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This week's Auto Intelligence explores one of the most revolutionary marketing campaigns in automotive history—how Subaru discovered and authentically engaged lesbian customers in the 1990s, earning the beloved nickname "Lesbaru."
In the early 1990s, Subaru was struggling with declining sales and failed attempts to compete with Toyota, Ford, and Honda. Rather than fight for the same suburban demographic, they pivoted to niche marketing, targeting groups willing to pay premium for all-wheel drive: teachers, healthcare professionals, IT workers, and outdoorsy types.
But market research revealed something unexpected—pockets in places like Northampton, Massachusetts and Portland, Oregon where single women were buying Subarus. These women were lesbian, and data showed lesbians were four times more likely than average consumers to buy Subarus.
The mid-1990s context was hostile to LGBTQ+ visibility. "Don't Ask, Don't Tell" was new law, Ellen DeGeneres hadn't come out, and companies feared being known as "gay brands." When IKEA aired an ad with a gay couple, someone called in a bomb threat.
Tim Bennett, Subaru's Director of Advertising, championed the groundbreaking campaign. Working with Mulryan/Nash agency and creative director John Nash, they developed "gay vague" advertising—subtle references lesbian audiences could decode while remaining invisible to straight consumers. License plates reading "XENA LVR" (Xena: Warrior Princess) or "P-TOWN" (Provincetown). Slogans like "Get Out. And Stay Out" and "It's Not a Choice. It's the Way We're Built" worked as brilliant double entendres.
But authenticity went beyond clever ads. Subaru sponsored the Rainbow Card (with Visa and British Airways), hired openly lesbian tennis star Martina Navratilova as spokesperson, and implemented domestic partner benefits internally. As Bennett said: "I can't go marketing to gays and lesbians, but then internally, my policies don't work."
Paul Poux from Mulryan/Nash noted how lesbian focus groups appreciated Subaru's approach, while Rainbow Card co-creator Pam Derderian called Navratilova's involvement "a beautiful, full circle moment."
Results were remarkable. Between 1993-2004, Subaru more than doubled sales. By 2002, readers of The Advocate and Out magazines were nearly three times more likely to buy Subarus. The cultural impact created lasting brand loyalty—nearly thirty years later, LGBTQ+ customers still consistently choose Subaru as their favorite automotive brand.
Other automakers like Toyota, BMW, Ford, and General Motors' Saab division followed with varying degrees of succ
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