Toyota was known worldwide for affordability. Their cars were reliable, practical, and accessible. But when they tried to sell luxury to the American market, they failed. The Toyota Prado, though luxurious, was rejected. Why? Because in people’s minds, Toyota meant “mass market,” not “luxury.”
So Toyota played a psychological game. They took the same engineering, the same reliability, and wrapped it in a new name: Lexus short for “Luxury Export to the U.S.”
Suddenly, Americans embraced it. The product didn’t change much. What changed was perception. Toyota learned what every business owner must: sometimes it’s not the product you change, it’s the space you occupy in the customer’s mind.
Dr. Smith Ezenagu is the Chairman of Esso Group, a diversified conglomerate shaping real estate, finance, education, and media. Dr. Smith Ezenagu is recognized as a real estate & investment mogul, life coach, and private equity expert. He leads Esso Group and its subsidiaries: Esso Properties (awarded Nigeria’s Most Innovative Real Estate Company in 2024 and recognized as the best real estate company in Nigeria), Esso School of Enterprise (the leading institution equipping entrepreneurs), and Esso Capital (delivering smart, trusted financial solutions across Nigeria).