Why did Ford discontinue the Ford Focus?
Ford Motor Company announced in 2018 that it would be discontinuing the Ford Focus in North America by 2020. This decision was part of a broader strategic shift by the automaker to focus more on producing and selling trucks, SUVs, and crossover vehicles rather than traditional passenger cars like the Focus.
Declining Demand for Passenger Cars
The primary reason Ford discontinued the Focus was the declining demand for passenger cars in the United States. Consumer preferences have shifted dramatically in recent years towards larger, more versatile vehicles like trucks and SUVs. 4 As a result, sales of traditional sedans and compact cars like the Focus have plummeted, making them less profitable for automakers to produce.
Shift to Trucks and SUVs
Ford's decision to discontinue the Focus was part of a broader strategic shift to focus more on producing and selling trucks, SUVs, and crossover vehicles. The company announced plans to invest $11 billion to develop more of these types of vehicles, which are more profitable and better aligned with current consumer preferences. 4
Cost-Cutting Measures
In addition to the declining demand for passenger cars, Ford also cited the need to cut costs as a factor in discontinuing the Focus. The company was facing pressure from investors to improve its profit margins, and eliminating production of slower-selling models like the Focus was seen as a way to reduce expenses and streamline its operations. 4
Shift to Electric Vehicles
Another factor in Ford's decision to discontinue the Focus was the company's increasing focus on developing and producing electric vehicles. As the automotive industry shifts towards electrification, Ford has been investing heavily in the development of new electric models, which are expected to become a larger part of its product lineup in the coming years. 4
Overall, the discontinuation of the Ford Focus was a strategic decision by the company to adapt to changing consumer preferences and market conditions, as well as to position itself for the future of the automotive industry.
