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Discussion Starter #1
Someone sent me a note saying that Toyota (Japan) really wants to price the IS300 "under $30K" like they originally suggested but that Lexus USA wants to maximize their markup and keep their cars "exclusive".

I think Toyota is ready to flood the market with IS300s but Lexus USA doesn't want to be a high volume low markup operation like the Toyota dealers.

Also, Toyota/Lexus are said to be a little weary of pricing _too low_ because they don't want to be accused of dumping vehicles on the US market. The US government doesn't want an outside car company to come in, flood the market with inexpensive cars (sold at a loss) and then monopolize the market after the competition bails out. It would be sad for the US consumers if Lexus managed to scare BMW away from the USA. Luckily I think we are a long way from _that_ happening.

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If Toyota Japan were able to convince Lexus USA to sell the 2002 IS300 at (for instance) $26,000 and then sell 100,000 cars per year (instead of 25,000) us 2001 IS300 owners would be pretty upset since we had paid the "old" price. Not that I am saying they shouldn't drop the price, *but* if they do, I want my "rebate check"! 8^)
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I will offer up a solution:

Toyota Japan should offer a "decontented" version sold through Toyota dealers. Basically offer the Altezza for sale in the USA as the high volume model. A double VVTi 4 cyl 210hp+ 6 speed with less weight and better handling would be a winner to the performance enthusiast. To keep Lexus USA happy it would have to be differentiated in some way - perhaps a minor facelift with different bumpers, etc. Perhaps the Lexus version should have more conservative body colored tail lights whereas the Toyota version would retain the chromed lights.

This would not be a first - there is Toyota/Lexus crossover already - the Camry/ES300, the highlander/RX300, etc, etc.

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Disclaimer: I am not an official source of any Toyota/Lexus information. I am just speculating on things I heard and trying to read between the lines. Hopefully no one from Toyota/Lexus will take offense to my statements - my information and speculation may be full of innacuracies so take it all with a big grain of salt.
 

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One of the dealers I spoke with claimed that they were told to up the price of the IS300 by $400 sometime in October. Same car, higher price. Now, this may have been a tactic on his part to try to get me to buy from them, as he claimed he was willing to sell me one of the older, cheaper ones at the pre-price hike price....
 

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Discussion Starter #3
If you are talking about this past October, then *yes*, there was a 1% price increase on all IS300s at that time.

I think there is a battle going on between Toyota Japan and Lexus USA over how to price the cars. Lexus USA wants the price to go up, Toyota Japan wants the price to go down.

(again, I am just speculating here)
 

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That's pretty interesting. I think though the IS300 is going to be fairly exclusive not based on price, but the fact that it's a very targeted vehicle - stiff and sporty ride, tight interior, very sporty (or 'ricey' but I hate that term), and RWD, which means there will not be a flood of buyers at any price, unless it's dropped to like $20,000 - then the Civic boys will start buying it. I think $30,000 is the right price, or maybe $28-29,000. Any less won't bring in many more buyers, and at $35,000, it doesn't compete well against BMW and upcoming cars like Jag's X-Type.
 

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anyone think Toyota USA will gonna sell the next generation Hachiroku Corolla GTS..a low price fun car .. a entry sport coupe just for boosting the market share in of Toyota in North America

and most of the Toyota/Lexus mechanics had own one of those Corolla GTS before..the car is so popular just like HOnda civics do in the market right now
 

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i almost want them to raise the price now, i don't want the idiots being able to afford them, and then having them end up a joke, like the civic.
 

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Originally posted by Corolla:
anyone think Toyota USA will gonna sell the next generation Hachiroku Corolla GTS..a low price fun car .. a entry sport coupe just for boosting the market share in of Toyota in North America

and most of the Toyota/Lexus mechanics had own one of those Corolla GTS before..the car is so popular just like HOnda civics do in the market right now
Have you seen the article in Mag-X Scoop? Here's the link http://www.mag-x.com/scoop/ae86-levintrueno0012/index.html

I really hope they bring that here to the states! I really like the IS300, but I think the car is a bit overpriced right now. I really like the drivetrain and layout, and if they would replicate that formula in a cheaper Toyota product, then I'd be first in line!!

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MAD
2000 4Runner Highlander 4x4 Millenium Silver
Injen Intake and TRD Badges which don't really help performance at all but sure look purty!
1995 Honda Civic CX Sapphire Blue
1.5L with no mods whatsoever
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0-60 in (takes a real long time) 10 sec?
 

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Discussion Starter #8
Another reason why Lexus USA should NOT lower the price:

All the pissed off LS430 owners who can't get their car in for service because the service departments are clogged up by the influx of cheap IS300s...
 

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This is retarded. Why would you not want a awesome car at a cheaper price. You would willingly sacrifice hard earn money so that less people are able obtain it? Why worry so much about status? All it is a facade for insecurity

[From TEG: I _WOULD_ want it cheaper, but the fact is I already bought mine so I am stuck paying what I paid. If they reduce the price for new customers I will be annoyed that I paid too much.]


[This message has been edited by TEG (edited January 25, 2001).]
 

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Not sure about internal Toyota/Lexus politics, but Toyota didn't get to be #1 domestic car maker in Japan and #1 import car in the US by being stupid.

Taking a 2.7 millon yen car, pulling out the cool high tech motor, putting in a 10 year old I6 that the development costs have been long recouped in the Supra, GS, etc, and selling to the Americas who have lots of money and easy credit for $35,000 sure makes good business sence to me.

I have loved the Altezza ever since I first saw it and am glad that Lexus left the look of the car unmolested. It would have been nice to get the real thing, 3S-GE and all, as a Toyota for $25,000-$28,000 -- but hey.

Lexus has a 3-series fighter and I am glad to have the car in the US.

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Zsolt
2001 IS - Daily driver
1998 GSR - Race car
 

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The assumption is that in order to sell it significantly cheaper, Toyota would lower the quality, smaller engine, cheaper stereo etc. There's no way they can sell the car as is for $25,000, they just wouldn't make much money off it, especially with Lexus service.

Originally posted by LoQtus:
This is retarded. Why would you not want a awesome car at a cheaper price. You would willingly sacrifice hard earn money so that less people are able obtain it? Why worry so much about status? All it is a facade for insecurity
 

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Discussion Starter #12
What I heard was that Toyota Japan could sell the car for less money and still make a handsome profit. I think they could make more money selling alot more of them at a reduced price. *BUT* Lexus USA doesn't want to be a low margin high volume type operation.
 
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