Thread regarding Ford layoffs

Desperate companies do strange things to prop up financials,. Ford has 2Q results comings and it will be interesting to see how they spin their current debacle. All eyes on our future growth as we hemorrhage on quality and supply chain issues today. Curious how management spins pent up demand using inflated order book. Anyone else notice we are giving rebates in a market with limited supply. Says a lot (and nothing good) about our predicament.

@1hyr+1bPYGu1y LOL

Does Ford plan to charge a daily parking fee for all the trucks and SUV’s sitting in lots due to their self induced chip issue. Seems fair in Ford’s eyes based on how they recover costs pooled together in bringing vehicles to the market. With a slight profit added, of course.

Destination charges are averages that take into account the shortest and the longest distances from the plant to the dealer. The transportation cost for moving a Mustang from Flat Rock to Los Angeles is much higher than the transportation cost from Flat Rock to a Detroit suburb but the destination charge that the customer pays is the same for each of those cars. The fact that pickups and SUVs keep on getting bigger drives the destination charges higher, as the larger vehicles weigh more and require more space on rail cars or trucks. It should be obvious that a rail car can accommodate more Ford Escapes than F-250 crew cabs or Lincoln Navigators.

Before everyone gets up in a lather, this is just a cash grab by lawyers, nothing more. The same law firm, well known for filing class action lawsuits of all kinds against major corporations - its literally their business model, also filed a class action suit against GM. Their evidence? Brands like BMW, Merc, and others only raised Destination charges 20% over the same time period Ford & GM raised theirs over 40%.....news flash, the luxury import brands were much higher to begin with.

Name an auto manufacture that doesn't have a destination fee, and doesn't use it to make a little extra money? Heck, my F-150 was built in Dearborn and I used to live in Plymouth, so yeah I had to pay $995 to have it delivery to the dealer in Farmington Hills- what, was it driven there in a pristine brand new semi driven by a PHd butler wearing a formal suit and white gloves, and personal inspected the truck by tearing it down and putting it back together ?

This is either going to be a major item and force all auto manufactures to change how the price their products and sell them(including getting rid of the stupid MSRP -which would be the end of your friendly neighborhood dealer), or be a giant nothing burger. MY bet is on the later, else they would have sued a lot more than just two manufactures.....

You really thought it cost them $995? Wow.

@agv+1bPYGu1y "Not that much smarter if you can’t understand the concept of total cost of purchase"

I think you need to read the OP comment again or maybe it is you the one who can't understand the issue. Ford is being accused of deceiving (and overcharging) customers by hiding a profit under the guise of a fee.

A fee is generally a fixed price charged for an specific service. A service fee is supposedly to cover the administrative or processing costs. Allegedly, the profit is already in the price of the product.

Maybe with another example it will be easier to understand. Let's say you are doing legal paperwork with a lawyer. The lawyer will charge for his/her time (and you may negotiate this price), but also will add fees to cover other expenses where the lawyer is not getting a profit, like $35 for mailing you the legal paperwork, because the rate of mailing overnight up to a pound of paper is $35.

How would you feel if the lawyer charges $200 for mailing the paperwork only once? Obviously, the lawyer would be trying to take advantage of you. Yes, you could argue the fee, based on the public prices of mail carriers. When it comes to Ford, the customers have to trust that the fee amount is what truly costs to the company getting the car to the dealership, because there is no public price posted anywhere. Therefore, Ford is being accused of defrauding customers with a hidden profit under a fee.

Thanks

Not that much smarter if you can’t understand the concept of total cost of purchase. “Gee, I never noticed this charge for some reason... even though it’s clearly listed on the screen and made my total cost $995 more”. It’s like floor mats... do you think they actually cost the company $350? Far too many lawyers in the USA and judges willing to hear frivolous lawsuits..... whatever.

Ow, Jim. Your calculator comment hurts. Didn’t like getting caught with your hand in the customers pocket did you. We’re smarter than you think and won’t be back to Ford products anytime soon.

If you don’t like the final price, don’t buy it. Companies make money on every item added along the way. Use a calculator people. Unbelievable.

There is now also a $695 processing fee attached to purchasing or leasing a vehicle - I think it applies regardless of financing option. Vehicle Programs confirmed this and that it applies to A-Plan. I believe they find a way to work it in an all cash deal as well. Scam? I think so.

Here is a real scam: paying Ford the $995 in destination charges if you are buying and picking up your brand new mustang from the Ford dealer in flat rock.

Can’t make money making SUV’s and Trucks so we have to fluff the Destination Charges. No wonder customers don’t like us. Continue to erode the trust of our customers and strength of the Ford brand.