Ford halts Melbourne Falcon assembly as demand drops off

[mrbaxr6t]

we can't go out and buy new cars because we are all hocked up to the hilt on credit cards : http://australia.creditcards.com/cre...-card-debt.php

we as a nation simply cannot afford to purchase a new car right now, hell if I could afford one I would be in there banging my fist on the desk and asking for a s/c GT yesterday, but like everybody else I have too much debt to do so, things will improve once the people of this nation pay down our debt and discover we have the money to buy things like cars, I just hope Ford can hold on until the nation has reduced its debt. The Falcon could be the greatest car in the universe but if nobody has the money to purchase it it will surely fail. Falcon is too vulnerable to market forces within Australia exporting would reduce its vulnerabilities to these forces. Why don't they export it again

[jpd80]

Originally Posted by mrbaxr6t

we as a nation simply cannot afford to purchase a new car right now, hell if I could afford one I would be in there banging my fist on the desk and asking for a s/c GT yesterday, but like everybody else I have too much debt to do so, things will improve once the people of this nation pay down our debt and discover we have the money to buy things like cars, I just hope Ford can hold on until the nation has reduced its debt.

That doesn't explain why Commodore had a relatively good month and Falcon didn't.

And high exchange rates makes exporting practically untennable at the moment.....

[mrbaxr6t]

Originally Posted by jpd80

That doesn't explain why Commodore had a relatively good month and Falcon didn't.

And high exchange rates makes exporting practically untennable at the moment.....

how many commodores were fleet sales and how many were private? also how heavily discounted were said commodores no point selling 100,000 cars at a loss of 1k a pop

[Ford_The_Win]

Originally Posted by jpd80

That doesn't explain why Commodore had a relatively good month and Falcon didn't.

And high exchange rates makes exporting practically untennable at the moment.....

Commodore did better than Falcon as per usual but I wouldn't say they're doing any better than Ford as far as the business is concerned. Only 10 years ago they were churning out something like 8,000 VTs a month.

[bobthebilda]

Originally Posted by jpd80

That doesn't explain why Commodore had a relatively good month and Falcon didn't.

And high exchange rates makes exporting practically untennable at the moment.....

You can see how tough the high australian dollar is making it for the locals. Compared to last year (as of end of Feb) Toyota is currently achieving 13.7% of 2010 sales, Holden 14.07%, and Ford 14.76%. Whereas the full importers are acheiving Mazda 17.51%, Hyundai 16.26%, Nissan 16.7% and Mitsubishi 15.44% of 2010 sales.

Theres no reason for the 3 local manufacturers to have lower percentages of sales than the other full importers (as the locals also import), aside from the fact that the locally made cars, are causing alot of troubles when it comes to flexibility in pricing.

Holden (70% of cars sold, made locally now), will be bleeding money, And by all accounts, Toyota exports/production will be way down this year.

[prasac]

Originally Posted by mrbaxr6t

how many commodores were fleet sales and how many were private? also how heavily discounted were said commodores no point selling 100,000 cars at a loss of 1k a pop

selling them at a loss is better than not selling them at all. they are not worth anything if they are just sitting there. i'd prefer to sell them at cost and get rid of them so u have at least most of the cash back u paid for it. say u have 2000 cars sitting there that is $70-$80 million dollars u don't have.

[Gobes32]

Originally Posted by jpd80

That doesn't explain why Commodore had a relatively good month and Falcon didn't.

I cannot answer that. All I know is that no one I know or anyone in my circle of friends is in the posistion to buy a new car. We are all in it up to our eyeballs making payments on our first homes. New cars are for later in life.

In fact, is anyone here buying a new car or knows someone who is? If so, what are you looking at and why?

[LeadFoot81]

Originally Posted by Gobes32

I cannot answer that. All I know is that no one I know or anyone in my circle of friends is in the posistion to buy a new car. We are all in it up to our eyeballs making payments on our first homes. New cars are for later in life.

In fact, is anyone here buying a new car or knows someone who is? If so, what are you looking at and why?

