Ford’s four pillars for growth in the States

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Together, these four segments represent just over 50% of total new vehicle sales in the US and Ford expects more growth in the super segment, as baby boomers continue to downsize their vehicle purchases and first-time millennial buyers enter the market. Combined, baby boomers and millennials account for more than 160 million people in the US.

Small utilities and sedans are of particular focus, with two-thirds of all buyers shopping the Escape and Fusion when they first come into a Ford dealership.

‘The super segment is where Ford plans to grow in North America,’ said Amy Marentic, group marketing manager, global small and medium cars. ‘Escape and Fusion have gotten off to very strong starts since being all-new last year, and we expect continued strong interest in both.

‘We’re encouraged that we have very new products across the lineup,’ she added, ‘two of which – Focus and Fiesta – are best-selling vehicles worldwide.’

Combined sales of Escape and Fusion totalled 51,985 vehicles in February 2013, edging out combined sales for Toyota Camry and RAV4 (44,599 sales) and Honda Accord and CR-V (48,667 sales). Escape has been the best-selling small utility in the US for the past two months.

Ford has been able to build market share by heavily reinvesting in the car portfolio since the middle of the last decade. From January through September of last year, Focus was the best-selling vehicle in the world (end-of-year data from all regions have not yet been reported), while Fiesta was fifth in global sales and the best-selling subcompact car in the world.

Meanwhile Ford’s brand share of the super segment is running at a record 12.7% through the first two months of the year, more than double its share in 2005, helped by new model launches and more efficient engines. From 2005 to 2012, Ford brand sales in the super segment were up 123%.  

Conquest sales are another indicator of success, with rates ranging from 54% on Focus, 52 on Escape and 51% on Fusion, all the way up to 63% on Fiesta and 67% for Fusion Hybrid. More than half of Ford sales in these four segments are conquest sales.

Ford also is outpacing overall industry growth in hybrids, which is included in the super segment. Last month, Ford’s hybrid and EV sales captured 17% of the segment, up from 5% in February 2012.

Ford’s small cars are helping the company grow as well. Year-to-date Fiesta retail sales are up 24% from a year ago while Focus is up 3%. Year-to-date retail sales of Fiesta, Focus and C-MAX in California, the biggest small car state in the country, are up 43% this year, in addition to a 54% sales increase last year.

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Natalie Middleton

Natalie has worked as a fleet journalist for nearly 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. Natalie edits all the Fleet World websites and newsletters, and loves to hear about any latest industry news - or gossip.

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