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Analysis: Does Ford’s Escape, Baby-Bronco strategy make sense?

2K views 24 replies 15 participants last post by  DetroitIron 
#1 ·
Does Ford’s 2020 Escape strategy make sense?
Does Ford have a grand strategy, or is this as haphazard as it seems?
ALEX KIERSTEIN
Apr 4th 2019
autoblog.com

If you're like us, the last couple of years for Ford has had our heads spinning. Cars are dead, but a crossover-ized Focus Active is coming. Wait, that's dead too, after being announced. And then a little while later, the 2020 Escape shows up looking like a marginally inflated European Focus, which it essentially is. Meanwhile, Ford's small Bronco crossover will occupy some of the space between EcoSport and Escape. How will that affect 2020 Ford Escape sales, anyways?

A lack of Focus?

Much has been said about Ford's decision to kill its car nameplates, most importantly the Fusion, Focus and Fiesta lines. Ford says folks aren't buying them, so staying profitable means killing the car lines other than Mustang. However, for a brief time, the Focus Active was slated for America. Then Ford killed the lightly-crossoverized Focus Active, too, blaming tariffs imposed by the Trump administration. After all, the Focus Active was due to be produced in and imported from China.

Dealers were not pleased by any of these moves. Many publicly question Ford's strategic decision, even while acknowledging the cars' diminished appeal in the current marketplace. Some were frustrated that nameplates with consumer recognition would be scrapped. Others lamented the loss of affordable options – basic sedans and hatchbacks are almost always cheaper than related crossovers. The whiplash over the Focus Active stung even more in this regard.

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#2 ·
autoblog.com said:
Bucking the trend with the "Baby Bronco"

The other aspect of this discussion is the upcoming Baby Bronco – a vehicle that's likely to be the Escape's platform twin, with a more adventure-oriented focus. Rather than build several versions of the same all-things-for-all-crossover-buyers vehicle (consider the RAV4 and its Adventure trim), Ford's explicit strategy is to put one vehicle on either side of the divide.

That's why the Escape is so soft and smooth – Ford says it's sophisticated, urban. It'll cede the rugged, adventurous image to the Baby Bronco while maintaining practical all-wheel drive for light all-terrain and adverse weather traction.
Only time will tell if this strategy works, but looking at it from the 35,000 foot perspective, it makes a lot of sense.

We know that the shift to crossovers and SUVs seems to be a long-term trend that's unlikely to end anytime soon. The problem, of course, with this shift means that differentiation and product placement becomes a bit of an issue. Why? Because when everything in a lineup is suddenly "all crossovers/SUVs all the time", and people shun sedans and wagons besides, consumers are faced with a one-size-fits-all kind of choice in making a purchase. You just pick the size of SUV you want, and move on.

But what if someone wants something different from everyone else? Do they go and look to a more "off-road" brand like Jeep, etc?

That's where a product like the Baby Bronco might shine. In bifurcating the lineup this way, it arguably gives Ford another bite at the apple and an additional arrow in their quiver to capture sales and volume.

The fact that any such product might share underpinnings with the Edge (but not styling or capability) almost assures that Ford is going to make money on it.

Good for them for taking the chance. Frustratingly, I seriously doubt GM has the wherewithal to follow them into the space.
 
#3 ·
I personally think the escape / baby bronco is a GOOD approach - FOR FORD

FORD has reasons they KILLED the "sedan silhouette" AND they promised a vehicle for every buyer - and that requires them to saturation bomb the lower / middle market with options

GM appears to be rudderless and killing plants more than sedan shaped things as the 35 000 mile view GM is killing the "GOOD" and keeping the "NOT so GOOD" in some RACE to conquer the EV/AV future
 
#6 ·
GM should continue to offer imported Cruze from Brazil. Just a backup plan if gas prices continue to rise.
Bring the Chinese LaCrosse here in low volume and dump the Envision. I don't see why the Impala can't be kept going for fleet sales.

They should offer a VSS-F Granite for GMC that has a more off road appeal. Create a high end XT3 version for Caddie as BMW X1/X2 competition.

Sonic and Spark should be turned into a version of Ford's Puma, maybe something like a Mini Clubman with AWD.
 
#7 ·
Baby bronco will be a huge success...

A full ev of it wouldnt be a bad idea either.

Im not a ford guy but they are posed to do very well if they do it right.

Hot segment
 
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#8 ·
Jeep has Renegade, Compass and Cherokee?................ is that OK?

Cars vs. Truck - Done; they are all "vehicles" now.



GM said they were going to cancel almost every sedan except Malibu; how is its sales doing?................

Oh, Fusion is still doing better!? :think:
 
#9 · (Edited)
I'm certain Malibu will be ended as well, Fusion is still another 18 months away from production ending, but they probably have product to replace Malibu at its plant so it missed the factory cull which people mistake for a general car-kill strategy. Ford's strategy is more purposeful because they aren't closing plants so they can instead talk about their strategy for product succession. Ford and GM are fairly closely aligned on the car market, even the timing of their product phase out is nearly identical with most of it happening in the same year. GM has an excellent crossover and SUV range now. There really is little that GM is doing wrong on utilities, although Ford's approach to diversification is really fascinating. GM diversified its utilities across brands with slightly varied products, but mostly similar customers. Ford is going after very different customers under the same brand with more varied product. Hopefully that ends the cookie-cutter Matryoshka doll Crossover range that people are complaining about now. Both Ford, Chevy, and Jeep have allot of small utilities filling up the entry-end of the market, Ford is further behind on that however but still dominates on more profit-rich midsize segments and appears poised to take marketshare in C-Segment utilities (especially with a first to market C-Segment Truck). Jeep Compass and Renegade collectively outsell all of Ford and GM small car business btw. I think once we see the Trax/Tracker/Trailblazer mix (whatever models we officially get in the US), Chevy's utility diversification might look better. But it's clear Chevy doesn't really have a Bronco or Wrangler arriving anytime soon which seems to be a foundation for a series of "off-road imaged" products that will let their utilities fill in the car gaps while the SUV customer gets more exciting options. That's the way you get more customers following the demise of the "sedan profile". Ford is essentially responding to the success of Jeep and finally taking advantage of its Bronco heritage to make it work organically. Ford seems to be using Mustang brand in a similar way. Chevy may not need to take a similar strategy to keep selling tons of SUVs, but it might happen eventually. Ford's big goal is to avoid commoditizing which they keep talking about with this split-product strategy. They don't necessarily want to sell more Escapes, they want to sell more Escapes+Bronco Mini...or at least find a profitable volume from those customers. I do question however if it's a good idea to let the Escape brand drift so far away from its popular origin as a traditional looking SUV in favor of handing it off to another new brand. But, that course was set back in 2013.
 
#20 ·
I am quite surprised that the new Escape as mediocre as it is continues to do as well as it does. I can't even in good conscience recommend it any longer in the segment.
 
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