Ford CEO Jim Farley on Bronco production & price protection [as of 2/14/22]

[GiveItaTri]

I am a dealer, I am also a consumer, and a stock holder. I'm aware of Ford's deficiencies as an owner of multiple Ford products, and as someone that sees the day to day in a Ford dealer. I have faith in Farley's abilities, from my own observations as a dealership, as well as observations from colleagues that have worked for brands he's been involved in before.

He's not infallible, surely. Asking for his head on a pike after less than a year and a half is a bit much. He's been CEO for less than a year and a half, and I've seen some improvement at the dealer level, but we still have a long way to go. Bronco is one small piece, Farley is likely more focused on F-Series, Electrification, and warranty spend, as I'd expect.

I'm always open to hearing more of a point a view, can you direct me to the doublespeak/half-truths/falsehoods?

I can tell you, with 100% certainty, he is lying about transferring a reservation or order. I requested a transfer in early October. I was told it would take 3-5 DAYS. It still hasn't happened, and it never will. The help line and the Ford Twitter account strung me along for months. Finally I just bought a Big Bend off the lot for MSRP. I also placed a brand new order with a different dealer. Or I'll wait the 5-7 years it will take to get my original reserved Bronco.

If Farley says he's unaware of why some people got screwed by the new allocation formula, he is either lying or willfully ignorant of his company's policies. Either explanation is not acceptable.

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[Wanted33]

Just more BS from the master of BS. Ford can make all the Bronco's it wants, but unless they change the allocation formula many of us will still be waiting until '24/'25 to get ours. I have zero faith in the guy.

Looking from outside the box the change in the allocation formulas didn't really punish Granger, Stephens, and Chapman. It did spread their profits from sales over a longer period of time. But, if did punish me and many others that reserved with these fine dealers.

 

[Gloff]

I can tell you, with 100% certainty, he is lying about transferring a reservation or order. I requested a transfer in early October. I was told it would take 3-5 DAYS. It still hasn't happened, and it never will. The help line and the Ford Twitter account strung me along for months. Finally I just bought a Big Bend off the lot for MSRP. I also placed a brand new order with a different dealer. Or I'll wait the 5-7 years it will take to get my original reserved Bronco.

If Farley says he's unaware of why some people got screwed by the new allocation formula, he is either lying or willfully ignorant of his company's policies. Either explanation is not acceptable.

I haven't had to transfer a customer since October 18th, 2021, but was able to do so at that time. There is certainly issues getting converted reservations transferred though.

Allocation formulas have always existed, I've said it a million times on this forum an allocation formula was always part of the plan, it was never going to be purely by timestamp, there are too many variables.

 

[Wanted33]

Farley is well respected in the auto industry. Lexus wouldn't be what it is today without him. FWIW, the Bronco program was well underway long before Farley came on as CEO (October 1, 2020).

I've never met the man, but in my opinion he's far from a clown. He's an enthusiast like many of us, just with more cash. The man works on and races his own cars in his spare time.


To answer the overwhelming question: Price Protection does extend to reservations, not just converted orders.
I have a customer that held out for 2022 and got price protection even though his order was placed well after the deadline, it was a Day 1 Res.

It's also outlined on Ford's on FAQ:

Sean, while I believe what you're saying about Farley, he hasn't proven anything to make me believe he cares about me as a Ford end customer. He may have came in after the launch, but what has he done to help? Changing the allocation formula after the fact didn't help, and it certainly doesn't instill any faith in me.

 

[Frank N]

I'll get my price protection when supply exceeds demand in a couple of years and easily acquire one for less tahn MSRP and has a few more bugs worked out...well at least they hire some QC folks. LOL

 

[stonerdoom]

Ford does not honor it's reservation holders. Period. End of story.

The CEO playing dumb like he doesn't know Ford Motor Company is purposely and intentionally f'ing over Granger customers and other similar shops is inexcusable.

Never have I had to work so hard to give someone $50K. Unreal.

 

[XCR440]

I am a dealer, I am also a consumer, and a stock holder. I'm aware of Ford's deficiencies as an owner of multiple Ford products, and as someone that sees the day to day in a Ford dealer. I have faith in Farley's abilities, from my own observations as a dealership, as well as observations from colleagues that have worked for brands he's been involved in before.

