Ford, Ram report increase in van sales amid coronavirus pandemic

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While the COVID-19 pandemic has brought production freezes along with huge sales losses for major auto manufacturers, at least two industry giants are reporting increased demand for vehicles that don’t exactly play starring roles at local dealers.

Both Ford and Ram have seen increased demand for vans that support pickup and delivery (P&D), which got a nice boost from increased ecommerce sales through growing shelter-in-place directives.

“We have seen some additional requests for additional Transit production in the package delivery vocation,” says Elizabeth Kraft, Ford’s commercial vehicle communications manager.

Ram also reported more vehicle sales that support online shopping.

“As for P&D, we have seen an uptick in vans and chassis applications for support, for sure,” says Trevor Dorchies, Ram spokesperson. “I can’t give exact figure but there’s been a slight uptick for sure.”

Some bargains may be had during the pandemic. Dealers have stepped up zero-down, interest free loans for 72 and 84 months for qualifying buyers.

“Nearly 20 percent of all loans in March were 84-month compared to 8 percent last month, so its acceptance as a mainstream option has exploded on the scene,” says J.D. Power Vice President Tyson Jominy, who leads the company’s data and analytics consulting division.

“Not only are there great deals in market, and will be in the future, we are also seeing a shift to online sales from this event making buying a vehicle easier than ever,” Jominy says. “Dealers are willing to do all the negotiating over email or phone and the vehicle can be delivered to your home or place of business. You need not ever step in a dealership if you don’t want — or in many states can’t.”

Both Ford and Ram said their current inventories are in good shape to support the pickup and delivery uptick. Jominy agreed.

“Large and small commercial vans had more than sufficient stock on hand when the virus first hit at the end of February, so there’s certainly no reason to speed up a purchase if it isn’t necessary,” he says. “After nearly a month of coronavirus lockdown, there is no supply shortages yet. Even with the shutdowns of all assembly plants in the U.S., these are expected to be temporary in nature.”

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