Lincoln’s Weak Brand Launches New SUV Into an Overcrowded Market

Photo of Douglas A. McIntyre
By Douglas A. McIntyre Updated Published
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.
Lincoln’s Weak Brand Launches New SUV Into an Overcrowded Market

© courtesy of Ford Motor Co.

Ford Motor Co.’s (NYSE: F) Lincoln luxury brand has launched a new midsize sport utility vehicle (SUV) into an already crowded market. Granted, sales in this segment of the auto industry have been strong. However, Lincoln is late and sales of its new models rely on a crippled brand.

The 2019 Lincoln Nautilus has almost nothing that more successful luxury car brands don’t have on similar vehicles. Lincoln’s primary promotion of the SUV is based on the fact that it has Lincoln’s “signature grill,” which does not seem to have helped sales of its other models. Its seats are supposedly comfortable, adjustable 22 ways, leather trimmed, heated and ventilated. These are features almost every other luxury SUV already has. The Nautilus has wireless charging for smartphones. And among its most prosaic features:

As part of available Adaptive Cruise Control technology, Lane Centering monitors road lane markings and uses the steering system and instrument display to alert you when you’ve unintentionally drifted out of your lane.

Even many nonluxury cars have the same features.

[nativounit]

The Nautilus is available with a 13- or 19-speaker Revel sound system, presumably at an additional price. And, finally, the Nautilus has lots of cargo space.

Lincoln’s U.S. sales continue to be behind those of Cadillac, Audi, Lexus, Mercedes and BMW. Lincoln’s volume is not even close to the German and Japanese makers. It has been an “also ran” in the category for years.

Lincoln’s U.S. sales through the first 10 months were 91,631, up 2.4% year over year. Sales in October were 8,909, down 1.8%. Its only model with an impressive sales history is the Continental, a large four-door sedan

Lincoln can bring more and more new models to market. The evidence is that few people want them. Will the Nautilus bring a surge of new buyers into Lincoln dealers and boost the brand’s sales numbers? Almost certainly not.

[wallst_email_signup]

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

Featured Reads

Our top personal finance-related articles today. Your wallet will thank you later.

Continue Reading

Top Gaining Stocks

CBOE Vol: 1,568,143
PSKY Vol: 12,285,993
STX Vol: 7,378,346
ORCL Vol: 26,317,675
DDOG Vol: 6,247,779

Top Losing Stocks

LKQ
LKQ Vol: 4,367,433
CLX Vol: 13,260,523
SYK Vol: 4,519,455
MHK Vol: 1,859,865
AMGN Vol: 3,818,618