Commercial Van Tire Segment Continues to Deliver Growth

Commercial Van Tire Segment Continues to Deliver Growth

In addition to increased e-commerce sales during the pandemic, many elements have influenced the growth of the commercial van tire segment.

With consumers continued online purchasing and the expectation of fast delivery times — even beyond the pandemic — the commercial van tire segment remains poised for steady growth. Expanded regional and local fleets with more demanding delivery routes means that tire dealers who are savvy in the nuances of this niche stand to grow their bottom lines by serving these customers.

“The rise in e-commerce over the past few years has really pushed the usage and importance of commercial van tires,” says Doug Martin, product manager for specialty tires at Continental Tire. “Coupled with the continued use from contractors, construction companies and other smaller fleets, the segment has grown in size and importance.”

According to Joe Hughes, customer engineering support manager for Michelin North America, in addition to increased e-commerce during the pandemic, there have been many elements that have influenced the growth of both last-mile delivery and the commercial van tire segment.

“Companies adopted a ‘do more with less’ approach due to both economics and to increase their sustainable approach to last-mile fleets,” he says. “As a result, vehicles in this area are shifting to smaller sizes overall. Also, higher growth in the C-Metric product category is directly related to the growth of the last-mile delivery and van tire segment.”

Expect Further Growth

All of these expectations and trends have combined to create long-term demand for commercial van tires. Manufacturers anticipate that this pattern will continue.

“We expect the full-sized commercial van segment to continue to grow in the coming years with the current popular vehicles, along with the introduction of new EV variants such as the Ford E-Transit, Mercedes-Benz eSprinter and other new EV commercial vans,” says Drew Dayton, Yokohama Tire senior product planning manager for consumer tires. “Demand for small commercial vans still seems to be strong, but recent news of the cancellations of the Ford Transit Connect, RAM ProMaster City and Mercedes-Benz Metris make this sub-segment a little less certain.”

Dave Johnston, senior manager of commercial product and business development for Toyo Tires, says the company is investing heavily in commercial van tire development and expects the segment to continue to be a large part of future economic development.

“Normalization of online ordering and the expectation of quick delivery times has now become part of our post-pandemic culture,” he adds.

Yokohama-bluearth-van-tire

Technology & Performance

Hardworking commercial van tires must offer durable performance supported by construction and technology that will meet fleet needs — and it’s about more than just longevity.

“Commercial van owners are looking for a tire that will handle their vehicle’s load-carrying capacity while providing excellent wear performance,” Dayton says. “All-season performance and durability are also important tire characteristics to provide additional confidence that their tire will hold up to their daily needs.”

Johnston says, “The most important aspects of last-mile delivery tires include low-speed durability to handle stop-and-go traffic, hazards such as curbs and potholes, and year-round traction to ensure time-sensitive cargo is delivered on time and fleets remain on the road.”

Whether an internal combustion engine vehicle or a battery electric vehicle (BEV), urban delivery fleets will continue to evolve, according to Huges.

“We expect to see development continue in tire durability, including longer original mileage, robust sidewalls designed to resist curbing damage, improved wet traction handling abilities in high stop-and-start environments, and improved rolling resistance to assist BEV range,” he says.

Michelin-commercial-van-tires-1400

From a technical standpoint, Martin notes that compounding and tread design are a function of what type of commercial van tire is desired. Typically, in the U.S. the van tire segment ranges from all-season to winter, with tread patterns that are generally either symmetrical or directional.

“The important technical aspects of the design revolve around optimizing the footprint and including compounds for high pressure and heavy loads, high torque from stop and go driving, as well as sidewall features to add robustness against curb scrubbing,” Hughes says. “A specific note around the C-Metric tires is that they are designed for higher load carrying capacity than LT-Metric tires of the same dimension. It is important that last-mile fleet owners understand the difference and don’t interchange the two.”

“Last-mile fleets require highly durable tires that keep their vans on the road and deliveries on time,” Johnston says. “Stop-and-go traffic and urban hazards such as curbs and potholes are very hard on tires. Traction in wet conditions as well as colder regions requires fleets to have multiple options to ensure they have the right tire. New compounds and tread designs on high-quality casings meet these needs head-on.”

Meeting Customer Needs

As with any niche segment, it’s vital for tire dealers to understand what their commercial van fleet customers are seeking, as well as the nuances of the job. Martin says understanding a fleet’s needs will help direct dealers to the proper fitments, helping them reduce downtime.

Grabber-HD-Van

Huges agreed noting the difference between LT-Metric and C-Metric tires for van use. These types of commercial tires are designed with the usage conditions of last-mile delivery in mind and are better suited for this type of application than other LT tires, he said.

“Currently, there are LT-Metric tires designed for consumer and recreational use as well as commercial use. C-Metric tires, on the other hand, are designed for higher load carrying capacity than commercial LT-Metric tires of the same dimension,” he said. “Fleets need to ensure they are utilizing the correct tires designed for their usage.”

Dayton added that load-carrying capacity is a key factor when dealing with this segment.

“It’s important to know the vehicle’s load-carrying capacity and how the customer will be using their commercial vans,” he said. “Using the correct tire is important to maintain the safety and performance of the vehicle for the customer.”

You May Also Like

EV tire satisfaction gap widens as wear rates increase, J.D. Power study finds

The J.D. Power study shows that EV owners have similar expectations of tire wear as owners of gas-powered vehicles do.

The satisfaction gap with original equipment tires between electric vehicles (EVs) and gas-powered vehicles is widening, as EV owners say their tires are wearing faster, according to the recently released J.D. Power 2024 U.S. Original Equipment Tire Customer Satisfaction Study. J.D. Power said the study shows that EV owners have similar expectations of tire wear as owners of gas-powered vehicles do, despite EV tires naturally wearing faster due to greater vehicle weight and higher torque.

Falken secures victories at the Mint 400 using Wildpeak M/T, R/T tires

Cole and Sky Johnson secured a victory in the 4400 Unlimited Class and Josh Atteberry earned second place in the 4600 Stock Class.

Falken-Mint-400
Continental Tire introduces six new/refreshed tire products during 2024 GOLD dealer meeting

Company leadership also detailed updates to marketing/incentive programs.

Conti-welcome-logo-outside-1400
Kumho Tire U.S.A. launches two new EV tire options

The Majesty 9 Solus TA91 EV is ideally suited for drivers of EV coupes, sedans, and CUVs, while the Crugen HP71 EV is designed for CUVs and SUVs with an added level of all-weather performance.

Majesty-9-Solus-TA91-EV-Crugen-HP71-EV-Kumho-Tire-1400
Pirelli equips its P Zero Elect tire on the Hyundai IONIQ 5 N

In a two-year collaboration with Hyundai, Pirelli said it developed a custom version of its P Zero tire for the EV.

Pirelli-hyundai-ioniq

Other Posts

How Lucid Motors leverages tire manufacturer partnerships to drive sustainable innovations

The automotive industry is leveraging supplier partnerships to overcome common sustainability challenges.

michelin-lucid-tires-1400
Recommending summer tires based on customer demand

Let’s talk about why clear communication with customers is key with this segment.

TR-Continental-summertires
How vehicle alignment affects ADAS features

It’s not just about keeping the vehicle traveling straight anymore – proper alignment is critical for ADAS features to function correctly.

TR-Continental-alignmentADAS
Continental Tire discusses how prioritizing dealer feedback maximizes profits

Continental Tire executives talk about the status of the PLT tire market, the company’s strategic balance between OE and replacement tire offerings, and more.

conti-Combo-1400