I'm looking at a new car for 2012 but there's no way I can afford a Falcon, so if I go brand new it will be a Focus.

I think most people would be in this position as well. They'd like a new car but the big boys ard too expensive and small/medium cars are now proper alternatives.

The only people I know who are looking for new cars are considering medium size.

I'm not doing it tough, but if the buffer in the household budget is gobbled up by car repayments I'd be in trouble if the shizz hit the fan.

[jpd80]

Originally Posted by bobthebilda

You can see how tough the high australian dollar is making it for the locals. Compared to last year (as of end of Feb) Toyota is currently achieving 13.7% of 2010 sales, Holden 14.07%, and Ford 14.76%. Whereas the full importers are acheiving Mazda 17.51%, Hyundai 16.26%, Nissan 16.7% and Mitsubishi 15.44% of 2010 sales.

Theres no reason for the 3 local manufacturers to have lower percentages of sales than the other full importers (as the locals also import), aside from the fact that the locally made cars, are causing alot of troubles when it comes to flexibility in pricing.

Holden (70% of cars sold, made locally now), will be bleeding money, And by all accounts, Toyota exports/production will be way down this year.

I won't repeat all of my post from elsewhere but I wonder if the biggest threat to continuing Falcon sedan sales
actually comes from a new and very much improved RWD Territory, with 10.6 l/100 km the I-6 version offers similar
economy as FG1 5-speeder and diesel is on another plane of existence...

Could Territory become the dominant make, leaving Falcon to become something else...

[Road_Warrior]

Originally Posted by jpd80

I won't repeat all of my post from elsewhere but I wonder if the biggest threat to continuing Falcon sedan sales
actually comes from a new and very much improved RWD Territory, with 10.6 l/100 km the I-6 version offers similar
economy as FG1 5-speeder and diesel is on another plane of existence...

Could Territory become the dominant make, leaving Falcon to become something else...

Perhaps, until LPI and Ecoboost come on stream. Not everyone wants a dirty great SUV as a family car. And I would suggest the takeup of Ecoboost by government fleets would keep the Falcon's head above water by itself. Then add LPI, a new XR8, a facelift...

[prydey]

Originally Posted by jpd80

improved RWD Territory, with 10.6 l/100 km

real world?

[bobthebilda]

Originally Posted by jpd80

I won't repeat all of my post from elsewhere but I wonder if the biggest threat to continuing Falcon sedan sales
actually comes from a new and very much improved RWD Territory, with 10.6 l/100 km the I-6 version offers similar
economy as FG1 5-speeder and diesel is on another plane of existence...

Could Territory become the dominant make, leaving Falcon to become something else...

But even if it attains what the market leader got in medium SUV last year, then its only going to go to about 16500 sales a year (and that will be about 40% up on Territory 2010 sales). It may sound like a half decent amount, but it still only means 75 units a day for 220 days a year, out of the factory. Add that to a 2000 a month Falcon and all you need is 175 cars a day.

Even with best case scenarios (and I mean without over zealous "I'm a Ford Fan optimist"), Ford are still going to have to either slow down the production line on a more prolonged basis, Have more down days to the detriment of the work force, or bite the bullet and make redundancies.

[jpd80]

Originally Posted by prydey

real world?

Ok, how about Falcon Vs Territory.........9.9 l/100km Vs 10.6 l/100km.
That's about as apples to apples as we are going to get.

[jpd80]

Originally Posted by bobthebilda

But even if it attains what the market leader got in medium SUV last year, then its only going to go to about 16500 sales a year (and that will be about 40% up on Territory 2010 sales).

Well Bob, Ford is now admitting that 80% of Territorys built last year were in fact RWDs,
yes those poor old 4-speed auto BF engined relics still managed to pull down 80% of customers.
Could Ford have shot themselves in the foot any worse?

