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Ford Sales Results and Figures: May 2016


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Wow, bad month for anything other than their fleet business.

 

Lincoln holding on to modest growth, MKZ over 3,000 even if it's still down from last year. Navigator has obviously reached it's customer limit.

Edited by BORG
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The big declines were recorded by the Fiesta and Focus. Both are either in a declining segment (thanks to lower gasoline prices) or facing thoroughly revamped competitors, or both. The bad reputation earned by their automatic transmission isn't helping.

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The industry as a whole was off by 6% for May. Analysts note that there were fewer sales days this year vs. last year though.

 

GM was off 18%

Toyota off nearly 10%

Honda down 5%

Nissan -1%

FCA managed to be up 1%.

 

Interestingly, while F-Series had a good up month, Silverado was off nearly 13%, Sierra was down 7% and Ram p/u was down 3%.

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Biggest concern was that incentives were up over 28% over last year. Wonder how bad it would have been if they weren't juicing sales. Sales are starting to peak, and people don't need to replace a car as often anymore, 100K doesn't mean automatic replacement for people anymore, That number is getting to be 150K.

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Sales are starting to peak, and people don't need to replace a car as often anymore, 100K doesn't mean automatic replacement for people anymore, That number is getting to be 150K.

 

I agree with this. My wife used to freak out with anything over 100k, but our Flex just turned over 100k last week, and she says she's still good with her car for a few years. This is becoming very common.

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Ford is still holding flat for the year thanks to utilities so even if Ford's car business is likely to continue shrinking for the remainder of the year (and likely the next several), they have higher margin products taking their place. I still think Ford is facing some significant headwinds going forward with an aging car fleet and the lack of a small Crossover and maxed out production capacity for the Escape. Ford will be addressing many of these weaknesses by decade's end but at the moment Ford is essentially relying on it's Truck & Van business to make up the differences.

Edited by BORG
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I agree with this. My wife used to freak out with anything over 100k, but our Flex just turned over 100k last week, and she says she's still good with her car for a few years. This is becoming very common.

Mine is approaching 200k (almost at 181k right now) and I'm still cool with it for another year or 2 until the Ranger comes out despite literally every piece of trim on the dash and door panels rattling. Edited by fuzzymoomoo
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Our 2005 Focus SE sedan has 229,000 miles on the odometer, and our 2003 Accord EX sedan (four cylinder) has 252,000 miles on the odometer. We'll probably replace the Focus before the end of this year, and the Accord next summer. Yes, cars do last much longer than they used to.

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But we read a few months ago that Escape overflow and MKC production are going to Mexico.

 

 

That's not happening until the next-generation Escape and Focus around 2018.

 

My sister has a 2007 Ford Focus with around 170K miles on it. The funny thing is she had constant problems in her first 100K miles, I think basically everything in the chassis except for the engine has been rebuilt or replaced under the generous 100K Warranty. But once all of that was fixed, she has had no issues in the last 70-80K miles. She just picked up a Caddy CTS with 100K miles on it and is selling off the Focus. I think it held up relatively well, the door handle doesn't work on the passenger side and there is certainly plenty of rusting going on now with a broken armrest (surprised it didn't break at the factory it's so flimsy). I'm sure the next person will get allot of miles out of it.

 

Generally speaking, the Focus and Escape (I4s only) seem to be some of the longest lived Fords despite their rocky launch. I'm always surprised by how many of those 1st generation cars at still on the roads in Michigan which is a pretty harsh environment that chews through cars quickly. The cars with the smallest and most robust I4s seem to last the longest, that was also true of the Taurus...only the GLs survived to old age.

Edited by BORG
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Hmm, so would slower sales mean my dealer might shave off a few more $ when I go pick up my new car??

 

Doubtful. Remember it's both demand and SUPPLY and you won't see big incentives unless they're overstocked and Ford has been pretty good about cutting back on production to keep inventory levels from getting too high in the first place.

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