REMARKS AS PREPARED FOR THE FORD MOTOR COMPANY KEYNOTE ADDRESS AT THE 2010 CONSUMER ELECTRONICS SHOW
The following are remarks as prepared for the Ford Motor Company keynote address at the 2010 Consumer Electronics Show in Las Vegas on Jan. 7, 2010 as delivered by:
- Alan Mulally, President and Chief Executive Officer
- Derrick Kuzak, Group Vice President, Global Product Development
- Jim Buczkowski, Electrical Engineering DirectorDoug VanDagens, Connected Services Director
- Julius Marchwicki, SYNC Product Manager
Alan Mulally
Thank you, Gary (Shapiro) for inviting us back to CES. It seems more like 12-weeks ago and not 12 months that we showed you our latest innovations to improve our award-winning SYNC technology. Our participation in CES last year was inspirational. There were so many amazing technologies. And we appreciated the warm reception.
A lot has happened since then. Ford is in a different place. Our products are being recognized. And we have made great progress as a business even as the world around us has been changing. For example, nearly everybody’s mom now has a FaceBook page and they post pictures of their grandkids from a smart phone using the TwitPic app.
Speaking of Twitter, it grew from 4 to 60 million users worldwide in the past year. Texting is now the favored form of communication for every age group. Look around. You now see people putting on their reading glasses so that they can thumb-type a text. And tens-of-thousands of mobile apps have been created, some for platforms that did not even exist a year ago.
Fortunately, the in-car connectivity strategy that Ford chose has proven to be the right one – because it accommodates this kind of sweeping change. That is the unique advantage of connecting customers by means of their own mobile phones, instead of an embedded device. Last year, I said we would have one million SYNC-equipped cars on the road by the start of 2010.
I’m proud to say we hit that goal – in May.
Looking ahead, we continue to remain focused on our plan, which is about delivering great Ford products that feature the technologies that people really want and value. Our engineers completely accept and embrace this challenge. In a few minutes, our Group Vice President of Global Product Development, Derrick Kuzak, is going to share a few of these “value added” innovations with you. These are the features that set us apart: our “Signature Brand Technologies.” And we believe these features have a place in every Ford vehicle and not just our luxury models.
What language do we use to define the “value” of technology? Simply, Ford’s commitment to innovation is supported by four principals that inform and guide every design and engineering effort. They are to be best-in-class in Quality, Safety, Fuel Efficiency and what we call Smart Technologies.
Quality and safety are the price of admission and we work to continually raise the bar. But the last two, “Fuel Efficiency and Smart,” are strategically important because green technology and smart innovations are helping us serve our customers and differentiate Ford.
Consider where our Green strategy has taken us. The Ford Fusion Hybrid, rated at 41 mpg, is the most fuel-efficient mid-size sedan in America. It is the only hybrid with the cool SmartGauge feature that actually coaches you to be a more fuel-efficient driver. That kind of technology adds real value, which is especially appealing to the hybrid owner. In fact, our SmartGauge technology was officially awarded a prestigious “Outstanding Achievement” design award by HOW Magazine.
As for “Smart” technology, I think most people would immediately point to Ford’s SYNC as an example. This feature is enjoying increased awareness and popularity in the marketplace. According to our research, 32 percent of customers surveyed indicate that SYNC was critical or important to their decision to purchase. And with each SYNC upgrade, we see growth in heavy users.
- 81 percent of heavy users are satisfied with the SYNC technology
- 77 percent of our SYNC customers overall would recommend it to a friend
And the use of voice commands is growing as the technology adoption grows with 63 percent of SYNC customers now using voice commands.
Last year at CES, we announced a national partnership with retail electronics leader Best Buy – aimed at helping build awareness for SYNC. At that time, we also announced an agreement to provide mobile technical support through Best Buy Mobile stores and their Geek Squad nationwide. We recently completed a 30-day pilot program in the Dallas area. Consumers participated in nearly 3,500 SYNC demonstrations, conducted on site at the Best Buy stores.
The results of this “launch-and-learn” have been eye-opening. For starters, an amazing 70 percent of the consumers who participated in a SYNC demo say they are now more likely to consider buying a Ford, Lincoln or Mercury product. In addition, 80 percent of them also stated that understanding how to use the hands-free Ford SYNC system improved their overall opinion of Ford. The success of the demo pilot program has confirmed our strategy, and in the next phase, Ford dealerships will work with local Best Buy stores in Pennsylvania and California to kick off independent customer clinics.
It is rewarding to see that, as soon as customers experience SYNC, they understand the value it brings to their driving experience. This is reflected in the recent accolades awarded to Ford cars and trucks that showcase SYNC and its related technologies. Chief among these honors are the recently announced International CES 2010 Innovations Design and Engineering Awards. Two Ford-exclusive technologies – Ford Work Solutions and SYNC – are being honored.
Ford Work Solutions’ in-dash computer won 2010 Best of Innovations in the category of In-Vehicle Accessories. This is not only a first for Ford, but a first for the auto industry. And SYNC’s latest application, Traffic, Directions and Information, or “TDI,” was honored in the category of In-Vehicle Navigation/Telematics and Intelligent Transportation Systems. We are honored that CES, among others, has recognized our efforts in providing these customer-driven features.
And we appreciate how so many of you here inspired us to move at Silicon Valley speeds as we deliver the cars of tomorrow today. It is challenging. And it is fun. Fortunately, Ford has an expert who is helping us do the right things. Here to tell you more about our plans for 2010 and beyond is our Global Product Development Chief, Derrick Kuzak.
The remaining remarks via Remarks as prepared for the Ford Motor Company Keynote address at the 2010 Consumer Electronics Show | Ford Motor Company Newsroom.
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