Photo: Toyota            

But the German manufacturers responded quickly. They came back with new and improved products at lower prices. Models previously equipped only with six-cylinder engines now offered V8s to compete against Lexus. Providing high-quality cars and top-notch customer service became the price of entry in the luxury market. Just as the German makes were rebounding, Lexus also encountered challenges on other fronts – the U.S. government and the Japanese economy. In 1995 Lexus was faced with the double hit of threatened 100 percent trade tariffs and an escalating yen. The proposed tariffs were waived after intense U.S./Japan negotiations resulted in an automotive trade accord. But no negotiations could ease the sting of a rising yen, which forced Lexus to raise prices at a critical time.

Despite these challenges, Lexus weathered the storm and used the opportunity to re-engineer and re-introduce new models with more equipment. At the same time, the strengthening dollar allowed Lexus to lower prices and re-establish a value position. Through its first eight years, Lexus introduced four more new products: the ES 300 affordable luxury sedan and the SC 400/300 sport coupes in 1991; the GS 300 mid-level sports sedan in 1993; and the LX 450 in 1996. By the mid-90s, Lexus had become a household name and earned the reputation of selling bulletproof cars at a value price and setting new standards of customer satisfaction. In spite of this success, some critics said Lexus was boring.

The 1998 GS 400 offered sleek styling and a 300-horsepower, 4.0 liter V8 engine that blasted from 0-60 in less than 6 seconds. To position this high performance sports sedan, and, at the same time expand on the Lexus brand, a new marketing approach was introduced with the "Something Wicked This Way Comes" ads. This campaign evolved into "The Relentless Pursuit of Exhilaration" theme. It was the first time Lexus had deviated from its traditional "The Relentless Pursuit of Perfection" tag line and showed Lexus was branching out. Not only was Lexus presenting a different marketing image, but over the next year, it extended its product line, as well. For the 1999 model year, Lexus became the first luxury brand to offer two distinct sport utility vehicles (SUVs). The LX 470 premium SUV provided the ultimate combination of outstanding off-road capability with top-of-the-line luxury appointments. Lexus also debuted the RX 300, a car-based SUV, which offered the commanding ride height and off-road functionality of an SUV without sacrificing the smooth ride, handling and conveniences of a luxury car. The RX 300 has become a runaway success, establishing an all-new segment in the market. The RX 300 is Lexus’ volume leader, a fact noticed by competitors. Soon, other car-based luxury SUVs will be vying for the same buyers.

Lexus’ product line-up is continuing to grow. Next on Lexus’ agenda is the IS, a European sports sedan targeted at younger buyers, scheduled to debut in mid-2000.

"The sheer scale of combining the largest automotive portfolio in the industry with one agency creates a tremendous platform for great, unexpected innovations in our placement strategy," said Phil Guarascio, General Motors vice president, advertising and corporate marketing. "One voice to the entertainment industry is efficient, but also, more importantly, offers maximum opportunity to create bigger, better and more partnerships with the studios."

Actress Cheryl Ladd offers putting advice to professional golfer Ben Crenshaw after sinking her putt during the Buick Open Ladies Day Challenge Championship Pro-Am Monday, August 2, 1999, at Warwick Hills Golf Country Club in Grand Blanc, Mich. The event pairs female foursomes with PGA tour professionls in a pro-am tournament format in conjunction with the PGA Tour's Buick Open at the course.

Following an extensive review, General Motors selected NMA for the consolidated business based on the agency's successful placement history with Chevrolet since 1983 and their innovative approach to the broadened scope of work. NMA has demonstrated an ability to proactively extend entertainment marketing programs to other communications tactics such as promotions. Included in the list of NMA's Chevrolet accomplishments is the new Paramount release, Runaway Bride starring Julia Roberts and Richard Gere which prominently features the Chevrolet Camaro as Gere's car.

The move will also bring new attention to Pontiac-GMC, a division that has not worked with an entertainment marketing agency for the last two years. Established in 1979, Norm Marshall & Associates has secured thousands of feature film and television placements for a wide variety of global corporate brands, and has also coordinated and managed award-winning promotional campaigns linked to top feature films.

General Motor's vehicles have a long history in motion pictures and television productions. Chevrolet, Buick, Oldsmobile, and Pontiac-GMC have a featured presence in such memorable films as Rainman, Days of Thunder, Men In Black, the Lethal Weapon series, Get Shorty and Pretty Woman among others.