Lincoln Town Car's demise scrambles limo industry

[Bruce Nunnally]

How are limousine operators going to contend with the demise of the Lincoln Town Car, the industry mainstay for a decade?

Dav El, one of the nation's largest limo operators, is ahead of the game. It's been using Cadillac DTS sedans and plans to use its successor, which expected to be nearly identical to the XTS concept shown in the photo above. Dav El CEO Scott Solombrino tells Drive On that he think's Caddy will be the big beneficiary. He notes that the Cadillac Escalade already dominates in the SUV segment of the market, with Lincoln Navigator largely out of the picture.

"Cadillac will start to dominate," Solombrino says. "We're staying with Cadillac."

Read More: http://content.usatoday.com/communities/driveon/post/2010/10/lincoln-town-car-cadillac-limousine/1

[adallak]

I do not understand why Ford/Lincoln gives up the limousine market.

[Cadillac Jim]

I think that Ford may be dropping the Town Car because of it's low volume compared to all the other Ford, Lincoln, and Mercury models. Note that the Town Car has been essentially unchanged since its last major revision for the 1988 model year.

A manufacturing company the size of GM, Ford or Chrysler is not really healthy unless it has liquid assets at least equal to a year's sales. Ford's cash-on-hand is still a tiny fraction of that. A manufacturing company that is under water and losing money is by definition bankrupt and subject to liquidation or purchase, as has happened to every other car company in the USA. Without a cash pad of about a year's sales, an ill wind can put you under.

Ford is really in no better shape than GM. They must drop anything that loses money, or that makes significantly less money than something else available to them for investment. They've floated the idea of dropping the Mercury nameplate, for example; Mercury is down to four models for 2011 (two sport-utes, the mid-size Milan, and the full-size Grand Marquis. The Ford halo car is the Mustang, with its well-selling mass-produced models; they don't have a Thunderbird or other two-seater. Although Chrysler is talking about dropping the Viper, this has happened before and it came back (it apparently breaks even or makes some money), and GM has no plans to shelve the Corvette or Cadillac V-series, although the XLR was never updated and was dropped after the 2009 model year. GM did drop the Pontiac and Saturn marques, solving a brand overlap problem that had been under discussion since the 1950s, and they sold off foreign investments in Toyota, Isuzu, Saab, Suzuki and Toyota for the cash.

These are tough times. GM looks good for prosperity on the other side, though. The fact that Cadillac makes money from the full-size luxury car niche and Lincoln does not means that Cadillac owns the niche because now is not the time to invest in models that don't make money right now.

[JimD]

Press Release:

FORD TO EXPAND LINCOLN LINEUP AND BRAND EMPHASIS; MERCURY PRODUCTION ENDS IN FOURTH QUARTER OF 2010

* Ford is expanding its Lincoln lineup with seven all-new or significantly refreshed vehicles in the next four years – including its first-ever C-segment vehicle

* Lincoln’s plan accelerates with more investment and attention on standout product design, class-leading technology and powertrains delivering top performance and fuel efficiency

* Lincoln product development, marketing, sales and service resources expanding as the brand competes with Cadillac and Lexus in the marketplace

* Ford will end production of Mercury vehicles in the fourth quarter of this year to fully devote its financial, product development, production and marketing, sales and service resources toward further growing its core Ford brand while enhancing Lincoln

* Existing Mercury owners to receive continued access to parts and service support at Ford

and Lincoln dealers; current Mercury vehicle warranties and Extended Service Plans will be honored; special offers available on new Mercury vehicles through the summer

[jamesonclark]

I believe they discontinued their town car but are still making them for private order limo companies. I don't believe they are totally backing out of the industry that they were number 1 at. They are just not mass producing their town car anymore.

Jameson

MCO Towncar Transporation

[BodybyFisher]

The current administration has already demonized big corporations, salaries, corporate jets, the appearance of excess is a problem, etc. They act like its coming out of their pockets. Nevermind that CEOs and higher up's go to the best schools, graduate with true honors, have Phd's, go to grad schools like Wharton, get credit trained, work as grunts and are on call 24 hours a day in a high stress, competitive, time sensitive job, its NOT a 9 to 5 job and you are away a lot.

When I worked for a major NY commercial bank, if you worked past 8 PM on a job you could take car service home, it was usually a Town Car or Fleetwood, it could cost $75 for me to get home. It was probably cheaper for me to rent a car overnight.....

There became a point where taking LIMOs was no longer an option and was only used in emergencies. I don't believe the LIMO market is as big as it once was.

[Cadillac Jim]

I believe they discontinued their town car but are still making them for private order limo companies. I don't believe they are totally backing out of the industry that they were number 1 at. They are just not mass producing their town car anymore.

Jameson

Actually Ford discontinued the Town Car except for the livery market in 2007 in Canada, when it moved production from Wixom, MI to Saint Thomas in Canada (!) where the Crown Vic and Grand Marquis, which shared its "Panther" platform. The Crown Vic and Grand Marquis were discontinued last year (last production January 2011), leaving the Town Car as the only remaining car on that platform. August 2011 was the last month of production of the Town Car. Ford has a limo version of the Lincoln MKT that they have scheduled for availability to the livery market in 1Q12. The Town Cars that they have on hand should be available until then.

