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Luxury car brands scrambling to avoid a blue Christmas

DETROIT — When financial markets surge to new records, sales of luxury cars usually rise, too. Instead, October U.S. auto sales reports on Wednesday showed that a collapse in sales of luxury sedans is accelerating. Consumers have gradually shifted over to luxury sport utility vehicles from sedans in the past decade, but the trend — which has occurred in both the non-luxury and luxury sedan segments of the auto market — was particularly pronounced in October. Sales of Daimler AG's Mercedes-Benz S-Class, long a global benchmark for large, premium sedans, plunged 49 percent in October, and are down 24.8 percent for the year to date. General Motors' Cadillac brand said it sold just 779 of its CTS sedans in October. Demand for that car, designed to compete with German luxury sedans, is down nearly 33 percent for the year. "There's still a significant portion of the market that wants a car, but I'm sure there were people who preferred a horse to a car at one point." Cadillac's best-selling model this year is the XT5 compact SUV, which has more than doubled sales from a year ago. The shift within the luxury vehicle market away from sedans toward SUVs of all sizes is forcing some of the most prestigious brands to scramble to add SUV models to their lineups or boost SUV production to meet demand. "In the short term, there will be pressure to add (consumer) incentives, cut production or both," said Cox Automotive analyst Michelle Krebs. "And we just don't see an end in sight to this trend." The Dow Jones Industrial Average has been trading at all-time highs, usually a good sign for luxury sedans, but as major automakers reported new U.S. vehicle sales for October on Wednesday, sales for passenger cars continued their slide while luxury SUV and crossover sales rose again. According to Kelley Blue Book data, in 2007 luxury sedans made up 7.6 percent of U.S. new vehicle sales, while luxury SUVs made up 4.2 percent. Through September this year, luxury SUVs made up just over 7 percent of the market, compared with 4.9 percent for luxury sedans. In the short term, luxury brands could use holiday season sales promotions to clear slow-selling sedans off dealer lots, analysts said. Toyota's Lexus brand said on Wednesday it will launch its "December to Remember" year-end sales promotion for the 18th straight year.

Lexus RC F glows with your heartbeat

It's not uncommon to see all manner of sensors being installed inside new cars these days, monitoring everything from ambient noise to our levels of alertness. The question is what the automakers will do with the information gathered by those sensors, and we've seen some fairly novel innovations. This latest solution from Lexus may not be the most useful, but it's definitely one of the most interesting we've seen to date. The Japanese luxury automaker's Australian division cooked up this special RC F show car with a heart-rate monitor and a special electroluminescent paint job. The sensors detect how fast the driver's heart is beating, and displays it accordingly down the side of the car's flanks. In daylight it looks like it's painted plain old ordinary silver, and otherwise it's the same luxury muscle coupe we know, with a 5.0-liter V8 churning out 467 horsepower in resolute defiance of the downsizing/turbocharging trend that's sweeping the industry. The project was cooked up by creative agency M&C Saatchi and uses glow-in-the-dark paint from American specialist Lumilor. The vehicle is set to be unveiled over the weekend, but you can scope it out now in the images below and the preview video above. Is it pointless? Almost entirely. Does that make it any less cool? Of course not. 22 July 2015 LEXUS GETS PULSES RACING WITH WORLD'S FIRST HEARTBEAT CAR Lexus Australia has developed the world's first vehicle to display a heartbeat on its exterior in a demonstration of advanced technology and the connection between man and machine. The Japanese luxury marque collaborated with creative agency M&C Saatchi to produce a one-off RC F V8 coupe that integrates a series of technologies to display a person's heartbeat in the vehicle's bodywork. The first stage of the system works by transmitting the heartbeat of a connected person from a heart rate monitor to a bespoke electrical system in the RC F. The on-board system captures and processes the data before sending an electric charge through the RC F's body panels that are painted in electroluminescent paint developed by US-based specialist Lumilor. This innovative paint finish glows when the electrical charge runs through it and displays the person's heartbeat via a real-time animation sequence. Lexus Australia chief executive Sean Hanley said the heartbeat car comes in the wake of other innovative brand activities in 2015 and an ongoing commitment to the development of high performance Lexus F vehicles.

Lexus LF-LC approved for production

On the sidelines of a press drive for the 2014 Lexus IS, the company's vice president of marketing in the US told Ward's Auto that the honchos in Japan have approved the Lexus LF-LC concept for production. He wouldn't offer any other details on how the luxury coupe might be transformed into a vehicle for the buying masses, and that has led to a bag full of speculation.
The show car was hybrid-powered and rear-wheel drive, a beautifully executed stab by Toyota designers in Newport Beach at redefining Lexus, but even with the concept, the point was to keep it "within reach for premium buyers." The report says the odds are on limited production and higher pricing than Lexus' "mainstream products," and other sites have speculated on what kind of powertrain it might end up in showrooms with.
GT Channel posits that the LF-LC will be the inspiration for a coupe in the Lexus LS price bracket with a choice of either the 4.2-liter V8 or the hybrid powertrain from the LS 600h, further speculating it will be called LC 550 and cost more than $100,000. It then says that there would be another coupe created beneath that one to replace the SC 430. Lexus Enthusiast, however, calls those "warmed-over rumors" and says that the marque probably won't deviate from its engine-capacity-naming scheme - labeling a car with a 4.2-liter V8 an LC 550. Nor does it think Lexus will use the letters LC after the company has trademarked "RC" in the US and Australia.