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The auto industry is buzzing following unsubstantiated news that the Ford Motor Company is planning to kill off its Mercury brand. That story, first reported by Automotive News in late May 2010, says that Ford will continue to starve Mercury of products before finally discontinuing the marque in 2013.

Automotive Press

As usual, Ford isn't commenting about what the automotive press is saying, but they have indicated that a decision will be announced during the company's July 2010 general meeting. If Ford kills off Mercury, this 70 plus year old American brand will join Hummer, Saturn, Pontiac, Oldsmobile, Plymouth and Eagle as brands that have died or were extinguished within the past 15 years, underscoring a shift in the way car makers market and sell their cars.

Mercury's demise isn't likely to result in a huge outpouring of grief from the car buying public. According to The Auto Writer, fewer than 100,000 Mercurys were sold in 2009, a brand that has already disappeared from Canada. Most Mercury dealerships are tied in with Lincoln while a number of Lincoln dealers already sell Ford brand models. Ford is by far and away the largest brand for the Blue Oval, while Mercury only sells thinly disguised copies of existing Ford product.

Premium Brand

Ford Motor Company corporate material says that the brand was launched by Ford in 1939 in order to give customers an intermediate brand between "for the masses" Ford and luxury make Lincoln. For a time, Mercury sold well, topping 500,000 models sold in 1978 before beginning to decline.

Mercury has always represented different trim level Ford products, with the occasional unique or differentiated product in the mix. The Mercury Capri was unique to the brand, car imported from Ford of Europe for a time. The Mercury Grand Marquis saw some success as a livery model, but then Ford has long sold the Ford Crown Victoria and Lincoln Town Car too.

Small Cars

Mercury's demise had been discussed for many years, but soon after Alan Mulally took over the reigns of the Blue Oval, the thinking was that Mercury would become a small car brand, somewhat in the way Toyota markets Scion. However, all of the new product continues to find its way to Ford, demonstrating that the auto trends are not in Mercury's favor.

Instead, Mercury will soon be without a single new product while its older models are quietly retired, yet another footnote brand in more than one hundred years of US automotive history.

Matthew C. Keegan is a freelance writer who resides in North Carolina. Matt is a contributing writer for Andy's Auto Sport an aftermarket supplier of quality parts including body kits and truck parts.

Ford, Mercury Adjust $60 More From Stickers

The Ford Motor Co. is set to cut $60 more from its sticker prices on its current auto lineup. This will be done while enhancing standard options on vehicles. Ford and Mercury vehicles’ stickers will be adjusted to attract more customers and at the same time curb incentive spending.

According to Ford, “Being competitive in today's marketplace requires competitive content and competitive pricing. We believe we have an outstanding plan to stabilize and regain sales and market share." The automaker along with General Motors and Chrysler Group, are dependent upon sales incentives like employee pricing promotions, cash rebates, and interest-free loans to further the promotion of the vehicles.

One of the primary reasons behind the adjustment of sticker prices is that when consumers shop on the Internet, they might not be aware of all the sales incentive programs. This could make the American models seem less competitive than they really are.

Ford will also be selling Ford Edge and Lincoln MKX without cash rebates. According to Cisco Codina, group vice president of North American marketing, sales and service, “But it will be low enough to attract retail customers without added cash on the hood.” He added, "Our intent is to have good leases and good pricing. We don't plan to have any visible cash on those vehicles."

The 2007 Ford Edge is powered by all-new 265-horsepower 3.5-liter V6 mated to a 6-speed automatic transmission. The vehicle features an intelligent all-wheel-drive system with MacPherson struts in the front and a four-link independent rear suspension to boost handling and drive feel. The interior features a center console that can hold a laptop computer. The vehicle also boasts of its panoramic Vista Roof, a segment-first MP3 audio jack and six-way power-heated adjustable front seats. The Lincoln MKX crossover, on the other hand, is built more like a car than a truck. However, it offers more space for cargoes as well as higher seating position of SUV. The crossover shares its basic structure with its siblings – the Ford Edge and the Lincoln MKZ. It is built at Ford's Oakville Assembly plant in Ontario, Canada.

Through the announcement of the vehicles’ prices was held in abeyance, it is expected that the Ford Edge will carry a base in the mid-$20,000 range while the Lincoln vehicle in the mid-$30,000 range.

