Automobile companies have found the last few months an increasingly perilous time to be in the transport industry. With many people worried about their finances and much more reluctant to open their wallets to buy high-priced items, Van companies have been looking towards both making savings and cementing their market share.

Industry hit hard by slow-down in sales

In Germany there are reports that Volkswagen have been cutting staff in their commercial vehicle production teams and this has also been followed by Ford in the UK.

Many manufacturers have been looking towards the government to help their industry with some form of financial stimulus package.

“LDV is producing the vans of tomorrow today and we hope the UK Government recognises and supports such UK innovation. (Our company) is struggling to forecast when sustained demand for new vehicles will recommence and losses are presently being incurred due to little or no production and reduced sales.” Commented Guy Jones, from LDV, the commercial vehicle maker based in Birmingham.

According to the latest figures, new van registrations dropped 14% in 2008, with a particularly steep decline in December, which saw a drop of 26%. This has severely affected LDV, which due to a fall in demand has failed to re-open its Birmingham plant. The plant employs 900 people and LDV hope that they will receive support from the government to get themselves back on track.

Increased competition and lower prices

For van insurance customers then, there has never been a better timer to take advantage of some of the great deals being offered by manufacturers who hope to boost sales.

Renault has recently launched its annual Van Week, which will this year actually run for a fortnight. From the 16th to the 31st of January the French maker is offering big savings on its commercial vehicles range.

According to a company spokesman, the deals are being extended to help give struggling drivers more time to take advantage of the deals on offer.

Buyers will be able to choose between three free offers with the purchase of a new van. The choices are firstly, an air-conditioning pack. Secondly, 12 months free road tax and finally a TomTom satellite navigation system.

The ranges that fall under the deals include the Kangoo Compact, the Kangoo Van, and selected models from the Trafic, Master and Passenger ranges.

According to figures announced by Renault earlier this month, the company has increased its market share 0.2% in the last year.