Ford's C-Max Energi plug-in.
Call it Supply-and-Demand 101. Ford Motor Co. is betting it can sell more battery cars if it has more places where potential customers can find them.
The Detroit maker plans to more than quadruple the number of outlets for its plug-based vehicles in the months ahead in an effort to boost demand. Ford ended 2012 with just 200 dealers certified to carry the three battery models, the Focus Electric, Fusion Energi and C-Max Energi. It expected to have 900 turned on by spring.
That will not only increase the raw number of dealers but also expand their footprint beyond initial launch markets like New York and California.
“The newest approach is based on a key market coverage strategy to ensure we have good representation on a national basis to meet customer demand,” said Ford Field Operations Manager Paul Russell.
Ford has rapidly gained traction in the conventional gas-electric market, models like the new Fusion Hybrid helping it boost its share of that segment from 7% to 16% over the last year. But it’s having a bigger challenge – as are its key competitors – building momentum for more advanced battery-based vehicles, such as the plug-in Fusion Energi and pure battery-powered Focus Electric. So far it has only sold 2,712 of the plug-in C-Max Energi and has moved just 685 Focus EV, less than half the 1,627 it has built.
The maker has been trying to spur demand with incentives that run as high as $10,750 on the Focus model. (Click Here for that story.)
Ford has become one of the most aggressive players in the emerging, battery-based vehicle market, company officials citing statistics that indicate as many as six of every 10 U.S. buyers plans to consider a hybrid or more advanced battery vehicle when next shopping for a car, truck or crossover.
Part of the challenge is selling such vehicles at a time when fuel prices are relatively stable or even dropping. They do seem to click with more buyers when prices skyrocket, as they did last spring. It certainly helps that the various Ford plug-based models delivered EPA-estimate fuel economy of between 92 and 108 MPGe.
Longer-term, many industry analysts believe the market will see a more aggressive shift to battery power, if for no other reason than the need to meet the 54.5 mpg fuel economy standards that will go into effect in 2025.
“If you don’t get on board, you’re going to get left behind,” said Tom Tower, a 30-year veteran in the service department at Ann Arbor, Michigan’s Varsity Ford who took part in the electrified vehicle certification training.
Ford dealers need to undergo a series of steps to be certified to carry a vehicle like the Focus Electric. That includes having at least two charging stations on the lot, making sure at least 80% of sales and service personnel have been trained on the new technology, and having at least two vehicles always on hand for test drives.