Ford Motors Company would let its workers pass insider discounts to buyers who do not own any Ford car or truck
Ford Motors has started to offer a new promotion that will let the retirees and workers pass the insider discount to any consumers who don’t have a Ford truck or car, a rare move intending to boost store traffic during a time when the sales of new cars are going through a sluggish phase.
A notice distributed to the dealerships and confirmed by the spokeswoman of Ford has revealed that the Michigan based organization, whose American market share was flat in 2015, took the new measure on 8th January and would be running it through 29th February. Purchasers, availing the discount offered to employees- a rate usually reserved for employees and their primary family on which they can purchase a new Lincoln or Ford vehicle at a price many thousands of US dolls lesser than market price.
This has happened twice in less than 90 days. The company has stretched an insider deal for regular consumers, a move like the worker-discounts- for-all deals that got popular 10 years ago but led to a price battle that dented profits in the end.
In November, the automaker introduced a Friends & Neighbors pricing event that offered the customers same rate of discount as of suppliers and other partners. The program ended one month earlier after it failed to resonate with consumers, who were much interested in straight up cash bonuses and zero percent financing.
Only purchasers who are provided a special PIN code from a retiree or worker could file an application for getting the discount to their procurement. The automaker has successfully posted record profits on a quarterly basis in the North American region but in 2015 its market share got reduced from 15% to 14.9% in the last year because of top seller F-150 truck’s tight supply.
Some of the analysts believe that the demand for trucks and cars in the United States would probably level off this year, after the automotive industry sold around 17.5 million record automobiles in 2015. As sales plateau, automobile manufacturers would need to rely heavily on selling incentives to ensure that buyers remain motivated.
The new pricing offer was initially reported by Automotive News. In other news, Dayton daily news has reported that Ford would invest $900 million on the transmission plant based in Sharonville. Work is already being done at the plant for tearing out older machinery and making space for the installation of new equipment as part of the millions of dollar worth investment which the automaker would make in the facility, stated official of United Auto Workers Tim Meadors.
The investment has followed a contract approved by workers of Ford and UAW’s members in November.
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