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Lexus in no hurry to be a big player in China

For a while now, China's spiraling wealth, population and development has had the world's luxury automakers in an expansionist fervor, with many executives exhibiting the sort of gleefully maniacal behavior historically reserved for gold-rush prospectors. Yet Toyota, of all companies, is exercising a surprising amount of caution in the Asian nation.
As The Wall Street Journal notes, Toyota's premium brand, Lexus, sold all of 64,000 vehicles in China last year, while BMW cleared its books of 326,000. In fact, it didn't even bother entering the market until 2005, while rival Audi built its first car in the market a decade and a half earlier. Even now, Lexus doesn't build any vehicles in China, and with the country's notoriously high tariffs on imports, that's a major disadvantage. Yet the business daily quotes Lexus executive vice president Mark Templin as saying that the brand is nowhere near ready to start building cars in the market. "We're not having those discussions about when we're going to go to China... We have a lot of work to do before we get to that point."
Part of that work includes establishing a more expansive dealer network - Lexus only had 99 stores as of 2012, while rival Mercedes-Benz had over two-and-a-half times as many, and it's still expanding. Adding a lot of dealers without having a goodly number of competitively priced offerings for them to sell may seem like an odd strategy, but Templin tells the WSJ that the goal is to "cultivate our image for quality and customer service and let the customers that we have go tell that story for us."

This LED-covered Lexus IS doubles as a display

Why would you put 41,999 LEDs on a 2017 Lexus IS sedan? Well, for starters, because you don't have 42,000 LEDs available, but also to get attention. This car was built as a mobile programmable screen to be featured in a music video by Dua Lipa. (No, we hadn't heard of her either, but that's cool.) It's called the LIT IS, because, well, you know, and it is featured in Dua Lipa's new music video for "Be the One." Lexus says it used a mile of wire to connect all of those light sources (how much must that weigh?) and that together they put out 175,000 lumens, or about the amount of light emitted by 100 100-Watt bulbs. They're even stuck inside the spindle grille. It sort of reminds of the Swarovski crystal headlight option on a Mercedes-Benz S-Class coupe, only if the entire car were a headlight. And the headlight could change color. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. You can see the lighting system in action in the promotional video above. And in the vein of of one-off Lexus IS sedans, don't forget about the Sriracha IS that was shown at the LA auto show. For some reason. Apparently Lexus wants us to pay attention to this car. Related Video: Auto News Celebrities Design/Style Lexus Luxury Sedan lexus is

Satisfaction with dealer service rises, Lexus and GMC are tops

During the economic downturn, many car dealerships counteracted their slowing income by focusing on things that would set them apart from competition - things like the quality of customer service they provide. When the economy picked up and more sales and service followed, many also first invested those funds back into the business, improving their dealership facilities and service centers.
It looks like those investments are paying off, as J.D. Power and Associates' latest Customer Service Index Study shows that overall consumer satisfaction with dealer service has increased to 797 (on a 1,000-point scale), up from 787 in 2012 and 29 points higher than the score in 2011. The study also finds that people are more satisfied with the service they get at dealerships compared to independent service providers, despite the much higher average out-of-pocket cost per visit ($118 vs. $44).
Note, however, that this study only looks at how people are treated by a dealer's service department during the first three years of ownership (the survey is based on responses from 91,000 owners and lessees of 2008 to 2012 model year vehicles), so we're talking about the experience had when bringing a car in for repair or maintenance work, most likely under warranty. In fact, maintenance work is increasing in share and accounted for 77 percent of service visits (up from 72 percent in 2012 and 63 percent in 2011). This helps explain why customer satisfaction has also risen, since a properly maintained car is one that's less likely to require a dealer visit for an unexpected repair.