Companies Adapting to COVID-19 ContingencyBy Alejandro Enríquez | Fri, 04/03/2020 - 12:54
Companies are starting to adapt to the COVID-19 situation. Uber will offer compensation to partner drivers put into quarantine, while GM will offer home deliveries and pick-ups for car maintenance. Toyota also announced a three-month extension for customers’ credits.
Meanwhile, COVID-19 effects are starting to be felt as new-vehicle sales decrease a 16.11 percent compared to February. J.D. Power forecasts a 24-percent sales drop in 2020 due to the situation. Notably, Kia finally announced an operations suspension after a government request to do so.
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COVID-19’s Effects on Sales
- The country experienced a sales decrease of 16.11 percent in March compared to February.
- ANERV, a tracking-company association, forecasts that truck robberies could increase between 30 and 50 percent during the COVID-19 contingency.
- J.D. Power forecasts a 24-percent sales drop in the country in 2020.
Consumer-centered Strategies Amid COVID-19
- GM in Mexico will support ‘stay at home policies’ through home car pick-ups and deliveries for maintenance services.
- Uber will offer partner drivers a compensation in case they are quarantined due to COVID-19.
- Toyota Financial Services announced it will concede a three-month-extension on customers’ credits.
OEMs Extend Suspension
- Volkswagen ceased operations in Puebla and Guanajuato until April 30.
- Ford’s plants are shut down in North America until further notice.
- Honda will restart operations until April 14 in Mexico.
- Kia suspends operations due to a federal government request.
Electrification Carries on
- Tesla deliveries increased in 1Q20 compared to 1Q19 with a total of 88,400 vehicles.
- Honda and GM strengthen their partnership toward EV development.