The Ford Company management is planning to increase the overall sales in the most profitable European segment by producing the most compact crossover series in the current Ford model lines.
Steven Odell, the head of the Ford’s European Department made a statement at the Geneva Auto Show where the new vehicle was shown for the first time. He pointed out that the new model, the EcoSport crossover that was presented at the show and had great reviews will be delivered to the European customers from India. The new EcoSport based on the new platform that is a part of the “One Ford” global strategy is being produced in the Indian city of Chennai. Steven Odell also said that the vehicle will be available for anyone who’s willing to buy it at the end of the current year. Ford is planning to compensate the overall drop in sales due to the declined demand in the EU by expanding the crossover line.
In January Ford sales fell by 22% in European segment of the auto market while the overall sales of the segment decreased by 9%. According to Steven Odell, the European market is currently moving from the bottom and every auto manufacturing company is struggling to have profit. Despite this situation Ford management expects to maintain its market share on the last year’s level.
While the general European auto market is getting on its feet again, the crossover segment is the only one that has a positive dynamics and is showing some growth; the operating margins of this segment are also higher than everywhere else. That’s why almost every leading company that makes cars is showing new crossovers this year. The Geneva Auto Show is a great example of this dynamics. With all the crossovers and SUVs suddenly appearing at the same time in the same markets the competition is incredibly high.
With the EcoSport crossover introduction Ford Company expects to take the sales up to the “One million” mark by the end of 2017. It may seem like an impossible result to achieve but Ford managed to surprise us during the entire time of its existence, so there’s pretty much nothing this Company can’t do.