Filed under: Ford, Earnings/Financials
Ford sales in March will show double digit decline
We usually don't post on monthly sales number aside from our mega By The Numbers post that appears at the beginning of each month, but clearly news that sales at Ford will drop again in March by double digits warrants its own post. Ford's chief sales analyst George Piper told Reuters today that retail sales will fall thanks to weaker demand for the F-150, while fleet sales will continue to drop as expected. Those combined losses will apparently add up to sales that are at least down by 10%, if not more. Clearly the F-150 is seriously feeling the hurt, as newer competition from GM and Toyota are vying for F-150 customers, and the current weak housing market means construction companies just aren't buying the F-Series like they were last year. The brand's Daily Average Sales Rate fell 15.2% in February and a whopping 25.2 percent in January, and it seems apparent that when automakers report their numbers next Tuesday, Ford will continue the trend.
[Source: Automotive News]
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Reader Comments (Page 1 of 2)
DPC car videos 4:12PM (3/30/2007)
I am guessing this guy:
http://www.ask.autoblog.com/2007/03/30/man-charged-with-threatening-big-2-5-auto-execs/
will not be very happy with this news :)
But seriously the only way they can fix this is to just watch what Toyota is doing and learn. When the Japanese got into large trucks and SUV's, the domestic car makers got into a lot of trouble.
http://www.dpccars.com
DPCcars
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Infinihertz 4:19PM (3/30/2007)
Do we know if this is compared to February 2007 or March 2006? If it's versus March 2006 I don't think that's surprising, or anything to freak out over. January and February were down by similar amounts, as expected. If it's versus last month though, then Ford has a serious problem.
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Bryan 4:19PM (3/30/2007)
My guess is that aside from letting go of fleet sales (the right thing to do for the long term) gas prices is what really is slowing truck sales again. Damn no good republicans and oil companies.
Anyways, this does not surprise me, it is going to be this way with restructuring, gas prices, and until all the new product is out there. Im sure they will spike some with the new Focus, Taurus, Taurus X, and special editions around summertime. Also, Mustang sales are higher at that time. It all hurts now, but it is all for a better future.
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Deezee 4:33PM (3/30/2007)
I think the only solution to this is for Ford to build more versions of the F150. Keep putting more and more resources into the F150. Base the whole companies future on a pick-up.
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Mike 4:39PM (3/30/2007)
"Damn no good republicans and oil companies."
You are truly a retard.
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akintz 4:40PM (3/30/2007)
So much for the Edge saving their ass... I was under the impression they were putting a lot of hope in that, give it's the only new model this year (or no? was that last year? i forget).
I think they should put all of the company's resources into special edition Mustangs... oh, wait.
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Infinihertz 4:51PM (3/30/2007)
#6, that was last year. This year, the redesigned Focus, Taurus, Sable and Taurus X are coming out, all during the summer. Plus the new Escape and Mariner just came out a few weeks ago. I'm not aware of anything beyond that for 2007.
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DollarBill 4:51PM (3/30/2007)
As usual Ford is looking like a loser . Truthfully why should people be in their showrooms ? What do they have to offer other than poor quality vehicles and rotten service from their dealerships?
The F150 is a decent truck but why should someone who has one buy another ? There are other choices .The best selling number sham Ford has been using is because they use the "F" in so many trucks 150,250,350,450 etc ,it really is ridiculous !
They glory days are over Ford -your new slogan should be "BORED MOVES" ....yawn
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DriftPunch 4:54PM (3/30/2007)
"Damn no good republicans and oil companies. "
I suppose you believe that the auto industry will flourish under Hillary/Obama and a Democratic congress.... (Ba Ha Ha!)
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Mike 4:56PM (3/30/2007)
akintz,
The Edge has been out a whopping 3 months (almost). Surely it will take time to be noticed and really start selling but from what I understand, it is doing as well as they targeted.
You talk like they had a reserve of vehicles all lined up and ready to release when the gas prices skyrocketed. They have been releasing new and better product every year and will continue to.
I also personally think that the Flex which comes out next year will do more than Edge for the company. It will be of minivan proportions but actually aesthetically pleasing and relatively cool to be seen in. We'll probably see a post on it next week when it's unveiled at the NY auto show.
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Tony 5:14PM (3/30/2007)
Miek You are too optimistic.
The Edge sold 5866 in January. Ford blamed the winter for that.
It sold 7338 in February. ford blmaed dealers ordering loaded models and not having lower priced ones to sell for that.
Ford has put a goal of selling 150,000 a year. That 13,000 a month. They have not yet.
The Pilot sells 16,000 a month. The Highlander sells 14,000 a month. Murano sells 12,000 a month. And these trucks are 3 years old or more.
Reason why Edge has not sold well?
