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2015 F-150 launch to curb Ford profits?

Ford is making a big bet on aluminum with its new 2015 F-150, and it's possible that the decision will hurt the company financially, at least in the short term. After earning a record $8.6 billion in 2013, the Blue Oval does not expect to set another record in 2014. According to Automotive News, that's "largely attributable to F Series," says Bob Shanks, Ford's Chief Financial Officer.
To retool for the new F-150, Ford will idle its Dearborn Truck Plant in Michigan for 11 weeks and the Ford Kansas City Assembly Plant in Missouri for 2 weeks. "3 of the 13 overall weeks occur during what normally is our summer shutdown timeframe," said Mike Levine, Ford Trucks Communication Manager, in an email to Autoblog. The extra 10 weeks will be preparing for the more aluminum-intensive construction for the trucks and will mean over 2 months of no F-150s being made. For comparison's sake, Chrysler boss Sergio Marchionne just confirmed that the 200 plant in Sterling Heights, MI will be down for 30 days to retool for the new model, but obviously there are many more F-150 production variables than for the midsize sedan.
Levine notes that Ford is already running three shifts at both plants, and says the automaker has plans to ensure that there is adequate supply of the full-size pickups during the retooling process. The company does not want to suffer a shortage of the vehicle that accounted for 31-percent of its 2013 US sales and an even bigger percentage of its profits.

Ford to add Android Auto and CarPlay to 2016 SYNC 3 cars via update

Ford is updating a large number of 2016 model year cars equipped with SYNC 3 infotainment software, adding Android Auto and CarPlay to the vehicles with a free, over-the-air update via Wi-Fi, or using either USB or going through their dealer. The upgrade will be available for around 800,000 vehicles in total, giving a huge number of Ford car owners the chance to get big infotainment improvements without having to buy a newer model car. The OTA update option is also a big step for Ford – it's the company's first for software ever, and it's one of the major reasons that Ford recently hired around 400 new mobile smartphone engineers, the company tells me. For CarPlay, users will still also need to upgrade their vehicle's USB hub to make this work (which will also incur a dealer visit and a cost), but for those on Android, all that's required is a simple software installation. The USB install method is also faster, but the Wi-Fi update option is the start of the company's efforts to really increase its OTA update program, which will be used for security improvements as well as infotainment bumps. Even with a dealer visit and hardware upgrade for CarPlay, this sounds like a worthwhile thing for 2016 vehicle owners to do. CarPlay and Android Auto are huge upgrades vs. most in-car software, offering navigation and entertainment options that follow you from your phone to your car. Retroactively offering this kind of thing to car owners is a definite change in tone for carmakers, since they typically use these kinds of things as incentives to get people interested in vehicle model updates. But as data becomes increasingly important to automakers as a business, it makes sense to encourage greater in-car use of devices.Written by Darrell Etherington for TechCrunchRelated Video: Auto News Ford Lincoln Technology Infotainment android

Lincoln dealers to build standalone dealerships separate from Ford

Way back in 2011, Ford Motor Credit Co. established Lincoln Automotive Financial Services as part of what Automotive News called "a campaign to set the Lincoln brand apart." Lincoln's been on a wild, public ride in the seven years since, which included a near-death experience in 2013 under former Ford CEO Alan Mulally. But Ford's luxury brand has rebounded and is ready to take another shot at setting itself apart. Automaker execs have asked dealers with twinned Ford- Lincoln dealerships in 30 major U.S. markets to build standalone stores. According to company data, the move isn't a gamble — dealers with standalone showrooms sell more vehicles. Lincoln's standalone dealerships in the 30 major U.S. markets that account for 70 percent of luxury segment sales increased 48 percent from 2014 to 2017, compared to an overall Lincoln brand sales increase of 18 percent. After a former Ford-Lincoln dealer in Minneapolis opened a devoted Lincoln store this January, sales have climbed 60 percent so far this year. Dealers in Orange County, California, and Atlanta, Georgia have seen sales double since opening exclusive Lincoln storefronts. The sales manager at the Atlanta dealer said, "Customers have pulled up and said, 'This is how it should be.'" Robert Parker, Lincoln's head of marketing, said, "Customers expect the environment to be equal to the product. They want to buy a luxury product in a luxury environment." That issue repeatedly comes up when a mass-market brand launches a luxury product; observers have lately wondered how much the issue affects sales of Hyundai's Genesis brand. Out of 845 Lincoln showrooms nationwide, there are 150 Lincoln dealers in those 30 major U.S. markets. So far, 72 dealers have made or are working to make the standalone switch on their own. Lincoln is asking the remaining 78 shops to follow suit, to agree to a new facility by July 2019 and to have the store finished by July 2021. Only the showrooms would need to be exclusive, service and other back-end departments can remain in Ford-branded complexes. Wielding the carrot, Lincoln will help dealers with relocating, and pay more for every car sold. Wielding the stick, Lincoln said that come Q2 2019, it won't let twinned dealers sell Black Label trims if they don't already. Over the next couple of years, Lincoln will complete the revamp of its lineup. Said marketing honco Parker, "The next phase of the transformation is critical.