Ford Consolidation Possible

Sep 28
10:56

2009

Joe Kent

Joe Kent

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Ford has been tightening its belt for quite some time. First it sold off Jaguar and Land Rover to Tata, then Aston Martin, and now it’s likely that Volvo is on its way out from under the Blue Oval as well. While this has helped Ford become more focused on its core brands, many questions about consolidation are still surrounding Ford’s Lincoln and Mercury brands.

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Lincoln and Mercury are commonly sold together alongside Ford models observes Minneapolis Used Cars. However,Ford Consolidation Possible Articles Ford execs are now suggesting that dealers should sell Ford vehicles or more upmarket Lincoln and Mercury models, but not together. This is especially important in large metro area says one Ford St Paul dealership.

Ford is hoping to enforce the strategy that Ford branded models should remain out of Lincoln Mercury dealerships. By effectively separately these brands, Ford is hoping to maintain the luxury appearance of Lincoln Mercury dealerships. The move should be most beneficial to Mercury admits some consumers among used Ford St Paul dealers, the brand currently is comprised of thinly disguised Fords. Meanwhile, many wonder if Mercury will even exist in the long terms for its lack of distinction in such a complex marketplace. It's relatively low sales volume doesn't help matters either. This is precisely why many dealers such as used car dealers Salinas are keen to sell high-volume Ford models alongside Lincoln and Mercury vehicles.

With auto sales still weighing heavily on decisions at Ford, changes in dealer consolidation are likely to continue predicts Lincoln Service Seaside. Whether or not to consolidate will remain a big question, especially considering that the Mercury brand itself remains teetering on the brink of extinction. Without consolidation, Ford has a chance to differentiate its brands, but consolidation will provide a stronger dealer network.