car? Like an A3/TSX?

[ECHOKnight2000]

Thanks guys!

Lexus announced that its coming out with a hybrid only model. Meaning its not a hybrid variation of an existing model. My guess will be a badge engineered Prius but for Lexus. But who knows. I guess they'll show it come January.

[100$ GUY]

Originally Posted by ECHOKnight2000

I wonder why Lexus sales have been going down. I know they have some gas guzzlers (SUVs) in their lineup but still. I wonder why cars are down? Maybe cause there isn't a enough from the demand. From the Prius to the Corolla, Yaris.

Lexus cars division were down 27% vrs light trucks division down 20% .
Interesting.

4runner and FJ cruiser are having a HORRENDOUS year.
Whats gonna happen with the all new 4runner.....

Corolla still down year to date, -2%. But probably next month its year to date will finally be up.

[got-rice]

From what I've been told, Toyota dealers are hurting with having too many trucks & SUVs, and are selling all the cars they can. Production on the Prius is tight now, so every one that hits the lot is sold. Right now, there are more incentives coming out. Lexus on the other hand is in a declining market like many other luxury car makers. People are just buying less luxury vehicles now so that's why sales are what they are.

[Sulu]

Originally Posted by ECHOKnight2000

I wonder why Lexus sales have been going down. I know they have some gas guzzlers (SUVs) in their lineup but still. I wonder why cars are down? Maybe cause there isn't a enough from the demand. From the Prius to the Corolla, Yaris.

Originally Posted by Jegan_V

Likely its because they're just expensive altogether. The lowest priced Lexus is the IS 250 RWD and in Canada you could get a Camry V6 for that price, they're more of a luxury to spend on. Plus its likely that people won't be replacing their car every 3-5 years as often anymore especially on expensive brands like Lexus...kind of silly especially for Lexus since that is what the brand is known for...longetivity.

Here is my take on the situation, and I would like to compare it to Mercedes-Benz' situation, where their sales are UP.

I agree with Jegan_V that Lexus is more of a luxury to spend on, as in a discretionary buy, so it is the first type of spending to cut back on during recessionary times. Lexus vehicles, because of their price, and their relative newness to the market (compared to the more established luxury brands like Mercedes-Benz and BMW), are likely bought in North America by those who have just started to move up the corporate ladder, like middle managers, people who are thinking that they can finally afford to buy something better than the Camry. In tough times, junior and middle management may be hit particularly hard, so they will have to give up some of their non-essential spending, and the number one non-essential buy is the entry-luxury car. If these people really need a new car now, there is always the fall-back position of buying a Camry rather than the more expensive (and less fuel efficient) IS or ES.

Mercedes-Benz, on the other hand, is an established brand, something that carries with it a certain cachet. It is likely to be bought by the truly rich and/or high executives in North America. These people are not likely to be affected much in a recession, so they do not have to give up anything (or at least not as much as junior and middle managers) in these hard times. MB also has the advantage of a new car on the market, the new C-Class. Lexus does not have any new models: the newest lines, the ES and the IS are both 2+ years old now. A new car will always do better (unless it is a total failure) than something that has been on the market 2 or 3 years.

[ECHOKnight2000]

Originally Posted by 100$ GUY

4runner and FJ cruiser are having a HORRENDOUS year.
Whats gonna happen with the all new 4runner.....

Corolla still down year to date, -2%. But probably next month its year to date will finally be up.

Yeah I don't what Toyota is going to do with the next 4Runner. I wonder if they put halt on the next FJ Cruiser if there is going to be one.

I'm guessing like I said before the Corolla sales are down cause of demand. I know they were down earlier this year but that's cause of a new model change over. Then in the spring Corolla sales were up.


Thanks Sulu for the explanation. I guess that makes sense. If the middle management wants to they could get an Avalon Touring. but image wise I don't know? Its a nice car.

[gladis]

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[ECHOKnight2000]

Originally Posted by gladis

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What?? What's deleted?