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Farley says Lincoln learnings in China could influence brand in US

Automotive News reports Lincoln is looking to Chinese luxury shoppers for customer service ideas. Those notions may eventually make their way back to the US in the form of new dealership training. Jim Farley, the executive vice president of global marketing for Ford, tells Automotive News, "In many ways, China will be a listening post for Lincoln in the United States. Soon China will be the largest luxury market in the world." Farley also said that in China, the Lincoln brand is currently where Lexus was when the Japanese brand first landed in the US.
Lincoln is slated to open its first Chinese dealerships in 2014. The brand is largely unknown in Asia, and Lincoln representatives have been visiting other luxury dealers in China for an idea of what buyers there expect. Lincoln has also studied non-automotive luxury shopping, paying special attention to high-end retail branding.
Of course, this whole song and dance feels awfully familiar. Lincoln has focused heavily on remaking the brand and recrafting its marketing here in the States, thus far without sufficient product to back the play. Lincoln is already late to the China game, and without the necessary products to lure buyers away from established bodies like Buick and Cadillac, Lincoln may be doomed to repeat its fate here in the US.

Ford faces class-action lawsuit for selling vehicles without brake override systems

A total of 20 Ford customers are suing the automaker in a class-action lawsuit for selling vehicles "vulnerable to unintended acceleration." According to Reuters, the suit names 30 models built between 2002 and 2010 with electronic throttle control systems but without a brake override system. Those include the 2004-2012 F-Series pickups and the 2005-2009 Lincoln Town Car. Adam Levitt, a partner with the law firm of Grant & Eisenhofer says the plaintiffs in the case want "to be compensated for their economic losses by having overpaid for cars that contained defects." Levitt contends that the plaintiffs would not have bought their vehicles or paid less for them had they known there was no brake override system in place.
Ford began installing brake override systems in its vehicles beginning in 2010. In response to the lawsuit, Ford has pointed to research by the National Highway Traffic Safety Administration that indicated that unintended acceleration is mostly caused by driver error, saying in a statement that, "NHTSA's work is far more scientific and trustworthy than work done by personal injury lawyers and their paid experts."
Belville et al v. Ford Motor Co. will be heard in US District Court in the Southern District of West Virginia.

How Lincoln could make itself special again

Things are going better for the Lincoln brand — or, more properly, The Lincoln Motor Company — so far this year, and are likely to continue to do so, comparatively speaking. In the first quarter of 2017, the brand's sales are up 8.7 percent compared with the same period last year. Lincoln delivered 27,083 units in the first quarter. The Continental is certainly a boon, with 3,209 units (almost 12 percent of the total number), something Lincoln didn't have in the first quarter of 2016. Its crossovers, the MKC and MKX, were up 15 and 11.2 percent, respectively, and while the Navigator SUV was down 16.2 percent, the new 2018 model will certainly boost that nameplate. Still, there is undoubtedly a glass — or crystal — ceiling for Lincoln (as well as for Cadillac) that it's not likely to break through regarding total US sales. No matter how you look at it, the US luxury market is dominated by import brands, and there is no reason to think that's going to change. Ever. According to Autodata, for the first quarter of 2017 there were 213,817 luxury vehicles delivered, of which 170,780 were from import brands and 43,037 domestic. While there is a good likelihood that Lincoln will gain some ground, given the lineup extensions that the likes of Mercedes, Audi, BMW, and Lexus are making, as well as the creation of new brands like Genesis and the traction of Tesla, it is going to be all the more challenging for any company to get any significant growth in the luxury category. So growth for Lincoln, yes. Notable growth? No. But there is something the company could do to generate revenue separate from the car and crossover business. It may not make a lot of money in and of itself, but it can provide a distinct edge in the product segment that would cement Lincoln with a unique offering. Kumar Galhorta, president of Lincoln, frequently talks about "experiences." About how the company is working to relieve or eliminate "pain points" from its customers. About how time — or the perceived lack thereof — is something Lincoln is working to address. And it's doing so in a way that gives it a distinctiveness vis-a-vis the competitive set. Lincoln's services are creating a buzz in a way that Matthew McConaughey ads never will. Lincoln is addressing it through service. As in offering pickup and delivery for service appointments for all new 2017 Lincoln models.