agent Entrepreneur logo
MenuMENU
SearchSEARCH

Ford Hopes to Trim U.S. Dealerships Ranks by Another 10%

September 15, 2010
2 min to read


DETROIT - Ford Motor Co. wants to reduce its U.S. dealership ranks by another 10 percent -- or 300 outlets -- the automaker's top marketing executive said, according to Automotive News.


At the end of July, Ford had about 3,338 U.S. dealers, including 1,189 dealers with Lincoln franchises.

Ad Loading...


With industry sales volumes forecast to rebound slowly, Ford and other automakers want to rationalize and improve the profitability of their sales networks by consolidating dealerships. The automaker has aggressively restructured to operate profitably at current sales volumes and adapt to consumers' shift from big trucks and SUVs to cars and crossovers.


Ford is also shuttering the Mercury brand by the end of the year, putting pressure on some of the company's 261 stand-alone Lincoln Mercury dealerships. There are no Mercury-only stores.


“The dealers are full partners in every decision the company makes,” Jim Farley, Ford's group vice president for global marketing, sales and service, said at an investor conference in San Francisco Tuesday. “When you are trying to consolidate your network from 6,000 down to 3,000, the dealers are on your side, and they will help you participate in the consolidation.”


Because Ford's dealer relations have improved in recent years, to an all-time-high, Farley said, the company is in a position of strength to encourage consolidation. At the same time, the value of many Ford dealerships has rebounded this year, so some dealers may be reluctant to give up a franchise.


Separately, Farley said Ford plans to make its premium EcoBoost engines with turbo-charging the core powertrain across all model lines.

Ad Loading...


Until now, Ford has said it wants to offer EcoBoost in nearly all models as an optional engine. The EcoBoost line also carries a price premium.


“We intend to have EcoBoost across every one of our vehicles as a core powertrain,” Farley said. Over time, he said, the engines will shift from a small portion of Ford's product mix to a “substantial” offering across the lineup.


"We are aggressively investing in global powertrain, especially EcoBoost," Farley said. "We want to bring fuel economy technology to everyone."


EcoBoost can increase the fuel economy and performance of engines by as much as 30 percent.


Since 2004, Farley said Ford has improved average fuel economy in the U.S. market by 25 percent -- almost double what its competitors have achieved.

Ad Loading...


"We want to beat Toyota and Honda, the traditional leaders of fuel economy, and be the best in class with fuel economy,” he said. "The real key difference for us in our DNA, we want to democratize technology to the average customer."

More Industry

Two dodge cars outside of dealership.
Industryby Lauren LawrenceSeptember 17, 2026

Auto Affordability Inches Up

The latest Cox Automotive and Moody’s Analytics index shows a slight increase in new-vehicle affordability despite high prices.

Read More →
Five men smiling for photo in front of Honda car dealership.
Industryby Lauren LawrenceSeptember 10, 2026

Ohio Auto Group Under New Ownership

After 79 years with the Schluter family, Mansfield Auto Group has been acquired by Missouri-based Clement Auto Group.

Read More →
Blue and white RV parked on beach facing the ocean.
Industryby Lauren LawrenceSeptember 3, 2026

RV Group Expands Carolina Footprint

Blue Compass RV Columbia Northeast is the 13th RV dealership owned by Blue Compass in the Carolinas.

Read More →
Ad Loading...
Photo of two men and one woman on a discussion panel
Industryby Hannah MitchellSeptember 1, 2026

Agent Acumen

An Agent Summit panel of people who’ve been supporting auto dealers for years gave both timely and timeless advice for those starting out or mulling the prospect.

Read More →
Gloved hand holding two wrenches next to “Turn Overdue into Opportunity” Graphic
Industryby Lauren LawrenceAugust 27, 2026

Missed Maintenance Creates Opportunity

As families get back on the road and into daily school routines, service drives have an opportunity to capture customers who are behind on recommended vehicle maintenance.

Read More →
Mitsubishi shadow line-up
Industryby Hannah MitchellAugust 25, 2026

Mitsubishi Unveils U.S. Plan

The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.

Read More →
Ad Loading...
Photo of a laptop, cellphone and eyeglasses on a desk next to an office window
IndustryAugust 24, 2026

Selling to Grow

The question of whether you should sell your agency and if so, when, is up to you. But it’s a question worth asking to ensure you keep the business on the right path for yourself, employees and clients.

Read More →
Mechanic holding a vehicle diagnostic device while standing above an open car hood
Industryby Hannah MitchellAugust 24, 2026

Recalled Vehicles Hit 5-Year High

Though the number of events has fallen so far this year, impacted units are up significantly. Meanwhile, regulators consider consumer notification changes.

Read More →
outside of car dealership with cars parked in front
Industryby Lauren LawrenceAugust 20, 2026

Auto Group Acquires Top-Performing Rooftop

Car Pros sold its Kia Huntington Beach location to Sutherlin Automotive Group, marking the buyer’s third location in Southern California.

Read More →
Ad Loading...
Cars from the rear on a Shanghai freeway
Industryby Hannah MitchellAugust 19, 2026

China as Pacesetter

Automotive leaders huddled on where North America stands in the global picture and how it can strengthen its position against the Asian juggernaut’s surging industry.

Read More →
Ad Loading...