Mercury aims for a new niche (again)
10-07-2006, 12:50 AM
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Mercury aims for a new niche (again)
Mercury aims for stylish niche
The brand Edsel Ford founded takes a new direction with reinvented Mariner and Mariner Hybrid vehicles.
Bryce G. Hoffman / The Detroit News
MIAMI -- Ford Motor Co. will pull the curtain back on the future of Mercury today with the unveiling of the all-new-for 2008 Mariner and Mariner Hybrid at the South Florida International Auto Show.
Challenged to refocus the brand as part of its North American restructuring effort, Ford is reinventing Mercury as a niche marque designed to appeal to more women, minorities and shoppers who typically don't consider Ford products. Mercury will have fewer models than in the past, but they will be lavished with more design attention inside and out.
"We've targeted a new audience with Mercury," said Kim Irwin, brand manager for Mercury. "The new Mariner is the first vehicle that really hits the new direction dead-on."
Ford is steering Mercury away from its traditional role as a mid-market brand designed to bridge the gap between economical Fords and luxurious Lincolns. That strategy made sense when Edsel Ford launched the brand in 1935, but Mercury lost its focus in recent decades as foreign imports crowded into the middle of the market.
Ford now wants Mercury to do for automobiles what companies like Target and Ikea have done for home furnishings and furniture: put stylish design within the reach of middle-class sophisticates. Its target market is sophisticated Gen-Xers who are technologically savvy and have a sense of style.
"We did ethnographic research," Irwin said. "We went into these peoples' homes to see what they buy and how they live."
AutoPacific analyst Jim Hall said Ford's plan for Mercury makes sense. He sees Mercury as filling the same niche for Ford that Saturn fills for General Motors Corp.
"It's a good strategy," Hall said. "The idea is to use it as a draw vehicle. They're not there yet, but they are getting close."
Carving a niche
While there will be fewer new Mercury models, Ford will spend more money on them to better differentiate them from their Ford brand siblings without increasing overall investment in the brand. Past Mercury models have sometimes offered improved powertrains and performance, but future vehicles will be differentiated entirely by appearance and amenities. The goal is "at-a-glance differentiation," from Ford's Blue Oval lineup, Irwin said.
Irwin said offering customers a clearer choice should allow Mercury to grow its volumes even as it offers fewer models. Mercury sales have been slumping in recent years. After a 1.2 percent gain in 2005, sales through September this year are down 9.2 percent.
Mercury's new target audience is more ethnically diverse, better educated and higher paid than the typical Ford customer, as well as younger and more likely to be a woman.
The average Mariner buyer is 47. More than half are women and 46 percent have never before purchased a Ford product. For the Milan, 45 percent are women, 43 percent represent conquests from other automakers and the average age is 50.
Compared with older Mercury models, these newer vehicles are attracting customers who are 14 to 17 years younger, up to 10 percent more likely to be female and up to 12 percent more likely to come from other brands.
Going forward, Mercury is aiming at customers who are even younger, more likely to be Latino or African-American and more likely to have a college degree and a high paying job than the typical Ford customer.
Mercury's focus on a more diverse demographic was behind the decision to unveil the new Mariner in Miami, an auto show that typically sees few new vehicle introductions.
Debuting the Mariner in Miami also put its unveiling ahead of the new Ford Escape -- a mechanically identical vehicle that will be shown for the first time at the Los Angeles Auto Show in November.
In the past, Ford versions usually launched before their Mercury siblings, but Irwin said the company wanted to underscore the importance of Mercury by making Mariner first out of the chute.
The new Mariner
The new Mariner features a redesigned interior and exterior that exemplifies the new look of Mercury.
Outside, there are major changes to the front and rear fascias, liftgate, lamps, grille and hood. Ford raised the beltline and removed the previous model's molding and body cladding to give the vehicle a cleaner and more substantial appearance.
