No Price Protection!

[JBnorthTX]

The gaslighting from Ford the whole way through is a pretty dirty tactic. They were never going to be able to produce all the orders even if a bunch of folks watered down their trucks as Jim Farley said.

Like Benny said, "the game was rigged from the start."

I don't think highly enough of Ford management to believe they were able to accurately forecast demand for the Maverick before launch, or predict the severity and longevity of the supply chain and chip issues, and then let it all play out the way it has, anyway, just to f*** with customers. Obviously at some point they realized they wouldn't be able to meet demand, which is why they cut off new Maverick orders. To me, the big mistake was not cutting off the orders 6-8 weeks sooner. Why didn't they? I don't know. Big bureaucratic company too slow to make decisions? Too much optimism that supply chain issues wouldn't worsen, or even improve? Once they started asking customers to drop constrained items it was pretty obvious they weren't going to get all of the orders built for MY22. The content of the latest email that went out should not be a surprise.

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[LessFrequent]

I'm not sure why anyone thinks anything will be protected, interest rate or price.

Ford has likely been producing the Maverick at close to a loss for the last few months at a minimum. The cost of everything is up 10% and with such a low margin vehicle, there's no way they had room for that. Once I came to that realization the fact that build rates never picked up made sense. Minimize losses while producing just enough to drag people along.

The Fed rate basically equates to what the government says banks can loan money between each other for. The reason all interest rates have gone up is that the Fed rate has significantly increased meaning a higher cost to the business which gets pushed to the consumer. Ford protecting on the 22' was again, probably just saving face where they could. I could be completely off the mark here but I don't see it happening.

If I was a betting man, I'd guess the "special offer" is a $750 rebate on top of whatever other rebates you can snag. Ford doesn't answer to the customer, they answer to the stock holders. Losing thousands (or tens of thousands judging by the ADM's that folks are willing to pay) does not look good to share holders.

Personally, after owning an F-150, focus, escape, and a Fiesta ST, this will probably be my last (if I get it) Ford for a while, maybe ever. The gaslighting from Ford the whole way through is a pretty dirty tactic. They were never going to be able to produce all the orders even if a bunch of folks watered down their trucks as Jim Farley said.

Like Benny said, "the game was rigged from the start."

P.S. Since I'm ranting! Anyone else watch Tim's video and catch the bit where Ford is going to keep producing dealer stock if there aren't constrains? Go figure the dealers get product they will mark up $5-10k without blinking an eye.

It's not just Ford. The Toyota dealer near me (Spring TX) is selling their Customer Build Orders (not current inventory) at $10K over MSRP and the only price concession they offer if your order shifts to MY23 is Free Coffee when you are in for Service...

 

[pndwind]

I don't think highly enough of Ford management to believe they were able to accurately forecast demand for the Maverick before launch, or predict the severity and longevity of the supply chain and chip issues, and then let it all play out the way it has, anyway, just to f*** with customers. Obviously at some point they realized they wouldn't be able to meet demand, which is why they cut off new Maverick orders. To me, the big mistake was not cutting off the orders 6-8 weeks sooner. Why didn't they? I don't know. Big bureaucratic company too slow to make decisions? Too much optimism that supply chain issues wouldn't worsen, or even improve? Once they started asking customers to drop constrained items it was pretty obvious they weren't going to get all of the orders built for MY22. The content of the latest email that went out should not be a surprise.

Fear of upsetting shareholders has a lot to do with the whole communication problem.

 

[n0maverick]

Fear of upsetting shareholders has a lot to do with the whole communication problem.

With last quarter's $3+ billion loss and stock direction, I'm pretty sure they are already upset/jumping ship.

 

[Hatonapug]

If I was a betting man, I'd guess the "special offer" is a $750 rebate on top of whatever other rebates you can snag. Ford doesn't answer to the customer, they answer to the stock holders. Losing thousands (or tens of thousands judging by the ADM's that folks are willing to pay) does not look good to share holders.

If this turns out to be the case, then picking a good, honest dealer who will help you find the best incentives and WON'T try to jack the price up on you will become even more important.

I'm guessing we won't see our incentive/discount until they announce '23 model pricing. Anyone know when that's due out?

Obviously Ford is aware of the share price, but frankly, I suspect most larger shareholders know it's tied almost entirely to the supply chain/production issues and will actually be adding with the expectation of a recovery when that gets sorted out. Ford has far, far, far more orders than they can produce right now and just launched multiple vehicles that were absolutely smash hits... frankly the stock would be through the roof if they could actually build the damn things. A great time to buy the stock once you have reason to believe SC issues are clearing up.

 

[Pickles]

According to the Ford Guy video, no price protection…thanks Ford for the sham, all I’ve been hearing is that you will have price protection, now all of a sudden no price protection! What a joke!

You mean for 23 rollovers? Ive never read that they would honor the 22’ price. Its a different truck lol youll have to rebuild your order. Why would the price not change?

 

[Cannedtunafishisgood]

With last quarter's $3+ billion loss and stock direction, I'm pretty sure they are already upset/jumping ship.

Now that's ugly.

 

[Darnon]

Now that's ugly.

It's not ideal but it's about where the value was pre-pandemic and right now pretty much all auto stocks price charts look like that. Yes, even golden child Tesla.

 

[bwayne]

It’s more about interest rates, a rebate is great but more importantly is the interest rate lock in, will that be honored? No one is talking about that.

My rate was 0 and will remain 0. I’m paying cash. Before you accuse me of shaming those that don’t have cash, let me say that I understand not everyone can pay cash. Interest rates fluctuate. I don’t think you can fault Ford or your finance company for raising your rate. They didn’t create this high inflation economy.

 

[raymaines]

I really hope my super secret, special offer covers the increase in price and financing costs of the 2023 truck because I really don't have any use for two wrong-size Maverick tee-shirts and a baseball cap.

 

[Cannedtunafishisgood]

It's not ideal but it's about where the value was pre-pandemic and right now pretty much all auto stocks price charts look like that. Yes, even golden child Tesla.

Well now I know where to come for stock advice.. On a Ford Maverick forum, who would of known!

 

[JBnorthTX]

Fear of upsetting shareholders has a lot to do with the whole communication problem.

Good point and it no doubt was also factor in deciding when to cut off orders. Being more pessimistic about supply chains and lowering production and sales estimates is not what shareholders want to see.

 

[Maverstang]

With last quarter's $3+ billion loss and stock direction, I'm pretty sure they are already upset/jumping ship.

Don’t forget the huge gain and huge loss over the past 6 months was mainly due to their ownership of Rivian stock, which was an entirely separate rollercoaster.

Within Ford, it was a paper gain/loss unrelated to operations, which are performing inline with expectations.

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