Ford Aims to Increase Profits From Luxury Brands

27 September 2004

Troubled US auto giant Ford Motor Company aims to reverse the misfortunes of its Premier Automotive Group by sharing brand components and technologies and unveiling new models.

Senior European executive Mark Fields believes luxury car Jaguar has "plenty of opportunities" to share components such as navigation units with other brands like Land Rover.

A new 'more sporty' Land Rover sport-utility vehicle is also being launched next year as part of Ford's plan to increase profits from its luxury brands.

Fields is confident that European sales of luxury vehicles will provide a third of Ford's profits by the middle of the decade, although US Jaguar sales remain a disappointment: "we have a great brand but a lousy business" says Fields.

Also on the cards is a hike in the output of Aston Martins. Currently, 1,500 are produced a year, but the company hopes to boost this to 5,000 in 2006 and 2007.

Data sourced from: The Wall Street Journal Online; additional content by WARC staff