Ford CEO Jim Farley has confirmed the brand will move to “non-negotiated pricing” early next year, though he was short on detail.
Mr Farley has previously hinted that the brand may be moving to a fixed-price model, however this new statement appears to be a concrete admission it will do this in its home market of the US.
Despite this, Ford Australia has ruled out any plans to introduce such a model locally.
“We have no plans to change our sales model, but we’re always exploring ways to give customers more options in their shopping experience,” a Ford Australia spokesperson told CarExpert.
“For example, we opened online reservations for the Mustang Mach-E a couple of weeks ago, as a natural part of our digital evolution and a way for our customers to shop with their Authorised Ford EV Dealer 24/7.”
In remarks reported by the Detroit Free Press, Ford CEO Jim Farley indicated fixed pricing was coming, at least for electric vehicles.
“Non-negotiated prices will be part of improving the customer experience for electric vehicle shoppers,” he said.
When asked about Ford’s transition to electric vehicles and the effects it has on its dealer network he commented that customers “really want transparency”.
“Early next year we are going to non-negotiated pricing”, he added, explaining “more people want to do business remotely”.
The carmaker has yet to release any details around its new pricing restructure and whether or not it will extend beyond its electric vehicles.
The company has already confirmed it’s rolling out an agency sales model in Europe, starting with the Netherlands.
In its announcement, it cited research conducted that found 77 per cent of car buyers preferred fixed prices.
Locally, Honda and Mercedes-Benz already offer a fixed pricing model where the companies own their own stock, fix dealer fees, and sell vehicles at fixed prices.
