New Models
  • Peg It on GarageMonkey
AUTOS: Lincoln Hustles To Catch Up
Ford luxury division works to hasten deliveries of MKZ sedans to dealers after inventory gap causes sales slump.
High Gear Media  | http://www.highgearmedia.com/  |  Posted February 04, 2013   Dearborn, MI
Lincoln unveiled the new MKZ midsize sedan at the 2012 Detroit Auto Show. (Photo: Lincoln)
In January, luxury car sales in the United States were up, and generally by a large margin over the prior year. Cadillac delivered 47 percent more cars than it did in 2012, while Porsche delivered a 32 percent gain.

Lexus was up by nearly 27 percent, followed by Acura, up 13.2 percent; Mercedes-Benz, up 10.7 percent; Volvo, up 9.3 percent; Audi, up 7.5 percent; and Infiniti, up 4.9 percent.

Lincoln is doubling up on quality-inspection sites to speed up MKZ deliveries to dealers. (Photo: Lincoln)
And then there’s Lincoln, which saw an 18.2 percent decline in sales. The drop was largely due to a lack of cars to sell, accoridng to Lincoln.

The midsize MKZ sedan is intended to be the brand’s standard-bearer in 2013, but the car is late to market. Lincoln spent big money to show it off during Super Bowl XLVII, but most dealers don’t have inventory and may not have normal inventory of the MKZ until April. That’s a long time to keep prospective customers waiting.

To expedite the delivery process, Automotive News reports that Ford is shipping completed Lincoln MKZs from its assembly plant in Hermosillo, Mexico, to Flat Rock, Michigan, for final quality inspection.

While this step is normally completed in Mexico, the additional production volume that Lincoln is currently building requires the addition of a second inspection line. Five weeks worth of production, stretching from January 28 through February 25, will be shipped to Flat Rock for final inspection.

Overall quality of the MKZs built in Hermosillo, Mexico, is high, according to Lincoln's sales and service manager. (Photo: Lincoln)
Once checked and approved, Ford will truck the MKZ inventory to Lincoln dealers instead of shipping by rail to further expedite the process. Shipping cars from Hermosillo to Flat Rock and then expediting them to dealers by motor carrier should add significant production cost to the MKZ, negatively affecting margins.

Lincoln sales and service manager Kevin Cour insists that potential quality issues at the Mexican assembly line is not the issue.

“We have not had any substantial quality issues,” Cour said, “We are absolutely laser-focused on getting the fit and finish right.”

Building cars that exceed customer’s expectations for fit and finish is critical to the success of any luxury brand, particularly one looking to reestablish itself in the market. Not having cars to sell is the quickest way to lose market share.

This story originally appeared at Motor Authority.
high_gear_media's avatar

ABOUT THE AUTHOR

High Gear Media

highgearmedia.com

MORE BY THIS AUTHOR