It’s good to see Ford is trying just about everything to rebuild Lincoln which included hiring a new ad agency for the brand. That’s all well and good but unless they deliver the sheet metal no agency out there is going to bring sales back to Lincoln. One of the problems is that Ford has went semi upscale with the Taurus Limited, Edge and Flex Limited so paying 10k or more for a Lincoln off the same chassis is a tough sell. I certainly don’t have the answers but time is ticking for Lincoln to finally get back on track!
From the Detroit Free Press:
Ford’s attempt to reinvent its Lincoln luxury brand will be sculpted by a new boutique ad agency that will relocate to more chichi digs in New York.
The new agency, which Ford and its chief advertising partner WPP have not yet named, will include an unspecified number of employees from WPP’s Team Detroit office and new hires in New York. The new team will start with about 45 employees, WPP said in a statement.
“New York is the center of the luxury market,” said Jim Farley, Ford group vice president for global marketing. “Assembling a talented, Lincoln-only creative agency team to build this brand is an important next step in our plan.”
Cameron McNaughton, an advertising veteran who has worked with other luxury automakers, will be president of the agency and report to Satish Korde, CEO, Team Detroit.
“Our goal is simple: To help our partners at Lincoln create a new future for their brand as it reinvents itself,” McNaughton said.
And a big sigh of relief from all of those Lincoln dealers is heard across America. This has to be a bold plan with alot of top designers dedicated to a long term plan. The luxury market is very fluid with brands getting smarter and better everyday so gaining share will be a real challenge. It’s really difficult to have an opinion until we start seeing and driving the products that will actually make it to the showrooms and for that we are looking forward to the excitement of a new beginning for Lincoln!
From Auto Blog:
The Ford Motor Company is finally marshaling the resources and money to transform Lincoln into a true luxury brand again. While the company is guarded in discussing the full details of its plan, it’s divulging enough for now to let the world know that this is going to be a serious effort. And the early signs are encouraging.
The linchpin to this turnaround will be daring new products and significantly upgraded dealerships. And the key to accomplishing that is a new organizational structure for Lincoln. Up through the 1950s, Lincoln was a stand-alone “house” with its own headquarters, designers, engineers and assembly. The new organization will not recreate that original “house” concept, but it’s a big step in the right direction.
Lincoln says it will not abandon its traditional customers, but it must attract a new generation of buyers, people with a different psychographic mindset than those who have been buying Town Cars for the last quarter century. Yet, while it may not abandon those buyers, saying they’ll suffer from benign neglect may not be too far off the mark.
Lincoln will keep the “Town Car” nameplate on limos after discussing the decision with those who operate livery businesses. Smart move on Ford’s part as the Town Car is iconic in the limo business and the Lincoln MKT is the perfect vehicle to take the torch and run with it! We reviewed the Lincoln MKT and we walked away very impressed with this top of the line luxury SUV so it’s not a surprise that the new black limo’s riding around the country will be Lincoln MKT Town Cars!
From the Detroit Free Press:
Lincoln debuted new limousine and livery versions of its Lincoln MKT large crossover today at the International Limousine Charter and Tour show in Las Vegas.
The new vehicles will replace the Lincoln Town Car, which will be discontinued later this year, but the Town Car name will live on.
Ford has named its new livery and limousine vehicles the Lincoln MKT Town Car.
This is a very good write up on what the future holds for Ford’s Lincoln luxury brand. We weren’t at the dinner mentioned in the piece but it appears there weren’t many answers to the reporters questions.
My advice to the Bigs at the Blue Oval is “Go Young”. Take the time to establish Lincoln as a sleek luxury brand for style-conscious young professionals. (sound familiar?) It’s not a new formula but one that takes patience and top notch product priced right. As they climb the latter they will stick with Lincoln if their offerings can move up the ladder with the customer.
From Auto News.com:
It’s a week after the Detroit auto show opened to the press, and I have no clearer idea of how Ford Motor Co.’s going to rebuild Lincoln than I did before.
While Ford division occupied a large space at Cobo Center, the Lincoln stand was small and shoved into a back corner. You couldn’t miss it as you made your way to the restrooms.
Ford executives offered a wait-and-see response when asked about specific Lincoln product plans. The underlying message? It appears to be: “Trust us. Look what we’ve done with the Ford division. Just trust us.”
And even the competition won’t jar Lincoln.
Ford’s head of Asia-Pacific and Africa, Joe Hinrichs, told me at dinner that Buick’s compact car offering — the Verano — doesn’t put pressure on Lincoln.
Cadillac joins the free scheduled maintenance wars by offering a 4-year/50,000-mile program called Cadillac Premium Care Maintenance. The one up on recently announced Lincoln’s program includes scheduled oil changes, tire rotation, engine and cabin air filters and a vehicle inspection. Cadillac stayed away from wear and tear coverage but the 4-year/50,000-mile deal will catch on with customers.
From AutoNews.com:
Cadillac said today it would offer free scheduled maintenance on its 2011 model year vehicles as part of its effort to improve customer service — and to match similar offers being made by other luxury brands.
The 4-year/50,000-mile program is called Cadillac Premium Care Maintenance and includes scheduled oil changes, tire rotation, engine and cabin air filters and a vehicle inspection.
Last week, Lincoln announced a similar free maintenance program for 2010 and 2011 models but only for vehicles purchased and leased through Sept. 7. Lincoln’s program is for 3 years/45,000 miles.
