Ford Motor Company, General Motors, Stellantis, Mercedes-Benz, and Nissan have all made the same decision over the past few years:
The OEMs abandoned small work vans.
Models like the Ford Transit Connect, RAM ProMaster City, Chevrolet City Express, Mercedes-Benz Metris, and Nissan NV200 are gone.
However, the customers who depended on them are not.
This moment represents more than a product gap. It represents a relationship test—and a massive opportunity for dealerships willing to think beyond the OEM order guide.
The Real Reason OEMs Walked Away from Small Work Vans
OEMs didn’t abandon small vans because they failed customers.
They abandoned them because they failed internal ROI models.
Across manufacturers, the pressures were consistent:
- Regulatory and safety costs increased regardless of vehicle size
- Electrification investments demanded platform consolidation
- Compact vans carried thin margins compared to pickups and full-size vans
- Global platform strategies diverged between Europe and North America
For OEMs, simplification was logical.
For customers, it created friction.
And for dealerships, it created responsibility—and opportunity.
What This Means for Dealership Leadership
When OEMs exit a segment, customers feel displaced.
When dealerships step in with solutions, loyalty deepens.
Small van customers are typically:
- Tradespeople
- Urban service companies
- Delivery and maintenance fleets
- Owner-operators with tight cost controls
They don’t want “bigger.”
They want efficient, predictable, and affordable.
The dealership that helps them navigate this transition becomes more than a vendor—it becomes a partner.
Solution #1: Reframe the Vehicle Conversation Around Total Cost of Ownership (TCO)
When compact vans disappear, the instinct is to sell “up.”
The smarter move is to sell smarter.
Show customers:
- Fuel cost comparisons
- Maintenance intervals
- Resale value projections
- Downtime reduction through better service scheduling
A properly configured half-ton pickup or full-size van—paired with the right upfit—often delivers lower long-term cost than the compact van it replaces.
When you lead with lifecycle economics, resistance drops.
Solution #2: Replace Size with Specification, Not Mass
Customers didn’t buy small vans because they were small.
They bought them because they were right-sized for the job.
Dealerships can replicate this by:
- Offering ladder racks, bins, drawers, and shelving systems
- Using interior height and access improvements instead of external bulk
- Spec’ing wheelbase, roof height, and payload intentionally
A well-spec’d replacement vehicle restores confidence—even if the footprint changes.
Solution #3: Use Telematics to Offset Vehicle Growth
Telematics changes the conversation entirely.
With proactive data, dealerships help customers:
- Monitor idle time and fuel waste
- Predict service needs before breakdowns
- Optimize routing and vehicle utilization
- Reduce unplanned downtime
When customers see that a slightly larger vehicle runs more efficiently, the objection disappears.
Telematics doesn’t just justify the replacement—it future-proofs the relationship.
Solution #4: Create a “Compact Van Replacement Program”
This is where elite commercial dealerships separate themselves.
A replacement program includes:
- Standardized vehicle alternatives
- Pre-approved upfit configurations
- Telematics enrollment
- Fixed Ops service scheduling
- Trade-cycle planning from Day One
Instead of apologizing for OEM decisions, the dealership leads the transition.
Customers feel guided—not abandoned.
Solution #5: Anchor the Relationship in Fixed Operations
The real lifetime value of small van customers was never the sale.
It was the service relationship.
Replacement vehicles often:
- Stay in service longer
- Require more structured maintenance
- Generate higher Fixed Ops engagement
Dealerships that intentionally integrate sales and service retain customers—even when the original vehicle disappears.
Why This Moment Matters
OEMs made strategic decisions based on scale and capital.
Dealerships now have the chance to make decisions based on relationships and trust.
This is the inflection point where:
- Transactional dealers lose relevance
- Consultative dealers gain loyalty
- Commercial departments mature into ecosystem leaders
OEMs sell vehicles.
Great dealerships protect businesses.
Are OEMs Coming Back to the Small Work Van Market? Signs to Watch—and Timelines to Know
General Motors, Hyundai Motor Company, and select global OEMs are quietly re-evaluating the small-van concept—but not in its old form.
There is no indication that legacy models like the Transit Connect or ProMaster City are returning as internal-combustion vehicles. However, there are credible signals that electrified, right-sized commercial vans may re-enter the North American market later this decade.
What’s Changed Since OEMs Walked Away
OEMs didn’t abandon small vans because the use case disappeared.
They abandoned them because ICE platforms could no longer justify the cost structure.
Electrification changes that equation.
EV architectures offer:
- Flat floors and modular packaging
- Lower mechanical complexity
- Easier scalability across sizes
- Better suitability for urban, stop-and-go duty cycles
Ironically, small work vans make more sense as EVs than they ever did as ICE vehicles.
What OEMs Are Actively Exploring
- General Motors + Hyundai Motor Company: Both companies have publicly acknowledged joint development programs that include electric commercial vans, with projected North American timelines around 2027–2029. These platforms are expected to prioritize urban delivery, service fleets, and last-mile applications.
- Global EV Van Platforms (Korea & Europe): Several OEMs are launching purpose-built electric commercial vans overseas in the 2025–2027 window. While not yet confirmed for U.S. sale, these platforms are designed to be scalable for North American regulations if demand and infrastructure align.
- What OEMs Are Not Doing: No OEM has announced:
- A gasoline or diesel compact van revival
- A direct one-for-one replacement for legacy small vans
- Near-term (2025–2026) U.S. launches
This confirms the reality: any return will be electric-first and later-decade.
Why This Matters to Dealerships Now
OEMs are planning vehicles.
Dealerships are responsible for relationships in the gap.
That gap—between today’s discontinued small vans and tomorrow’s potential EV replacements—is where loyalty is either won or lost.
Dealerships that:
- Educate customers on EV readiness today
- Introduce telematics and lifecycle planning now
- Position replacement vehicles as transitional solutions, not compromises
will be the first call customers make when compact EV vans eventually arrive.
Strategic Takeaway for Dealer Leadership
Small work vans are not “dead.”
They are paused, re-engineered, and waiting for economics to catch up.
OEMs will return when electrification makes the math work.
Dealerships that prepare customers before that return will own the segment when it happens.
The dealers who win tomorrow are the ones guiding customers today— even when the product doesn’t exist yet.
Your small-van customers are already asking questions.
The only question left is whether your dealership will have the answers.
If you want a clear, executable plan to retain these customers and replace discontinued small vans with confidence—contact me today. I’ll help you turn this market disruption into a long-term competitive advantage.
