By Bengt Halvorson Deputy Editor October 6th, 2010

Ford Motor Co. [NYSE:F] is planning to consolidate its Lincoln dealerships, and asking those that stay with the brand to upgrade.

Earlier this week, at a gathering of Lincoln dealers at the company’s headquarters, details for the plan were announced. Although they remain secret, the automaker confirmed that it will likely lose some of its Lincoln dealerships.

Some sources—including the LA Times—have reported that Ford plans to eliminate about 175 dealerships—nearly 15 percent—of current Lincoln dealerships.

Dealers will have one of three options. If now with the discontinuation of Mercury they’re currently selling only Lincoln, they’ll need to invest in expanded facilities, or choose to make an exit. Otherwise, if they currently sell Lincoln and Ford, they can opt to keep their facility as-is and continue selling Ford but not Lincoln.

Company spokesman Christian Bokich said that about 88 percent of Lincoln vehicles are sold in the country’s 130 largest markets, and the brand intends to focus on those markets.

That likely means larger, more consistently styled showrooms, with a level of service that’s on par with Lexus, Audi, or Mercedes-Benz dealerships. Currently, some Lincoln dealerships are too small or outdated, or combined with higher-volume Ford dealerships.

Lincoln plans to introduce seven new products over the next four years, with the first of those, the 2011 Lincoln MKX, already reaching dealerships.

“Lincoln is going to become a world-class brand” that will take on the best from Japan and Europe as well as Cadillac, said Bokich, so the company is telling its dealers that they have to move in a new direction.

“We don’t have a target list,” said Bokich, who explained that it’s a matter of who’s willing to follow the brand upmarket. “At the end of the day, dealers need to make a choice whether they’re willing to invest in the brand.”

Dealers will be meeting with factory reps in the next several months, and any decisions are to be made in the first half of 2011.

[LA Times; Ford Motor Co]

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By JAMIE LAREAU www.autoweek.com

With the death of Mercury, Ford Motor Co. will funnel more dollars into Lincoln.

For example, planners are looking to add a compact, front-drive car or crossover. There also is talk that a car based on the next-generation Ford Mondeo could be added to the lineup.

For Lincoln to succeed, analysts say, it’s critical that product planners separate Lincoln’s design, powertrains and technology from those of the Ford brand. Lincoln will get features such as active noise cancellation and adaptive suspensions.

Here’s Lincoln’s outlook for the 2011-13 model years.

Compact vehicle: Ford product czar Derrick Kuzak promises a compact fwd vehicle but is vague on whether it’s a compact car or crossover. Those familiar with Ford’s plans say it could be a crossover based on the next-generation Kuga crossover from Europe. The automaker is also exploring a compact car. Both the car and crossover would be based on the next-generation global Ford Focus platform.

In January 2009, Ford showed the Lincoln C concept at the North American International Auto Show in Detroit. The concept, based on a wide version of the next-generation Focus platform, shows the possible styling direction for a compact Lincoln.

The redesigned Focus is due in early 2011. A Lincoln version could come by the 2013 model year or sooner.

MKZ: Like its sibling the Ford Fusion, the MKZ will be redesigned for the 2013 model year when it moves to Ford’s global mid-sized platform. The styling of the next-generation MKZ and Fusion will be more differentiated.

Mid-sized sedan: A Lincoln version of the next-generation Ford Mondeo, sold in Europe, is possible. If approved, the low-volume mid-sized car probably would be slotted just under the MKS.

MKS: Ford is expected to reskin the sedan late next year or early in 2012. A restyling and re-engineering are scheduled for the 2016 model year.

The MKS will continue with the 3.5-liter EcoBoost V-6 added in the 2010 model.

Town Car: The large sedan will be discontinued at the end of 2011.

MKX: Ford is reskinning the mid-sized crossover for the 2011 model year, adding MyLincoln Touch, a touch-screen instrument panel.

The MKX is likely to get the 2.0-liter, four-cylinder EcoBoost engine in 18 to 24 months. The 2011 model comes with a 3.7-liter V-6.

A redesign is expected for the 2014 model year on Ford’s global mid-sized platform. The MKX and sibling Ford Edge are expected to have dramatically different styling.

MKT: Lincoln’s large, fwd crossover has three rows of seats and shares the Ford Flex’s D4 platform. Its curvy design, compared to the Flex’s boxy exterior, shows how product planners can differentiate Lincolns and Fords.

Expect a freshening of the MKT for the 2012 model year, with minor changes to the grille and taillights and possibly an upgraded interior.

Ford could phase out the MKT along with the Ford Flex after the 2014 model year. At that point, a source says, Ford could replace the MKT and Lincoln Navigator with a Ford Explorer-based vehicle. It would have exclusive sheet metal and more off-road capability than the MKT.

Navigator: The Navigator will get an EcoBoost engine and likely the 5.0-liter V-8 within the next few years.

Ford put on the back burner a redesign for the Navigator and Ford Expedition that had been scheduled for the 2012 model year.

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