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Why Ford Motor Company (F) is Reviving the Lincoln Continental

Ford Motor Company (NYSE:F)’s Lincoln Continental was one of the most successful vehicles in the luxury division in the second half of the twentieth century, though Ford Motor Company (NYSE:F) decided to retire this prestigious vehicle in 2002 due to its reduced sales numbers and changing market trends. However, Ford Motor Company (NYSE:F) will be unveiling its revived Lincoln Continental model on Monday ahead of the New York Auto Show. TheStreet’s Jane King reported about Ford Motor Company (NYSE:F) unveiling its brand new Lincoln Continental vehicle earlier today.

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King reported that Ford Motor Company (NYSE:F) will be unveiling its prototype of a Future Continental Sedan today ahead of the NY Auto show. She pointed out that the NY auto show will be starting this week. She said that Ford Motor Company (NYSE:F) has a huge legacy with the Continental vehicles, with 40 years and nine generations of products from the Lincoln sector of Ford Motor Company (NYSE:F).

King said that Ford Motor Company (NYSE:F) executives are surprised to see that Lincoln Continental vehicles still have some demand in the United States. She pointed out that Ford Motor Company (NYSE:F)’s CEO Mark Fields has big expectations out of this new Continental vehicle, as he is projecting the Lincoln sales up to 300,000 vehicles per year globally by the end of 2020. This is a huge target to achieve even by the standards of Ford Motor Company (NYSE:F).

“Ford is reviving the Lincoln Continental. […] Ford will unveil a prototype of the future Continental Sedan today ahead of the New York Auto Show, which gets underway this week. Ford retired the Continental name in 2002, after 40 years and 9 generations of cars. Ford Executives say that they were surprised to learn Continental name had legs in the US. […] When it launches next year, the production Continental will be the latest salvo in a $2.5 billion dollar renovation of Lincoln brand. Lincoln’s U.S sales are up 1.2% for the first 2 months of this year, lagging the 9.2% increase in the overall market. By 2020 Ford wants to expand Lincoln sales globally to 300,000 vehicles a year about triple current sales,” King reported.

King said that Ford Motor Company (NYSE:F) will be investing $2.5 billion in renovating the Lincoln brand. She also mentioned that Lincoln sales were up by just 1.2% in the first 2 months of 2015, which is much less when compared to the overall market increase of 9.2%. At this rate can Ford Motor Company (NYSE:F) manage to meet the target of 300,000 Lincoln vehicle sales by the end of 2020?

Disclosure: None

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