The market of sports utility vehicles has been regularly growing across the globe, but the case with Ford Motor Company (NYSE:F) seems to be different. As per the reports, Escape is the only model in this category that has posted YoY sales decline. The yearly sales declined by 5.7% while the monthly sales in March went down by 8.4%.
The Road So Far:
Escape of Ford was placed on the second place after Honda CR-V in the list of SUVs, after the latest sales data was released. The data of first three months of 2015 goes like this-
CR-V- 73,127 units
Escape- 67,272 units
Rogue- 64,486 units
Toyota RAV-4-67,010 units and
Chevy Equinox- 65,613 units
If one takes into account the offerings of Ford Motor Company (NYSE:F), then he can easily find that Escape is one of those very few cars that were not issued in a new or refreshed form in the 2015. Even though there are various possible reasons for the drop in the sales of Escape, but the one that makes sense in the current market situation is the launch of a new SUV model. As per the reports, the company planned to launch a new SUV model named Ford Edge in the previous month.
It was a mid-size SUV model that the company had been planning to launch for a long time. Due to this launch, the company had shifted its focus away from Escape, which resulted in sales decline. So far, the yearly sales figures have dropped down by 26% while the Q12015 sales figures have gone down by 30%. Even after this performance, the company thinks that Ford Edge will be able to attract buyers in 2015 and help the company overcoming from this loss. The actual picture will be clear in a few months time when Ford will release its quarterly data.