There is no defined route to face the changes in electromobility. All brands have their own strategies, but it’s always interesting what big companies do, because of how big these bets can mean. This is the case of Ford, who are preparing to -eventually- leave the segment of compact crossovers/SUVs with two rows of seats powered by combustion engines. This is so that it is not misunderstood; The plan is to replace them with 100% electric models, which may initially have less massive sales, but which may begin to gain prominence in the long term.
This is an ambitious strategy but it’s not that far-fetched (commercially speaking) and I really like how Jim Farley, the CEO of Ford, refers to this segment, the “commodity SUV”“, with total and utter honesty. These models are mass consumption products, which have important functionality and comfort features, but do not appeal to a greater concept or purpose, as can be the case of the Mustang Mach-E or of Rough: they are cars that you buy to move your family from point A to point B. For this reason, their development is based on efficiency, durability, usability and reliability, but where they do not have to be subjected to processes that define unique characteristics, such as a extravagant design, be a technological marvel, a racing car or a robust offroad model.
On the other hand, these cars are of mass consumption, they are seen a lot on the street and they are the bulk of the sales of any brand. In order to position them attractively, prices usually do not offer a higher profit margin, in pursuit of volume and perhaps that is where the accounts are not coming out so favorable for Fordwhose plan is to have a margin close to 8%.
And as today, the strength of electric cars is precisely that segment of SUVs and crossovers, Ford wants to testr.
Who’s out? Who are left?
Farley’s statement, collected by our colleagues at Carscoops, points out that Ford will exit the segment of compact SUVs and crossovers with two rows of seats and combustion engines. But of course not all cars will suffer the same fate.
The models that will eventually see a new 100% electric generation are the Escape and the Edge. In the case of the first, a new generation is being evaluated for 2025, while in the case of the Edge, it is not yet known if it will be replaced by another model. In China, the Edge already has a new generation, with the surname L and manufactured in conjunction with Changan. It is not known what the commercial destination of this model will be after its premiere.
An important observation is that Farley is only talking about the North American market, but there are rumors that this strategy could be replicated in Europe as well.. For example, the Kuga, which is technically a Ford Escape, should also align with this strategy, while the Ford Puma could become a 100% electric model.
Models that will not be part of this plan are the Bronco Sports and he Rough traditional, for its offroad approach. In addition, the Bronco Sport’s C2 platform (the same as the Escape’s) is also used in other models.
For May, more details of what will be Ford’s strategy with these products are expected, including the rumors about a modular electric platform that supports the vast majority of the electric models of the house of the blue oval.
