More than one third of Lincoln’s dealerships say “no thanks” to brand’s electric future

Posted on

[ad_1]

More than a third of Lincoln US dealers have opted out of a certification plan to sell electric cars as part of the luxury brand’s EV shift, Automotive News reported Friday.

Following parent Ford’s example, Lincoln in October 2022 notified its dealers to invest in upgrades to sell EVs or redeem the brand. Lincoln now says 356 of its roughly 600 dealerships, representing about 88% of its sales volume, have committed to this electric future, according to Automotive News.

Of dealers poised to jump into EVs, around 90% are in the country’s top 130 luxury car markets, according to the report. Each dealer must spend approximately $900,000 on charging equipment, including a DC fast charger and seven Level 2 240-volt AC chargers, and other costs such as training. Dealers outside of these groups will have to shell out $500,000 for one DC fast charger and four Level 2 units.

Lincoln Star concept

Lincoln Star concept

The 59% of Lincoln dealers who choose this investment are lower than the two-thirds of Ford dealers who choose the brand’s EV program. Lincoln dealerships that also own Ford franchises must invest in both programs to sell EVs for both brands, noted Automotive News.

Lincoln’s dealer response was similar to that of rival Cadillac, which is also slated for an EV switch. General Motors is offering the buy to Cadillac dealers (and Buick dealers) who aren’t on board with its EV plan, which also requires investing in charging equipment. About a third of Cadillac dealerships choose to buy rather than sell EVs. GM wants Cadillac and Buick to go all-electric by the end of the decade.

Both Ford and Lincoln list dealerships in EV sales for a certain period. Lincoln’s first registration period lasts until December 15, 2022. Dealers who did not register will not have the opportunity to return to the Lincoln brand until a second registration period opens in 2026.

Dealers who don’t register will have to stop selling Lincoln when the brand switches to EVs. Lincoln does not currently sell any EVs, but plans to launch three globally in 2025, add a fourth in 2026, and have EVs account for nearly 90% of North American sales volume by 2030, according to Automotive News.

[ad_2]

Source link