Ford’s dealers could avail of extra vehicle allocations and loan assistance if they agree to renovate their stores according to the company’s Trustmark Design blueprint this year. Dealers were already given a rundown of the plan earlier this month at the National Automobile Dealers Association convention.
Dealers recently received a letter from Ken Czubay, Ford U.S. vice president of marketing, sales and service, detailing the program. Any Ford dealer can apply for the program, which is voluntary.
Ford spokeswoman Elizabeth Weigandt said that there is no limit to the number of dealers that can apply, but the company may be constrained by its resources to work through the design elements. Weigandt estimates that dealers could shell out $350,000 to $700,000 just to renovate their stores according to the blueprint.
Under the agreement, dealers will receive a "design control document" with architectural services valued at $15,000 to $20,000. The design control document will allow dealers to estimate how much it will cost them to renovate their stores, says Autonews. Dealer will also receive additional vehicle allocations depending on how much they shelled out to rehabilitate facilities.
Under the deal, dealers will receive one additional vehicle for every $10,000 spent on renovation, delivered over a three- to 12-month period after completion of the store facelift. This means that a dealer who spends $700,000 on the renovation would get 70 additional vehicles. Pretty attractive, right? There’s more.
Ford is also offering a sweet Ford Motor Credit Capital Loan package, which would allow dealers to defer payment on the principal for up to two years on a seven-year loan. The company will also pay the interest to Ford Credit on behalf of the dealer for up to two years. Ford dealers seem to welcome the offer, seeing it as a real incentive. “You still owe the principal. You just don't have it coming out of your cash flow," said applicant Jeff Carlson, president of Glenwood Springs Ford-Lincoln in Glenwood Springs, Colo.