Home Market & Buyer's Guides Lexus VS Mercedes – Who Offers The Best Luxury Cars?

Lexus VS Mercedes – Who Offers The Best Luxury Cars?

by Kelvin Yates

Are you thinking of purchasing a luxury car and are you considering Lexus vs Mercedes? Well, if this is the case, then you are at the right place because there will be a lot to cover on this topic where we will learn a lot about these two brands of luxury cars and compare them the right way.

Performing proper research whenever you decide to purchase a vehicle is the right call. You just never want to purchase a car with your eyes blindfolded. You need to be properly informed about a certain make and model before you decide to purchase it.

Especially nowadays when car prices went through the roof. This is why you need to make the right decision. Because a car purchase is like an investment. You need to get the right investment in order not to lose a ton of money in the long run. This means that you need a car that will not depreciate like crazy in five or six years. But you shouldn’t worry because we are going to help you out.

First, we are going to learn more about the brands in general. Then we will compare the two brands head to head in a couple of categories. Later on, we will compare the two brands in terms of depreciation and see which car you will lose the most money on. So, if you want to learn more, follow along.

Who Is Lexus?

Now before we compare Lexus vs Mercedes, let’s first cover some of the basics of both of these two brands and familiarize ourselves with these brands. Still, you want to learn more about their history and how everything started. Since one of the most important aspects when purchasing a brand, especially when it comes to a luxury brand.

So, let’s start with Lexus first. Who is Lexus? Lexus is a Japanese company that produces luxury vehicles. They were founded in 1989 in Nagoya, Japan.

Lexus came at the time when the Japanese brands in order to diversify started to create luxury brands. For example, Honda created the Acura brand, Nissan created the Infiniti brand, and Toyota created Lexus.

So, Lexus is basically a daughter company of Toyota. But we can say that this company is probably one of the most popular of all three that we mentioned.

Lexus VS Mercedes

Lexus as a brand is present in more than 90 countries across the world and is currently the largest company in Japan that sells luxury vehicles. And that tells you quite a lot when it comes to this brand and its presence on the market.

In the beginning, they only offered the Lexus LS which is a luxury sedan. But soon after, Lexus diversified and started selling coupes, convertibles, and SUVs. And frankly, it stole a ton of sales from the German carmakers BMW, Mercedes, and Audi.

Nowadays Lexus has a ton of clients who believe in this brand and the Lexus cars are their number one choice. But what about Lexus vs Mercedes? We will get to that in a bit.

Who Are Mercedes?

Now before we compare Lexus vs Mercedes, let’s learn something about Mercedes and its history. Who is Mercedes and why it is so popular? Let’s elaborate.

Mercedes is probably the go-to brand when it comes to luxury since the beginning of the 20th century. Everybody loves Mercedes, politicians, business people, dictators, everybody wants to get a hold of a car from this German brand. But how everything has started?

Well, the brand Mercedes Benz was established in 1926 in Stuttgart, Germany. In the beginning, they focused primarily on luxury cars but as the company grew, it diversified and now offers vans, trucks, buses, powertrains, and other heavy equipment.

From the beginning, Mercedes targeted the most affluent buyers on the market and also offered quality. So, the first two things that people associate with Mercedes Benz are luxury and German quality. And this distinction has stayed for almost a whole century.

Lexus VS Mercedes

So, we can even compare Lexus vs Mercedes. When it comes to longevity and quality, then the German brand is probably leading to some extent when compared to the Japanese brand.

What is worth noting is that Mercedes has an offering for almost every possible segment on the market. In the past, they only offered luxury sedans. But nowadays, they have a wide range of vehicles.

More precisely, 24 models including the electric cars that they have released or plan to release. And that is a lot more than any other brand on the market right now.

So, if you want a specific model, you know that Mercedes has this in their lineup. But what about the Lexus vs Mercedes comparison? Well, more on that we are going to cover in the following chapters, where we will compare the two brands in some categories.

Mercedes VS Lexus

Now let’s dive into the Lexus vs Mercedes battle and compare these two car brands in certain categories. We will discuss both brands’ offerings in these segments and also we will give our honest opinion on which model is the way to go when it comes to purchasing a new car from these respective brands. So, if you want to learn which brand wins, follow along.

