thePill
Camaro5's Most Wanted
- Joined
- Aug 13, 2012
- Threads
- 37
- Messages
- 6,561
- Reaction score
- 699
- Location
- Pittsburgh
- Vehicle(s)
- S550
- Thread starter
- #16
A long model life isn't the product of engineers being satisfied, it is usually based on profit. If negative circumstances exist, they may need to change fast (poor sales) or any delays or financial hardships could push the chassis out farther...
The truth is, manufacturers are changing cars more now because sales suck. A poor business plan would be to mandate a big change at a certain time, written in stone.
It can cost $6 billion dollars to make a new car from the ground up only to see a one or two year spike then flat again... Remember, it took Ford until 2007 to make a profit from the S197 with 450,000 sales... Would it have been wise to bring the S550 out in 2010 after a bad '08-'09 sales? The S550 depends on prior profits to support this new direction the Mustang is leaning, NO PROFIT, NO Mustang or at least not a very good one.
10 years with 3 planned refreshes and 1 on reserve is good business. A 7 year plan with only 2 refreshes will be just as profitable since Ford won't need to pay the $$$ for the 3rd refreshes...
If Ford sells 150,000 a year, up to the 7 year mark believe me... They will not walk away from those sales until they see a 15-25% decrease year to year. I highly doubt the original 2015-'17 (keep the '14.5 in mind too) can keep sales up without any changes after 3 years, I would expect a 2018 refresh. Based on the success of the '18 refresh (and sales), Ford will determine whether or not the S550 will carry out until 2024.
Also keep in mind, this S550 has been in development for 5 years, they would literally need to start working on the S1100 in 2015... The 1st year of the S550... If the S550 was only to last 5 years, Ford would need to be working on the S550 and the S1100 at the same time. The Mustang is not a $12 billion dollar project.
www.Notgonnahappen.com
The truth is, manufacturers are changing cars more now because sales suck. A poor business plan would be to mandate a big change at a certain time, written in stone.
It can cost $6 billion dollars to make a new car from the ground up only to see a one or two year spike then flat again... Remember, it took Ford until 2007 to make a profit from the S197 with 450,000 sales... Would it have been wise to bring the S550 out in 2010 after a bad '08-'09 sales? The S550 depends on prior profits to support this new direction the Mustang is leaning, NO PROFIT, NO Mustang or at least not a very good one.
10 years with 3 planned refreshes and 1 on reserve is good business. A 7 year plan with only 2 refreshes will be just as profitable since Ford won't need to pay the $$$ for the 3rd refreshes...
If Ford sells 150,000 a year, up to the 7 year mark believe me... They will not walk away from those sales until they see a 15-25% decrease year to year. I highly doubt the original 2015-'17 (keep the '14.5 in mind too) can keep sales up without any changes after 3 years, I would expect a 2018 refresh. Based on the success of the '18 refresh (and sales), Ford will determine whether or not the S550 will carry out until 2024.
Also keep in mind, this S550 has been in development for 5 years, they would literally need to start working on the S1100 in 2015... The 1st year of the S550... If the S550 was only to last 5 years, Ford would need to be working on the S550 and the S1100 at the same time. The Mustang is not a $12 billion dollar project.
www.Notgonnahappen.com
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