NEWS: Ford: Yes, Camaro will outsell Mustang this year
#1
NEWS: Ford: Yes, Camaro will outsell Mustang this year
Filed under: Convertible, Coupe, Performance, Plants/Manufacturing, Chevrolet, Ford, GM
It's true. For the first time since 1985, the Chevrolet Camaro will outsell the Ford Mustang in 2010. Besides giving the Bowtie Boys something to crow about, it also makes us genuinely intrigued to watch how 2011 unfolds, considering that Chevy plans to unleash its convertible and Z28 Camaro editions.
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located. That's a somewhat dubious statement, since building too many vehicles in one model year only leads to problems for the next... In any case, this is a trend worth monitoring.
Gallery: Review: 2010 Chevrolet Camaro SS
Gallery: First Drive: 2010 Ford Mustang GT
Photos copyright (C)2010 Drew Phillips and John Neff / AOL
[Source: Automotive News - sub. req'd]Ford: Yes, Camaro will outsell Mustang this year originally appeared on Autoblog on Thu, 23 Dec 2010 15:30:00 EST. Please see our terms for use of feeds.
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It's true. For the first time since 1985, the Chevrolet Camaro will outsell the Ford Mustang in 2010. Besides giving the Bowtie Boys something to crow about, it also makes us genuinely intrigued to watch how 2011 unfolds, considering that Chevy plans to unleash its convertible and Z28 Camaro editions.
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located. That's a somewhat dubious statement, since building too many vehicles in one model year only leads to problems for the next... In any case, this is a trend worth monitoring.
Gallery: Review: 2010 Chevrolet Camaro SS
Gallery: First Drive: 2010 Ford Mustang GT
Photos copyright (C)2010 Drew Phillips and John Neff / AOL
[Source: Automotive News - sub. req'd]Ford: Yes, Camaro will outsell Mustang this year originally appeared on Autoblog on Thu, 23 Dec 2010 15:30:00 EST. Please see our terms for use of feeds.
Permalink | Email this | Comments
More...
#5
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
Did anyone wonder why Ford isn't worried?
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
#7
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
Articles like this prove that the Chevy Camaro vs Ford Mustang rivalry is alive and very well.
Thats as coulda shoulda woulda sour grapes as I've ever heard from a corporate sales analyst. Sales should drive production and it's not like Ford didn't put incentives on Mustangs in 2010 to move stock.
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located.
#9
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
Did anyone wonder why Ford isn't worried?
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
Ford may have had more profit built in, but around here they are using it all up trying to boost sales with bargain basement pricing on the newly updated car.
It would be interesting to know the average transaction prices for the Mustang and Camaro through 2010. That should tell a lot about whether Ford is actually making more on each sale or not. I don't doubt they are if they sell for sticker, but they haven't been selling for sticker around here (and I've seen commercials for several thousand off on Mustangs for at least half the year now).
#10
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
Did anyone wonder why Ford isn't worried?
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
#12
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
Did anyone wonder why Ford isn't worried?
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
Ford clears more money off each Mustang than GM does off of Camaro.
As a whole, if GM sells more Camaros than Ford does Mustangs, then GM stands to make as much total money off their ponycar as Ford does off theirs.
But Ford seems to have a substantially lower break-even point.
In short, Ford can sell fewer Mustangs than GM can sell Camaros and still potentially make more money.
Substantially lower break-even?
mmmmmmmmmmmmmmmmmmmmm..................no.
The term 'Break-even' is, in and of itself suspect. (..there's this thing lovingly called 'corporate income tax' -- not a real term, mind you - but I'm sure each of you can figure it out.....)
Meanwhile - you must take into consideration:
Rebates
Fleet Sales (cha-ching!)
Tooling costs for midcycle
.....plus about a half-dozen other things........
and then there's: (see next post...)
Last edited by Fbodfather; 01-02-2011 at 10:50 PM.
#13
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
The note and quote about/from Mr. Pippas:
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located
This is what got us into trouble with the 4th gen.
You plan two shifts at an assembly plant - - you tool for it - you hire for it -- you purchase for it.........
and then.......................
...................you reduce it to one shift.
**insert screeching tires here**
Most of your structural costs stay the same - but your revenue is suddenly cut big-time -- and that's when things go into the dumper, so to speak.........
(...and what do you do with all of those workers???)
........and that's when this big black hole opens up........
Yes - you can drive a richer marketing mix - but that's not happening with the Mustang -- at least from the numbers I see.......
Now - I don't mean to say that I absolutely know what Ford does with each of their plants -- and I certainly don't sit in any of their meetings........
.......but unless they know something that has escaped me........