Jesse Toprak from Edmunds gave two reasons:
1- Why the hell is the Edge so heavy? It weighs 4,860 lbs. A Chevy Tahoe from 1998 weighed 4,800 lbs. A Pilot weighs 4,100 lbs. A Murano weighs 4,000 lbs. A Highlander weighs from 3,900 lbs to 4,200 lbs. Why does the Edge weigh 600 lbs more than it should? Why is it heavier than the freaking body on frame explorer V8?
2- The other reason is why is this truck always in Orange? Dealers only order Orange. The commercials are only Orange. Every poster is Orange. Some people want green and blue. But all you can get is orange. It apparently comes in 8 colors but mostly Orange is produced.
I belive Edge wil be fine, but will sell at about 90,000 a year not the 150,000 ford wants. Great engine and tranny, but 5,000 lbs with one driver in it is not good.
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Bob R. 5:17PM (3/30/2007)
#6, the Edge is doing quite well. It wont save their ass but it along with other models will, but in Feb. the Edge sold only 105 less units than the best seller the Murano. Just wait till its been out for a while. The MKX is doing just as well. Like #10 said, wait till the summer when the Taurus, Taurus X and Focus come out, Ford will be in better shape.
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johnny 5:20PM (3/30/2007)
#11
I have seen 4 Edges on the road. All 4 were Orange. I drove by a Ford Dealership and many were also Orange. Then they had this Green one. It was beautiful. I didn't see it again. I guessed someone bought it.
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fordman 5:27PM (3/30/2007)
If the 500 was down 58% in January over 2006 which was down 37% over January 2005 why would just renaming it Taurus suddenly cause people to buy it?
I think the engine will help but ford is making a mistake just offering the 3.5 on the Taurus. They should continue offering the 3.0 as a cheaper lower end car. And 3.5 on the SEL models. Two engines would be great. Instead they will throw away the 3.0 and offer only 3.5. Just add to the model, dont take anything away.
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Don 5:30PM (3/30/2007)
Well, shit...if the housing manufacturers aren't buying the F150's...either are the private contractors who work on said houses.
This is bad. I hope it's just a case of "bad before good".
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Aaron 5:40PM (3/30/2007)
Like this is a surprise, loss of rental car sales alone should be near 10% of sales.
Has nothing to do with toyota getting into the full sized market.. asshats.
Gm is blowing the doors off the f series.
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Svend 5:47PM (3/30/2007)
OMG fordman you are so correct! I always thought the same. Continue offering the 3.0 and add the 3.5 as well. Same with Fusion and Freestyle and so on.
The Fusion should be
2.3
3.0
The Milan should be
2.3
3.0
3.5
The Zephyr should be
3.0
3.5
The 500/Taurus should be
3.0
3.5
Give people a choice!
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Aaron 5:51PM (3/30/2007)
Hey tony, check your facts..
from autonews, pilot sales this year are averaging under 10 thousand a month. Highlander sales, as well are under 10k a month..
let's make some more shit up..
ahahaaha and the edge does not weigh 4800 pounds..
The Edge
from autochannel
Base curb weight
SE 4098
SEL 4086
Honda Pilot
from automobilemag
curb weight (lbs) 4,264
thumbs up..
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Robert 5:51PM (3/30/2007)
The real point is that we should be watching a subset of products that Ford is producing. An overall 10% drop?!? So what! They stopped selling the Taurus which was dumped into fleets. Minor retail drop? That's a concern, but the question is: how are their new products doing in the retail market?
The only vehicles that matter as far as sales this month are Fusion and Edge. Their new products have to be well-received. Next month, the Super Duty will be one to watch. Then, we have to watch new product introductions. The Taurus is ok. The Focus was disappointing, but I hear somewhere that Ford went back and continued updating it. The Fairlane-based crossover is coming. The new F-150 will probably debut in Texas, LA or NAIAS.
And the number one, most critical thing for Ford in my opinion is not whether the F-series remains #1 or #2, but that they can build a small car profitably. Until that day, they are doomed to fail. So far, the Fusion and Edge look profitable, but they need to produce the Focus, the Taurus, the Escape, and a B-car marginally profitably.
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Tony 6:02PM (3/30/2007)
Aaron, nice stuff you smoking there. Where can i get some?
Here is some links for yah
http://www.caranddriver.com/roadtests/11869/2007-ford-edge-sel-plus-awd-counterpoint-page3.html
Or go to ford.com and see the weight of the edge. Its a porker!
How about read this where Nasdaq says the 5 year old Highlander is still soooooo much better.
http://www.nasdaq.com//aspxcontent/newsstory.aspx?textpath=20070325%5CACQDJON200703252255DOWJONESDJONLINE000421.htm&cdtime=03%2F25%2F2007
I like Ford. But please call a duck a duck if it is one. Dont emblish the poor execution of the edge. And yeah, i wouldn't want mine in Orange.
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