In connection with Mercury lineup, the 2007 Milan will carry a base in the mid-$20,000 range and the 2007 Mariner will be priced a bit higher. The Mercury Milan, midsize sedan built on the Ford CD3 platform, is deemed the upscale version of the Ford Fusion. It is equipped with LED taillights, front and rear fascia designs and refined interior. The Mariner, conversely, uses upgraded Mercury car parts to enhance its appearance and performance. The vehicle can be likened to the Ford Escape however it is also equipped with stylistic differences like the monotone cladding, European-style turn signal repeaters, two-tone interior and the exclusive waterfall front grille.

The strategy of Ford to price its lineup closer to expected transaction prices is aimed at reducing heavy incentives that minimize resale values. Nonetheless, cash rebates can't always be avoided. As a fact, the 2006 Ford Fusion sedan was introduced carrying a $1,000 cash incentive. Codina added the automaker expects to sell 120,000 units of the Edge annually. He did not give a volume projection for the MKX.

“The Edge can achieve that level of sales in part by hanging on to consumers leaving SUVs. They often are looking at crossovers, and the Edge can help keep buyers who once drove Ford Explorers in Ford showrooms,” Codina noted. "We have a huge owner base as it relates to mid-sized SUVs, and the migration is from that to this. So that's also encouraging for us."

About the Author

Corey Putton is a 28-year old bachelor from Pittsburgh, PA who has been around cars for the better part of his life. He now works online and writes all about his passion: cars. He is also a certified mechanic.

Who thinks Ford is having problems?

Actually it's not literally Ford i'm thinking about, but i'm worried about Ford, lincoln, mercury, vovlo, land rover, and the others. Because GM has made a great comeback in competition when they came with the totally redesigned tahoe, escalade, and yukon, and the other cars. they all seem to be more reliable, better gas mileage, more horsepower, and are just somehow better. When they first came out i saw them everywhere on the streets, and i still do. i mean like every other car is a new GM. On the other hand, I have only seen about 4 new expeditions so far, absolutley no new navigators, and barely see any of their sedans. they still seem to be behind in what the public wants, unlike GM where they changed everything to have what the public wants. I think the only thing keeping Ford alive is their trucks. i see their trucks everywhere too. so who agrees with me the GM might make Ford bankrupt. the sad thing is, is that i am more of a ford fan than a gm, so i feel sorry for them.

Dude, nobody thinks, they know, that Ford has issues, and BIG ones at that
definitely the main issue was the fact they left the passenger car cupboard empty for far too-long....depending on SUV's & the F150 was a stupid idea
Jaguar should hav stopped the retro idea 10 years ago, not in 2007, Volvo was poorly managed and priced and Land Rover suffered Ford's problems...poor quality. Then there was NOTHIN done about better interiors, Hybrids or fuel economy
Mazda is amazing, Aston Martin is for quick cash (though could make sense) & Volvo is finally becoming sportier, so there is hope.

Im no expert on Mercury & Lincoln, but they seem MUCH too similar...

Lincoln: needs a real Cadillac-style push to kick-start it. start with firing all of Lincoln's designers, because the new cars stink. add some Mazda advice on how to build a real handler

Mercury: needs a Saturn-style revival..push a emphorsis on the customer, and offer some European models...how about the Ford Fiesta, and a HEAVILY diversefied model of the Euro Focus Mk3? push it towards Saturn/Volkswagon & Honda as a rival

Volvo and Jag need to keep heading in their current direction, and they will achieve sucess, Mazda is there, they just need the next Mazda 2 in the USA

Ford: stuffed, and will be for the next 3 years...for now, they meed to push and push what they currently have, as well as the other brands....the new 2010 Focus will help, but the Mk2 Focus should have been introduced 2 years ago...too late now

Mondeo from europe could help the brand, but will need the Fusion to scrap its lower powered models in order for it to work, as well as diesel engines...that or sell it as a Mercury

Talking about Fusion, well it's going....replaced by a new RWD car from Australia, the Ford Falcon...next generation model due in 2008, so a subsequent US built model makes sence..plus this car is fantastic, and if built in mexico or the US, could be very price competative

and for the whole place...WAKE UP!!! design is critical, and while some designs (Edge, Fusion, Mustang) are intresting, the rest STINK! they look managled and damn-right confused
interior quality needs a massive kick-up-the bum...try looking at what Hyundai is doing, but learn from any mistakes there and improve...and please, invest in some new suspension systems, ok?

im a GM person, but i dont wanna see Ford die

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