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New 2011 Ford Fiesta Sells On Average For More Than Ford Focus

Michael Sheena's picture

It is supposed to be the "baby" Ford, but the all-new Fiesta is proving to be a titan when it comes to average transaction prices.

After Mini Cooper, Small No Longer Equates To Cheap

In the car world, most vehicles in a brand's lineup are like rungs on a ladder. The higher up you go, the more each model costs. However, the spunky new Ford Fiesta is turning that adage on its ear by selling, on average, for more money than the model that is supposedly "higher up" the Ford Focus.

How did Ford achieve this stunt? Several reasons are evident. Firstly, the Fiesta is all-new while the Focus is about to be replaced to a vastly superior model. Most importantly, however, the Fiesta represents the latest thinking when it comes to what buyers are willing to pay for.

In the past, small cars were given the absolute minimum in terms of extra goodies and the lowest price. However, Ford is now realizing that small car buyers want and will pay for premium features That means that even though the Fiesta starts at around $14,000 it is selling with options that raise that total to $17,000 and $18,000.

This strategy will carryover to the all-new Focus which will be offered with premium goodies like Active Park Assist, extensive leather trimmings, soft touch dash materials and MyFord in-car control system. None of that will come cheaply, but as Ford is finding out, higher pricing is not a deterrent for customers who seek out these amenities.

Source: Automotive News

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