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Debunking the Lexus age myth

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Old Aug 30, 2009 | 02:16 AM
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Default Debunking the Lexus age myth

There is this meme going around that Lexus buyers average in their sixties, I've seen it posted on a number of comment threads at different sites. Where did this come from?

The numbers from Power Information Network, circa 2009: "the average age of a Jaguar buyer is 54, compared with 47 for BMW, 50 for Mercedes-Benz and 53 for Lexus." In 2007, CNW Marketing Research found: "The average 63.6-year-old Mercedes-Benz shopper." CNW also had similar results in 2005 (median age): Mercedes 58.7, Cadillac 53.4, Jaguar 49.8, Lexus 49.4, BMW 46.1, Acura 45.3, and Infiniti 41.6.

Anyhow, in 2009 AutoPacific has found Lexus' median age to be 56, and the Detroit Free Press has picked it up.

Lexus' aging owner base is a concern for Toyota
Mark Phelan, Detroit Free Press

http://www.freep.com/article/2009083...ern-for-Toyota

Revered by an aging owner base but lacking exciting vehicles to draw new buyers, Toyota's luxury marque is beginning to look like another prestige brand that followed its original customers to death's door: Buick.

"Lexus is Buick in training," said Rebecca Lindland of IHS Global Insight. "Lexus made its name with baby boomers. They're aging, and the average age of Lexus owners is increasing with them.

"Lexus hasn't been able to supplement the baby boomers' loyalty with younger buyers. They've tried with vehicles like the IS sport sedan, but they haven't been able to penetrate younger buyers."

The median age of a Lexus owner is 56, according to data from consultant AutoPacific. That's more than a decade younger than Buick, but years older than the median BMW, Infiniti or Audi buyer.
With the IS, really? I'd like to see the numbers for the IS to back up his claims. As the Lexus Enthusiast blog pointed out: "The average age of a buyer of BMW’s 3-Series cars was 42, while Lexus’ buyers for the IS averaged 41 years of age. The compact premium category average age is 45.."

This in response to outgoing Jim Farley's assertion 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."

Yes, but as Lexus Enthusiast points out, 60% are under. And the data show the average age is in the early to mid 50's. But how does Car & Driver sum it up? In this IS-F review:

Originally Posted by Car and Driver
(Note: This is not correct!)

http://www.caranddriver.com/reviews/...is_f-road_test

No wonder the brand’s average buyer age is 61 and 70 percent of Lexus buyers are retirees, according to the company. If the demographics don’t reverse, Lexus is in danger of chasing Oldsmobile into the cemetery.

C&D here is completely inaccurate and provides false numbers!
That only applies to the ES 350. But what can one expect from C&D? Mark Templin, the replacement for the bailin' Jim Farley, has this to say:

Lexus' worry about buyers' age gets old fast

http://findarticles.com/p/articles/m.../ai_n26639433/

All that fuss about the graying of Lexus? Forget about it.

With the departure of former Lexus boss Jim Farley to Ford Motor Co., the new regime at Lexus is taking a different approach to the brand's demographics.

"It's on our radar, but loyal customers mean a naturally older median age,'' said Mark Templin, 46, the former Scion vice president who took Farley's spot as Lexus' general manager in November.

Farley, the brand's boss from April through November, was worried about Lexus buyers getting older. But speaking at the introduction of the LX 570 SUV here, Templin said he doesn't see an increasing median age as a bad thing.

"It's more important to see how many new customers we are bringing in," he said.
I think it's fair to acknowledge that Lexus needs to be concerned about attracting younger buyers. But it's 10 years off the retirement age, and within five years of brands in either direction. Moreover this idea that Lexus buyers are all retirees, and that the IS is not a young-skewing vehicle, is inaccurate. As for whether the demographics for the ES play into whether it should be dropped or not, perhaps. We'll see if Mr. Templin's loyalty assertion is correct.

http://lexusenthusiast.com/2007/10/1...exus-age-myth/

Last edited by encore888; Aug 30, 2009 at 03:01 PM.
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Old Aug 30, 2009 | 02:21 AM
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interesting but I still think the Lexus drivers I see are usually in their 60's or at least late 50's. Cool info. When you drive an Infiniti you can tell through the driving dynamics of the car and the performance elements that the manufacturers choses to stress that it would attract younger buyers. Its just more of a performance sedan than anything offered from Lexus for less than 40K
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Old Aug 30, 2009 | 02:38 AM
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Whoohoo, 21 and lowering the average Lexus owners age!!
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Old Aug 30, 2009 | 02:55 AM
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I bought my GS at 32. I am also under the average.
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Old Aug 30, 2009 | 05:57 AM
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JD Power used to show buyer demographics for most models on their web site, but I don't think they do any more. The last time I looked at it the LS had the highest average age of buyers, followed by the ES. Next in order were GS then IS.
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Old Aug 30, 2009 | 06:59 AM
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The first article is written in Detroit.