Next Territory is promising a huge lift in sales and I think Ford will get it becaue
back when Territory was first released, it was pulling down over 2,000 sales a month.
It is entirely possible for a vehicles like Territory to do that again with PROPER MARKETING......(...ughh.. )

[prydey]

Originally Posted by jpd80

Ok, how about Falcon Vs Territory.........9.9 l/100km Vs 10.6 l/100km.
That's about as apples to apples as we are going to get.

yes, but those figures are combined figures. given that territory apparently has a better highway figure than falcon, it means the urban figure will be worse by a larger margin than what the combined figures suggest.

[SteveJH]

Originally Posted by prydey

yes, but those figures are combined figures. given that territory apparently has a better highway figure than falcon, it means the urban figure will be worse by a larger margin than what the combined figures suggest.

How does it have better highway consumption? Its a bigger heavier, less aerodynamic car with basically the same drive train.

Territory wont have better fuel consumption then Falcon unless you compair diesel terry to petrol falcon.

[Windsor220]

Originally Posted by Gobes32

In fact, is anyone here buying a new car or knows someone who is? If so, what are you looking at and why?

The only people I know buying new Falcons and Commodores are guys working up at the mines or on the rigs. One of my mates has a GS on order. Another bought an SS a month or so ago.

Everyone else can only afford smaller cars like Cruze and Focus.

[jpd80]

Originally Posted by prydey

yes, but those figures are combined figures. given that territory apparently has a better highway figure than falcon, it means the urban figure will be worse by a larger margin than what the combined figures suggest.

You're getting confused with diesel numbers, I'm talking petrol I-6 RWD.
The RWD I-6 economy is similar to FG with 5-speed auto.
Not the best but still impressive for a big vehicle.

[DanielXR8]

Originally Posted by jpd80

Well Bob, Ford is now admitting that 80% of Territorys built last year were in fact RWDs,
yes those poor old 4-speed auto BF engined relics still managed to pull down 80% of customers.
Could Ford have shot themselves in the foot any worse?

Next Territory is promising a huge lift in sales and I think Ford will get it becaue
back when Territory was first released, it was pulling down over 2,000 sales a month.
It is entirely possible for a vehicles like Territory to do that again with PROPER MARKETING......(...ughh.. )

Part of proper marketing is giving current Territory owners a good ownership experience. Being kind you might rate that a pass, or if you got a bad one a definite fail.

Ford always underestimate the power of word of mouth in sales. You would think with FG they would have learn't that lesson.

[prydey]

Originally Posted by jpd80

You're getting confused with diesel numbers, .

d'oh, my bad

[jpd80]

Originally Posted by prydey

d'oh, my bad

That's OK and I understand the skepticism until a few road tests happen
but I think Ford have done a belated but brilliant job with the RWD version.

[BHDOGS]

I was reading in the paper today ford made the biggest profit that they've ever made in 10 years and alan got a big fat bonus out of it and Australia is a small market share for ford i doubt there that interested in it to be honest there selling more cars in america then ever and the rest of the world if the falcon was to die or become a low selling luxury car big whoop u could still buy one its just everybody else would be buying smaller cars.

[jpd80]

Originally Posted by BHDOGS

I was reading in the paper today ford made the biggest profit that they've ever made in 10 years and alan got a big fat bonus out of it and Australia is a small market share for ford i doubt there that interested in it to be honest there selling more cars in america then ever and the rest of the world if the falcon was to die or become a low selling luxury car big whoop u could still buy one its just everybody else would be buying smaller cars.

Ford's total revenue last year was $120 billion, Australia contributed around $2.2 billion.
In the great scheme of things FoA is a minor player and provided costs are controlled
I think we really fly under the radar financially.

[Gobes32]

Originally Posted by Windsor220

The only people I know buying new Falcons and Commodores are guys working up at the mines or on the rigs. One of my mates has a GS on order. Another bought an SS a month or so ago.

Everyone else can only afford smaller cars like Cruze and Focus.

Thank you for replying. I notice no one else has which says to me that none of them are in the market for a new car, Falcon or otherwise. And yet, we all sit around here debating why Falcon sales are so low. HELLO, you people aren't buying them and we are supposedly their biggest support base. If us fanatics aren't laying down cash for them, then whats the odds that Mr and Mrs Jones from next door are going to when they could not care less whether the car has a 2.0, 4.0 or nuclear reactor powering their next car?

