Lexus on driving sales and marketing ROI - Marketing Dividends

Sarah Homewood
By Sarah Homewood | 13 October 2016

The luxury car market is booming and Lexus' corporate manager, Adrian Weimers, has joined the AANA's Marketing Dividends program to share how the brand is remaining top of mind, driving sales and return on its marketing investment.

In an answer that Weimers thought may shock, he explained that one reason the luxury car sector is going from strength to strength is actually due to affordability, with many brands actually lowering the point of entry to attract new people to the sector.

“In the past, you would have seen luxury cars predominantly being large sedans, but now they’re everything from a small hatchback to a small SUV. As a consequence, we've seen an influx of people that have come from mass brands. In fact, about 60% of all the inflow into luxury car brands are from this segment.”

Weimers went on to explain how Australia is one of the most competitive car markets in the world and that influences Lexus’ marketing approach. He also shared that the brand's strategy has seen its year-on-year sales growth by 10% and that long-term return on marketing investment has also increased by 10%.

“Car advertising focuses on the launch of new vehicles. However these days you need to focus on winning top-of-mind share,” he says.

“You can split out marketing investment that drives short-term sales versus marketing investment that returns long-term brand equity, and that return on investment for the long-term brand equity has actually doubled,” he added.

To stand out in the market, Lexus partnered with M&C to create a car with a real life heartbeat.

This episode was jointly hosted by MEC's CEO, James Hier, and Sky News Business business editor and channel manager, James Daggar-Nickson.

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