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Why the 2015 Lincoln MKC is 'holding some powder'

Earlier this month in our first drive of the 2015 MKC, we told you that Lincoln finally had a new vehicle in its arsenal worth crowing about. So with the compact premium crossover now finding its way into dealers, why aren't you seeing its likeness plastered on billboards and barraging you on television? It's because Lincoln is "holding some powder."
Those are the words of Lincoln's global director, Matt VanDyke, who tells Autoblog that the company is holstering some of its marketing guns because it's keen to avoid repeating the ill-timed efforts that blighted its last rollout, the MKZ. That vehicle's launch early last year was beset by various delays related to manufacturing and quality. The cadence issue was so dire that by the time the model reached showrooms in volume, Lincoln had already blown most of its budget on things like Super Bowl ads that ran weeks or even months before customers could check one out in person. It was a particularly trying series of events for parent Ford because the MKZ and its oversized marketing spend were charged with relaunching the Lincoln brand to the public.
Keen to avoid repeating the same timing issue and mindful of consumers' habits at this time of year, Lincoln is taking a different strategy with the MKC. According to VanDyke, "What we don't want to do is try and fight the summertime - people using television being down, and other mass media when school's out. New television shows aren't on." Of course, that doesn't mean Lincoln is sitting idle. VanDyke says, "By no means are we quiet during the next 90 days. This year, we're going to really spend the next 60 to 90 days using digital and social media, in-theater advertising and the like, and once we have full availability at dealerships, we'll really ramp up the advertising later on in the summer." Part of that early media effort includes immersive digital marketing like Lincoln's clever Dream Rides web experience.

How the demise of Lincoln's Town Car has kick-started a limo revolution

The deaths of the Ford Crown Victoria and the Lincoln Town Car have meant overhauls of three high-profile American fleets: police, taxi and livery car. Just as police fleets are more open to considering other options and a Nissan van is the new face of the NYC taxi, livery car companies are looking at replacements for the Town Car beyond The Blue Oval. Ford, via Lincoln, has made an MKT Town Car (pictured), but an article in the Detroit News claims "it has failed to win over most of the big limousine companies." The upstarts trying to move in include livery and limo editions of the Cadillac XTS, and livery specifications of the Toyota Avalon and Chrysler 300.
Each of those challengers, however, faces challenges. The Town Car was a workhorse, American, rear-wheel-drive sedan with plenty of rear legroom. Cadillac has been in the livery space before but with decontented models that were about selling the brand, not its luxury. It is taking the opposite approach with the XTS, pointing out that its livery edition is "contented in the upper half of the XTS range." Still, the CEO of Michigan's largest livery company says "it's quite a bit smaller than what we're used to," and he also prefers rear-wheel drive.
The Chrysler 300 is rear-wheel drive, and American, which matters to some companies, but Chrysler hasn't yet revealed the livery package for it. The livery Avalon marks Toyota's first time getting into that business in the US, a natural step after having done so well with taxi clients and with the Town Car out of the way. Still, the livery client is a different to taxi buyers, so the Avalon could face other soft-touch hurdles.

Ford Q3 pretax profits drop to $1.18B

Following positive third quarter financial results recently from General Motors, rival Ford took a tumble in Q3. The automaker posted pre-tax profits of $1.18 billion, compared to about $2.59 billion in Q3 2013, a drop of around 54 percent. Net income also suffered with $835 million made in the quarter, versus $1.272 billion last year, a decline of about 34 percent. The Blue Oval blamed the gloomy figures on three reasons in its release: "lower volume, higher warranty costs and adverse balance sheet exchange effects."
There were problems of one kind or another in practically every region. North America experienced higher warranty costs than expected, partially due to recalls. The sales volume for the quarter was 665,000 units, versus 725,000 in Q3 2013, and pre-tax results amounted to $1.41 billion versus $2.296 billion last year.
South America and Europe both posted worse pre-tax results than last year. On the bright side, European volume was up slightly to 321,000 vehicles, from 303,000 in Q3 2013. The Middle East and Africa also lost $15 million, but that was an improvement compared to the $25 million loss previously experienced in this region.