The Car and Truck Fleet and Leasing Management Magazine

Growing Awareness, Rising Gas Prices Boost Sales of Ford's Hybrid Models

June 13, 2006

DEARBORN, MI – Demand for the Ford Escape Hybrid and the Mercury Mariner Hybrid is mounting as gas prices escalate and customers gain greater awareness of hybrid benefits. Ford’s hybrid sales are up 55 percent for the first five months of this year compared with the same period in 2005, according to George Pipas, manager, Sales Analysis and Reporting. In the past two months, combined sales of the Escape Hybrid and Mariner Hybrid sales were double the same period last year.
Increased consumer demand has dealer hybrid inventory below a 25-day supply at the end of May. In key hybrid markets such as California and Washington, D.C., the supply remains even lower.
“The Escape Hybrid has been very profitable for our dealership,” said Andy Hong, general manager, Hollywood Ford in California. “We simply can’t keep them in stock to meet the demand.”
Ed Witt, owner of a Lincoln-Mercury dealership in San Diego, said demand for the Mercury Hybrid has outstripped supply in recent months.
Starting with an ad campaign in February featuring Kermit the Frog, Ford has escalated its efforts to place hybrids front and center in consumers’ minds. In April, Ford introduced 0 percent financing for up to 60 months on the Escape Hybrid and Mariner Hybrid, to make them more economical for customers.
Al Giombetti, president of Ford and Lincoln Mercury, says the market is strong for hybrids, provided they are attainable and affordable.
Escape Hybrid was the first full-hybrid SUV on the market, and the front-wheel-drive Escape Hybrid returns 36 miles per gallon in the city — an 80 percent improvement over an Escape V-6. Escape Hybrid and Mariner Hybrid also meet the most stringent emissions standard achievable by a vehicle that uses fossil fuel, California’s AT-PZEV standard.
Local tax credits available to the hybrid customers, which in some states can total as much as $5,925 in tax credits are making hybrids more attractive. Some states also offer hybrid drivers other perks, such as HOV lane access, free parking, and insurance discounts.
Ford has committed to producing up to 250,000 hybrids a year globally by 2010. The company also plans to offer hybrid technology in at least eight vehicles, including Ford Escape, Fusion, Five Hundred, and Edge; Mercury Mariner, Milan, and Montego; and Lincoln MKX.
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