Ford Europe needs controlled costs and new models to profit

Article by Anita Panait, on November 26, 2013

Ford's efforts to turn around its European operations have gained more ground but it still needs to control costs and launch new models before it could get out of the red, according to regional boss Stephen Odell.  The carmaker is aiming for a turnaround in 2015, a goal that could be in reach thanks to recovering demand, Odell said.

"There are enough signals that we've leveled out," Odell told Reuters Insider TV, citing the second monthly gain in a row in regional sales in the last few months.

Ford is expecting its registrations in Western Europe to stabilize at 13.5 million vehicles this year and to return to growth in 2014, Odell remarked. While those figures are still below its pre-crisis peak of 18.5 million vehicles, the market is on pace for the 15 million forecast where it based its 2015 profit goal. Odell remarked that the goal is not "a wildly optimistic plan," as it does not "overly depend upon the industry.

He said that the goal requires tight cost control; the successful launch of models, increasing prices on higher-end versions under Ford's new Vignale label. Ford is also targeting to offer 25 over the next five years, starting with the Ecosport sports utility vehicle that will be available starting early 2014. Ford will start introducing the high-end Vignale sub-brand on its next Mondeo mid-sized car in 2015, to be followed by other models.

The carmaker will also introduce its iconic Mustang "muscle" car in Europe in 2014, as it aims to boost the prestige of the brand. Odell remarked that Mustang is a real banner car that will allow them to end the fact that Ford's products are undervalued in Europe. "It's not about selling hundreds of thousands of Mustangs in Europe," Odell said.

Topics: ford, europe

If you liked the article, share on:

Pin It

Comments

Recommended

On July 11, Audi is set to reveal its flagship luxury sedan, the all new A8. And at this moment, none of us are sure how this model will look....
by - March 29, 2017
The recent Porsche 911 is definitely considered one of the most elite sports car to grace the roads worldwide. The task of producing its successor is challenging enough for the...
by - March 29, 2017
British startup Zenos, which entered bankruptcy administration earlier this year is now back in business. The Norfolk-based sports car manufacturer was bought by a consortium of investors headed by AC...
by - March 29, 2017
It’s quite safe to say that this generation marks the rise of the electric cars. For the past few years, automakers have been very busy trying to find the perfect...
by - March 28, 2017
Want to go for a sportier look, but don’t have enough cash to burn? Good news for future Ford Edge buyers, as the 2018 model year will have an optional...
by - March 28, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries