Allen K

iTrader: (4)

HS sales are limited by supply. They keep most of what they make in Japan.

(Cj)

That's a tired old excuse. Search Cars.com or any website that lists new cars for sale and you'll see that there are about 2500 HSs in the US. Lexus has less than 200 dealers so that's more than 10 HSs per dealer. That's more than enough inventory for the car.

Supply is not the problem for the HS. It's demand...

Allen K

iTrader: (4)

You're expecting sales to increase when there is an active recall on the car? HS sales started in August 09 and they sold a tad under 7k for the year. Not too shabby.

(Cj)

Yeah, I know there is a recall right now, but please don't use the inventory excuse for HS sales. Wasn't the yearly sales goal 30K? That would mean they should have been selling 2500 a month. The best month for the HS was 1900 units during Lexus's December to remember sales event. With the HS being a "new" model demand should have been higher and it should have been selling 2500 a month easy, but it didn't. Averaging out the sales for the 5 month span it was on sale last year, it hit only half of what it should have.

Allen K

iTrader: (4)

HS sales were ramping up before all the recall business so while 30k probably wouldn't have been hit (I found some reports saying 30k and some saying 25k?) it still probably would've averaged 1500-1600 sales a month.

I will agree that the inventory argument no longer works (thanks for the info btw). My mind was stuck in November when I was helping my mom's friend pick up a loaded HS. The wait was 2 months then

(Cj)

Biggest month was the December to remember sales event when it hit 1900 sales. If the sales goal was 25000 a year we're still looking at a little over 2000 units a month which the HS has never hit.

And you gotta admit a 25000 unit sales goal is pretty low for the segment. One thing I'll never understand is the business sense behind the HS. Anyway to explain what happened in your situation, most dealers don't stock loaded HSs. To get a loaded model you have to get it imported which will take months.

LexFather

Sales goal was initially 30k in January then set to 24k in May for the HS here.

I figure is Honda fanbois can say the Inight, TL, TSX, (after like 2 years) RL, ZDX and pretty much anything they make doesn't sell b/c of production why can't we

Well we can't use that excuse to much more b/c we have brains and by now I would hope Lexus has ramped up HS production. We do know they are selling around 2500 or so plus what 20,000 Sai's in Japan.

My evaluation is the HS is not selling well b/c gas prices have not spiked and it has to sell on other merits (looks, performance, price) in a crowded market. MPG and Technology do not make this segment. People would rather pose or rather something better looking or just better.

The HS high price does not help at all.

Allen K

iTrader: (4)

The HS was never really meant to be a volume seller though. It was a niche vehicle for those who A) wanted a hybrid, B) wanted a sedan, C) wanted a Lexus. So the relatively low annual sales goal isn't too surprising. It's the same reason why the CT is probably going to have a low sales goal in the US. Luxury hatches are a hard sale here regardless of the brand.

Side note: the main reason why he had trouble finding a HS was because he wanted one of the lower volume colors. He could gotten one in the next allocation if he had chosen silver or black.

LexFather

I agree. However for whatever reason its USA sales target is in jeopardy unless things pick up quick and for the rest of the year.

At least its not as bad as the TL for example, it has a sales goal of 70k and basically hit 50% of target.

Again if the HS doesn't sell, they have the IS/ES to pick up the slack. The TL was the brands VOLUME seller and it has completely failed the brand, selling below the TSX and MDX in some months.

(Cj)

Haha I'm not even sure if the TL made 50% of its target. But I think the HS and the TL have a lot of same problems. Good thing as you pointed out Lexus has the IS/ES to pick up the slack and of course Lexus has the RX which outsell all of those combined.

encore888

It would be funny if the CT 200h outsold the HS 250h in the US market, but I guess that will all come down to pricing.

MrBruin09

Wow I just saw pictures of the CT 200h and the car looks great. I think the HS 250H is one of the ugliest cars I have ever seen. If I had a choice between either of these cars it would a no brainer on which one I would choose.

(Cj)

I wouldn't be surprised if it did and this is why...

RXSF

its almost as if lexus knew they made a mistake with the HS for the US market...

(Cj)

I hope they realize it!

It's best to learn from mistakes, instead of making mistakes and thinking things are a-ok and making even more mistakes (see: Acura).