As the chip shortage and various other supply chain challenges continue to plague automotive production, Ford is taking advantage of the situation by moving toward more of a build-to-order model. This has largely been a success thus far, as around one-third of The Blue Oval’s sales in February came from new retail orders. This also applies to new Lincoln retail orders, which shot up a healthy 291 percent in February over last year’s totals, according to FoMoCo’s latest sales report.
In total, new Lincoln retail orders came in at 3,000 last month, adding to the 72,000 Ford vehicle retail orders that the automaker accumulated – which represents a smaller but still significant 33 percent increase year-over-year. As those numbers continue to grow, month after month, it’s only having a positive effect on profitability, while also driving Ford’s average transaction prices higher as well. In fact, last month, Ford’s average transaction price hit yet another record high at $48,000, which is $4,100 more than one year ago.
This is good news for Lincoln, which has seen its vehicles sell for less than MSRP recently while most new vehicles are going for well over their sticker price amid high demand and low supply. At the same time, fewer and fewer luxury shoppers are considering purchasing a Lincoln, a trend that has perpetuated for several months now.
Lincoln isn’t resting on its laurels during this time of transition, however. In fact, as the brand prepares to fully electrify its lineup by 2027, it also recently opened its very first boutique showroom – which has become a big success already – while also rolling out new mobile spa service and concierge program pilots in select markets.