How good are Alan Mulally, Jim Farley and Mark Fields? They pretty much brought Ford Motor back from abyss to one of the most respected brands on the road. Can they do the same for Lincoln?
Now that Mercury will be hitting the graveyard later this year, all eyes will be on Ford’s leadership to reviving a storied but recently lost brand in Lincoln. It’s going to get tougher to charge premiums for near luxury vehicles in this market with Ford, Chevy and Nissan delivering what most would have only expected from expensive brands just a few short years ago. Sometimes you have to take a few steps back before you can move forward and Ford/Lincoln will start writing a new chapter in their history after Mercury becomes a part of it!
From AutoNews.com:
DETROIT — Ford Motor Co. must do with Lincoln what it has done with the Ford brand — infuse it with new energy and sparkling product — if it is to offset the loss of Mercury sales when that 71-year-old brand dies.
Though Lincoln has a freshened lineup and stronger styling than in the past, it is still an also-ran among luxury brands in the United States. Ford clearly will need more volume from Lincoln to appease Mercury dealers — especially those who currently have Lincoln-Mercury stores.
“We have to make a very compelling case to our dealers very quickly,” says Mark Fields, Ford’s president of the Americas, in an interview.
It’s official. Ford will retire Mercury in late 2010! Mercury has been around for 71 years but now Ford will concentrate on trying to bring Lincoln back to where it should have been years ago. Is this the right move? Ford really had no choice but to kill Mercury and put resources into the Ford brand for one obvious reason. Ford’s are no equipped with some of the latest and greatest technologies available in cars today. With that being said Mercury didn’t have anything to offer that warranted a higher sticker than a Ford brand car or truck. In some ways it’s a testament to how far Ford has come in recent years so Lincoln better get cracking and really blow away expectations or it will be next! Let’s hope that Ford will put the muscle behind Lincoln this time around because the clock is ticking!
From the Detroit News:
Dearborn — Ford Motor Co. today confirmed that it is killing its mid-market Mercury brand to focus its resources on its luxury Lincoln marque.
“We are very proud of its history, but we are now looking forward,” said Ford Americas President Mark Fields, who promised that the nation’s 1,712 dealers would be fairly compensated for the loss of their Mercury franchises.
He said the company would work with them to make sure their remaining Ford and Lincoln franchises make up for the lost sales. “We absolutely remain committed to working with our dealers.”
The company line is really to say nothing at this time and I’d say that’s pretty coy considering all of the jobs (factory, design, marketing, dealerships and more) that rely on the Mercury nameplate. If Mercury is going the way of the Edsel then you have to wonder where Lincoln fits into Ford’s future? Mercury is down to a few re-badged Ford’s and Lincoln isn’t exactly tearing the cover off the ball at this point in time.
From AutoNews.com:
DETROIT — Ford Motor Co. plans to kill the 71-year-old Mercury brand slowly by starving it of product, two sources tell Automotive News.
Ford leaders plan to propose eliminating Mercury to the board of directors in July. They believe Ford no longer can justify the cost of supporting Mercury in light of the brand’s declining volume, the sources say.
The company has been laying the groundwork for eliminating Mercury for years.
Decades ago, Lincoln dealers were encouraged to add Mercury franchises to give them the volume they needed to survive. In recent years, Ford has pushed consolidation of those dealerships into Ford-Lincoln-Mercury stores. Those dealers now derive their volume from Ford brand sales.
As a proud Lincoln owner, I know that they’ve been making great cars for years. The LS was a great vehicle, and the new MKZ is a great sedan as well. The MKS, the new flagship vehicle, is a beast that would satisfy most Lexus buyers with its styling and performance. Now they’ve added the new MKT crossover (pictured above) to the mix.
Generation X, often referred to as the “slacker generation,” has shed that stereotype and now is a coveted consumer group at the top of its earning potential, Ford Motor Co. officials say.
With pockets flush with cash, consumers born between 1965 and 1976 are the target of Ford’s Lincoln brand, which is trying to reinvent itself after years of giving ground in the profitable luxury segment.
“We have an aging owner body, and we have the ability to move it in the right direction and get younger,” Matt VanDyke-marketing communications director, tells Ward’s at a recent media event here.
“To think we could flip over and get young 20-somethings into a luxury product at this point and consider Lincoln is something that I think is too much of a stretch,” he says.
Lincoln brass spent considerable time determining the unique makeup of Gen Xers, which VanDyke defines as being in their mid-30s to mid-40s. Unlike traditional luxury buyers, these consumers don’t want to appear “ostentatious.” Rather, they are “folks that are time-starved and look at luxury as something that makes their life simple and easier.”
How are they approaching this? One is an emphasis on technology. The design of the cars evokes a high-tech feeling that bears little resemblance to older Lincolns, yet it’s not as edgy as the recent Cadillac designs so boomer buyers should feel comfortable as well. The other part of the strategy involves music. The campaign’s TV spots feature music that the Gen X group finds nostalgic. The ad for the Lincoln MKS features a remake of David Bowie’s “Space Oddity,” while the ad for the Lincoln MKT uses a version of the 1980s classic “Under the Milky Way,” by Australian alternative rock band The Church. Check out a clip of the video below.
The strategy makes sense. I remember the Cadillac ad several years ago featuring the Led Zeppelin song. Music can help to reposition a brand, so Lincoln seems to be on the right track.