(...as the old adage goes...) there's trouble brewin' in River City
(aka Flatrock, MI)
Will Mustang survive? Of course.
Will things turn around? I think so. (I truly hope so for the sake of a lot of people in the auto industry and for those in Southeastern Michigan...)
But their 'break-even' being 'substantially better' than Camaro.........
Don't think so.....
(.....and now back to our regularly scheduled program.......)
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located
This is what got us into trouble with the 4th gen.
You plan two shifts at an assembly plant - - you tool for it - you hire for it -- you purchase for it.........
and then.......................
...................you reduce it to one shift.
**insert screeching tires here**
Most of your structural costs stay the same - but your revenue is suddenly cut big-time -- and that's when things go into the dumper, so to speak.........
(...and what do you do with all of those workers???)
........and that's when this big black hole opens up........
Yes - you can drive a richer marketing mix - but that's not happening with the Mustang -- at least from the numbers I see.......
Now - I don't mean to say that I absolutely know what Ford does with each of their plants -- and I certainly don't sit in any of their meetings........
.......but unless they know something that has escaped me........
(...as the old adage goes...) there's trouble brewin' in River City
(aka Flatrock, MI)
Will Mustang survive? Of course.
Will things turn around? I think so. (I truly hope so for the sake of a lot of people in the auto industry and for those in Southeastern Michigan...)
But their 'break-even' being 'substantially better' than Camaro.........
Don't think so.....
(.....and now back to our regularly scheduled program.......)
Last edited by Fbodfather; 01-02-2011 at 11:02 PM.
#14
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
The note and quote about/from Mr. Pippas:
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located
This is what got us into trouble with the 4th gen.
You plan two shifts at an assembly plant - - you tool for it - you hire for it -- you purchase for it.........
and then.......................
...................you reduce it to one shift.
**insert screeching tires here**
Most of your structural costs stay the same - but your revenue is suddenly cut big-time -- and that's when things go into the dumper, so to speak.........
(...and what do you do with all of those workers???)
........and that's when this big black hole opens up........
Yes - you can drive a richer marketing mix - but that's not happening with the Mustang -- at least from the numbers I see.......
Now - I don't mean to say that I absolutely know what Ford does with each of their plants -- and I certainly don't sit in any of their meetings........
.......but unless they know something that has escaped me........
(...as the old adage goes...) there's trouble brewin' in River City
Somewhat surprisingly, Ford doesn't seem too bothered. According to Ford sales analyst George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located
This is what got us into trouble with the 4th gen.
You plan two shifts at an assembly plant - - you tool for it - you hire for it -- you purchase for it.........
and then.......................
...................you reduce it to one shift.
**insert screeching tires here**
Most of your structural costs stay the same - but your revenue is suddenly cut big-time -- and that's when things go into the dumper, so to speak.........
(...and what do you do with all of those workers???)
........and that's when this big black hole opens up........
Yes - you can drive a richer marketing mix - but that's not happening with the Mustang -- at least from the numbers I see.......
Now - I don't mean to say that I absolutely know what Ford does with each of their plants -- and I certainly don't sit in any of their meetings........
.......but unless they know something that has escaped me........
(...as the old adage goes...) there's trouble brewin' in River City
George Pipas, "If that was important, we wouldn't have taken a shift off at Flat Rock," which is where the plant that assembles the Mustang is located
#15
Re: NEWS: Ford: Yes, Camaro will outsell Mustang this year
It doesn't bother Ford that Mustang is being outsold eh?
Sorry, I ain't buying what they're shoveling.
If for no other reason than bragging rights, it HAS to sting Ford. What is it that you've been saying for so long Guy about how everyone at Ford from Bill Ford Jr. to the plant janitors takes special pride in Mustang? How long have they been touting the F-150 as America's best selling truck (33+ years now?)
Sorry - money and accounting and balance sheets and everything else aside, losing this particular sales race stings them, bad. Especially when they probably figured the new engines for 2011 would be enough and they've been incentivizing the hell out of the 2010s.
Sorry, I ain't buying what they're shoveling.
If for no other reason than bragging rights, it HAS to sting Ford. What is it that you've been saying for so long Guy about how everyone at Ford from Bill Ford Jr. to the plant janitors takes special pride in Mustang? How long have they been touting the F-150 as America's best selling truck (33+ years now?)
Sorry - money and accounting and balance sheets and everything else aside, losing this particular sales race stings them, bad. Especially when they probably figured the new engines for 2011 would be enough and they've been incentivizing the hell out of the 2010s.
Last edited by Z28Wilson; 01-03-2011 at 07:48 AM.