Ford dealers are set to undergo some fundamental changes over the coming months and years as FoMoCo itself splits into two distinct entities – Ford Blue for ICE vehicles, and Model e for EVs. Following that switch, dealers are expected to specialize in one area or the other – as well as the Ford Pro commercial business – with less physical inventory and potentially, fixed pricing. However, Ford dealers will seemingly be getting assistance from the automaker in terms of helping boost service department loyalty, as CEO Jim Farley revealed while speaking on Ford’s Q2 earnings call recently.
“In the U.S. alone, if we can help our dealers increase service loyalty by just 20 points, that’s $2.4 billion incremental revenue for them every year,” Farley said. “Now, since March, we’ve conducted more than 30 workshops in the U.S. and Canada reaching hundreds of our dealers. I have personally been involved in many of these meetings. What is clear to me, but not yet visible to the market, is that our dealers are embracing this change. They know the competitive threat is real and they want Ford and their dealership to lead and win. And we have more share as this develops.”
These comments seem like a strong indication that Ford plans to roll out new services, products, or incentives designed to help retain existing service customers, such as pickup and delivery, which all dealers will offer by 2023. This makes sense given Farley’s recent comments about improving the post-purchase experience for customers, too.
Both Ford and Lincoln dealers fared below each’s respective segment average in J.D. Power’s recent 2022 U.S. Consumer Service Index (CSI) Study, indicating that some changes could certainly improve service experience for customers of both brands. Regardless, Ford dealers, in particular, remain wary of the automaker’s planned changes.
We’ll have more on Ford’s efforts to retool its dealership experience soon, so be sure and subscribe to Ford Authority for 24/7 Ford news coverage.
Comments
I like to see how a dealer that services 50 units a day or more will be able to pick them all up and bring them back. Will need to hire a ton of drivers.
Sure, Ford dealers with offer better post purchase service, as long as there is a buck to be made in servicing your vehicle, which you will end up paying for, charging you twice what it would cost anywhere else for things like oil changes, tire rotation, etc., or 4 times more if you do it yourself. Just another way of trying to bleed you of money, after over charging you for the vehicle in the first place, then continuing to over charge you for service, most you do not probably need.
I have found that I save money using the Ford dealerships. I used one dealership for 40 years until the owner sold out. I once broke down in Atlanta and was charged $465.00 to repair my car by a local repair shop. We made it home and the same thing happened two weeks later. My Ford dealership came and picked up car with their wrecker . They fixed the same part and fixed the cause of the problem for $150.00 dollars. I am now using another family owned dealership and prefer them over big corporate ones. It’s nice to see the owner in the dealership working and taking care of customers.
Same. And my local dealer…once retired, will no longer be able to be a Ford dealership. Pretty dumb shutdown.
Mostly in favor of having extra $$$ for advancing technician and mechanic education…along with retooling for EV and advancing technology in general.
I HAVE AN IDEA! QUIT BUILDING YOUR VEHICLES WITH CHEAP SUBSTANARD PARTS! NOT MENTION THE NUMBER OF RECALLS CUSTOMERS HAVE TO ENDURE. MANY VEHICLES HAVE AS MANY AS 5-6 OPEN RECALLS AT ONE TIME. AND I’M TALKING ABOUT 2020, 2021, 2022 VEHICLES GAS AND ELECTRIC. IT IS SAD TO SEE.
I agree with the plan, however my local Ford dealer is seldom competitive on service specials and tire prices. You have to wonder how tone deaf Ford is when a Honda store can provide a better installed price on a set of 4 tires. The kicker was the Honda tires were better quality brand and model than Ford quoted. Competition is brutal but necessary for consumer protection. Too often, the corporate Ford stores seem to expect the customer to line up, wait and accept whatever they offer. My impression of Ford remains that they always do a good job, although I always feel I paid more than if I shopped around. This has to change if they want to keep their primary profit centres doing well. If business cannot own the first 30 seconds in front of their customer, someone else will.
I disagree with most of what you say. I work for a Ford dealer. We make very little on tires and offer access to nearly every popular brand. Honda does not make tires. We are so busy right now we have no space left to park service vehicles. We have many service specials and a Quick Lane for maintenance.
Even a quick lube at a dealer takes to long
I waited over an hr to get my truck back.
I can change my own oil in less than 10 min
This is why most people don’t go back to the dealer for regular maintenance
I always go back to my dealer for oil change. I come in, like 20 min later I am driving out knowing they checked my stuff out and a decent dealership will send you off with status on your basic components – allowing me to know what to plan for in upcoming replacement parts (brakes, rubber, etc)
I don’t usey dealership just for that though. If you want quick…find a solid reputable mom and pop shop or non-corporate “quick oil”
Heck of speed is that important, hit jiffy everytime. The worst thing is having you mechanic tell you what is/will be needed, and you just ignoring them. Just a wast of everyone’s time.
So far, the dealer has gone above and beyond in trying to provide a top notch service while not being excessive in charges.
Ford themselves on the other hand are going above and beyond to crush anything the dealer tries to help me and other customers, from rude & screaming servicereps to simply ignoring questions to simply ignoring emails and phonecalls completely. Dont you dare asking them anything because even IF you get an answer, it’s a big fat lie.