Mercury....on life support
As we have been reporting for over a year, Ford’s Mercury brand is in dire straits. An ageing fleet, dying sales and lack of image is causing the Blue Oval’s middle brand to slowly wither away. However Ford seems defiant that the brand will survive, but fails to mention how it will manage to do so. Jim Farley, vice president of FoMoCo, said at the Chicago Auto Show recently, “its role is changing, but we’re not going to compromise Mercury.” However he also stated, “No doubt Lincoln and polishing up the Blue Oval is absolutely our priority.”
According to Bloomberg News, CEO Allan Mulally has been quoted saying that while Ford is committed to Mercury the company is studying exactly “what we want to do with all our brands.” It seems obvious that Lincoln is much more a priority to Ford right now, especially as its sales grew 9.1% last year in comparison to Mercury’s sales decline of 6.9%. Some industry experts describe Mercury as a ‘franchise on life support’ and believe that the brand could face the axe within four years, sighting the main reason being that Mercury cars have simply been rebadged Ford models for too long. Chrysler has just announced it plans to remove many of its badge-engineered vehicles so the decision wouldn’t be unprecedented.
Averaging just eight car sales a month per franchise - the lowest since 1960 - it seems highly likely that the Mercury brand will join Oldsmobile as just another automotive name of the past.
Sure, the look is different, but ultimately, they're all the same cars/SUVs with different quality materials.
The biggest problem with Mercury is its image (just one more reason why I talk so often about image being such a negative and destructive thing in the auto buisness). While there is nothing wrong with its products, even as rebadged Fords, the perception, particularly among young people, is that they are stodgy cars for Grandpa/Grandma or schoolteachers. It's just not "cool" or "in" to have a Mercury. And because so many people foolishly BELIEVE this, it hurts the brand.
And part of it is Mercury's own fault. Their marketers and managers just won't get off their behinds and do anything. They could have done a new Cougar based off the Mustang....and haven't. They could also have done a new entry-level car off the Focus...and haven't (in fact, they dropped the old Cougar and entry-level Tracer, and never replaced them). And, like Ford, they have completely dropped their minivans. The fact, sadly, is that you cannot sell products you don't HAVE.

Still, Mercury is not quite ready for the axe. Look, for example, at how Cadillac came back in the last several years...and how Hyundai exploded after 2000 after almost leaving the American market.
Last edited by mmarshall; Feb 9, 2008 at 06:50 AM.
since each brand has it's own low and high end models, why have a completely seperate brand for just middle models?
if they want to keep mercury, they need to make it a completely differnt brand with their own goals and demographic targets; not just to try to fill in somewhere.
they need to focus on performance, quality and style.
why not make a small awd turbo hatchback between 25 and 30k bucks that looks good?
how about a rwd, high output v6 midsize 4 door with excellent balance and interior content for 32k?
they have to spend mnoney on r&d to make something happen. can't make money without spending money.
However, you are correct to some extent. At GM, Buicks and Pontiacs are not necessarily just rebadged Chevys. They are in some cases (like the Cobalt-G5 and Equinox-Torrent twins), but in general, they are different vehicles that appeal to different car-shoppers. Mercurys, though they serve the same general step-up purpose, are essentially just rebadged Fords, with some equipment and trim differences.
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However, you are correct to some extent. At GM, Buicks and Pontiacs are not necessarily just rebadged Chevys. They are in some cases (like the Cobalt-G5 and Equinox-Torrent twins), but in general, they are different vehicles that appeal to different car-shoppers. Mercurys, though they serve the same general step-up purpose, are essentially just rebadged Fords, with some equipment and trim differences.
Ford tried that back in the 1980's.....bringing German-designed Fords over here under the name Merkur. They were marketed as the XR4Ti and Scorpio.
Both turned out to be not only unreliable but a sales flop as well. Whether a similiar program would work under the Mercury nameplate today remains to be seen.
Both turned out to be not only unreliable but a sales flop as well. Whether a similiar program would work under the Mercury nameplate today remains to be seen.
I personally like the Mondeo and the KA, along with the European Ford Fiesta, especially the turbocharged version, we get all 3 of those here in Mexico and they have a very good following. Even the small Brazilian-made Ford Ecosport SUV is quite popular down here, too, http://en.wikipedia.org/wiki/Ford_EcoSport
I remember the Merkur, I had a friend in high school with the XR4Ti, http://en.wikipedia.org/wiki/Xr4ti and it was a PITA to fix.












