USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships

RahulNagaraj · 2nd August 2021, 13:43

Ford could soon shift to a build-to-order vehicle purchase system in the USA, moving away from the conventional stockpiling at dealerships.

USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships-fordbronco2.jpeg

According to a media report, Ford has noticed a change in the way Americans are purchasing new cars. Reports suggest that American shoppers who till now have been committed to buying a vehicle off a dealership lot, are now changing their purchase methods and preferring to have more online communications. Hence, Ford is now pushing more new customers to shift to the online vehicle purchase process.

USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships-fordf150pickup.jpeg

The reason for this shift is said to be mainly due to the COVID-19 pandemic and the global chip shortage, both of which have affected vehicle supply to dealerships. Reports have stated that Ford feels it can perform better if more people order their cars online.

Jim Farley, CEO of Ford stated that the company is committed to going to an order-based system and keeping inventories to a 50 to 60 days' supply.

USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships-fordmustangmache1.jpeg

To further boost online vehicle purchase among American buyers, the company has introduced 'Ford Express Buy', which allows customers to build their vehicles, check the price and even make the transaction. Once the payment is done, customers can then wait for their cars as the dealership will then deliver the cars to their homes. The company has also introduced the 'Ford Blue Advantage', an online used cars sales platform.

Source: CarAndDriver

Link to Team-BHP news

NICHE · 2nd August 2021, 20:43

Have heard that there are customers who go to a dealer and buy a car there itself. Don't know how much is the percentage of such customers. Ford will lose such customers

landcruiser123 · 3rd August 2021, 07:14

Quote:

Originally Posted by RahulNagaraj

According to a media report, Ford has noticed a change in the way Americans are purchasing new cars.

Hahaha. What a way to cover up your backside when caught pants down.

Old Henry would be cringing up in heaven.

vinya_jag · 3rd August 2021, 20:50

This is Surrender, before the enemy arrives. I find Ford fleeing from every fight.
They withdrew from India, withdrew from making small cars, and now withdrawing from selling cars at dealerships.

2nd August 2021, 13:43	#1
RahulNagaraj Senior - BHPian Join Date: Mar 2021 Location: Bangalore Posts: 2,119 Thanked: 20,627 Times	USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships Ford could soon shift to a build-to-order vehicle purchase system in the USA, moving away from the conventional stockpiling at dealerships. According to a media report, Ford has noticed a change in the way Americans are purchasing new cars. Reports suggest that American shoppers who till now have been committed to buying a vehicle off a dealership lot, are now changing their purchase methods and preferring to have more online communications. Hence, Ford is now pushing more new customers to shift to the online vehicle purchase process. The reason for this shift is said to be mainly due to the COVID-19 pandemic and the global chip shortage, both of which have affected vehicle supply to dealerships. Reports have stated that Ford feels it can perform better if more people order their cars online. Jim Farley, CEO of Ford stated that the company is committed to going to an order-based system and keeping inventories to a 50 to 60 days' supply. To further boost online vehicle purchase among American buyers, the company has introduced 'Ford Express Buy', which allows customers to build their vehicles, check the price and even make the transaction. Once the payment is done, customers can then wait for their cars as the dealership will then deliver the cars to their homes. The company has also introduced the 'Ford Blue Advantage', an online used cars sales platform. Source: CarAndDriver Link to Team-BHP news
	(6) Thanks

2nd August 2021, 20:43	#2
NICHE BHPian Join Date: Aug 2019 Location: Trivandrum Posts: 140 Thanked: 332 Times	Re: USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships Have heard that there are customers who go to a dealer and buy a car there itself. Don't know how much is the percentage of such customers. Ford will lose such customers
	() Thanks

3rd August 2021, 20:50	#4
vinya_jag BHPian Join Date: Apr 2011 Location: Bengaluru Posts: 617 Thanked: 1,225 Times	Re: USA: Ford to shift towards a build-to-order system, move away from stockpiling at dealerships This is Surrender, before the enemy arrives. I find Ford fleeing from every fight. They withdrew from India, withdrew from making small cars, and now withdrawing from selling cars at dealerships.
	() Thanks