During the first half of the twentieth century, the Packard was one of America’s premier luxury automobiles. While the concept of the automobile was first developed in Europe (see History 101: Karl Benz and the Birth of the Automobile), by the end of the nineteenth century many American entrepreneurs had established companies to manufacture and sell automobiles. One of the first American companies to manufacture and sell automobiles was the Winton Motor Carriage Company. By 1899, mechanical engineer James Packard was convinced that he could build a better car than the Winton. Packard had offered suggestions for improving the Winton to Alexander Winton, but these suggestions were ignored. One history reports that the interchange between Winton and Packard was a furious argument:
“When the flying sparks and thunder of verbal battle had reached their height, Winton challenged Packard to build a better car. James Ward Packard not only accepted the challenge but went to work immediately.”
James Packard, together with his brother William Packard and George Lewis Wiess (a stockholder in the Winton company), built a factory in Warren, Ohio and produced the first Packard on November 6, 1899. Between 1899 and 1903, the factory produced 400 automobiles. The first Packards were powered with a single-cylinder engine and featured a steering wheel (many cars at this time used steering rudders instead of wheels).
In 1900, the Ohio Automobile Company was founded to produce Packard automobiles and in 1902 the name was changed to the Packard Motor Car Company with James Packard as president.
With regard to marketing, Packards were an automobile for the wealthy. They had a starting price of $2,600 at a time when the Oldsmobile Runabout sold for $650, the Gale Model A sold for $500, and the Black was only $375.
In 1903, Packard constructed a modern automobile manufacturing plant in Detroit. Packard produced luxury automobiles not only for the American market, but also for foreign markets. By the 1920s, Packard was exporting more cars than any other make in the luxury class.
The Great Depression of the 1930s sounded the death knell for many American automobile manufacturers. Packard responded to the challenges by continuing to manufacture luxury automobiles. Packard had a single production line with interchangeability between models which meant that Packard was able to keep its costs down. In addition, Packard did not introduce new models annually.
By 1935, the Great Depression forced Packard to introduce its first lower priced car, the Packard 120. Sales tripled in 1935 and then doubled again in 1936. The 120 model was built in an entirely separate factory. By 1936, the company’s labor force was evenly divided between the Senior lines (i.e. the luxury vehicles) and the low-priced Junior models. While Packard produced only 1 Senior car for every 10 Junior cars, the Senior cars required more hand labor.
Like all automobile manufacturers, Packard ceased automobile production during World War II. In late 1945, the company resumed production with the Clipper (a Junior model). Like other automobile of this era, the 1946-1947 models were essentially the same as the 1941 models. In the post-war era, Packard management decided to emphasize the higher volume lower-priced models instead of the more expensive (and more profitable) Senior models.
In the post-war era, most automobile manufacturers were able to produce new, modern-looking designs for 1948-1948. But Packard was unable to produce a new design until 1951. By this time, Packard had lost its reputation as a luxury car and was not competing well in the mid-priced market.
In 1952, James J. Nance became president of Packard and announced that Packard would build only luxury models to compete with Cadillac. The company would cease production of mid-priced cars. While Nance had hoped for a total redesign for the 1954 model year, the company lacked both money and time to make this happen. The revolutionary new model did not appear until 1955. Despite the redesign, Packard lagged behind both Cadillac and Lincoln in sales of luxury cars.
Packard merged with Studebaker to become Studebaker-Packard and the last Packards were produced in1958.
LeMay—America’s Car Museum
Shown below are some of the Packards on display at the LeMay—America’s Car Museum in Tacoma, Washington.
Montana Auto Museum
The Montana Auto Museum is housed in the Old Montana Prison in Deer Lodge, Montana. The museum displays more than 150 automobiles. Shown below are some of the Packards in this collection.
Western Antique Aeroplane and Automobile Museum
The Western Antique Aeroplane and Automobile Museum in Hood River, Oregon has a collection of more than 100 automobiles. Shown below are some of the Packards in their collection.