Inside, satin pewter finishes and chrome accents combine with two-tone dash materials to create a more stylish look, while ice blue instrument lighting has been added to give the vehicle a more techno feel at night. The Mariner's utilitarian center console controls have been replaced with a more modern set that gives it a more architectural look, and cabin noise has been reduced.
Stability control and side-curtain airbags are standard on all Mariners. Driving dynamics and ride comfort get a boost from the SUV's upgraded chassis.
Customers will be able to choose from front-wheel or four-wheel drive and two trim levels. The Mariner Hybrid has also been upgraded with new software to improve the performance of its full-hybrid drive system.
The new Mariner and Mariner Hybrid are scheduled to hit dealer showrooms by March. The timing could not be better, as more and more consumers are eschewing traditional, truck-based SUVs for more fuel-efficient, car-based models like the Mariner.
A designer's dream
Pat Schiavone, design chief for all Ford, Lincoln and Mercury sport utility vehicles and crossovers, said the new look of Mercury is all about color and texture. He takes his inspiration from New York Fashion Week, the Milan Furniture Fair and the designs of cutting-edge architects like Frank Gehry.
"Metro-cool: That's the whole Mercury design DNA," Schiavone said. "It's sophisticated design -- very stylish."
The new look of Mercury was born in 1999 when work started on the 2002 Mercury Mountaineer.
Schiavone and his team had just finished the Ford Explorer, a big success that helped define the SUV segment. Their next mission was to design a Mercury version and they found inspiration in America's newfound interest in interior design.
U.S. consumers were standing in line to buy inexpensive-but-stylish furniture, and Swedish meatballs at Ikea and stores like Design Within Reach were sparking a new interest in home furnishings. Schiavone wanted to capture that spirit in sheet metal.
Schiavone has made the interior his primary focus because he believes that is the area of the vehicle that will resonate most strongly with Mercury's target customer. These are people who appreciate design, but not necessarily automobile design. They are more likely to be impressed by the look and feel of the dashboard than the width of the wheelbase.
Interiors are also the area in which Mercury designers can do the most to differentiate their products from Ford vehicles.
Niche brand, marketing
Mercury's transition to a niche brand means Irwin and her team will have fewer ad dollars to spend, but she says that just means they have to spend them more wisely.
Instead of broad television campaigns designed to market to the masses, Mercury is focusing its ad buys on cable networks that are heavy on design-oriented programming. Rather than taking out ads in every fashion magazine, Irwin and her team are spending big with a few key publications.
"We're trying to surround our target customers," Irwin said.
That also means using unorthodox approaches like guerilla marketing to reach them where they work, play and live.
Mercury's marketing cadre were out in force in Miami, with teaser ads for the new Mariner hanging from bridges, floating on boats, trailing from helicopters and bedecking buses and taxis throughout the city's trendy South Beach district.
The message is simple, Irwin said: "This is not your father's Grand Marquis."
Hearts and minds
So far, Mercury's new strategy seems to be working.
Conquest rates, which measures how many buyers switched from a non-Ford brand to Mercury are already topping 50 percent for the 2007 Mariner and Milan. Dealers like Mercury's new look and say the brand's new direction and target market squares with what they are seeing on their lots.
Chris Lemley of the Sentry Auto Group in Boston said the new Mariner is a big improvement over the previous version, which he said bore too much resemblance to the Ford Escape on which it was based. And the new models are attracting a different kind of shopper to his dealerships.
"We do sell people out of Subarus and Volkswagens," Lemley said. "The Mercury customer is not a clone of the Ford customer."
You can reach Bryce Hoffman at (313) 222-2443 or bhoffman@detnews.com.
--------------------------------------------------------------------------------
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The brand Edsel Ford founded takes a new direction with reinvented Mariner and Mariner Hybrid vehicles.
Bryce G. Hoffman / The Detroit News
MIAMI -- Ford Motor Co. will pull the curtain back on the future of Mercury today with the unveiling of the all-new-for 2008 Mariner and Mariner Hybrid at the South Florida International Auto Show.
