Marketing and Selling a Legend
As the launch of the 1965 Ford Mustang approached, Ford was confident its new
sporty car was on target. Its job now was to let the country know about this new kind of
car. The introduction of what popularly would be known as the 1964 1/2 Ford Mustang
was an encompassing and brilliant marketing blitz. America had scarcely seen
anything like it.

With the curtain poised to rise in early 1964, Dearborn marketers shifted into
overdrive to get the public ready for Mustang. Though Ford previewed the showroom
model at a January 1964 press conference, it put the information revealed under an
"embargo," meaning reporters weren't supposed to go public with it before a date
Ford had set. This tactic is still widely observed in various industries, a sort of
cat-and-mouse game between manufacturers and the Fourth Estate.

The weeks leading up to Mustang's debut saw big stories in all sorts of places:
Business Week, Esquire, Life, Look, Sports Illustrated, U.S. News & World Report, The
Wall Street Journal -- and, of course, almost every "buff book" car magazine. Finally,
the wraps came off. On April 16, Ford presented its new baby to some 29 million TV
viewers, buying the 9 p.m. slot on all three networks. Friday, April 17, was the public
rollout. That morning, 2600 newspapers ran announcement ads and articles while the
Mustang was revealed to opening-day visitors at the New York World's Fair.

Ford invited some 150 journalists to the unveiling -- and some sumptuous wining and
dining. The next day, it set them loose in a herd of Mustangs for a 750-mile cruise to
Motown. "These were virtually hand-built cars. Anything could have happened," a
Ford official remembered. "Some of the reporters hot-dogged the cars the whole way,
and we were just praying they wouldn't crash or fall apart. Luckily, everyone made it,
but it was pure luck.

The publicity blitz didn't end there. A flood of print and TV advertising insured that
almost everyone in America knew the "unexpected" Mustang had arrived. Ford also
stoked public interest with numerous promotions and events. A highlight was getting
Mustang named official pace car for the 1964 Indy 500. Though a white convertible
with blue dorsal racing stripes led the field on Memorial Day, Ford built another 35
ragtops and some 195 hardtops decked out in the same regalia. The convertibles
were later sold, the hardtops given away in dealer-sponsored contests.

It all added up to a not-so-small fortune, but the money was well spent. Mustang
caused more excitement than any Ford in a generation. It surely provided a welcome
mood lift for a nation still coming to terms with the assassination of President John F.
Kennedy the previous fall.

Public reaction to the 1965 Ford Mustang was beyond even Ford's expectations, and
"Mustang Fever" was soon a national epidemic.

It was the same story everywhere. And why not? Mustang looked sharp and was
priced right. The hardtop started at just $2368 f.o.b. Detroit, a fact naturally trumpeted
in early advertising. Dealers couldn't get cars fast enough. Early models sold at or
above retail -- with very unliberal trade-in allowances.

Though first-year sales were originally pegged at 100,000 units, Ford chief Lee
Iacocca upped the estimate to 240,000 as announcement day approached. But even
that proved conservative. Ford needed only four months to move 100,000 Mustangs.
By mid-September 1965, the total was 680,989, an all-time industry record for
first-year sales, though a 17-month model "year" helped. The millionth Mustang was
built the following March.

Despite this runaway success, some automotive experts could muster only qualified
enthusiasm for the Mustang. After all, wasn't it basically a humble Falcon beneath that
striking exterior? Perhaps, yet somehow it didn't matter, certainly not to buyers. "That
was the magic of this car," Ford chief Lee Iacocca said later. "It stood out, yet it was
everyman's car." He might have added that women loved -- and bought -- Mustangs
as much as men did.

Though the original 1965 Ford Mustang used many Falcon components to achieve a
low base price, the new coupe was rather more than just a slicker version of the
workaday compact. Of course, Mustang looked far sportier than the Falcon. But it also
ushered in an era of automotive personalization that was key to its success.

Sure, Lee Iacocca, the "father" of the Mustang, and the engineers he directed liked to
talk of significant mechanical and technical advancements in "weight control" made
possible by "platform construction," basically a modified unibody.