Lexus VS Mercedes Small Sedan Class

Now let’s make our first comparison when it comes to the Lexus vs Mercedes. And that is the case with the small sedan class. This is the smallest class where we can compare these two brands. Mercedes also has the A-class. But Lexus unfortunately does not have an offering in this segment.

So, in this situation, we compare the Mercedes C-Class and the Lexus IS. These cars are compact executive sedans. And frankly, one of the most affordable cars that you can purchase from these two brands.

The Lexus IS starts at $40,000. While the MSRP for the C-Class starts at $43,500. So, even from the start, we can see that the Mercedes is a bit more expensive compared to the Lexus.

The IS has a 2.0L inline-four which is turbocharged and this engine produces about 240hp. When it comes to the C-Class, this model has a more powerful engine, that makes about 255hp. In terms of transmissions, the Lexus has an 8-speed automatic, while the Mercedes has a 9-speed automatic.

Also, the Mercedes has a better fuel economy of 29 MPG combined compared to the Lexus which has 25 MPG combined.

In addition to this, the Mercedes Benz also has more storage capacity. 12.6 cubic ft compared to 10.8 cubic ft.

Our overall impression is that the C-class is a better all-around car than the IS. You might pay a bit more for the Benz but it will be definitely worth it if you are targeting a car in the low 40s.

So, when it comes to the Lexus vs Mercedes in the compact sedan category, the Mercedes C-class is a clear winner.

Lexus VS Mercedes Mid-Size Sedan Class

Now let’s cover another category when it comes to the Lexus vs Mercedes battle and that is the mid-size sedan category. This is the category where the Mercedes E-class and the Lexus ES are leading the game. Another serious player is the BMW 3-series when it comes to the luxury mid-size sedan market.

Nevertheless, the Lexus ES starts at about $42,000, which is a real bargain if you are asking me. While the Mercedes E-class starts at $56,000. And that is more than a $14,000 difference between the two models.

So, in terms of value, the Lexus wins this by a really big margin. And in addition to this, the Lexus is a far more recent model than this generation of the E-class.

For the base price when it comes to the Mercedes, you get a 2.0L inline-4 turbocharged engine that is producing about 255hp. The Lexus also comes with a 2.0L inline-4 non-turbo engine that produces about 203hp. In terms of transmissions, the Lexus comes with an 8-speed automatic while the Benz comes with a 9-speed automatic.

When it comes to fuel economy, it is worth mentioning that they perform quite similarly. The Lexus gets 28 MPG combined, and the Benz gets 26 MPG.

In terms of trunk space, the Mercedes Benz comes with a 13.1 cubic ft trunk while the Lexus comes with a 13.9 cubic ft of space. Pretty similar in this aspect.

But overall, we think that the Lexus ES is a better value for the money. There is a big difference in terms of the price of the car. The Lexus is starting at $42,000 while the Benz is $56,000 and all that for a model that is soon to be retired. So, the clear winner for us is the Lexus ES.

Lexus VS Mercedes Large Sedan Class

Now let’s compare Lexus vs Mercedes in another segment and that is the large sedan class. This was the first task for the Lexus brand and that was to create a competitor to the S-class and this is how they created their first model, the LS400. Since then the LS class has evolved and currently is in its fifth generation.

Nevertheless, let’s compare the LS and the S-class and see which of them is the better option to purchase. Let’s first talk about price. The Lexus LS starts at about $78,000, which is a lot of money. But the S-class is quite more expensive, starting at $113,000 for the S500 model. What is good to note is that the present generation of the S-class is quite more recent in comparison to the LS.

The base LS500 comes with a twin-turbo V6 engine. This is a 3.5L engine that is outputting about 416hp. When it comes to the Benz, the S-class comes equipped with an inline-6 engine that is turbocharged. This engine is a 3.0L in capacity and produces about 429hp.

In terms of transmission, the Lexus comes equipped with a 10-speed automatic with overdrive. While the Benz comes equipped with a 9-speed automatic with overdrive. Both of these transmissions deliver really smooth shifts.

The fuel economy is good, with 22 MPG on the Lexus and 24 MPG on the S-class.