Challenged to refocus the brand as part of its North American restructuring effort, Ford is reinventing Mercury as a niche marque designed to appeal to more women, minorities and shoppers who typically don't consider Ford products. Mercury will have fewer models than in the past, but they will be lavished with more design attention inside and out.
"We've targeted a new audience with Mercury," said Kim Irwin, brand manager for Mercury. "The new Mariner is the first vehicle that really hits the new direction dead-on."
Ford is steering Mercury away from its traditional role as a mid-market brand designed to bridge the gap between economical Fords and luxurious Lincolns. That strategy made sense when Edsel Ford launched the brand in 1935, but Mercury lost its focus in recent decades as foreign imports crowded into the middle of the market.
Ford now wants Mercury to do for automobiles what companies like Target and Ikea have done for home furnishings and furniture: put stylish design within the reach of middle-class sophisticates. Its target market is sophisticated Gen-Xers who are technologically savvy and have a sense of style.
"We did ethnographic research," Irwin said. "We went into these peoples' homes to see what they buy and how they live."
AutoPacific analyst Jim Hall said Ford's plan for Mercury makes sense. He sees Mercury as filling the same niche for Ford that Saturn fills for General Motors Corp.
"It's a good strategy," Hall said. "The idea is to use it as a draw vehicle. They're not there yet, but they are getting close."
Carving a niche
While there will be fewer new Mercury models, Ford will spend more money on them to better differentiate them from their Ford brand siblings without increasing overall investment in the brand. Past Mercury models have sometimes offered improved powertrains and performance, but future vehicles will be differentiated entirely by appearance and amenities. The goal is "at-a-glance differentiation," from Ford's Blue Oval lineup, Irwin said.
Irwin said offering customers a clearer choice should allow Mercury to grow its volumes even as it offers fewer models. Mercury sales have been slumping in recent years. After a 1.2 percent gain in 2005, sales through September this year are down 9.2 percent.
Mercury's new target audience is more ethnically diverse, better educated and higher paid than the typical Ford customer, as well as younger and more likely to be a woman.
The average Mariner buyer is 47. More than half are women and 46 percent have never before purchased a Ford product. For the Milan, 45 percent are women, 43 percent represent conquests from other automakers and the average age is 50.
Compared with older Mercury models, these newer vehicles are attracting customers who are 14 to 17 years younger, up to 10 percent more likely to be female and up to 12 percent more likely to come from other brands.
Going forward, Mercury is aiming at customers who are even younger, more likely to be Latino or African-American and more likely to have a college degree and a high paying job than the typical Ford customer.
Mercury's focus on a more diverse demographic was behind the decision to unveil the new Mariner in Miami, an auto show that typically sees few new vehicle introductions.
Debuting the Mariner in Miami also put its unveiling ahead of the new Ford Escape -- a mechanically identical vehicle that will be shown for the first time at the Los Angeles Auto Show in November.
In the past, Ford versions usually launched before their Mercury siblings, but Irwin said the company wanted to underscore the importance of Mercury by making Mariner first out of the chute.
The new Mariner
The new Mariner features a redesigned interior and exterior that exemplifies the new look of Mercury.
Outside, there are major changes to the front and rear fascias, liftgate, lamps, grille and hood. Ford raised the beltline and removed the previous model's molding and body cladding to give the vehicle a cleaner and more substantial appearance.
Inside, satin pewter finishes and chrome accents combine with two-tone dash materials to create a more stylish look, while ice blue instrument lighting has been added to give the vehicle a more techno feel at night. The Mariner's utilitarian center console controls have been replaced with a more modern set that gives it a more architectural look, and cabin noise has been reduced.
Stability control and side-curtain airbags are standard on all Mariners. Driving dynamics and ride comfort get a boost from the SUV's upgraded chassis.
Customers will be able to choose from front-wheel or four-wheel drive and two trim levels. The Mariner Hybrid has also been upgraded with new software to improve the performance of its full-hybrid drive system.
