Ford Motor Co., looking to bounce back from a 12% sales decline in October, has launched a Black Friday clearance sale several weeks before those sales typically take place. The automaker is offering $1,000 “Black Friday Cash” rebates on 2016 and 2017 model-year vehicles, in addition to other offers. For years, automakers didn’t aggressively participate in Black Friday merchandising, instead relying on year-end clearances. In addition to tagging its sale as a Black Friday promotion, Ford is also calling the sale a “year-end event.”
A spate of Black Friday deals staged by several automakers in 2015 pushed November light-vehicle sales toward a 2015 record, perking up demand in a month that is typically a sluggish one for dealerships. Ford is ramping up deal making following its report last week of lower third-quarter earnings and pressure on margins in the core North American operation. After years of out-earning crosstown rival General Motors Co. on an operating-profit basis, the automaker likely will trail GM for 2016. Industry-wide light-vehicle sales in the U.S. fell 5.8% last month compared with October 2015, with declines mostly because of a disparity in selling days. Ford and Fiat Chrysler Automobiles NVwere among the bigger decliners in the month as weakness among several of their product lines offset healthy full-size pickup truck sales.
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