The Challenge of Selling 2023 Lincoln Vehicles

Current Inventory Situation

When visiting a Lincoln showroom, you may notice an abundance of 2023 model year vehicles still available for sale. Dealers are facing the challenge of moving this older inventory to make room for newer models.

Inventory Overload

Lincoln recently reported having over 33,000 vehicles nationwide, three times more than the previous year. This surplus includes a significant number of 2023 model year vehicles, making it the brand with the highest inventory in the non-Stellantis category.

Challenges Faced

Chris Poulos, head of the Lincoln National Dealer Council, described the situation as a “perfect storm” of challenges for the automaker. Factors contributing to the surplus include supply line normalization, production delays, and stop-sale issues with certain models.

Incentives and Sales Performance

To address the excess inventory, Lincoln has doubled incentives for models like the Aviator, Nautilus, and Navigator. This strategy has proven successful, with Lincoln’s sales increasing by 29% in the first two months of 2024, outperforming the wider luxury segment.

Dealing with Excess Inventory

To manage the surplus of 2023 vehicles, Lincoln has implemented a program to reduce the time these vehicles spend in dealer loaner programs. While this move aims to boost sales numbers, some dealers have raised concerns about its impact on inventory management.

Future Outlook

Despite the current challenges, Lincoln’s president, Dianne Craig, remains optimistic about the brand’s growth potential in 2024. The company is closely monitoring market trends and adjusting strategies to ensure long-term success.