You are the face of Lexus. You are a big part of Lexus’ success. In a captivating display of connection, alignment, and collaboration, Lexus hosted an unforgettable event— the inaugural Lexus Guest Experience Leadership Summit + Expo at Wynn, Las Vegas. Held mid-June, Lexus welcomed Lexus fixed operations professionals from all over the country for the extraordinary gathering. For two full days, attendees were immersed in a world of camaraderie, along with a lineup of Lexus executives who took center stage and delivered inspiring knowledge and insights.
With a focus on the next-level Lexus Guest Experience, the overall message was evident: Dejuan Ross, Group Vice President & General Manager—Lexus Division, made it clear to the attendees that “You are the face of Lexus. You are a big part of Lexus’ success.” The summit aimed to connect strongly with the brand’s values and vision, strategize with business partners and collaborate on plans to meet the Lexus guests’ ever-changing needs.
The event gave attendees an opportunity to hear directly from a lineup of Lexus executives, align on the brand promise, strategize with business partners, and collaborate on plans to meet the Lexus guests’ ever-changing needs.
The event embraced the true spirit of omotenashi, where every attendee was treated as guests in the Lexus “home.” From the moment attendees stepped in, they were enveloped in an ambiance of grace and hospitality. Meticulous attention to detail was evident in every aspect, leaving no stone unturned in creating a memorable and immersive experience.
Reimagining the Lexus Experience: Seizing the White Space
Dejuan Ross began the business meeting with a powerful delivery of the Lexus Covenant, our brand promise, and strategies to achieve mutual future success.
There was a gap, a “white space,” that Lexus could own. That space is an exceptional guest experience—it is our opportunity to deliver unparalleled service and establish a deeper connection with customers. He reminded us that, today, we can make a difference by recommitting to the Covenant that defines Lexus and focusing on what has brought us success thus far.
Dejuan Ross, Group Vice President and General Manager
Lexus Division
Today’s Lexus Guests are younger, well-informed customers with clear expectations: Know Me, Know My Car. These shoppers are quite different from what we’re accustomed to. They tend to be younger, seek greater comfort and diversity, and have significantly higher expectations. Most importantly, they represent our future.
Strategically, Lexus has dedicated considerable effort to establishing a powerful brand presence among these younger shoppers. Lexus has repositioned the brand to prioritize what matters most to this demographic. They have streamlined Lexus brand values and product offerings, leading to a fresh internal brand statement: “Intuitive Luxury Inspired by You.” That brand shift starts today.
“These are not just words; they are our gold star that brings us back to the fundamentals of omotenashi. It’s all about anticipating the needs of our Guests. The brand statement is not just about the brand product but about providing them with a seamless guest experience. Giving life to our fixed ops is critical to our future. Now is the time to raise the benchmark and provide a greater guest experience. As we look into the future, your role is critical as you are the face of Lexus, concluded ROSS.
Enhancing the Customer Journey
Lexus’ commitment to the guest experience compels us all to view everything through their eyes with the spirit of omotenashi.
“We understand that different generations have distinct expectations when it comes to their ownership experience. However, one common desire remains—a seamless ownership journey.“
CYNTHIA TENHOUSE VP, Lexus Guest Experience
There are some challenges we need to overcome. Currently, guest loyalty is the lowest it has ever been in Lexus’ history. Service is a critical factor in loyalty and repurchase intent. Additionally, we are making more vehicles while servicing fewer guests. In fact, service visits have not rebounded to pre-pandemic levels.
Lexus developed LexusCare, a comprehensive solution that sets the brand apart from its competitors. LexusCare encompasses numerous remarkable features and serves as a tool to facilitate customer returns to the dealership.
Lexus Guests Illuminate the Path to Progress: Enhancing the Digital Experience
Through invaluable feedback and insights, Lexus Guests have helped to identify the most significant area for improvement: the digital experience. It’s the missing link in what should be a seamless Lexus ownership experience—whether the guest is online, in person, or working with you in the service drive. Lexus is committed to elevating the digital landscape to match the exceptional standards set by the brand’s in-person experiences.
Look at the Numbers
A recent Lexus study on service defection revealed that 63% of customers have defected due to the perceived high cost of service. To be competitive, Lexus recommends advertising a lower price to attract customers to your service drive, allowing you to build value and recommend additional services. This strategy has the potential to generate more revenue for all our dealerships and positively impact your bottom line. We refer to this as the “Digital Service Opportunity Funnel.”
Recently, one-month metrics revealed that of the 419,000 visitors to dealer service pages on Lexus websites, only 16% succeeded in making an appointment, leaving an 84% missed opportunity. These numbers underscore the enormous growth potential, so please take a good hard look at your own product. We each have a role to play in capitalizing on this space, adds Cynthia Tenhouse.
Find Your Customer Purchasing Pain Points. Eliminate Them
To support your efforts, Lexus is committed to elevating the digital landscape to match the exceptional standards of the brand’s in-person experiences. We will continue to provide you with tools to increase your online transparency so more guests can say “yes” to scheduling service with you. That means improved Guest satisfaction and increased parts and service revenue!
“Elevating the online experience will go a long way to meeting the expectations of our guests. We know they want and expect to be connected, so we invested $1.6 billion for complimentary Service and Safety Connect for 10 years. Lexus has worked hard to create tools to get customers right back to you. Service Connect sends out alerts at the exact same time to owners and you when your guest’s vehicle needs service. This is your sales lead for service and your collision centers. The all-new Alert Tracker is everything you need and just in time.”
–CYNTHIA TENHOUSE, VP, Lexus Guest Experience
New Generation, New Products, New Opportunities
Lexus and its Dealers have an excellent opportunity to create a fresh generation of loyal Lexus owners. These new customers are key to future success. To address their needs, Lexus has made changes to its product lineup, starting with the recently launched IS, NX, RX, LX models and the upcoming release of the all-new TX and fully redesigned GX.
Brand Promise in Action
An inspirational business meeting was just the start. Summit attendees were then invited to choose four workshops from various subjects. The curriculum was designed to help Dealers achieve goals and learn about new techniques, tools, and processes to implement and deliver an even better guest experience. The workshops included a wide variety of topics, from Winning Guests Back to Digital Marketing for 2023.
Parts professionals appreciated classes that targeted their specific areas of interest, including Wholesale Parts Best Practices, Collision Repair Efficiency, ADAS Calibration Accuracy & Efficiency, Storage Techniques for Parts, and Lexus Collision Rentals.
Over 45 internal and external Lexus Business Partners filled the Expo area, where attendees could meet vendors face-to-face, ask questions, discuss challenges, and collaborate for future success.
“I am so grateful to have had this opportunity to attend the Lexus Guest Experience Expo. I am especially appreciative to meet the vendors face-to-face. It was great to be able to share ideas for product improvement with decision-makers. Now, if I am having an issue at a local level, I have a relationship with a corporate level contact.”
KIMBERLY ROBLING, Parts Manager, Tom Wood Lexus, Indianapolis, IN
Prepare Today for Tomorrow
The Lexus Guest Experience Leadership Summit + Expo was a motivational experience for all Lexus Dealers, Business Partners, and Lexus Associates who attended. If you could not join us, you can still discover Lexus Wholesale Parts best practices, operational tips, and new technologies in Lexus WIN’s review of Expo Business Partners (link to Story #3).
There is an exciting road ahead of us! By introducing a new lineup of vehicles and attracting a new set of guests, you can create a fresh generation of loyal Lexus owners. Whether retail or wholesale, now is the time to work together to develop strategies to deliver an exceptional guest experience today and in the future.
