Blog

Lexus dips toes in luxury yacht market

We’ve written about boats shaped as hot dogs, as well as Top Gear’s surprisingly effective attempt at driving a ute across the English Channel. Yep, beach goers were understandably perplexed at the site of a ute emerging from the ocean. Well, now luxury car brand, Lexus, is delving into boat building.

Here’s what you need to know.

Why oh why?

Okay, we’re neither for nor against Lexus traveling from road to water, but we were curious to find out why. After all, it’s not often that car brands move into a brand-new area of transportation.

According to fortune.com, Lexus has been struggling to keep up with the car sales of other luxury brands, such as Mercedes.

To leverage its luxury persona further, the brand decided to enter one of the most luxury modes of transport, yachts.

Luxury yachts only

The Lexus yacht is said to be a 65-foot (20-metre) ultra-luxury vessel, which should be available in the USA later this year.

This announcement came in Yokohama, Japan, along with details of the yacht’s features, which include:

  • Space for 15 guests onboard.
  • 3 bedrooms, plus washrooms.
  • Separate rooms for crew.

The Executive Vice President of Lexus, Shigeki Tomoyama, would not divulge the cost of the yacht, although he did say it would be in the ball park of other luxury yachts in the same class.

The market for luxury yachts is comparatively small world-wide, so for Lexus, it’s more about conveying an image of luxury for the entire brand, and hopefully boosting car sales too.

Founder of New York-based branding firm, Lividini & Co., Jaqui Lividini, told fortune.com.au that being in the luxury yacht market increases Lexus’ ‘luxury quotient’.

“I mean, what’s more luxurious than a yacht,” she said.

A vision of luxury

Other luxury car brands, including Mercedes, are getting their toes wet in the luxury boat business too.

Founder of New York-based marketing firm, Brand Keys Inc., Robert Passikoff, told fortune.com.au that using big boats to sell more luxury cars is a good strategy.

“Just the fact that the boat is there may reinforce values that are important for the automotive category — like speed,” he said.

“It becomes more emotional, and you kind of go, ‘Well, I can’t afford a million dollar boat, but a $80,000 car? That I can afford.”’

Would you buy a Lexus luxury yacht?

If you had the budget, would you buy a Lexus yacht? Or go for a name with the years and building experience to back it?

We’d love to hear your thoughts in the comments section below.

If you need your yacht insured, no matter what size, we can organise a free quote for you. Just ask us, and one of our marine underwriters will get on the job.

Contact us to get started, and stay safe out there!

 

https://www.motor1.com/news/133480/lexus-sport-yacht-concept/