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Jul
12th

Ford; the now and tomorrow

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Ford is arguably the top thriving American car manufacturer at the moment. Sales are strong and demand continues to rise. They are the leader in truck deliveries, and by quite the margin.

The obsession with the truck is long-standing and only a decade and a half or so ago, Ford was all about pickups, SUVs, and more trucks.

That was then. This is now.

The truck story
The problem with trucks -- as all North American car manufacturers' found out -- is that sales are fickle and highly affected by the economy. Back in 2009, the crash decimated truck take rates by over 50%. Car sales dropped as well, but the impact was on a different scale.

The U.S. market loves its trucks, but Ford has come to realize that cars have a broader, longer-range appeal. Although this is a fact, nothing will deter Ford from continuing to make their F-Series the best in the business.

On the topic of pickup trucks, Ford does them like no other. Our recent reviews on the 2013 F-150 continue to demonstrate the depth of knowledge and experience they've accrued over the last 65 years, and through 33 million units built and delivered.

For 47 of those 65 years, Ford has owned the segment in Canada (36 years in the United States). In fact, so good have they become in this game that they seem to often know what truckers want before the truckers actually do. Given that many of the people on the Ford Truck team are truckers themselves, it kind of makes sense.

Ford's uncanny success is further supported by its 30% truck market share; this is almost twice as big as its car market share! Yes, this means that nearly 1 in 3 trucks sold in North America bares a Blue Oval logo on it! Trucks were the priority and the leadership-push will not change, however, cars are taking centre-stage.

Staying on the truck subject: Ford has just introduced their 2014 F-150 Tremor. This modern interpretation of their fabled SVT Lightning has lots going for it including EcoBoost, regular cab, short box, a 4:10 rear end, and other goodies. I'll elaborate on it shortly.

2014 Ford F-150 Tremor 2014 3/4 view
Photo: Mathieu St-Pierre

The car story
Ford has made quite an effort recently. If we divide North America into three vertical slices we get the East, Central, and West portions. We all know that the Central slice belongs to pickups. Case closed.

It's on the coasts and particularly the East that Ford has invested heavily in promoting their cars -- and it's working. The likes of the Fiesta, Focus, C-Max, and Fusion have all been given lots of love and the boost in sales are noticeable. As well, hybrid sales are on the rise.

If you've spent any time looking over Ford's lineup, you'll have noticed that all their new cars are especially stylish. As well, while comfortably sitting on your couch, you'll certainly have taken notice of Ford's onslaught of fuel-economy banter. Words like “EcoBoost,” “Hybrid,” and “Energi” are all circulating through all forms of media.

Design and fuel economy are main and crucial reasons for consumer consideration, and they are resounding deeply with the customer as Ford's market share continues to grow.

2013 Ford Fusion Hybrid 2013 3/4 view
Photo: Sébastien d'amour

Tomorrow's story
Global platforms. The One Ford plan. This is how Ford is and they will make it all happen.

As I've stated, design is so crucial, and Ford knows that it is the No. 1 reason to purchase. This is true across the entire business. This is the emotional connection that consumers feel and act upon when they see a car; this is what the buyer is about: feel, look, sound... It reflects the wants/aspirations of the potential buyer.

To make this a reality, to capture the consumer's attention, designs have to be kept fresh and the core family design DNA helps with this hurdle.

The need to keep the product fresh is a challenge. Typically, as a product ages, it gets better but trends dictate that the average age of the portfolio must remain “new.” Ford has dramatically increased their cadence in order to remain ahead and “fresh.”

One way to amortize the constant cost of these refreshes is by doing it on a global scale. The price tag of updating or upgrading a product for only one or two markets no longer made it feasible. Technology improvements and mild facelifts are the easiest and most cost-efficient way to do it, and they can easily be applied worldwide.

Concrete actions
The design aspect does not stop at sheetmetal. Car and truck interiors get much attention as well as this is where we spend most of our time. This is, therefore, just as crucial as the exterior's emotional appeal.

Currently, Ford is making choice an integral part of the Ford experience. With the likes of hybrids, plug-in hybrids, performance cars, trucks, and a complete offering of powertrains (Power of Choice), Ford is trying to leave no stone unturned. So far, be it the Fusion Energi, the Mustang, the F-150, Focus or other, I've not met a Ford that I did not at least appreciate.

As for the mid-term, Ford is working on more in-house technology development including an 8-speed transmission, the pursuit of the electrification of the car and much more.

As I've been told countless times by Ford personnel: we need to wait and see. Now clearly, Ford's not the only carmaker working on the future, but if the last half-decade is any indication as to what Ford's capable of I'm looking forward to the next half decade.

Other concrete actions that Ford is taking include addressing current issues. Recently, overall product quality perception has fallen based mostly on new technology. Ford's technology take rate is huge (greater than most other makes), therefore, it makes sense that there are more complaints.

These technologies (Powershift automatic transmission, MyFordTouch, SYNC) are constantly updated and are being improved upon. The positive twist is that if these “issues” are put aside, Ford warranty claims (things gone wrong) are actually at one of their lowest levels ever.

Ford Fiesta
Photo: Mathieu St-Pierre

The bottom line

The time spent at Ford's Dearborn Development Center allowed me to sample a few products, most of which I'd already experienced.

What the event was meant to do was demonstrate that Ford is constantly improving their products. One that stood out was the 2014 Explorer. I look forward to a weeklong test.

The 2014 Fiesta will be the launch to watch out for later in the fall, and will serve as the warm-up for what promises to be an eventful 2014 with the arrival of the much-anticipated new Mustang for its 50th anniversary.
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