US:Ford Reduces Dealer Per Car Sold Bonuses
Ford Reduces Dealer Per Car Sold Bonuses
The Auto Channel
DETROIT, Reuters reported that Ford Motor Co. plans to cut dealer bonuses by nearly 50 percent in a cost-cutting move that will take effect next year, a source familiar with the issue said on Tuesday.
"Ford is revising Blue Oval and cutting bonuses by nearly half," said the source, on condition of anonymity. "It is no longer financially feasible for Ford to continue the bonus payout at current levels."
Under the new Blue Oval dealer incentive program, effective next April, bonuses will be paid to all Ford dealers meeting monthly sales targets.
But Ford dealerships meeting 75 percent of their year-ago sales will receive only $75 per vehicle, while those that exceed year-ago sales will receive $125 per vehicle, the source said.
Under the current, more generous program, Ford pays certified dealerships a flat 1.25 percent of the base sticker price for every vehicle they sell. Dealers have to meet certain customer service standards set by the automaker to be certified. About 90 percent of Ford's dealers in the United States are Blue Oval certified.
Ford is planning to brief all dealers on changes in its bonus program on Friday
My first car was a 67 Mustang Coupe, 2nd one was a 67 Cougar XR-7, 3rd one was a 66 Mustang Coupe. Why did I get rid of these cars for ? I know why, because I'm stupid, stupid, stupid.
My next Ford.....