Ford asks dealers to invest in EVs as it chases Tesla-like profit

[Jbrubakerjr]

Not really a Ranger Topic, but interesting as it relates to Ford and the EV market.

KEY POINTS

• Ford CEO Jim Farley wants Ford dealers to become the most valuable franchise in the industry, as the company plans to grow sales across its traditional and EV businesses.
• The automaker is asking its nearly 3,000 dealers to invest upward of $1 million for upgrades to sell all-electric vehicles.
• Ford, unlike crosstown rival General Motors, is allowing dealers to opt out of selling EVs and continue to sell the company’s cars.

Ford asks dealers to invest in EVs as it chases Tesla-like profit

Only asking for upfront investments of $500,000 or $1.2 million - depending on the 'tier' they want to be recognized at.

Sponsored

 

[AzScorpion]

They can't even fulfill their original Bronco reservations 2 years later! Good luck being the #1 EV seller and chasing Tesla.

 

[Trigganometry]

I can see dealers wincing at installing more than one charge station and the electric generator for roadside service ? Tesla uses Ford already!

 

[Progeny2021]

'Last Mile' electric delivery vehicles will be successfully implemented first - still a few years away. Personal electric vehicles? I don't see widespread implementation with the current dynamic within my lifetime.

If Richard Coudenhove-Kalergi's progeny Klaus Schwab has his way, 90% of the earth's population will be eliminated, with only a few of the remaining Übermensch being allowed personal transportation - most likely electric vehicles.

 

[dtech]

Elon Musk is a pretty fast and slippery dude, not sure what Mr Farley is thinking but a more realistic and achievable goal might be one upping a sloth like GM.

Hyundai IIRC tried something similar with their Genesis line and fell on their face.

Just to expand - Tesla with a clean slate to begin with has been successful in selling direct to the customer - to the best of my knowledge the long established auto companies haven't changed the dealership marketing model much in the past century. So what does Farley really hope to accomplish , if he's chasing Tesla then it would seem more likely to pursue adopting a direct marketing model. Either way can't see dealers being thrilled.

 

[Jbrubakerjr]

They can't even fulfill their original Bronco reservations 2 years later! Good luck being the #1 EV seller and chasing Tesla.

When I checked on my Lightning reservation, and was going to move it to Granger, they told me 3-4 years until it would be built, based on current allocation schedules.

 

[Trigganometry]

When I checked on my Lightning reservation, and was going to move it to Granger, they told me 3-4 years until it would be built, based on current allocation schedules.

It’s the battery supply. It’s not sustainable

 

[AzScorpion]

When I checked on my Lightning reservation, and was going to move it to Granger, they told me 3-4 years until it would be built, based on current allocation schedules.

Sounds about right because of this dumb allocation system Ford has. All they're doing is screwing the little dealers while rewarding the larger ones who then turn around screw over the customer with high markups.

 

[Grumpaw]

When I checked on my Lightning reservation, and was going to move it to Granger, they told me 3-4 years until it would be built, based on current allocation schedules.

They will still advertise them and try to sell...
Look at GM/Cadillac.....their new EV has sold out for the next 2-3 years, yet they still spend millions on tv advertising.

 

[Jbrubakerjr]

It’s the battery supply. It’s not sustainable

I think I see what you did there.

 

[LostMy65]

My dad had a saying that I always thought was kinda stupid. But it just came to my mind again here.
'Wish in one hand and crap in the other and see which one gets full first.'

 

[LostMy65]

Sounds about right because of this dumb allocation system Ford has. All they're doing is screwing the little dealers while rewarding the larger ones who then turn around screw over the customer with high markups.

I never thought of it that way. Little dealership low allocations keeps them hog-tied.

 

[SigOris]

I think I see what you did there.

His comment has some Potential

 

[Trigganometry]

His comment has some Potential

Hence, I’m working on a flux capacitor! ?

 

[dtech]

It’s the battery supply. It’s not sustainable

There are several lith ion battery plants either being constructed or planned in the US, as discussed before under the current fed legislation few EVs qualify for the tax credits owing to domestic battery requirement But I see the whole move (rush) to EV adoption as fraught with risk - and I don't think it's mostly because of battery supply issues, but because it's so dependent on government support - which could markedly change course in an election year. Farley seems to be overly optimistic with the advance bookings for EVS and that could be a major problem for his longevity depending on the prevailing political winds.

Sponsored