Ford Refreshes Ranger, Everest for Hotly Contested ASEAN Markets

BANGKOK – Ford launches two key new products at the 36^th Bangkok International Motor Show, the facelifted Ranger pickup and platform-mate Everest midsize SUV, which will be built together at the Auto Alliance plant here beginning the third quarter.

Ford has enjoyed so much success here and throughout Southeast Asia with the current T6-generation Ranger, now on the market for more than four years, that it may have become overly reliant on the pickup to drive volumes in the region.

With competitors, including Nissan and Mitsubishi, having launched new models recently and the market-leading Toyota Hilux set for an imminent redesign, pressure is mounting on the Ranger and its Mazda BT-50 derivative.

Ford believes this latest makeover will be the answer. The revamped Ranger gets a more distinctive front end, upgraded cabin and more technology, as well as tweaks to the powertrain and suspension. The new model will be sold in 180 countries and be built in three manufacturing hubs: Thailand, South Africa and Argentina.

Ford can’t afford to lose momentum gained since the current Ranger’s launch.

“It will help solidify our global leadership and expertise in the pickup segment,” Brett Wheatley, vice president-marketing, sales and service for Ford Asia Pacific, says of the redesigned model following its auto-show unveiling.

Thailand’s pickup market rapidly is evolving into a “lifestyle segment,” with customers demanding features more typically found in cars and styling becoming more sophisticated. The Ranger Wildtrak model targets this niche, while General Motors recently plugged that gap with the High Country version of its Chevrolet Colorado.

“Our customers are looking for car-like technology that makes them feel safe, connected and in control,” Wheatley says of the market trend, emphasizing the inclusion of Ford’s Sync 2 infotainment package on the new Ranger.

“You can see the design, it’s a very tough stance,” notes Ford ASEAN President Matt Bradley. “(And) we’ve also added a lot of technology into the Ranger with Sync 2, driver assist in lanes, front and rear sensors and cameras and increased the efficiencies of the powertrains.”

The Ranger’s 2.2L and 3.2L diesel engines are carried over from the current model, which puts it at a disadvantage to Nissan, Mitsubishi and – shortly – Toyota, all launching new engines in their pickups. Wheatley says the 2.5L Duratec gasoline engine – not aimed at the Thai market – will get an upgrade, however.

Despite the limited powertrain improvements, Bradley is confident the revamped model will move the brand forward.

“The Ranger will continue to set the industry benchmark in the pickup segment and drive our success in the ASEAN region and beyond,” he says. “In 2014, Ranger sales in ASEAN rose more than 10% to an all-time record of more than 50,000 units.”

While Ford lost more than a quarter of its volume here last year, it comfortably outperformed the market, which saw even bigger drops, and the Ranger made gains in its sector.

“The Ranger made up almost 50% of our sales in 2014 so it’s really a key product,” Bradley notes. “We’re going to take the Ranger to a whole new level, and we expect the momentum to continue.”

Significantly, the Ranger was the best-selling pickup in Vietnam, the Philippines, Cambodia and Myanmar last year. To tip Toyota’s Hilux off the top spot anywhere in the ASEAN region is a big feather in Ford’s cap.

Bradley believes the EcoSport also has helped the brand in the region.

“The launch of the EcoSport in 2014 gave a significant boost to our sales across ASEAN and it quickly became our second-best-selling nameplate in the region,” he says. That prominence is in due in part to the underperformance of Ford’s cars in the market, however.

High Hopes for Everest

The Everest, meanwhile, is expected to “make a statement in the (growing) medium-size SUV segment,” says Bradley. “We’re very excited about the prospects for growth in 2015 and beyond.”

In recent weeks, GM has shuffled its planning for the ASEAN market by focusing on the pickup and SUV segments while phasing out several car lines. Ford’s emphasis at the show is very much on these segments, too, although it remains committed to cars.

“The Ford strategy is to have (a) wide range of vehicles, and passenger cars still play a very strong part in that,” Wheatley says. “Ranger and Everest, that’s where the growth is right now. We have two new products right in the heart of the market where all the growth is.”

Everest features standout styling, tech features.

The Everest’s positives and negatives are broadly similar to the Ranger’s. The SUV has standout styling, plenty of safety features, leading telematics and an effective cabin, but it sees the same engines carried over and pricing appears to be well toward the top end of the category.

At the show Ford announces pricing for only the highest trim level, the Titanium with a 2.2L diesel. It bases at 1,269,000 baht ($38,995), rising to TB1,459,000 ($44,834) with 4-wheel drive and to TB1,599,000 ($49,136) with a 3.2L diesel and 4WD.

“We feel good about our pricing, we think it’s very competitive,” Wheatley says.

Time will tell if he is overconfident. The current-generation Everest flopped here, so Ford doesn’t have much of an existing midsize-SUV customer base to build on.

With Thailand’s new-vehicle market continuing to lose ground over the first quarter of the year there is much hope that Motor Show demand over the next week will help give the sales year a late kick-start.

“We see things stabilizing with 2015 being about the same as 2014,” Wheatley says. “We think (Thailand) will be a very strong market for us (in 2015).”

Significantly too, while GM dropped its plans to join the government’s Eco-Car 2 program last month, Ford remains onboard.

“We do plan to participate and look for an announcement soon,” Wheatley says. “Ford is fully committed to the Eco-Car.”