German automakers sitting pretty in Toyota, Honda's home turf
Poor Toyota and Honda. While the two are struggling to
capture the hearts, minds
and euros of Europeans, the Japanese juggernauts are also having a hard time establishing their own luxury brands in
the Japanese Domestic Market against the likes of German automakers BMW and M-B. The German pair have dominated the
Japanese high-end car segment for years and both saw a growth in Japanese sales of their vehicles during 2005. (More after the jump)
[Source: Agence France-Presse via Todayonline.com]
Worse, the Deutschland automakers see Lexus, Acura and possibly Infiniti’s entry into the marketplace (Nissan launched the Fuga luxury brand in 2004) as an opportunity. According to Setsuya Ito, spokesperson for DaimlerChrysler Japan, “Lexus brought us a big business chance. With the entrance of Lexus into Japan, the luxury car market could move into the limelight with more customers becoming aware of our cars as one of their options.”
Analysts point out that the competition has barely begun. With Lexus, for example, still new to the market, analysts don’t count on the Germans to necessarily maintain their dominance in the future.
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Reader Comments (Page 1 of 1)
Michael Karesh 8:17PM (3/16/2006)
The last figures I saw put the total annual sales of Mercedes, BMW, and Audi in Japan at around 100,000. So compared to the luxury markets in the U.S. and Europe that in Japan is very small. Put another way, there is still much room for growth, and anyone who thinks Lexus won't get a big chunk of any growth is deceiving themselves.
If we simply look at sales of car over, say, $40,000, then how much of this segment does Toyota already own with the Crown, Aristo, or whatever they currently offer?
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James Scott 8:22PM (3/16/2006)
Ugh. Why would I buy a Japanese Luxury car if it isn't good enough for the Japanese. Until Honda and Toyota increase marketshare in Japan by producing reliable and stylish cars, you won't see me buying any of their vehicles.
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Tommy 8:28PM (3/16/2006)
First of all, Toyota only recently launched the Lexus brand in Japan, and Honda continues to sell its "Acuras" as Hondas there. Honda Integra (Acura RSX), Honda NSX, Honda Legend (Acura RL) etc. It'll take them 10-15 to establish the Lexus and Acura brands there - as in the NA market.
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RRudorf 8:50PM (3/16/2006)
what a nice sign!
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Harold Sasser 9:06PM (3/16/2006)
Sigh. Boring styling and agricultural design put them in this predicament. And those interiors? Yawn. They have nobody to blame but themselves for thinking people will buy this hogwash.
Hey, here's an idea: make some good cars that people want to buy. Japanese cars have been terrible for as long as I can remember (since the 70's). I've heard that they have improved through the years, but I refuse to believe that because I have an unexplanable need to bash Japanese at every turn, even when my attacks are not based on fact. Indeed, most of my attacks on Japanese cars are only the manifestation of my mighty need to feel superior by attacking Japanese cars and by acting like I know what I am talking about.
I'm trying to stop the hate though, because I realize that bashing Japanese cars for no real reason does not make me superior to others. So, if you ever see me, Harold Sasser, bashing Japanese cars without any real reason, please stop me. Indicators that I may be doing this include, but are not limited to:
1. Making ASSERTIONS that Japanese cars are inferior. I believe that if I assert something enough times, it is true and thus I am truly superior to others. I will often assert that Japanese cars have poor quality, even though they have clearly improved greatly over the years and are comparable to their modern counterparts in other car companies. Also, because Japanese cars have been of terrible quality in the past, it follows that they are of terrible quality now.
2. Using double standards while comparing Japanese cars to other cars. A Japanese car is never good, and I will attack the qualities of Japanese cars which are also found in similar cars from other companies. My favourite tactic is to attack the interior of Japanese cars because such attacks are mostly subjective and, thus, they do not need to be justified. I will also say things such as "Sigh" and "Ugh" because this makes me feel good about myself.
3. I will often pass judgement on Japanese cars without actually driving them or seeing them in person. Even if they are comparable to similar cars from other companies, I will ignore this because a Japanese car is never good. Never.
4. Should somebody disagree with me, I will attack their weakest argument or change it to fit my own agenda. When I cannot do this successfully, I will merely make my assertion again (remember, if I keep saying it, it must be true).
This by no means is a comprehensive list (to list all my tactics would be far too time consuming). Please, help me stop my hate.
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whofan 9:08PM (3/16/2006)
The Japanese are smarter than us Americans after all.
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VW-Guy 9:12PM (3/16/2006)
Whofan, that was actually pretty damned funny. Thanks :)
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James Scott 9:13PM (3/16/2006)
#5 I was being facetious. It was a joke! The focus was to point out that many people who post on these comments hate domestic cars with such a passion that they resort to ridiculous claims and assertions.
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Mike from Scarborough 11:14PM (3/16/2006)
Lexus and Infinity are nice cars.They do go after the Bavarian Sedans in design,assembly and so on.
I think the Japs want Foreign cars for status maybe?It's like we in NA Buy Foreign cars to be diferent,but now it's the main stream.
The Germans do have nicer interiors though,suspension,road manners,power,but I think it's more status,maybe I'm wrong...
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Ville 8:58AM (3/17/2006)
I think one important factor in the American market's better acceptance of the new Japanese luxury brands has been the fact that Americans are used to automakers having multiple brands, with different status. GM has always had Cadillac, Ford has always had Lincoln. Where-as, historically, European car companies have had only single brands.
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Corey W. 10:38AM (3/17/2006)
#5 Sasser
That was good....Whether domestic or import, you basically summarized most of the posts on Autoblog... ;-)
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G. Snyder 11:09AM (3/17/2006)
What kind of car is an 'Infinity"?
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Marion B. 7:30PM (3/30/2006)
Well, having had a BMW must LOVE the hugging the road and speed capacity, but HATE HATE that the electrical components are always a little screwed.i.e. door locks not locking now, computer light blinking "Oil Service"--just got it serviced last month.
Give me a Japanese car anyday for just plain minimal maintenance and longevity.
Buy me a Bavarian for sheer engine power and sexy growling sounds!
What a quandry. Must mean that I have too much money to waste on the Bavarian.
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