I love the Falcon, and if I won Tattslotto tomorrow I would go out and buy a G6E Turbo with no hesitations. But when reality sets in, there is no need for me to purchase a big thirsty luxury sports vehicle when in all honesty, an Aussie built Cruze will still lug my family around safely for half the purchase price and nearly 2/3rds the fuel use. That is where Ford need to find where the Falcon sits in terms of practicality and market the hell out of it.........

[Polyal]

Globes you cannot really base any rational explanation off whats in this thread....and here you are as a ford employee saying you would be happy with a Cruze? Whats wrong with the Focus?

Yes the Cruze does A to B...but it wont be as practical as a falcon. It seems your only issue with the Falcon is its FE...there are THREE new engines coming out that are installed for that very reason...Ford are just late on the scene and thats what is hurting now.

I agree with Barra, the next few months will be hard, and even when the Diesel Terry is out its going to take a month of sales to get things ramped up...so your looking at June before things are back to normal..in theory.

Then I4T and LPG come online and things should be sweet, if not then we are in trouble.

[csv8]

One of the reasons people aren't buying is trade in prices.I have been flamed for this before. But I have 2007 BF MK2 Ghia and enquired about trading it in on a Mondeo MC Titanium Hatch/G6E. I rolled out the door laughing at the trade in price offered. I was offered $15k !!!!!!! car is in mint condition, Ford serviced and 70,000kms.No sale happened. Holden offered $17k and dealer said " cann't match that"..

[4stanger]

Originally Posted by Gobes32

Thank you for replying. I notice no one else has which says to me that none of them are in the market for a new car, Falcon or otherwise. And yet, we all sit around here debating why Falcon sales are so low. HELLO, you people aren't buying them and we are supposedly their biggest support base. If us fanatics aren't laying down cash for them, then whats the odds that Mr and Mrs Jones from next door are going to when they could not care less whether the car has a 2.0, 4.0 or nuclear reactor powering their next car?

I love the Falcon, and if I won Tattslotto tomorrow I would go out and buy a G6E Turbo with no hesitations. But when reality sets in, there is no need for me to purchase a big thirsty luxury sports vehicle when in all honesty, an Aussie built Cruze will still lug my family around safely for half the purchase price and nearly 2/3rds the fuel use. That is where Ford need to find where the Falcon sits in terms of practicality and market the hell out of it.........

I'm currently looking into FG xr6 ute,
Turbo or NA.
This series or FG11
New, used or demo.
A lot of decisions to be made before I part with my hard earned.

[Super Snake]

There will be an even bigger halt possibly in a couple of weeks due to a dispute at a paint manufacturer.

[Paxton]

Originally Posted by Super Snake

There will be an even bigger halt possibly in a couple of weeks due to a dispute at a paint manufacturer.

Ford have enough cars on the grass to negate this problem.

[JPFS1]

Originally Posted by Gobes32

In fact, is anyone here buying a new car or knows someone who is? If so, what are you looking at and why?

I'll be looking at 2 new Fords.

A new Territory Titanium and hoping for an XR8 return, if not that then maybe the new Global Focus when it arrives.

Why?

Territory - for the family run-about. We love to get away, I want to be able to put the kids in the car with comfort, load her up and away we go. The same practicalities are essentially available in a Falcon too. Surely there are other people out there with the same interests and enjoying life on the outside? Surely there's more to life that commuting back and forth to work and doodling around the suburbs and CBD in a pussy Prius? That's why I always thought there'd be a need for the large Aussie sedan/SUV in Aus..

Second car is for me... doesn't need to be as practical but my kids are young, so there is a need for me to be able to accommodate them if need be. A few years ago, I would not have looked at anything else other than Falcon sedan, now i'm more open to options, but they are still Ford.

p.s Ford are offering unbelievable lease rates to employees... no i can't one them on lease, but if that's not incentive for staff to get into a Ford, then #$%^%...