R-34
11-02-2003, 05:35 PM
CHIBA, Japan (AP) - The Lexus luxury brand is one of Toyota Motor Corp.'s big overseas successes. But to the Japanese, the name doesn't mean much.
"I'd rather have a BMW," says Takahiro Hiruma, a 41-year-old public servant who now drives a Nissan minivan. "The BMW's got a better image."
That's because Lexus actually has no image in Japan.
While nearly two million Lexuses have been bought abroad, most of them in the United States, Toyota has never used the name in its home country. It has sold similar models in Japan, but under names like Harrier, Windom and Celsior.
In an acknowledgement that the auto market is global, Toyota plans to start selling the Lexus brand in Japan in 2005.
Toyota, based in Toyota City in central Japan, is considering opening 150 to 180 outlets nationwide to sell a still-undecided Lexus lineup.
The goal for the homecoming is clear: Take advantage of a brand that has grown in the last 14 years to let Toyota rival the standing of Mercedes-Benz or BMW.
"Lexus has become a U.S. brand. My mission is to make it a global brand," says Takeshi Yoshida, managing officer overseeing the Lexus.
"By doing that, the Toyota brand will also be upgraded."
Japanese tend to have a soft spot for imports, be they Louis Vuitton handbags, Remy Martin brandy or Porsche sports cars.
So they may just be sold on the Lexus as an import of sorts, although most Lexuses are still manufactured in Japan.
Toyota officials say launching the Lexus in Japan isn't just about image; it's part of a business strategy to sell more cars.
Global branding has been on the rise and the auto industry is a latecomer to the marketing trend.
Nissan, one of Toyota's smaller domestic rivals, now is using its "Shift" slogan in all of its advertising worldwide, to underline a company undergoing change.
Mazda has chosen "Zoom zoom" to highlight a sporty, fun-to-drive image of its cars.
Global branding doesn't necessarily save money, because advertising and promotion still must be tailored to each region. But in an increasingly mobile world, where people and information travel quickly, a uniform message is seen as more effective.
"With the world becoming more seamless in terms of what one sees and associates with over broadcast and the Internet, it's no longer simple to distinguish where a market ends and another starts," says Shuri Fukunaga, managing director at global communications consulting company Burson-Marsteller in Tokyo.
Whether the Lexus will take off in its home market is still unclear. But Toyota clearly knows its business: it controls about 40 per cent of Japan's auto market and dominates the best-seller list.
Still, the company expects building the brand in Japan to take time. Judging by less-than-enthusiastic response of onlookers at the recent Tokyo Auto Show, this is probably right.
"I don't get it," said Tomohiro Matsushita, a 24-year-old driving instructor.
"I've heard of it, and it looks cool, and maybe it will be one of the models I'll consider buying. That's about it."
canada.com/news/business
"I'd rather have a BMW," says Takahiro Hiruma, a 41-year-old public servant who now drives a Nissan minivan. "The BMW's got a better image."
That's because Lexus actually has no image in Japan.
While nearly two million Lexuses have been bought abroad, most of them in the United States, Toyota has never used the name in its home country. It has sold similar models in Japan, but under names like Harrier, Windom and Celsior.
In an acknowledgement that the auto market is global, Toyota plans to start selling the Lexus brand in Japan in 2005.
Toyota, based in Toyota City in central Japan, is considering opening 150 to 180 outlets nationwide to sell a still-undecided Lexus lineup.
The goal for the homecoming is clear: Take advantage of a brand that has grown in the last 14 years to let Toyota rival the standing of Mercedes-Benz or BMW.
"Lexus has become a U.S. brand. My mission is to make it a global brand," says Takeshi Yoshida, managing officer overseeing the Lexus.
"By doing that, the Toyota brand will also be upgraded."
Japanese tend to have a soft spot for imports, be they Louis Vuitton handbags, Remy Martin brandy or Porsche sports cars.
So they may just be sold on the Lexus as an import of sorts, although most Lexuses are still manufactured in Japan.
Toyota officials say launching the Lexus in Japan isn't just about image; it's part of a business strategy to sell more cars.
Global branding has been on the rise and the auto industry is a latecomer to the marketing trend.
Nissan, one of Toyota's smaller domestic rivals, now is using its "Shift" slogan in all of its advertising worldwide, to underline a company undergoing change.
Mazda has chosen "Zoom zoom" to highlight a sporty, fun-to-drive image of its cars.
Global branding doesn't necessarily save money, because advertising and promotion still must be tailored to each region. But in an increasingly mobile world, where people and information travel quickly, a uniform message is seen as more effective.
"With the world becoming more seamless in terms of what one sees and associates with over broadcast and the Internet, it's no longer simple to distinguish where a market ends and another starts," says Shuri Fukunaga, managing director at global communications consulting company Burson-Marsteller in Tokyo.
Whether the Lexus will take off in its home market is still unclear. But Toyota clearly knows its business: it controls about 40 per cent of Japan's auto market and dominates the best-seller list.
Still, the company expects building the brand in Japan to take time. Judging by less-than-enthusiastic response of onlookers at the recent Tokyo Auto Show, this is probably right.
"I don't get it," said Tomohiro Matsushita, a 24-year-old driving instructor.
"I've heard of it, and it looks cool, and maybe it will be one of the models I'll consider buying. That's about it."
canada.com/news/business