Lexus Sales Surge as Crossovers, SUVs Stay Hot

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Lexus Sales

Inventory adjustments and heavy incentives lead to a record month for the luxury automaker.

As is the case with most automotive manufacturers, 2017 hasn’t been kind to Lexus. Heading into July, the luxury automaker had yet to post a sales increase all year. But the ship appears to finally be headed in the right direction after Lexus sales turned green last month as the automaker posted a healthy 3.6% increase. Which also just happens to be their first sales gain since September 2016.

So how did Lexus finally manage to turn things around? Two words – crossovers and sales incentives. Lexus sold more crossovers in July than any month in the brand’s history. Every single crossover and SUV Lexus makes posted an increase, with overall gains clocking in at 13%. A grand total of 17,500 ‘utes and crossovers flew off dealer lots. Car sales, meanwhile, continue to plummet. Lexus sold only 11,400 of them in July, an 8.2% decrease over last year.

Lexus Sales

Among the brand’s offerings, the NX and RX crossovers and LX SUV posted the greatest increases, all of which crested 13%. The only car that posted an increase for the month was the ES, which surged 21%. Otherwise, things continue to look dim for the rest of Lexus’ sedan lineup. Which makes it obvious why Lexus is pouring its resources into redesigning the mid-sizer.

Lexus Sales

Meanwhile, Lexus’ annual summer selldown, the Golden Opportunity Sales Event, has helped give the brand a boost as well. Buyers are able to choose from a variety of incentives, including lease deals, low purchase APRs, and Lexus Cash. The deals continue through next month, which has Lexus “looking forward to a robust August,” as Lexus group vice president and general manager Jeff Bracken told Automotive News.

Clearly, the automaker knows the future lies in the crossover market as well. After adjusting their production earlier this year, Lexus has filled dealer lots with the product customers are looking for. And with a host of new and updated ‘utes on the way, things are certainly looking up for the brand.

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