Auto Intelligence (AI)

How Subaru became the "Lesbaru" The Revolutionary Marketing Campaign That Changed an Industry

Auto Intelligence (AI) Season 1 Episode 47

Send a text

Special thanks to Heather Renner for suggesting this fascinating topic! Follow her insights at https://www.instagram.com/heatherrenner/
for more incredible stories from her channel.

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 an

Auto Agentic (www.autoagentic.ai) is an automotive intelligence company architecting how AI actually operates across dealership organizations.

Founded in 2024, Auto Agentic was created to solve a problem no vendor was addressing: automotive didn’t lack AI tools—it lacked intelligence architecture. As features multiplied, coordination worsened, insight fragmented, and transformation stalled.

Auto Agentic exists to change that.

We design agentic intelligence systems that unify operations, coordinate data and workflows, and enable organizations to move from fragmented automation to connected, predictive, and self-improving intelligence.

Our work is built on three foundations:
• the Automotive Intelligence Pyramid
• a coordinated agentic architecture of 75+ automotive-native agents
• and systematic transformation partnerships

Auto Agentic is SOC 2 Type II certified and trusted in regulated environments.

We don’t deliver tools. We build operating intelligence.

We partner with dealer groups and OEMs to architect how intelligence flows across their organizations—creating companies that coordinate rather than hand off, predict rather than react, and build advantages that compound over time.