Ford won't discount cars in order to reverse sales slump

Ford is prepared to lose market share in order to remain profitable in Europe, as it braces itself for a slump in sales following the ending of most scrappage schemes.

For the 10 months before April 2010 Ford enjoyed consecutive year-on-year sales gains.

Since then its sales have fallen - they were down 17 per cent in its main 19 European markets in April, and 14 per cent in May.

Ford of Europe CEO John Fleming ruled out heavily discounting cars in reaction to teh sales drop, telling Automotive News Europe: "We can't give up on total market share, but we want to try and find the right balance so we can remain profitable this year and not dilute the brand."

Ford's market share in its main 19 European markets in May was 8.2 per cent, 0.7 per cent down on May 2009.

Despite its volume decline, Ford remains Europe's second best-selling passenger car brand, behind just Volkswagen.

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Comments
2

23 June 2010

I see where they're going - one Focus sold at list price makes as much profit as twenty sold at their real value. Keep Ford's currently appalling list prices that are way beyond VW and other "near premium" manufacturers and just sell to people who are too old, too stupid, or don't care.

23 June 2010

So the sales fall is nothing to do with the various price rises that they've put through over the last 12 months then? Fair play to Ford for wanting to make a profit but at least be honest about it.

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