More obvious was how dressy even a basic Mustang seemed compared to the typical
Falcon, thanks to standard front bucket seats, vinyl interior, full carpeting, and full
wheel covers. As planned, the "starter" powerteam comprised the 170-cubic-inch
Falcon inline-six-cylinder engine sending 101 horsepower through a three-speed
manual floorshift transmission. It was a good combination, capable of returning up to
20 mpg. But who cared when gas cost a quarter a gallon? A car this sporty just had to
have a V-8.

There were four to choose from. The base option was a 260-cubic incher ($75)
offering 164 horsepower with two-barrel carburetor and a bore and stroke of 3.80 3
2.87 inches. Next came a 289 with a 4.00-inch bore and either 195 horsepower with
two-barrel carb ($108) or 210 with four-barrel ($162). The top option was a four-barrel
"Hi-Performance" (HP) 289 with 271 horsepower, yours for $443. For the "true"
1965-model-year Mustangs, the 170 six was replaced by an improved 200-cubic inch
unit with 120 horsepower, the 260 V-8 gave way to a two-barrel 200-horsepower 289,
and the four-barrel 289 was tuned up to 225 horsepower.

Except for the HP V-8, all Mustang engines could be ordered with a three-speed
manual transmission, a Borg-Warner T-10 four-speed manual ($116 for sixes, $76 for
V-8s), or Ford's three-speed Cruise-O-Matic automatic ($180/$190). The four-speed
was a "mandatory option" with the HP, a profit-boosting tactic then popular in Detroit.

The HP came with a 3.50:1 rear-axle ratio and was the only engine available with the
"short" (high-numerical) gearing favored by drag racers (3.89:1 and a tight 4.11:1).
Sixes came with a 3.20:1 axle, two-barrel V-8s a 2.80:1 gearset, and the regular
four-barrel V-8 with a 3.00:1 cog.

All Mustang V-8s used the efficient "thinwall" design inaugurated for 1962 with the
221-cubic inch Fairlane unit. The nickname referred to the advanced casting
techniques employed to make these engines the lightest iron-block V-8s in the
industry.

Shared features included full-length, full-circle water jackets; high-turbulence,
wedge-shaped combustion chambers; hydraulic valve lifters; automatic choke; and
centrifugal-vacuum-advance distributor. Four-barrel engines achieved their extra
power via higher-flow intake systems, more aggressive valve timing, and increased
compression, all of which dictated premium fuel.

The Hi-Performance 289 naturally went further. Besides tight 10.5:1 compression (vs.
8.8 or 9.0:1), it benefited from a high-lift camshaft, solid valve lifters, chrome-plated
valve stems, free-flow exhaust, and low-restriction air cleaner.

For those who didn't order (or couldn't get) the HP V-8 and later wished they had,
Ford dealers soon offered a slew of bolt-on performance enhancers. Many were
marketed under the Cobra banner, a canny move, as the same basic engine already
powered Carroll Shelby's fierce Cobra sports cars, already making their mark. As one
ad urged: "Mix a Mustang with a Cobra for the performance rod of the year!"

A good starting point was the big-port aluminum manifold available with single
four-barrel carb ($120), triple two-barrels ($210), or dual quads ($243). A "Cobra cam
kit" ($73) delivered the HP's solid lifters and camshaft, a "cylinder head kit" ($222) the
HP heads, big valves, and heavy-duty valve springs. An "engine performance kit"
combined those two packages with matched pistons ($343). Other over-the-counter
goodies included a dual-point Cobra distributor ($50), heavy-duty clutch, dual
exhausts (where not already stock), and engine dress-up kits with plenty of gleaming
chrome.

Deciding on a powertrain was just the first step in personalizing a Mustang in its
inaugural 1965 model year. Further down the long options list were power brakes
($42); power steering ($84); tinted windshield ($22); the same with tinted windows
($31); 14-inch whitewall or red-band tires (to replace 13-inch blackwalls); spinner
wheel covers ($18 the set); and 14-inch wire-wheel covers ($46).

Minor items like backup lights and padded dash and sunvisors are common standard
equipment now, but cost extra then. The priciest single option was air conditioning at
$283 (but not available with the HP V-8). Also on the menu: a "Rally-Pac" tachometer
and clock in a small pod atop the steering column ($69); deluxe steering wheel ($32);
sports center console ($52); pushbutton AM radio with antenna ($59); rear-seat
speaker ($12); a vinyl roof covering for the hardtop ($76); and power operation for
the convertible top ($54).

