[Milkaholics]

Does anyone else feel like Ford is really discounting the Maverick, compared to other trucks like the Ranger? When the Ranger came out, I expected it to be cheaper, but the base model costs as much as my decked out XLT build. And the Maverick is a freakin' hybrid.

I know they are trying to break into a heavily saturated truck market, and it's working me me, having never being a truck owner. I just don't see Ford profiting much from the Maverick.

Someone joked before that they are subsidizing the Maverick so that in 3-5 years they will offer a trade-in program to upgrade us to F-150s ha.

What do you all think of the value/savings of the Maverick?

Also, do you see the Santa Cruz being offered as cheap as the Maverick?

 

[tomsyco]

it's a unibody that's why it's so cheap. It's not a body on frame like a standard truck. Knowing that, it is still fairly low priced. Profit margins are probably just super tight on this to gain majority market share on this new (revitalized) mini truck segment. This hybrid mini truck is definitely a game changer compared to current and previous offerings.

 

[KVV]

I guess Ford feels that they need a tough defender in the low-end market. If they had driven away Tacoma before, there would be no Tundra now.

 

[Philpug]

They will lose money on everyone but make it up in volume.

Seriously I think when we see the vehicle in person, I think that is when we will see where they made shortcuts to save nickles and dimes, let alone dollars. I think the dash strokers will be disappointed aling with when you look under seats, the hood and other out of sight spots.

 

[Milkaholics]

They will lose money on everyone but make it up in volume.

Seriously I think when we see the vehicle in person, I think that is when we will see where they made shortcuts to save nickles and dimes, let alone dollars. I think the dash strokers will be disappointed aling with when you look under seats, the hood and other out of sight spots.

I hope not, but yeah we will have to see. Thanks for the reply!

 

[Milkaholics]

it's a unibody that's why it's so cheap. It's not a body on frame like a standard truck. Knowing that, it is still fairly low priced. Profit margins are probably just super tight on this to gain majority market share on this new (revitalized) mini truck segment. This hybrid mini truck is definitely a game changer compared to current and previous offerings.

Thank you! I agree that the profit margin on the Maverick is deliberately small to encourage soon to be truck owners like me.

 

[flipfloptan]

Whoever purchases a Maverick is subsidizing Ford. Don't forget the $1500 destination fee. That is pure profit for Ford.

If they hit their goal of 125,000 units in the first year that is $187,500,000 in revenue profit. A lot of this revenue looks like it will be coming from people who wouldn't look at a truck or a Ford. If it wasn't for the Maverick, I wouldn't be looking at Ford for my next truck purchase.

 

[Milkaholics]

Whoever purchases a Maverick is subsidizing Ford. Don't forget the $1500 destination fee. That is pure profit for Ford.

If they hit their goal of 125,000 units in the first year that is $187,500,000 in revenue profit. A lot of this revenue looks like it will be coming from people who wouldn't look at a truck or a Ford. If it wasn't for the Maverick, I wouldn't be looking at Ford for my next truck purchase.

So you believe that destination charge is redundant, that Ford already built in the destination expense into the MSRP price, and that they can charge an additional $1,500 that they profit on? This would be astounding if it's correct.

 

[flipfloptan]

So you believe that destination charge is redundant, that Ford already built in the destination expense into the MSRP price, and that they can charge an additional $1,500 that they profit on? This would be astounding if it's correct.

Yes to a degree. I agree they are working on razor thin mark up on the 19,900 sticker but some if it, if not most the cost is absorbed in the vehicle. It is no different than the "Free Shipping" gimmick. Target, Amazon etc are not paying for the shipping the consumer is. Another example is the high percentage charged by CC for reward cards. As a business owner I am charged around 5+% when a customer uses an awards card. I don't eat the extra charge I disburse it among all customers. That is common business practice. It may not be 100% profit but I bet 90% of it is profit. Just think how many trucks can go on a train car and then a truck. It may cost them a couple of hundreds of dollars to ship a Maverick on average to a destination. Lets be conservative and say $1000 profit. That would be $125,000,000 in profit per year from a new Ford customer.

