Ford F-Series truck business is worth more than McDonald's, Coca Cola, Starbucks - watsupptoday.com
Ford F-Series truck business is worth more than McDonald's, Coca Cola, Starbucks
Posted 24 Jun 2020 11:06 AM

Source : Hindustan Times

Ford Motor has a lot riding on the overhauled F-150 pickup it�s unveiling this week. Rather than shy away from the stakes, the automaker has given a look under the hood of its cash-cow truck franchise.

The almost 900,000 F-Series pickups sold last year generated about $42 billion in revenue, according to a study Ford commissioned from the Boston Consulting Group. That ranks near Apple�s iPhone among the biggest US consumer products. On its own, F-Series is larger than McDonald�s, Nike, Coca-Cola, and Starbucks.

�It�s the crown jewels of the business," Hau Thai-Tang, Ford�s product development chief, said in an interview. The revenue figure BCG cites is almost 30% of the total Ford reported for its automotive business last year. �There�s no product more important for us, and when the F-150 chief engineer calls, he usually gets all the help he needs."

The F-Series line of trucks supports roughly half a million jobs and contributes $49 billion annually to US gross domestic product, the study found. BCG computed the truck�s economic impact by looking at how much employment and revenue is tied directly to Ford and indirectly to its suppliers, dealers, and employees� tertiary spending.

�The F-Series stands out because it has a much higher price point than most other products," said Michael Book, a senior partner at BCG, who helped author the study. �It�s quite remarkable how high the revenue is."

Ford�s new F-150 will debut on June 25. The automaker will offer a much larger touch screen to counter a popular option on Fiat Chrysler Automobiles NV�s ascendant Ram pickup models, people familiar with Ford�s plans told Bloomberg News in August. Another prominent feature will be a passenger seat that lays flat, Reuters reported last week.

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