And for Audi. And Mercedes-Benz.
There's no doubt Lincoln has been on a roll lately. New vehicles such as the Lincoln Corsair and Lincoln Aviator have proven Ford's investment in the luxury brand has been very well spent. It wasn't so long ago when it seemed Lincoln was on its last legs while crosstown rival Cadillac had secured its future. The opposite is true today. Lincoln's US sales increased by 8.3 percent last year, which is still far behind some direct rivals.
However, there's now fresh data indicating those rivals should pay attention. Data collected by Cox Automotive shows Lincoln's residual values at 36 months are better than those from BMW, Audi, and Mercedes-Benz. In fact, Lincoln's residuals have been closing the gap with BMW since 2018. BMW also happens to be America's best-selling luxury brand.
Sometimes, Lincoln's residuals even exceeded Audi's or were at least about the same. So, how did Lincoln beat the standard-bearer German luxury brands' residuals in just 36 months or so? Thanks to those new crossovers and SUVs, for starters. Lincoln also placed a heavy focus on overall interior quality, an area where foreign luxury brands typically dominate. Add to that excellent design inside and out that no longer resembles a rebadged Ford and you're in business.
The bottom line is that Ford invested heavily in Lincoln by focusing on the details that matter to luxury buyers. The Aviator, for example, is predicted to have an impressive 18-point increase in three-year residual value over its MKT predecessor.
It's also important to remember that, with the sole exception of the Lincoln Continental, Lincoln is an SUV/crossover-only brand now. The Lincoln MKZ will officially end production after this year. The Lincoln Continental is expected to stick around for another year or so. Looking further ahead, Lincoln is developing an all-electric SUV with Rivian, whom Ford invested $500 million in last year. The eventual arrival of this unnamed EV, along with other new vehicles, will only help Lincoln residual values in the years to come.