 

[LargoKen]

On the other hand, they knew that the 19,995 base price would draw tons of attention, but then most buyers will step up to XLT or Lariat and end up spending closer to 27k to 30+K and then they have a nice profit margin. Only if you order the stripper XL would they be making very little profit, or so I would imagine. And re: destination charge, have you tried shipping anything lately? They have to ship it from Mexico to your dealer and that surely is not free. Probably not $1500, but not cheap either.... probably by rail from Mexico to a regional depot somewhere and then load on to a truck to get it to the dealer. That adds up.

 

[UberGadgetFreak]

Does anyone else feel like Ford is really discounting the Maverick, compared to other trucks like the Ranger? When the Ranger came out, I expected it to be cheaper, but the base model costs as much as my decked out XLT build. And the Maverick is a freakin' hybrid.

I know they are trying to break into a heavily saturated truck market, and it's working me me, having never being a truck owner. I just don't see Ford profiting much from the Maverick.

Someone joked before that they are subsidizing the Maverick so that in 3-5 years they will offer a trade-in program to upgrade us to F-150s ha.

What do you all think of the value/savings of the Maverick?

Also, do you see the Santa Cruz being offered as cheap as the Maverick?

The Maverick is a 'slim margin' vehicle. But that's okay because its built on solid components that have been around for a while (2.5L Atkinson engine has been around for 12 years now, Sync 3 Base is 8+ years now, etc.) and it's unibody, not body-on-frame which reduces cost as well. Plus having limited colors and configurations, this means those parts are cheaper because lines/suppliers don't have to change out their lines to change colors, sizes, shapes, etc., so less interruption, so they make more in the same timeframe, and sell to Ford at lower cost. All things considered, I see the Maverick as a return to the compact truck days with a focus on efficiency. In the future, I can see newer versions coming out such as an AWD FX4 Hybrid, Full-Electric, and even a "Maverick Courier" type truck for commercial/fleet sales, etc. where Ford could easily make more money in the long-term by going slim and getting them out there now, and then have some higher margin trims/versions in the near future.

 

[NwCali6]

Given that ford has cut out a lot of its other cars and consolidated most of those sales to this "truck" I'd say in the end they will make a LOT of money from this move, well, as long as they don't get a lot of warranty call backs.

A shame they made getting Cruise such a unattractive option...

 

[Braderick]

Ford saves money by avoiding CAFE penalties due to the big gas’s guzzlers. Regulatory Tax credits may be sold if they earn enough with their changing lineup.

The hybrid Mav has many qualities that adds value to Ford.

 

[ttthhasdf]

With out selling cars, the hybrid maverick helps ford cancel our the low mpg of the big trucks it sells.

 

[farmecologist]

Does anyone else feel like Ford is really discounting the Maverick, compared to other trucks like the Ranger? When the Ranger came out, I expected it to be cheaper, but the base model costs as much as my decked out XLT build. And the Maverick is a freakin' hybrid.

I know they are trying to break into a heavily saturated truck market, and it's working me me, having never being a truck owner. I just don't see Ford profiting much from the Maverick.

Someone joked before that they are subsidizing the Maverick so that in 3-5 years they will offer a trade-in program to upgrade us to F-150s ha.

What do you all think of the value/savings of the Maverick?

Also, do you see the Santa Cruz being offered as cheap as the Maverick?

I just saw a Jalopnik article ( via google news ) that "Ford Won't stock hybrid Maverick at dealer lots, according to a dealer". It also says that "Ford is also reportedly moving toward a 60/40 split in terms of production priority, favoring the Ecoboost".

If that is true...not good. Ford is obviously pushing the more expensive Ecoboost model...

 

[ThisWas]

I just saw a Jalopnik article ( via google news ) that "Ford Won't stock hybrid Maverick at dealer lots, according to a dealer".

The Cheap Hybrid Ford Maverick Won't Be Stocked at Dealerships (Update: For Now) has an update:
Updated at 2:41 p.m. ET on 08/2/2021: Following the publication of this article, a Ford spokesperson responded to our request for comment: "The demand for the standard hybrid powertrain is very strong. As we ramp up production, we are doing everything we can to make sure we allocate vehicles to customers who placed retail orders but plan to have stock inventory to view at local Ford dealerships, as well."