Ford Gains Ground On Consumer Appetite For All-Wheel Drive

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With the addition of the Lincoln MKZ, Ford will offer more than 20 vehicles with all-wheel drive in 2007. Total annual sales of AWD vehicles for Ford alone are expected to exceed 500,000 units a year starting in 2007, making Ford an industry leader.
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  • Ford sees continued growth in all-wheel drive (AWD), expects to sell more than 500,000 AWD-equipped products annually beginning in 2007.
  • Three hot new midsize sedans, Lincoln MKZ, Ford Fusion and Mercury Milan feature all-wheel-drive option for 2007 model year.
  • Two new crossovers, Ford Edge and Lincoln MKX join the AWD lineup in fall 2006.

BlueOvalNews.com - All-wheel drive (AWD) is red hot in today's resurgent car market. At the Chicago Auto Show today, Ford Motor Company added to its portfolio of AWD cars introducing the 2007 Lincoln MKZ, an upgraded luxury midsize sedan offering a new 3.5-liter V-6 engine and AWD.



Consumer demand for all-wheel drive is at an all-time high. When it launched three new AWD vehicles for the 2005 model year the Ford Freestyle, Five Hundred and Mercury Montego Ford had to move quickly to increase capacity for the option as demand outstripped supply during the initial launch. This fall, Ford adds the AWD option to the 2007 Ford Fusion and Mercury Milan midsize sedans, in addition to the new Lincoln MKZ.



Customers love the confidence of surefooted all-wheel-drive traction, improved performance and the benefit of higher resale values for vehicles equipped with the option, said Cisco Codina, Ford group vice president of Marketing, Sales and Service.



By 2007, Ford Motor Company expects sales of products equipped with AWD to exceed 500,000 units annually, including 400,000 car and crossover vehicles.



Car Share Expands

In January 2006, Ford Motor Company's car sales increased 18 percent continuing trends seen in 2005. Last year, on the strength of a full year of sales of the Ford Five Hundred, Freestyle and Mercury Montego, plus the fourth quarter launch of the Lincoln Zephyr, Mercury Milan and Ford Fusion sedans, Ford posted its first car sales increase since 1999.



Ford Fusion, Mercury Milan and Lincoln Zephyr continue to gain momentum as combined sales for the trio totaled 14,714, up 25 percent compared with December. In contrast, Ford estimates U.S. industry sales declined 20 percent from December to January, reflecting historical seasonal patterns.



Market Trends Favor AWD

Ironically, the popularity of SUVs in the 1990s is now driving growth in the high-end features in car-based products as some buyers migrate from SUVs to smaller vehicles. All-wheel drive is becoming a more important factor in consumer purchase decisions.



Ford customer research and independent analysis shows that 73 percent of current midsize SUV owners want AWD or four-wheel drive (4WD) in their next vehicle. Additionally, 20 percent of full-size car owners want AWD in their next vehicle. And interestingly, in the large car sample, less than one percent of the owners currently have AWD.



The trend is stronger in the luxury market where 18 percent of luxury car owners currently have AWD, but nearly 50 percent say they want it in their next car.



In 2003, AWD or 4WD vehicles accounted for 25 percent of the market. It is estimated that number could double to 50 percent of the market by 2012.

source:http://www.blueovalnews.com/index.php?categoryid=12&p2_articleid=148&s=&
 

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