Ford dealers must set no-haggle prices, invest up to $1.2 million to keep selling EVs

azswiss

Original poster
Member
May 23, 2021
948
Tempe, AZ
Very interesting business model implications, starting with multi-tiered dealership system, mandatory investments, and sales price controls. Likely setting the stage for much more tightly controlled after-sales service & aftermarket parts markets (a walled garden model).

Ford dealers must set no-haggle prices, invest up to $1.2 million to keep selling EVs

Edit: Added background text from the original posting . . .

Ford Motor Company's U.S. dealers must invest as much as $1.2 million and adhere to rigorous sales standards if they want to sell electric vehicles beyond 2023, as the brand tweaks its retail model to better compete with direct-sales startups.

Dealers have until Oct. 31 to opt into one of two EV certification tiers that cover varying investment levels in fast chargers and staff training. Those who choose not to invest will be limited to selling internal-combustion vehicles and hybrids from the Ford brand.

EV dealers must sell the products at nonnegotiable prices and won't be allowed to carry them in inventory, instead having customers order exactly what they want for later delivery.

Dealers who choose the highest tier — Model e Certified Elite — will be asked to invest $900,000 initially, most of which will go toward installing two DC fast chargers, at least one of which must be public-facing. They likely will have to invest $300,000 more, and add a third fast charger, by 2026.

The lower tier — Model e Certified — will require a $500,000 investment that will mostly go toward installing one public-facing fast charger. Those dealers will be allowed to sell only a limited number of EVs a year, though Ford hasn't decided on that cap yet.

The company offered the less-expensive tier in response to feedback from smaller dealers who wanted a lower-cost option.

Ford said the costs for each tier could change based on potential federal or local incentives to install EV chargers. It's partnering with three consulting companies to help dealers install the equipment.

Each certification will be effective from Jan. 1, 2024, until the end of 2026. Ford said dealers who opt out of becoming EV-certified for now will have another opportunity to buy in starting in 2027. It does not expect to force any dealers to do so at that time, either
 
Last edited:
  • Wow
Reactions: Redbeard

Mooseman

Moderator
Dec 4, 2011
25,649
Ottawa, ON
Unfortunately that article requires that you sub$cribe to read it. Here's the same one elsewhere:


So if I read this correctly, this will apply only to EVs and not ICE division. Although good for EV buyers, ICE buyers will continue to get gouged, and probably even more as they get phased out for the few that will be available.

I'm still not sold that EVs are the solution yet.
 
  • Like
Reactions: Redbeard

azswiss

Original poster
Member
May 23, 2021
948
Tempe, AZ
I'm still not sold that EVs are the solution yet.
Purchase & after-sales issues aside (which are not insignificant) there is a long-term question whose answer is still not clear: can the existing electricity distribution systems handle the demand required to enable broad geographic availability/accessibility of charging locations (public charge stations, homes)?
 

TollKeeper

Supporting Donor
Member
Dec 3, 2011
8,192
Brighton, CO
EV's are not, and frankly will never, be a viable solution. Battery production alone is a scary proposition. They keep trying to phase out coal fire energy, and nuclear energy. Wind Turbine energy can not even come close to producing enough energy.

If they were to convert -ALL- the current energy production plants to nuclear (ya, like that will ever happen), it could work. But you would have to get the greenies to get their head out of their own ass smelling their own farts! They cant look past the end of their own nose to realize what they are asking is not feasible without certain things being in place, but they wont allow those certain things cause they arent green enough.

Nuclear in all forms or reality is the cleanest energy production, with actual Negative-NET-0 carbon emissions. Period, end statement. The steam emitted from cooling will help in rainfall, and that will help bring the atmospheric carbon to the ground, where it can be absorbed thru natural photosynthesis, and plant reproduction.

Will I admit that nuclear is harmful on the nuclear decaying rods sitting in nuclear storage facilities waiting for their half life to expire.. Absolutely. Whats the alternative?

Wind Turbines? HA. 5-7 year life span, and no way to recycle the blades.
Wind Turbine Blades Can't Be Recycled, So They're Piling Up ...
 

Forum Statistics

Threads
23,479
Posts
639,805
Members
18,707
Latest member
obd

Members Online