Ford dealers are questionable and instead of switching to electric cars, dealers cast their votes in favor of traditional internal combustion cars and hybrids. The popularity of the latter has increased significantly as customers want to spend less money on fuel without switching to full electricity.
“More than 50 percent of dealers (approximately 1,550 dealers) have agreed to sell e-vehicles and the necessary investment. As a result, 86% of the population is within 20 miles (32 kilometers) of a Ford dealership where they can purchase and service e-vehicles.”
The lack of enthusiasm on the part of dealers may be due to the fact that the company requires a large investment from dealers willing to sell electric cars. This includes installing DC fast chargers so each retail location can serve as a charging point for customers, as well as providing additional training for staff. Verification programs can run up to $1 million and Ford has already been involved in several lawsuits over them.
There is a feeling of reduced demand
An Illinois panel has ruled in favor of a group of dealers against Ford who say the automaker's software violates state law, the Chicago Tribune reports. Ford dealers were among the first to indicate lower demand for the electric vehicle when some stores began reducing their inventory of the Mustang Mach-E. Later in the year, some dealers told Business Insider that they were struggling to sell F-150 Lightnings.
In early December, Ford reduced production of the F-150 Lightning after implementing a temporary production shift in October. The company sold just 16,000 electric pickups in the first nine months of 2023, a tiny number compared to the 570,000 F-Series vehicles sold during the same period. Due to the slowdown, the manufacturer also postponed a $12 billion investment, which could affect the production of electric vehicles.
New regulations for electric vehicles have significantly strained Ford's relationship with dealers. In a survey of dealer confidence in companies, Ford ranked last, with 46 percent of its dealers saying they did not trust the company, Autoblog wrote.
