News Lincoln cuts back on sales to fleets, hopes to court millennials

18:41  10 april  2018
18:41  10 april  2018 Source:   Roadshow

The New Navigator and Expedition are so Popular, Ford had to Boost Production

  The New Navigator and Expedition are so Popular, Ford had to Boost Production It spent $25 million USD to be able to build them fasterEarlier this month, the new Ford Expedition beat out four other three-row, full-size SUVs to take first place in our Beasts of Burden comparison. And the new Lincoln Navigator? Let's just say the Cadillac Escalade better watch its back. As impressive as both these SUVs are, it should be no surprise that demand has been high. Apparently, though, demand has been so high, Ford had to speed up production just to keep up.

Arador Tech NewsIt's back ! Encryption legislation prepped in US by Democrats Feinstein and Vance to try yet again to create magic math US lawmakers are Lincoln cuts back on sales to fleets , hopes to court millennials

Arador Tech NewsIt's back ! Encryption legislation prepped in US by Democrats Feinstein and Vance to try yet again to create magic math US lawmakers are Lincoln cuts back on sales to fleets , hopes to court millennials

a close up of a bottle© Antuan Goodwin/Roadshow

For a long time, Lincoln seemed like it was circling the drain. It didn't feel like a relevant brand because it didn't produce products that people got excited about. To keep itself afloat, it focused on what had been a reliable, if not huge, source of income in the past: fleet sales.

The problem with fleet sales -- and this is something that many domestic automakers have suffered from for a long time now -- is that having people predominantly see your vehicles as livery vehicles or rental fleet fodder means that eventually, and with few exceptions, fleet managers become your customers.  Then you're building cars to appease them, rather than the average US buyer, and the cycle continues and gets worse.

Lincoln Introducing Service Pickup and Delivery

  Lincoln Introducing Service Pickup and Delivery Lincoln has announced that it is launching complimentary pickup and delivery for owners needing dealer service, as well as bringing loaners to customers, to provide a better luxury experience. Lincoln has announced that it is launching complimentary pickup and delivery for owners needing dealer service, as well as bringing loaners to customers, to provide a better luxury experience.

Arador Tech NewsIt's back ! Encryption legislation prepped in US by Democrats Feinstein and Vance to try yet again to create magic math US lawmakers are Lincoln cuts back on sales to fleets , hopes to court millennials

Arador Tech NewsIt's back ! Encryption legislation prepped in US by Democrats Feinstein and Vance to try yet again to create magic math US lawmakers are Lincoln cuts back on sales to fleets , hopes to court millennials

Prior to the release of the new Navigator and Continental, when was the last time you were excited about a Lincoln? Can you name five Lincoln models built in the last twenty years? Probably not, but that might be changing as part of a mandate by Ford CEO Jim Hackett. Hackett wants to increase Lincoln's operational fitness by reducing fleet sales and focusing more on non-commercial customers.

Lincoln will still sell to livery companies but has already begun to drastically reduce sales to rental fleets like Hertz and Avis and cut back on sales of company cars, according to Automotive News.

"Those are very deliberate efforts to really focus on residual values as our new products come out," said Robert Parker, Lincoln's director of marketing, sales and service, to Automotive News at the New York auto show. "What happens is those cars come back in 6 to 12 months. That's problematic on our residual values because that's when all the depreciation occurs. The longer they stay out, the better."

Lincoln To Kill The Continental

  Lincoln To Kill The Continental Lincoln will discontinue the Continental once the current generation has run its course, a decision that comes not two years after the upscale automaker revived the storied nameplate. The revelation comes from Ford Authority, which cites "sources intricately familiar with Ford's future product plans for its Lincoln brand." That anonymous source was unable to say why the company plans to cut the 2018 Lincoln Continental, but it's not hard to draw yet another line between the falling sales of sedans and the ever-increasing popularity of crossovers and SUVs.

It’s back ! Encryption legislation prepped in US by Democrats. Arador - April 9, 2018. Lincoln cuts back on sales to fleets , hopes to court millennials

Arador Tech NewsIt's back ! Encryption legislation prepped in US by Democrats Feinstein and Vance to try yet again to create magic math US lawmakers are Lincoln cuts back on sales to fleets , hopes to court millennials

Lincoln is also focusing more on leasing rather than traditional purchasing to court millennials who have shown a preference for monthly payments, rather than outright purchase (not that this has to do with literally anything other than preference) now that the company is producing cars that appeal to those under the age of 40.

These new, desirable cars like the Navigator, Continental, Nautilus and the new Aviator, which just debuted in New York, are proving to be a much-needed shot in the arm for one of America's last bastions of domestically produced luxury. The Navigator is responsible for an almost unbelievable 101.6 percent increase in sales from March 2017 to March 2018.

The future for Lincoln looks bright for the first time in a long time, and that's a good thing because we've driven the new Navigator and we want more.

Follow MSN Autos on Facebook

Lincoln Navigator Smashes March Sales Records With Triple-Digit Increase .
Besides the mighty sales increase, high-paying customers boosted the Navigator's average transaction price.In a statement about its first-quarter sales results, the Blue Oval highlighted the success of the Navigator while also claiming that SUVs, in general, delivered an all-time record sales for the third month of the year with a sales increase of 7.3 percent. Retail sales of the new Navigator grew a massive 101.6 percent compared to March of last year, with the average transaction price also growing a ridiculous $25,600 per vehicle. That's basically the cost of a decently equipped Ford Escape tacked on to the Navigator's already hefty price tag.

—   Share news in the SOC. Networks

Topical videos:

This is interesting!