I'd question their points of view...
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Old Aug 30, 2009 | 09:56 AM
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This is all nonsense, as far as I'm concerned.


Who GIVES a rat's a** what the average buyer age of a vehicle is? I, for one, couldn't care less. There is no reason why any person, of any age, cannot drive ANY Lexus product. Buy and drive what you want, what's best for you, what you can afford....and never mind what others think.

It's the same with Buicks. The auto press makes fools out of themselves trying to paint Buicks as "Geezer Cars".
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Old Aug 30, 2009 | 10:39 AM
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I agree with you, but there is no denying the fact that certain cars, for whatever reasons, appeal to certain age and gender demographics.

Manfacturers track that information to target their marketing, and produce cars/features that the particular demographic wants.
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Old Aug 30, 2009 | 10:54 AM
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I think they just market towards people they "think can afford thier cars" being people over 50
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Old Aug 30, 2009 | 11:10 AM
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A lot of it simply comes from the fact that most younger people can't afford new Lexus's. And this study only considers new car purchases.

They compare to the sport luxury brands BMW, Infiniti, and Audi but what about Mercedes and others? Of course the sport tuned brands will appeal to younger folks but since when is Lexus supposed to be a BMW? That would suck.

It seems like every company/division is overly concerned with attracting younger buyers. Do they forget that retiring baby boomers will, for the next 20-30 years, be a huge piece of the buying population?
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Old Aug 30, 2009 | 12:21 PM
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Originally Posted by mmarshall
Who GIVES a rat's a** what the average buyer age of a vehicle is? I, for one, couldn't care less.
I think what would be more interesting is the percentage of d-bags that drive each brand. BMW FTW!
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Old Aug 30, 2009 | 12:23 PM
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Originally Posted by Hoovey2411
Whoohoo, 21 and lowering the average Lexus owners age!!
That has changed after I bought my first Lexus at the age of 7, 3 years ago.
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Old Aug 30, 2009 | 12:25 PM
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Its a lot easier for the young to lease a car and pay $299 month than BUY a car and pay $599 a month.
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Old Aug 30, 2009 | 01:28 PM
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I bought my first 4 year old Mercedes-Benz S-class at age 23. I discovered what I deem to be a superior sedan without the need for a 12 cylinder at almost 26 years old and purchased a 1998 LS 400. Upgraded to a 2005 LS430 UL last September (which is also the month of my birth) so I was either 28 or just turned 29.

I prefer large flagship sedans and was enamored with the prestige of the S600even as a younger man. The car unfortunately, was not very good to me and to be honest, was just an impulse buy. I did my homework and have not found a better answer to my "needs" than Lexus products - understatement, class, amazing comfort, all the power I'll ever need, dependability and the feeling that you own something purpose-built. My partners all own Mercedes. When I briefly owned one, I couldn't shake this feeling of being "taken" for some reason. Constant problems, yesterday's technology and an arrogance that couldn't be rivaled by any other service center out there. Whenever I complained they oftened conveyed to me "hey, ita a Mercedes...you should feel honored to be driving this car". I didn't...it was a legend in it's own mind.

Sorry for going off topic, but I plan on continuing to bring Lexus driver's average age down for a while, although I do have dirty little crushes on the Audi A8L and Jaguar XJs.
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Old Aug 30, 2009 | 02:46 PM
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Originally Posted by LexBob2
I agree with you, but there is no denying the fact that certain cars, for whatever reasons, appeal to certain age and gender demographics.

Manfacturers track that information to target their marketing, and produce cars/features that the particular demographic wants.
If that alone were the case, then Ford probably wouldn't have completely redesigned the Taurus this year like it did, and Buick probably wouldn't have done such a radically changed LaCrosse (though I will reserve final judgement on the LaCrosse until I have reviewed it). But, it is unlikely that those who liked the old versions of each car will like the newer ones as well......and vice-versa. Contrary to the picture the auto press tried to paint, the older models were not necessarily "Geezer Cars", but were definitely less sporty in their design than the newer versions.

That was also the case with Lexus (the thread topic), especially with the ES350. During the changeover from the last-generation ES330 to the current ES350, its suspension/tires got definitely firmer and less-comfortable-riding (needlessly, IMO). The interior also got noticeably less-plush as well. This appeared to be an attempt to reach a so-called "younger" average buying age........which, IMO, was not needed, as the ES is not supposed to be a youth-oriented sport sedan.

there is no denying the fact that certain cars, for whatever reasons, appeal to certain age and gender demographics.
It is not necessarily age and gender that is being catered to, but the auto press. The power of the auto press today is enormous, and that is why most cars, with very few exceptions, are biased towards sportiness at the expense of comfort. The auto press, today, tends to frown on vehicles that are comfort-oriented, have traditionally plush interiors, and don't have sharp handling.

Last edited by mmarshall; Aug 30, 2009 at 02:50 PM.
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