This post is not about tariffs...

[captaineddie]

It’s not just the price of new vehicles, but parts prices are bound to skyrocket.

Sponsored

 

[Phinney Ridge Dave]

The maverick has already increased in price over 5000 dollars since it came out before any influence from Washington. The base price of $19995.00 is what peaked my interest when it first debuted.

Exactly. Me too.
However, at this point it's my opinion that was likely always intended as the "Introductory Price" ....

 

[oysterville]

Not sure why I've not seen this posted yet.

 

[olderthanyourdirt]

It's about the future of Ford's "inexpensive little truck." Automobile prices are expected to rise as a result of recent actions in Washington. Numbers like $4,000 to $10,000 increases in some vehicles may be seen.
The NYTimes today reported that "rather than vastly increasing the price of specific vehicles, the industry is likely to spread increases across all types — “like peanut butter” — to smooth out the price increases, said Tyson Jominy, vice president of data and analytics at the market research firm J.D. Power. Mr. Anderson said manufacturers would 'almost certainly cut back' on models that became significantly more expensive."
As a player in a specific niche of the car market, I wonder where this leaves the Maverick?

I am sure a lot of you weren't born when we had the inflation in the late 70's. That is when the term sticker shock came from. in 1975 a nice car was $5k, by 1980 it was $10k. In 1977 we had a special order F-350 crew cab 4x4 delivered to the dealership with a $10 k window sticker and we thought no one would be able to buy anything. Prime rate was 20%.

 

[mspmms]

This post is not about tariffs...

Meme => link

 

[dochawk]

The base price of $19995.00 is what peaked my interest when it first debuted.

Which is why ford discounted a $25k truck to that as an introductory price. It lost money on each one for publicity, and it worked.

 

[Phimosis]

The NYTimes today reported that "rather than vastly increasing the price of specific vehicles, the industry is likely to spread increases across all types — “like peanut butter” — to smooth out the price increases, said Tyson Jominy, vice president of data and analytics at the market research firm J.D. Power.

This is the wrong move. Let me simplify to illustrate. Let’s say Ford only sold 2 models, the Mexican Maverick and a 100% American built F150. They can either raise the price of the Maverick alone by 25%, or they can raise the price of the Maverick and the F150, both by 12.5% to smooth out the price increases.

If they raise the price of both, consumers will be outraged that they are being priced gouged on their 100% American F150, whose price should not have went up. Likewise, many potential F150 buyers will be priced out of the market for a full sized pickup because of the increased MSRP, causing them to either buy the cheaper Maverick, or switch to a different brand all together.

The end result will be that less people will buy the profitable F150’s and more people will buy the loss-leader mavericks.

Spreading the losses across all models will incentivize customers to buy the models that are causing you to lose money, and it incentivizes your customers to keep buying your Mexican made product, which is the exact opposite of what the US government wants to see happen, and the whole reason the tariffs were placed: to promote on-shoring of American manufacturing.

I don’t have the right solution. But spreading the tariffs evenly across all models is the wrong solution.

 

[AzureBlueBill]

The simple answer is that nobody knows what will happen. Literally NOBODY.

 

[MakinDoForNow]

I knew exactly what is going to happen, but I promised not to tell.

Remember the cold war saying = "If I told you I would have to kill you". Back in the day it was a promise not a joke.....

 

[oysterville]

I wonder if someone should tell Ford that they should just fire their E-Suite and instead just listen to forum posters.

Nah.

 

[Mark1]

I am sure a lot of you weren't born when we had the inflation in the late 70's. That is when the term sticker shock came from. in 1975 a nice car was $5k, by 1980 it was $10k. In 1977 we had a special order F-350 crew cab 4x4 delivered to the dealership with a $10 k window sticker and we thought no one would be able to buy anything. Prime rate was 20%.

I think some of your numbers are off. I was around then as well. Ypu are a little high on pricing and interest rates. Car loans were also tax deductible. WAGES have not kept up with Consumer goods and home value increases, food. I bought a new truck at 20 working in a plastic plant. I paid 6300k for a F150 4x4 camper special/ trailer special, dual tanks and tool box. I interest rate was about 11%. A home that is now priced at 1.4 million was 26000. Taxes of all kinds are much much higher on what's left of the shrinking middle. This is why people are pissed. Make it as cheap as possible for the most profit is the reason we are nearing 3rd world.

That term didn't mean what it does now. After WWII. Countries aligned with US were 1st world, Aligned or taken over by Soviet Union 2nd world, all others 3rd world.
Now that we pissed off western democracies we are alone and the majority of our people becoming poor, we are by the correct definition and the newer definition, 3rd World

 

[710-oil-614]

It's about the future of Ford's "inexpensive little truck." Automobile prices are expected to rise as a result of recent actions in Washington. Numbers like $4,000 to $10,000 increases in some vehicles may be seen.
The NYTimes today reported that "rather than vastly increasing the price of specific vehicles, the industry is likely to spread increases across all types — “like peanut butter” — to smooth out the price increases, said Tyson Jominy, vice president of data and analytics at the market research firm J.D. Power. Mr. Anderson said manufacturers would 'almost certainly cut back' on models that became significantly more expensive."
As a player in a specific niche of the car market, I wonder where this leaves the Maverick?

“This isn’t about tariffs”

Directly addresses tariffs. JFC.

 

[710-oil-614]

The purpose of this thread is to share opinions about the Maverick's market position if its price point gets distorted.
If some posters want to screw it up by getting political, that's their business, as well as a mistake.

The Mavericks market position is exactly what it is. What is there to discuss since this isn’t about,….you know, tariffs?

 

[710-oil-614]

This is the wrong move. Let me simplify to illustrate. Let’s say Ford only sold 2 models, the Mexican Maverick and a 100% American built F150. They can either raise the price of the Maverick alone by 25%, or they can raise the price of the Maverick and the F150, both by 12.5% to smooth out the price increases.

If they raise the price of both, consumers will be outraged that they are being priced gouged on their 100% American F150, whose price should not have went up. Likewise, many potential F150 buyers will be priced out of the market for a full sized pickup because of the increased MSRP, causing them to either buy the cheaper Maverick, or switch to a different brand all together.

The end result will be that less people will buy the profitable F150’s and more people will buy the loss-leader mavericks.

Spreading the losses across all models will incentivize customers to buy the models that are causing you to lose money, and it incentivizes your customers to keep buying your Mexican made product, which is the exact opposite of what the US government wants to see happen, and the whole reason the tariffs were placed: to promote on-shoring of American manufacturing.

I don’t have the right solution. But spreading the tariffs evenly across all models is the wrong solution.

placing tariffs on anything is a poor economic decision and there are not right answers when trying to respond to them because the action causing the distress is irrational.

 

[Cherokee]

IF or when I need or want to replace my Maverick If I think they cost too much I’ll simply buy something else.
All I can do is vote. I have, I’m in, I’m a capitalist.
I sure as hell ain’t gonna piss and moan or worry about shit like that.
it’s such a waste of life.

Sponsored