Then there were option packages to grapple with: handling suspension (V-8s only,
$31); Visibility Group (remote-control driver's-door mirror, day/night inside rearview
mirror, two-speed electric wipers and windshield washers, $36); Accent Group (pin
striping and rocker-panel moldings, $27); and Instrument Group (round speedometer
and four smaller dials including oil-pressure gauge and ammeter, $109).

Added in September were Kelsey-Hayes front-disc brakes ($57 and well worth it),
"Equa-Lock" limited-slip differential ($43), "spider-web" styled-steel wheels ($120),
front bench seat ($24), and a $165 GT Group comprising the disc brakes,
grille-mounted driving lights, special badges, and rocker-panel racing stripes like
those on Ford's GT40 endurance racer. A bit later on came the Interior Décor
Group, the so-called "pony interior" now highly coveted by collectors. This $107
package bundled the GT gauge cluster with woodgrain appliqués on dash and door
panels, a simulated-wood-rim steering wheel, door courtesy lights, and -- the main
attraction -- unique duo-tone vinyl upholstery with a herd of running horses embossed
on the upper seatbacks.

For the "true" '65s, Ford added a standard adjustable front passenger seat, an
alternator to replace the generator -- and the snazzy 2+2 coupe. Several names had
been considered for the last, including GT Limited, Grand Sport, and even GTO. But
2+2 was apt, as the semi-fastback had even less rear passenger space than other
Mustangs.

There was compensation, however, in greater utility via an optional rear seatback and
trunk partition that could be dropped down to form a usefully long, flat load floor. The
racy roofline incorporated gill-like air vents instead of windows in the rear quarters,
part of a flow-through ventilation system. The 2+2 also stood apart by omitting the
dummy-scoop rear fender trim, as did cars with pin striping and/or the GT package.

The options list for the 1965 Ford Mustang covered all the bases. It helped give the
car its wide appeal and was a big reason why sales took off so quickly. Perhaps more
than any car before it, a Mustang could be equipped to reflect an individual owner's
precise tastes and budget -- provided he or she was willing to wait for their dream to
be built.

Yet your custom carriage needn't cost a king's ransom. Even easily tempted
spendthrifts were hard-pressed to push delivered price above $3000. With so many
ways to go, a Mustang's personality could range from mild to wild, Spartan to sybaritic,
anything you wanted -- which explains why initial press reviews were no less varied.

To be sure, the car had some built-in flaws. Few testers faulted the styling, but many
griped that the steering wheel was too close to the driver's chest and the interior too
snug for the exterior size. As Motor Trend noted: "Five passengers can fit, but the fifth
one usually sits on the others nerves." Road & Track carped about the sparse,
Falcon-sourced instrumentation and flat bucket seats.

Most all reviewers hurled barbs at the fade-prone drum brakes, slow steering (even
with available "fast" ratio), and especially the standard suspension. R&T was
particularly critical in its initial test of three base-chassis hardtops: "The ride is
wallowy, there's a tendency [to float] at touring speeds, and the 'porpoise' factor is
high on undulating surfaces....The Mustangs we tested [were] indistinguishable from
any of half a dozen other Detroit compacts. There's just nothing different about it in
this respect. And this, we think, is unfortunate."
Early Mustangs
Ford Division chief Lee Iacocca, Ford Motor Co.
chairman Henry Ford II and Eugene Bordinat check
out the Mustang.
The Mustang convertible struts its stuff in one of two
photos used for announcement week ads.
Mustang's early sales pace was too much for Ford's
River Rouge plant, so production was added at two
other factories.
Mustang caused more buyer excitement than any
Ford in a generation. Terrific styling was one big
reason.
Even no-frills models were quite dressy, as vinyl
bucket seats and carpeting were all included.
The four optional V-8 engines ranged from a
164-horsepower 260 to a potent 271-bhp 289.
The 2+2 semi-fastback coupe had single windows
ahead of gill-like vents, a feature exclusive to that
optional body style.
The "true" 1965 convertible carries the highly
desirable GT Equipment Group with grille-mounted
driving lights, special emblems, racing stripes, and
more.
Early Mustang ads naturally played up the
hardtop's low $2368 base price.
Mustang & Shelby History
Part II
Mustang & Shelby History
Part II