The Edsel is an automobile marque that was planned, developed, and manufactured by the Ford Motor Company for model years 1958-1960.
With the Edsel, Ford had expected to make significant inroads into the market share of both General Motors and Chrysler and close the gap between itself and GM in the domestic American automotive market. Ford invested heavily in a yearlong teaser campaign leading consumers to believe that the Edsel was the car of the future – an expectation it failed to deliver. After it was unveiled to the public, it was considered to be unattractive, overpriced, and overhyped. The Edsel never gained popularity with contemporary American car buyers and sold poorly.
The Ford Motor Company lost $250 million on the Edsel's development, manufacturing and marketing.
The very name "Edsel" became a popular symbol for a commercial failure
The very name "Edsel" became a popular symbol for a commercial failure
Ford announced the end of the Edsel program on Thursday, November 19, 1959. However, production continued until late in November, with the final tally of 2,846 model year 1960 cars. Total Edsel sales were approximately 116,000, less than half the company's projected break-even point. The company lost $350 million, or the equivalent of $2,800,000,000 in 2016 dollars, on the venture.
Only 118,287 Edsels were built, including 7,440 produced in Ontario, Canada. By U.S. auto industry standards, these production figures were dismal, particularly when spread across a run of three model years.
On Friday, November 20, United Press International's (UPI) wire service reported that book values for used Edsels had declined by as much as $400 based on condition and age immediately following the Ford press release. In some newspaper markets, dealers scrambled to renegotiate newspaper advertising contracts involving the 1960 Edsel models, while others dropped the name from their dealerships' advertising entirely. Ford issued a statement that it would distribute coupons to customers who purchased 1960 models (and carryover 1959 models) prior to the announcement, valued at $300 to $400 toward the purchase of new Ford products to offset the decreased values. The company also issued credits to dealers for stock unsold or received following the announcement.
On Friday, November 20, United Press International's (UPI) wire service reported that book values for used Edsels had declined by as much as $400 based on condition and age immediately following the Ford press release. In some newspaper markets, dealers scrambled to renegotiate newspaper advertising contracts involving the 1960 Edsel models, while others dropped the name from their dealerships' advertising entirely. Ford issued a statement that it would distribute coupons to customers who purchased 1960 models (and carryover 1959 models) prior to the announcement, valued at $300 to $400 toward the purchase of new Ford products to offset the decreased values. The company also issued credits to dealers for stock unsold or received following the announcement.
