Ford Motor Company (F), General Motors Company (GM): Lincoln Unveils Ultra-Premium Designs

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While the sales volume at Lincoln will always be much lower than its Ford brand the luxury sales command a higher transaction price and contribute a higher margin to Ford’s bottom line than standard vehicles. Luxury sales are also purely incremental sales to Ford because the two brands don’t directly compete in any segments. Rather than compete, loyal Ford consumers who become higher income earners would be stepped up into the Lincoln lineup and become more profitable to Ford.

Only time will tell if the upcoming handful of redesigns will provide the spark needed to revive Lincoln, and if the Black Label trims can stir up enough hype next year — but If the turnaround at the Blue Oval is any indication, the odds are in Ford shareholders’ favor.

The article Lincoln Unveils Ultra-Premium Designs originally appeared on Fool.com and is written by Daniel Miller.

Fool contributor Daniel Miller owns shares of Ford and General Motors. The Motley Fool recommends Ford and General Motors and owns shares of Ford.

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