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Lexus: Delighting customers to keep them coming back
Close your eyes for a minute, and imagine the delay of conventional
cars. Not surprised? Talk to your friend who owns a Lexus, and you
won’t doubt that you will get a completely different picture. The lag
of the classic Lexus cars…anything but traditional. In Plano, Texas,
Lexus customers waiting for their car service can rest on comfy sofas,
watch a large screen television, surf the Internet, and sip drinks in
the bar area. The dealer will take into consideration adding a
nail polishing area. “We’re trying to make it feel like you’re at
home,” says the shop boss. And in California, a Lexus dealer
bought another $50,000 golf game machine so customers could have fun
while they waited for an engine oil change. Across the country, a
dealer in Raleigh, North Carolina, offers a fully-furnished business
center for busy outlets, complete with remote copying (faxing) and
wireless Internet access. Less ambitious customers can relax at the
coffee table near the lounge chatting over a cup of fresh Starbucks
coffee and still-warm chocolate scones. Why all this energy?
Lexus knows that good shopping does not stop at the completion of
sales. What makes the customer happy after the sale is the key to
building lasting relationships. Merchants across the country have a
common goal: to cheer customers up again. Lexus believes that if you
“make a customer happy, and keep them happy, you will have the customer
for life.” Lexus understands the value of a customer – it estimates the
average lifetime value of a Lexus customer is $600,000.
Despite the cuteness, few Lexus customers spend a significant amount of
time hanging around the dealer. Lexus knows that the best dealer
increase is the one that you don’t need to make at all. So they make
cars that are fun for the customer to start with – high quality cars
that need simple servicing. In the Lexus Convenant literature, “the
company declares that it will do the best cars ever made.” In the year
2004, J.D.Power established Lexus once again as the top brand for
primary quality. The Lexus SC 430 set the record for the fewest wear
problems ever reported. And if the car needs servicing, Lexus
goes out of its way to ease the hardship. Most dealers pick up the car
from its place, and return it after completing the maintenance work on
it. The car comes completely shiny, thanks to the complete
cleaning to remove any stains that hit the car from the roads from the
outside, and some capabilities that can be found on the leather from the
inside. You may be surprised to find that they help restore the car to
its luster that it came with immediately after its manufacture. My
wife wouldn’t buy a car other than a Lexus,” says one satisfied Lexus
owner. “They come to our house, take the car, change the oil, and give
it back to us. They take care of her all their lives.” When a
customer brings their car, Lexus fixes it the first time, on time, and
dealers know their spoiled customers have the money, but they don’t have
the time.” So dealers like Mike Sullivan test the system, which uses
three ratings instead of one to ensure after-sales service. 35,000
miles The new system will cut customer waiting time in half. “I’m not in
the car business,” says one dealer. “I’m in a service business.”
Beyond pampering the customer with great service, Lexus produces
special experiences that build lasting relationships. Lexus Australia,
for example, rewards loyal customers with VIP groups. Which gives them a
chance to buy the best seats in the Sydney Opera House. During the
break, customers can visit the e Inner Circl and sip a complementary
glass of Domaine Chandon while opening a VIP gift of special souvenir
trade merchandise from the show. According to its website,
from the outset Lexus has defined, “revolutionary the automotive
experience with a passionate commitment to the best products, backed by
dealers who produce the most satisfying ownership experience the world
has seen to date. We make sure that the customer is treated as an
individual. We work Things are right the first time and we always
exceed expectations. At Lexus, exceeding customer
expectations sometimes means fulfilling customer demands that seem
fanciful. Dave Wilson, the owner of a number of Lexus stores in
Southern California, speaks of an angry letter about a process that owns
Lexus, which paid $374 for a repair at one of his stores. In her
letter, she said that she had owned four Lexus cars before without a
single problem, and that she was upset that she had to have her current
car repaired. And I knew it was maintenance expenses – as in picking up
and driving…and driving “She doesn’t think she’ll do anything for her
Lexus, says Wilson, she’s done 60,000 miles on it, and she’s never
changed the oil.” Wilson gave her back the $374 she had already paid.
By all accounts, Lexus lives up to its promises to its ambitious
customers. They have produced what appear to be the world’s most
satisfied car owners. Lexus has always been at the top not only in J.D.
Power quality ratings. Power, but also in ratings of satisfaction in
the world and not only in the United States. but also all over the
world. In 2004, Lexus in the UK achieved the highest customer
satisfaction score in the 11-year J.D. Power rating history. Customer
satisfaction translates into sales and customer loyalty. And last year,
Lexus was for four consecutive years the number one luxury car in
sales. And if you become a Lexus customer, you will always be with them
– Lexus retains 84% ??of customers who go to it to offer service.
1.Based on the above, you must answer the following questions The first
question in your opinion, do you think that the services provided by
Lexus to its customers are enough to keep them for a long time? justify
your answer
2. The second question is that (Customer Relationship
Management) is a strategic marketing perspective for modern companies.
What is the strategy for managing relationships with Lexus customers
through your reading of the case? Justifying your answer
3. do you think
that the company succeeded in building a relationship with its
customers and bringing joy to their souls through the customer
relationship management system? Justify your answer with facts from the
4. There is a series of steps for customer retention, what are
these steps, supporting your answer with facts from the case study.


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