Ford Revamps Marketing; Reveals Earnings Loss
On the eve of reporting a multi-billion dollar fourth quarter loss double that of its 2007 fourth quarter, Ford unveiled a major shift in its marketing organization.
Elena Ford, founder Henry Ford’s great-great-grandaughter, has been named director, global marketing, sales and service operations, reporting to Jim Farley, Ford group vice president, marketing and communications. This is a new position.
Ford, 42, starts her new assignment on Feb. 1. She is currently executive vice president, Ford Motor Credit Co., global brand and marketing. She is charged with developing integrated plans to bring new Ford vehicles to the global market and improving Ford’s brand image worldwide.
The company plans to have a greater presence at global auto shows and other consumer events to improve its “experiential connection” with customers. The new Ford Focus, billed as a global small car, will presumably benefit from Ford’s revved-up marketing when it’s introduced in North America, Europe and Asia in 2010.
Ford reported a fourth quarter net loss of $5.9 billion, citing a sharp worldwide decline in demand for vehicles. That compared to a net loss of $2.8 billion in the fourth quarter of 2007.
Its pre-tax operating loss was $3.7 billion, compared to $620 million one year ago. On an after-tax basis, the loss was $3.3 billion, compared to $487 million a year ago.
Ford emphasized that it has sufficient liquidity to fund its business plan and product investments. The company reasserted that it does not need a bridge loan from the federal government.
The company said it was on track to break even or become profitable in 2011.