The new Mariner and Mariner Hybrid are scheduled to hit dealer showrooms by March. The timing could not be better, as more and more consumers are eschewing traditional, truck-based SUVs for more fuel-efficient, car-based models like the Mariner.
A designer's dream
Pat Schiavone, design chief for all Ford, Lincoln and Mercury sport utility vehicles and crossovers, said the new look of Mercury is all about color and texture. He takes his inspiration from New York Fashion Week, the Milan Furniture Fair and the designs of cutting-edge architects like Frank Gehry.
"Metro-cool: That's the whole Mercury design DNA," Schiavone said. "It's sophisticated design -- very stylish."
The new look of Mercury was born in 1999 when work started on the 2002 Mercury Mountaineer.
Schiavone and his team had just finished the Ford Explorer, a big success that helped define the SUV segment. Their next mission was to design a Mercury version and they found inspiration in America's newfound interest in interior design.
U.S. consumers were standing in line to buy inexpensive-but-stylish furniture, and Swedish meatballs at Ikea and stores like Design Within Reach were sparking a new interest in home furnishings. Schiavone wanted to capture that spirit in sheet metal.
Schiavone has made the interior his primary focus because he believes that is the area of the vehicle that will resonate most strongly with Mercury's target customer. These are people who appreciate design, but not necessarily automobile design. They are more likely to be impressed by the look and feel of the dashboard than the width of the wheelbase.
Interiors are also the area in which Mercury designers can do the most to differentiate their products from Ford vehicles.
Niche brand, marketing
Mercury's transition to a niche brand means Irwin and her team will have fewer ad dollars to spend, but she says that just means they have to spend them more wisely.
Instead of broad television campaigns designed to market to the masses, Mercury is focusing its ad buys on cable networks that are heavy on design-oriented programming. Rather than taking out ads in every fashion magazine, Irwin and her team are spending big with a few key publications.
"We're trying to surround our target customers," Irwin said.
That also means using unorthodox approaches like guerilla marketing to reach them where they work, play and live.
Mercury's marketing cadre were out in force in Miami, with teaser ads for the new Mariner hanging from bridges, floating on boats, trailing from helicopters and bedecking buses and taxis throughout the city's trendy South Beach district.
The message is simple, Irwin said: "This is not your father's Grand Marquis."
Hearts and minds
So far, Mercury's new strategy seems to be working.
Conquest rates, which measures how many buyers switched from a non-Ford brand to Mercury are already topping 50 percent for the 2007 Mariner and Milan. Dealers like Mercury's new look and say the brand's new direction and target market squares with what they are seeing on their lots.
Chris Lemley of the Sentry Auto Group in Boston said the new Mariner is a big improvement over the previous version, which he said bore too much resemblance to the Ford Escape on which it was based. And the new models are attracting a different kind of shopper to his dealerships.
"We do sell people out of Subarus and Volkswagens," Lemley said. "The Mercury customer is not a clone of the Ford customer."
You can reach Bryce Hoffman at (313) 222-2443 or bhoffman@detnews.com.
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10-07-2006, 12:53 AM
#2
Kabachitare!
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Pictures and demographic information here:
http://www.detnews.com/apps/pbcs.dll...610060343/1148
Mercury's previous "It's My Life" campaign here:
https://acurazine.com/forums/automotive-news-6/ford-give-mercury-new-image-new-ad-campaign-dubbed-new-doors-open-152245/
http://www.detnews.com/apps/pbcs.dll...610060343/1148
Mercury's previous "It's My Life" campaign here:
https://acurazine.com/forums/automotive-news-6/ford-give-mercury-new-image-new-ad-campaign-dubbed-new-doors-open-152245/
Last edited by kansaiwalker1; 10-07-2006 at 12:56 AM.
10-08-2006, 03:18 PM
#4
I like the looks.
10-08-2006, 03:19 PM
#5
Although it's kinda sad that they're hawking about differentiating the brand and they seem so adament, yet those headlights are clearly Ford Fusion-inspired.
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