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Luxury car brands scrambling to avoid a blue Christmas

DETROIT — When financial markets surge to new records, sales of luxury cars usually rise, too. Instead, October U.S. auto sales reports on Wednesday showed that a collapse in sales of luxury sedans is accelerating. Consumers have gradually shifted over to luxury sport utility vehicles from sedans in the past decade, but the trend — which has occurred in both the non-luxury and luxury sedan segments of the auto market — was particularly pronounced in October. Sales of Daimler AG's Mercedes-Benz S-Class, long a global benchmark for large, premium sedans, plunged 49 percent in October, and are down 24.8 percent for the year to date. General Motors' Cadillac brand said it sold just 779 of its CTS sedans in October. Demand for that car, designed to compete with German luxury sedans, is down nearly 33 percent for the year. "There's still a significant portion of the market that wants a car, but I'm sure there were people who preferred a horse to a car at one point." Cadillac's best-selling model this year is the XT5 compact SUV, which has more than doubled sales from a year ago. The shift within the luxury vehicle market away from sedans toward SUVs of all sizes is forcing some of the most prestigious brands to scramble to add SUV models to their lineups or boost SUV production to meet demand. "In the short term, there will be pressure to add (consumer) incentives, cut production or both," said Cox Automotive analyst Michelle Krebs. "And we just don't see an end in sight to this trend." The Dow Jones Industrial Average has been trading at all-time highs, usually a good sign for luxury sedans, but as major automakers reported new U.S. vehicle sales for October on Wednesday, sales for passenger cars continued their slide while luxury SUV and crossover sales rose again. According to Kelley Blue Book data, in 2007 luxury sedans made up 7.6 percent of U.S. new vehicle sales, while luxury SUVs made up 4.2 percent. Through September this year, luxury SUVs made up just over 7 percent of the market, compared with 4.9 percent for luxury sedans. In the short term, luxury brands could use holiday season sales promotions to clear slow-selling sedans off dealer lots, analysts said. Toyota's Lexus brand said on Wednesday it will launch its "December to Remember" year-end sales promotion for the 18th straight year.

Will.i.am and Lexus make music on a runway with frickin' lasers

There's no doubt that an engine can make some fabulous sounds, but they don't technically fit the definition of music. In a spectacular recent stunt from Lexus, Will.i.am, and a huge team of technicians, a trio of NX CUVs actually became an instrument while driving down a runway to play the artist's song #thatPOWER. All that was necessary to get it done was the help of a whole lot of lasers and some very precise driving. The team rigged up 350 audio-sensitive lasers and lights to make this stunt possible, and it essentially turned the runway into a real-world version of the Rock Band video game interface. The three NXs needed to drive not only in the right location but also at the right speed to keep the song's tempo going. While what you see here was reportedly shot in just one night, setting everything up took 65 people over seven days. The awesomely named light artists, Marshmallow Laser Feast, designed the actual layout. The end result of all of the hard work definitely looks impressive in this video, but it also appears like this was a very difficult stunt to actually get right. A lot of the faces at the end of the clip were wearing a look of relief of finally doing things successfully. will.i.am AND LEXUS CREATE LASER AND SOUND SPECTACULAR ON EPIC STREET 'STAVE' FRONTMAN CHALLENGED TO NAVIGATE GIANT VISUAL INSTRUMENT IN ALL NEW LEXUS NX Brussels 30th July 2015 - #NXontrack - Lexus Europe, today unveiled an innovative audio-visual film which sees global entrepreneur and musician, will.i.am challenged to create a remix of one of his most iconic tracks, #thatPOWER in a breath-taking music, art and technology spectacular. . Played out on a disused runway lined with more than 350 projected mapped motion and audio sensitive lasers and lights, the front-man battles against speed and rhythm to conduct and navigate a trio of striking Lexus NXs', hitting the laser 'targets' at the correct tempo to synchronise with his smash hit. The unprecedented live event, shot in one night last week, sees the musician's skills put to the test as he joins three stunt drivers including 2013 Blockbuster, Rush frontman, Niki Faulkner, to take on the colossal 'sound-road', race against rhythm and successfully complete the challenge in the limited hours of darkness available before the sun rises. Speaking about the video, will.i.am said: "Working with the stunt guys to hit the laser targets in time with the music wasn't easy to get right but the result was awesome.

Lexus regrets not doing 3-row CUV before RC coupe [UPDATE]

UPDATE: The source clarifies that rather than planning new small cars and crossovers, Lexus intends to rely on the ones it already has in its lineup. The text below has been revised accordingly. Automakers try to give its dealers (and by extension, their customers) the vehicles they're asking for. In Lexus' case, that's come down to a sport coupe and a three-row crossover. The Japanese luxury automaker ended up prioritizing the former with the launch of the RC coupe, but in retrospect, it feels it should have gone with the seven-seater instead. This according to Toyota's North American chief Jim Lentz in speaking to Automotive News at its provisional headquarters in Plano, TX. "In hindsight, if I was making this decision 10 years ago, seeing what I see today, the three-row [crossover] probably would have been the better play to come out first," Lentz to AN. "Strategically that's a more important vehicle to have than necessarily a lower volume, higher priced image product." Crossovers and SUVs represent big business for Lexus, whose five-seat RX (pictured above) is its biggest seller. The more compact NX is off to a solid start as well, but the brand's only three-row offerings are truck-based sport-utes like the GX and LX. Even without the three-row crossover, however, Lexus has been performing admirably. Rising sales have it trailing only BMW and Mercedes in the US market for luxury automobiles. Adding a three-row crossover to target the likes of the Audi Q7 and Mercedes GL will evidently be the next top priority for Lexus, but it's not the only plan the luxury brand has for the near future. Lentz indicated that the company plans to rely on its lineup of near-luxury and entry-level luxury sedans and crossovers moving forward, but isn't interested in going after the Mercedes CLA and Audi A3. "Luxury cars cost a certain dollar amount for a reason," said Lentz. "I don't want to cheapen my cars just to offer a lease that's $20 a month less."