He's not infallible, surely. Asking for his head on a pike after less than a year and a half is a bit much. He's been CEO for less than a year and a half, and I've seen some improvement at the dealer level, but we still have a long way to go. Bronco is one small piece, Farley is likely more focused on F-Series, Electrification, and warranty spend, as I'd expect.

I'm always open to hearing more of a point a view, can you direct me to the doublespeak/half-truths/falsehoods?

I agree, I'll take Farley, yes, he's no Mullaly, but anyone that was around Ford in the nASSer days (and the other genius's under him like Mr. ketchup Darryl Hazel), can tell you we're in much better leadership shape than most of Ford's recent history.

 

[brianbrn]

Please stop giving out this misinformation, people may make decisions based on it. Below is an Email from Ford sent out circa 3/26/21, I will bold, yellow, and increase font size on the relevant passage;

March 25, 2021 Dear Bronco Owner:

When we thought about bringing Bronco back after 25 years, we couldn't have imagined the enthusiasm this vehicle would generate, and we are truly grateful for the overwhelming response. In fact, we didn't expect as many orders for high-end series, packages, and options. Add on a global pandemic, and this vehicle launch quickly escalated to one of the biggest challenges we've faced in years. These challenges have resulted in product changes for your Bronco order, which we want to share with you today. We know this news will be frustrating, and for this we sincerely apologize.

Black Painted Modular Hard Top & Dual Top Roof Update In October of 2020, we told you that the black painted modular hard top and dual top roofs were not going to be available for the start of production this summer. At that time, we believed we could still offer these features as a late summer availability option for 2021 model year. However, due to the continued effects of COVID-19 on our supplier, the black painted modular hard top and dual top roofs will unfortunately not be available until 2022 model year. Customers who currently have the black painted modular hard top or dual top roof selected will have the following options (your MSRP price will be adjusted accordingly): Order the carbonized gray molded-in-color hard top roof (you can see a version here) Order the black soft top roof (with exception of Wildtrak and 2-door) (you can see a version here) Wait for black painted modular hard top or dual top roof option for 2022 model year To make it right for not being able to get the roof option you selected, we will provide 200,000 FordPass Rewards Points ($1,000 value) if you take delivery of a 2021 model year Bronco. Since all roof options will be available for 2022 model year, only those who take delivery of their Bronco in 2021 will be eligible for this offer. We hope you'll use these points to personalize your Bronco including several roof accessory choices through Ford Accessories. Your dealer will have more details on these options in the coming weeks and can also explain the redemption process.

Complimentary Sound Deadening Headliner To try to make it right for you we'll be providing complimentary sound deadening headliners on all Broncos equipped with a molded-in-color roof ($495 value). If you ordered a cloth or leather interior you will receive the headliner automatically. If you ordered a Marine Grade Vinyl interior you have the option to add in the headliner at no cost, as you may want the functionality of a wash out interior. If your vehicle was ordered with the sound deadening headliner, your price will be reduced by $495 MSRP.

Production Update While retail deliveries remain on track to begin this Summer, the continued effects of COVID-19 on our supplier readiness means more customers will get a 2022 model year Bronco than initially planned. We are addressing this longer wait by: Investing millions of additional dollars to increase production of key high demand features so you can take delivery of your ideal Bronco as soon as possible. Offering price protection to all current Bronco order and reservation holders (as of March 19, 2021). This will ensure you will not see an increase in the MSRP if you receive an equivalent 2022 model year Bronco.

While You Wait We know you want your Bronco. And we want to get you and your Bronco out on the trails as soon as possible. While you wait, we're developing exclusive experiences for you, including early access to Bronco Off-Roadeo and we are providing you a $250 voucher to be used at any one of the four Bronco Off-Roadeos – this can be used for experience add-ons, merchandise, or toward the price of bringing a guest and is valid until December 2023. To learn more about Bronco Off-Roadeo, visit www.BroncoOffRoadeo.com – we hope we see you there. Finally, we will be sending exclusive invitations to upcoming events, to experience Bronco firsthand. Our team at Michigan Assembly Plant, where the Bronco is born, remain on track to begin deliveries this summer. As a reminder, in late May, we will provide you with more information on the estimated delivery timing for your Bronco and we're committed to keeping you up-to-date through the entire delivery process. We appreciate your patience and your business. And we thank you for giving us the opportunity to try and make this right.

