The Auto Writer

Ford believes that a premium price point is possible

2011 Ford Fiesta in Lime Squeeze.

I did a double take on Monday when I read the news: Ford believes that the subcompact market can support a Ford Fiesta retailing for as much as $23,000, an unheard of price point for a car in this segment. Sure, the smallest BMW and Audi models sell for much more than that, but I don’t think too many people would argue that we’re not comparing like models when you bring the Fiesta into the mix. (see AutoWeek.com: Ford bets customers will pay premium prices for the Fiesta)

Ford Fiesta Amenities

When the Fiesta goes on sale next summer, the base four door sedan will retail for $13,995 while the five door will retail for $1800 more. Ford expects the car to appeal to buyers who want value, good price, and excellent gas mileage (est. 30 mpg city/40 mpg highway), but they also think that the Fiesta will attract current Audi A4 buyers given that SYNC and Bluetooth are Ford staples.

Add in some leather and other luxury features not normally found in American versions of these cars and you just may pull in premium buyers. Or not.

One Thousand Orders

Ford is making a big deal over the fact that more than one thousand customers have placed orders for the Fiesta since that option went live online earlier this month. Customers who order early will get SYNC and a premium sound system included with their order for no extra charge, a sweetener Ford hopes will bring the Fiesta a lot of buzz.

Yet, those orders don’t bind customers to purchase anything until they head down to their Ford dealership sometime between now and May 3, 2010, put down a deposit. Thus, it’ll be some time before we see if this incentive has the legs to bring about the sales.

Fiesta Rocks Europe

The latest generation Fiesta went on sale in Europe last year where it quickly became the best selling car in its segment, second best overall. 540,000 units have sold to date, with 492,000 in Europe. The model was recently introduced to China and has also found its way to South Africa, Indonesia, and Australia.

North America will see the first Fiestas roll off a Mexican assembly line in May or June, heading straight to showrooms in the United States and Canada.

Will a premium priced Ford Fiesta sell? With the MINI Cooper S retailing for $23,000 and other models topping $30,000, that answer soon becomes apparent.

Photo Credit: Ford Motor Company