Industry Report: Lexus Undaunted by Lackluster European Sales

In order to strengthen European sales Toyota will spend approximately $650 million USD in advertising during the next three years,

Toyota will spend approximately $650 million USD in European advertising during the next three years. (Photo: Shawn Pisio, Canadian Auto Press)

stated a report in the Financial Times. This should help it reach a target of 65,000 to 100,000 European sales, which some industry analysts believe is a conservative estimate.

Then again, throwing money at the European market may prove as fruitless as Toyota's Formula One efforts. Despite being said to have one of the highest budgets in F1, the Japanese automaker's Cologne-based team has finished near the back of the pack every season.

Only time will tell if the European market will accept Lexus as a relevant luxury player, and for its targets to be achieved

Toyota plans on doubling European Lexus dealerships to more than 400 over the next few years. (Photo: Lexus)

the introduction of the gas-electric version of the RX, and new diesel-powered IS sedan couldn't come any sooner.

Another key ingredient to meeting future sales goals will be Toyota's plan of doubling European Lexus dealerships to more than 400 over the next few years, making the brand more visible and curious Europeans more likely to drop in on their way home from the office.

If Lexus does manage to gain a solid footing in Europe it will most likely be at the expense of marques such as Jaguar, and possibly Cadillac which has been attempting to make moves on overseas markets. Catching up to BMW and Mercedes-Benz will take a great deal longer, and by that time both may offer hybrid-electric diesels of their own, reducing Lexus' competitive advantage.