Order Updates Due April 8 With these product updates, you now have until April 8, 2021 to work with your dealer to update/modify your order. If you have any questions about how these product updates or customer satisfaction offers impact you, please contact your Ford Dealer, the Bronco Customer Care Team at Ford's Marketing Program Headquarters at 800-334-4375, or view our FAQs here.

Mark Grueber Bronco Marketing Manager

Thank you. Everyone who has ordered has received communication. Just search the emails. When I have a question, I search my emails and I can't think of a single question I've had that i have not found an answer to. If they are not getting communication, I'm guessing their orders do not apply or they don't really have an order.

 

[brianbrn]

not sure what the value of "price protection" is if your dealer is asking for thousands in adm or nitrogen tires or whatever...

The dealer I ordered from has those as well but I just told them I just want what comes with the Bronco, nothing else and they were cool with it. I think there are a lot of people who forget they are the customer and it's ok to be assertive. Either way, the dealers will get what they want through their shady finance people.

 

[johndeerefarmer]

I haven't had to transfer a customer since October 18th, 2021, but was able to do so at that time. There is certainly issues getting converted reservations transferred though.

Allocation formulas have always existed, I've said it a million times on this forum an allocation formula was always part of the plan, it was never going to be purely by timestamp, there are too many variables.

That's not what Zach from Grainger said in a piece I read. They sold over 1000 Broncos at 1k under MSRP and didn't think their would be allocation.. He said he found out about their being allocation TWO months after.

https://www.bloomberg.com/news/arti...eeps-bronco-customers-waiting-for-red-hot-suv

 

[brianbrn]

If you don't have price protection I guarantee at least an increase of at least $1500 across the board for 2023 model year. The F150s are about to be hit with $1500 in a couple weeks as well.

P.S. Farley is a clown and that's about the nicest way I can put it. Clown leadership, clown company, clown launch and even clown suppliers. Any other company could have done better with this launch.

same clown suppliers who supply the world with microchips.

 

[Compta38]

same clown suppliers who supply the world with microchips.

and hardtops, tow packages, PPF(lol?) and engines...basically the whole thing.

Don't get me started on chips and outsourcing.

 

[shieldsy]

Allocation formulas have always existed, I've said it a million times on this forum an allocation formula was always part of the plan, it was never going to be purely by timestamp, there are too many variables.

You could say it 100 million times and it doesn't change the fact that this is NOT what Ford said when they launched this vehicle.

Where prior to the end of September 2021 did Ford say that allocation was always part of the plan for the Bronco? The reservation system was new. The process was new.

Now, with hindsight, we know that Ford was making it up as they went along and ultimately did not have the intestinal fortitude to stand up to their dealership council.

Pre September 2021, the process favored the end customer. After September 2021 the process mostly favored the large dealerships. Now in 2022, the process completely screws the end customer and all Ford wants to do is blame Covid and the supply chain.

 

[brianbrn]

Bottom line is we can not do anything but wait, this is out of our control. Price increases are part of this new economy and inflation is part of life. We can not control these factors. When my dealer calls that my Bronco is in that’s when I will get it. In the meantime enjoy life forget about the Bronco.
It’s only a vehicle, it will be worth the wait.

I agree. People act like they have the right to buy a bronco. It's a privilege to buy a bronco. Ford owes us nothing. I guess as a business owner this is a little more clear since I am also effected by many of the same constraints auto builders are. I control what I can control and that's about it. I can't fire myself for having supply chain issues. My business wants to thrive just as much as any other business. Think Ford likes not hitting their quarterly numbers to the stock holders? I've never worked for a company that didn't do everything in their power to grow their business. Lots of short sighted people who live in their own bubble. This will probably irritate some people too because they can't accept the current global situation. Maybe they will have some answers that will help re-align the stars so we can go back to living in the fantasy world.

 

[Gloff]

That's not what Zach from Grainger said in a piece I read. They sold over 1000 Broncos at 1k under MSRP and didn't think their would be allocation.. He said he found out about their being allocation TWO months after.

https://www.bloomberg.com/news/arti...eeps-bronco-customers-waiting-for-red-hot-suv

The way I understood it at the time is that the allocation would be different than usual, which it was. Allocation was always part of the plan, albeit with a heavy focus on customer orders. The allocation was primarily driven by conversion from Res to order, typical allocation has a heavy focus on past performance.

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