[rockfangd]

I am still distraught over GM discontinuing the Oldsmobile name. I loved them. I am nt much for fords but do like the mercury Grand Marquis. and was a fan of the town car. I think this is good for Cadillac as it is going to dominate the limousine businesses. I like the DHS as a limousine. Very attractive

[Cadillac Jim]

Nothing lasts forever. The Northstar is out of production, the Deville is at end-of-life too - although a full-size replacement is being readied to step in as an improvement, not a replacement with a station wagon or crossover. The humongous full-size platform is gone, with it's Chevy, Buick and Pontiac huge four-door sedans - and the police Impala, leaving that field to the Ford Crown Victoria. Now that the Crown Vic is gone too, it isn't really missed because quite suitable vehicles for modern police cars are out there, and all it took was a couple of request-for-quotes from big cities to get people to configure and present them for fleet sales.

Progress is inevitable of course. One thing that I did *not* expect is that the power leader is a 6.2 liter pushrod two-valve V8. After my first four-valve engine, a 1990 Pontiac Grand Am, I thought that all my future cars would be four valves per cylinder. And, I understand that three and four valves per cylinder were looked at in the development of the LS1, but that breathing goals were met with two valves per cylinder.

The law of unintended consequences seems to be part of all this. The merged-design supercharger/intercooler/DFI pioneered in the 4.2 liter Northstars for the STS-V found its way into the LS series pushrod V8. With a supercharger, slight breathing differences are less of a disadvantage, and one that is overcome by a slight increase in boost.

Thus GM's supercharged 6.2 liter two-valve supercharged V8 competes with Mercedes/AMG's V12 and BMW's exotic M-series power plants with very high reliability and little more cost than a pickup engine, and about the same weight as a supercharged Northstar. And, my next car will likely be powered by an LS V8 (if not a supercharged Northstar).

[jndnaps]

I always thought the Town cars were butt ugly. Wish they were still making the DTS though. I'm not a fan of the new Cadillacs.

[jndnaps]

I am still distraught over GM discontinuing the Oldsmobile name. I loved them.

I still have my 87 Olds 442. Original owner... We also have an 88 Cutlass Supreme Classic.. Both RWD cars.

[kyeld]

Are they not making the DTS for 2012? Last time I checked, it was around in 2011, no?

[Cadillac Jim]

The DTS is still offered for 2011 with the Northstar. According to a recent Motor Trend article, Cadillac is fielding "up to ten" new models in the next five years. Among them is a successor to the DTS, on either the DT7 or the stretched wheelbase STS platform currently used in the Chinese market; here MT apparently doesn't really have a clue. According to this MT article, the engines will include the 4.5 liter turbo diesel V8.

[scott y]

SUPER!!! The very thought of that makes me yearn for a Brand New Cadillac??!?! Oh, woe is Cadillac, it makes me love my '76 Fleetwood Brougham so much more.

[Texas Jim]

SUPER!!! The very thought of that makes me yearn for a Brand New Cadillac??!?! Oh, woe is Cadillac, it makes me love my '76 Fleetwood Brougham so much more.

If you want a new DTS.... you better get it quick...

The last one was build way back in May and went to a collector in Europe.

New DTS are almost non-existent on Dealer lots around here...

[Cadillac Jim]

I found quite a few within 50 miles of my location near Philadelphia. I did a search on the Cadillac web site for the top of the line with sunroof and 295 hp Northstar and diamond white with premium ivory interior. I found one perfect match and a bunch with minor variations.

If you're not excited by a 4.5 liter V8 diesel, you must acknowledge that this drive line is for the livery and luxury daily driver market - and there are a lot of Mercedes diesel people out there US and globally. If you want excitement in a high-performance, good-handling new Cadillac, try the CTS with the 3.6 liter DI V6 for something similar to the 90's STS with better performance and handling. Or any one of the V Series is a whole new world.

If you do want a DTS, there are still plenty of cars at the dealers, but the time has come when you will either have to drive more than 30 minutes or pay extra transportation to get one exactly like you want it. Of course, it's mid-September, and the 2012's are about to come out. After that, the *real* bargains on the 2011's will be there. If there is no immediate successor to the 2011 DTS as we know it, though, their prices are more likely to rise than to fall.

I think that the future of the livery business is vans, crossovers, and sport utes, because those are most comfortable for multiple passengers while providing plenty of luggage space. Luxury livery such as limo service can be served by luxury crossovers. As for stretch, well, I've seen examples of many things in stretch in the metal, including Hummers. I guess it's just a matter of time until we see a stretch Escalade.

[WarrenJ]

. . . I guess it's just a matter of time until we see a stretch Escalade.

Your wait is over.

http://www.access-li...-limousine.html

Do as it says and mouse-over the photo to see the stunning interior.

[rockfangd]

wow. that is huge. can anyone say partyy

[Cadillac Jim]

Follow the link into the site and look around. These guys are serious. The best wheels are in DC, including their best, the Escalades. They also have diesel coaches (buses) that seat up to 57, and then they have full-size buses for sightseeing tours and for charter.

[Luke]

This is a very interesting topic. I have followed the limousine industry for years and owned one at one time. I was discussing with a friend recently and we were pondering where the industry would go with the end of both the DTS and Town Car. I don't know. I personally am very irritated by the fact that Cadillac is going all RWD. What about people who live in very snowy climates? Cadillac, without any front wheel drive choices will lose some business. But I digress.... it will definitely be interesting to see where the industry will go. The STS sure makes a nice looking limo as seen in this Youtube video: