The Detroit News reported this morning that FoMoCo is slashing the sticker price of new models and offering more options as standard as part of a marketing move mirroring one made by GM earlier this year. Apparently the whole "let's sell things at fire-sale through deep discounts and incentives" wasn't quite working for them. According to the News's report, Al Giombetti, Ford's president of marketing and sales for the Ford, Lincoln and Mercury brands penned a letter to dealers telling them that lowering the base price will help to drive more vehicles into the hands of consumers. The letter also was pretty clear that although the price drop was gonna be great for buyers, $1,000 on some models, it would be the equivalent of — umm, how to put this delicately — anal penetration for the dealers — as they'll be seeing cuts in their profit margins of 2-3% on sales.
New Ford tactic: Sticker slashing [Detroit News]
GM Announces MSRP Cuts [internal]