In terms of trunk space, the Lexus has 16.9 cubic ft and the Benz has 12.9 cubic ft. The Lexus is quite roomier if you load your car with groceries.

So, which is the winner when it comes to Lexus vs Mercedes? In this category, the clear winner is the S-class, this model is fairly more recent and is basically a level above the Lexus.

Lexus VS Mercedes SUV Class

Now let’s discuss Lexus vs Mercedes in another category. And that is the category of luxury SUVs. We will primarily focus on the RX VS GLE.

The Lexus RX starts at about $47,000. The GLE on the other hand is a bit more expensive. More precisely the MSRP for the GLE 350 is $57,200. So, we can see that there is a $10,000 difference in price. And as you option it out these cars, this difference becomes even bigger.

In terms of engines, it is worth mentioning that the Lexus comes equipped with a 3.5L V6 that produces 295hp. While the GLE is equipped with a 2.0L inline-4 engine that makes 255hp.

In terms of transmissions, the RX comes equipped with an 8-speed automatic, while the GLE comes equipped with a 9-speed automatic.

What is good though is that from 2023, there will be a new generation of the RX that is expected to be a lot better than the current generation.

In terms of fuel economy, both cars perform fairly similarly. With 22 MPG combined for the GLE and the RX delivers 22 MPG combined.

When it comes to cargo space. With the second row folded down, you will get 58.5 cubic ft of space in the RX and 23 cubic ft when the seats are not folded. On the other hand with the GLE you get 74.9 cubic ft with the seats folded down and 33.3 cubic ft with the seats up. So, we can see that the GLE is a much more spacious vehicle.

So, which is the winner when it comes to Lexus vs Mercedes? Well, the clear winner here is the GLE. The GLE is bigger and more spacious. But if you go for value, the RX is the winner.

Lexus VS Mercedes Sports Car Class

Now let’s compare Lexus vs Mercedes in the sports car category. More precisely we will compare the sports car coupes that these two companies offer and these are the Lexus RCF with the Mercedes AMG C63. What is worth mentioning is that the latest generation of the C63 is not released yet, so we will compare the present RCF with the last C63. So, let’s get started.

The Lexus RCF starts at about $67,000 and the Mercedes C63 AMG price begins at $71,000. Quite more expensive in comparison to the RCF. But is the AMG worth the difference of four thousand dollars? Let’s find out.

When it comes to engines, it is worth saying that both of them come equipped with V8 engines. The AMG has a 4.0L V8 that produces about 469hp. While the Lexus has a 5.0L V8 that is making 472hp. Even though the Lexus has a liter of displacement more, it still produces only three horsepower more.

In terms of transmissions, the AMG comes with a 9-speed automatic, while the RCF comes with 8-speed automatic transmission.

In terms of fuel economy, they both perform pretty much the same. The AMG gets about 20 MPG combined, while the RCF only gets 19 MPG.

When it comes to trunk space, it is worth mentioning that both of them have the same amount of cargo space. About 10 cubic ft to be more precise.

In terms of luxury, they are pretty much even. They are both very comfortable to drive and look spectacular. The only aspect the AMG has an advantage is the technology. Mercedes’s infotainment system is much better in comparison to the Lexus system.

So, Lexus vs Mercedes, who wins? When it comes to this category, we would give the vote to the Mercedes.

Mercedes VS Lexus Maintenance Costs

Now let’s cover a really important topic when it comes to the Lexus vs Mercedes comparison and that is the maintenance cost. As you probably know, maintenance costs are one of the most important aspects when purchasing a vehicle.

One thing is to purchase a vehicle and a completely different thing is to maintain this vehicle and keep everything in order. A new car is not that problematic but a used vehicle can be, to a big extent.

So, which brand of these two is cheaper to maintain? The answer to this question is really simple. Lexus is the more affordable vehicle to maintain in the long run.

Prices at the Lexus dealership are not even close when compared to the maintenance cost of a Mercedes Benz. This is why Lexus is stealing so many sales from the German brands, they offer good value cars that are not expensive to maintain in the long run.

Lexus does not overvalue their cars based on the brand name. This is why if you want to purchase a good value vehicle that will be affordable to maintain, the Lexus brand will be perfect for you. So, in this case, when comparing Lexus vs Mercedes, the Lexus brand gets the win.

