Mercury Brand Comes to an End at Ford

Mercury Brand Comes to an End at Ford

Eleven WANADA dealer members got the news this week that their Mercury franchise will be coming to an end this year. Ford Motor Co. confirmed what had been rumored for some time, that it will eliminate its Mercury sales division. The company said the decision came after an extensive business and product review Ford conducts every spring and was approved by Ford's board of directors at its regularly scheduled June meeting.

Ford officials said the last Mercury vehicle will roll off the line in the fourth quarter of this year. At the same time, Ford said it will accelerate the Lincoln brand with seven all new or significantly freshened vehicles in the next four years.

Mercury has managed to get a .8 percent share of the U.S. market, and has been in decline for many years. Ford has 1,712 dealers with the Mercury franchise. Of those, 925 are Ford-Lincoln-Mercury; 276 are Lincoln-Mercury and 511 are Ford-Mercury. There are no standalone Mercury dealerships. Among the WANADA membership there are eight LM stores, though most are dualed with other franchises.

Ford said it will compensate all Mercury dealers for the loss of the franchise. It remained unclear as to whether Lincoln will become a standalone franchise.

NADA's concern is that Ford treats each of its Mercury dealers fairly and equitably, especially the 276 of whom sell Lincoln and Mercury exclusively. Another important concern is that Mercury customers be reassured by Ford, and that all warranties will be honored and parts and service will continue to be available.

Ford also needs to move quickly to take into account the millions of dollars that dealers have invested in facilities, equipment, personnel and training. They deserve fair compensation.

Its a sad day for this 70-year-old marquee, and its loss is disappointing for the more than 1,700 dedicated dealers who sell the Mercury brand, said NADA Chairman Ed Tonkin.