Executive President of FordJim Farley, will go to Las Vegas next week to try to convince dealers to cut up to $2,000 off the cost of delivering an electric car to a customer.
The automaker said one of the main topics of the meetings will be discussion of a new agreement that will govern how dealers sell Ford’s growing line of electric vehicles.
Farley told analysts in July that Ford needs to cut $2,000 per car in sales and distribution costs to compete with Tesla and other electric vehicle starter kits that sell directly to consumers.
About a third of this economy it could come from what Farley called the “small stock model,” where customers order a car and Ford ships it to the customer, rather than storing cars on dealer lots for weeks or months.
Ford declined to comment beyond saying “we are excited to meet next week with our North American dealers to grow and win together.”
Dealers said they expect Ford to invest more in charging stations and other equipment to support EV customers.
A key issue will be how quickly dealers will have to install the chargers, which can cost up to $500,000.
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