Mercedes VS Lexus Reliability

Another thing when it comes to Lexus vs Mercedes is the reliability aspect. As you probably know, cars need to be reliable. So, you don’t repent that you purchased a lemon.

And in this case, both of these brands make good and reliable vehicles. You will not make a mistake with either of them.

With Lexus, you get the Toyota quality and with Mercedes, you get the German quality. Even though in the long run, Mercedes can be more expensive to maintain properly. So, beware of the maintenance costs and make sure that you do not make a mistake on this.

Mercedes VS Lexus Depreciation

Another aspect worth discussing when it comes to the Lexus vs Mercedes is the depreciation. So, what is depreciation?

Depreciation is a situation when the car loses some or most of its value in a very short time period. And when it comes to this aspect, Mercedes is probably the brand that suffers more than Lexus.

Mainly because their cars are worth much more when new. So, over 5 year period, their cars will lose more of their value in comparison to the Lexus brand. Some Mercedes S-class models that are about 20 years old, nowadays cost about $3,000. So, compared $118.000 to $3,000. In just 20 years.

That’s a lot of money lost. But since you have the funds to afford this car you are probably familiar with the depreciation. Now let’s conclude this article.

Lexus vs Mercedes: Facts

  • Luxury car brands, Lexus and Mercedes-Benz are highly competitive in the automotive market.
  • Both Lexus and Mercedes-Benz produce powerful, feature-rich, and luxurious cars and SUVs.
  • Lexus and Mercedes-Benz meet all the car-buying must-have boxes, including comfort, performance, and safety.
  • According to U.S. News and World Report Cars, Mercedes-Benz comes out on top when compared to Lexus in general, with its luxurious cabins and heart-pumping performance.
  • Lexus is more affordable than Mercedes-Benz, and it offers high-quality materials and amenities for less than its luxury rivals.
  • The 2021 Lexus ES, 2021 Lexus LC, and 2020 Lexus UX have earned high marks in their respective segments.
  • Lexus won the hybrid and electric categories with the 2020 Lexus ES Hybrid, 2021 NX Hybrid, 2020 RX Hybrid, and 2020 UX Hybrid.
  • Mercedes-Benz is the go-to brand for anyone interested in super luxury cars and luxury SUVs of any size.
  • The S-Class is the gold standard when it comes to plushy extras in the automotive industry.
  • Anyone looking for over-the-top experiences with a luxury car or SUV won’t be disappointed with the Mercedes-Benz brand.


In this article, we have covered quite a bit when it comes to the Lexus vs Mercedes comparison. First, we learned some of the histories of the two brands.

After that, we made a comparison between both brands in several categories. Namely, compact sedans, mid-size sedans, full-size sedans, SUVs, and sports coupes. Then we learned which of them is more affordable to purchase and maintain and which make depreciates more.


Now let’s answer some frequently asked questions.

Is Lexus A Luxury Car

Yes, Lexus is a luxury car brand. In fact, Lexus is one of the most affordable luxury car brands on the market. So, if you want to drive in luxury and for a good price, their models will be perfect for you.

Is Lexus Reliable

Yes, Lexus is fairly reliable. Considering that Lexus is owned by Toyota. And we all know that Toyota is associated with quality. So, we can say that the Lexus brand is a reliable brand.

How Long Do Lexus Last

On average any car should last 150,000 more or less. Everything above this mileage is a plus. And when it comes to Lexus vehicles, they are known to push above 200,000 or 250,000 miles with no problems. But they still require regular maintenance if you want to drive them this long.

Do Lexus Hold Their Value

Yes, compared to other luxury brands they hold the value really well. Namely, because they are not that expensive, to begin with. They are more affordable than BMW or Mercedes. And here you can save some money.

Is Lexus Better Than Toyota

Yes, Lexus is better than Toyota. Lexus vehicles are more upscale models that are not comparable with Toyota cars when it comes to luxury and performance.

Do Mercedes Hold Their Value

Not quite, their models tend to depreciate a lot after 5+ years. When new generations pop up, the old generation is quickly forgotten. So, their price drops significantly. The ones that hold their value well are the AMG models or the G Wagon. Mercedes sedans depreciate the most.

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