Ford Stands Firm On Flex
August 25, 2010 by William Maley
Executives at Ford are standing firm with the Flex crossover, even though sales have disappointed. Ford hoped to sell 70,000 to 100,000 of the Flex per year, but through July 2010, 22,932 Flexs have left dealer lots. Analysts say that the Flex should either be redesigned or be given a farewell party. Analysts see two problems; the new Explorer and the lack of awareness for the Flex. Both the Explorer and Flex are seven seat crossovers, aimed at families. Aaron Bragman, automotive analyst with IHS Automotive thinks that if the 2011 Ford Explorer eats into Ford Flex sales even more than the crossovers “days will be numbered.”
Ford argues the Explorer and Flex go after different buyers with the Explorer offering an off-road system. The other problem facing the Flex is the lack of awareness with buyers. Beau Smith, owner and vice president of Sill-Terhar Ford in Broomfield, CO. says “The customer who come in and test-drive the car love the car. There is still not a huge awareness, but our conversion rates are high.”
But Ford says the Flex is staying. Mark Fields, Ford’s Presidents of Americas says both products are important to Ford by “brining in some very, very unique costumers to our brand.”
But if Ford did kill the Flex, problems would arise,
“The Flex hasn’t been the success they wanted it to be but they can’t eliminate that without having serious problems with MKT pricing and volume. And they need a premium large Lincoln people mover.”
Says Aaron Bragman.
Source: Detroit Free Press
