Seeking to boost sales of Lexus brand vehicles, Toyota Motor (TM) reportedly plans to offer rebates of up to $3,000, as well as subsidized financing on certain models.
At a gathering of Lexus dealers from across the country this week in Las Vegas, Toyota executives said the company is prepared to boost incentives in the next few weeks to spur sales, The Wall Street Journal reported, citing people briefed by Toyota.
The dealer meeting is the first such gathering in two years, the Journal noted.
In addition to rebates, Toyota will also offer low-interest financing and subsidized leases. The incentives are similar to those the automaker deployed in February to boost sales, following massive recalls of 8 million Toyota and Lexus vehicles to fix problems related to unintended acceleration.
Lexus, which held a decade-long sales lead in the U.S. luxury market prior to Toyota's recent round of safety recalls, has fallen behind rival Mercedes-Benz, a unit of Daimler (DDAIF). Sales figures released last week showed Lexus sold 162,438 vehicles in the U.S., just behind 165,362 for Mercedes.
Lexus sales have increased just 8.7% so far this year, while the overall market has grown 10.3% and Mercedes sales have jumped 21.3%, the Journal reported.