Importers

Volvo expects stronger business this year

Volvo expects stronger business this year



Volvo makes it easier to buy

The company’s trucks are well-regarded but new customers may be enticed by a more convenient financing scheme

July 2014

Volvo Trucks Middle East has announced a regionally-managed financing scheme to further boost business which saw a 13 per cent increase in forecasted deliveries in Q1. The company projects growth of 20 per cent for the Middle East and 13 per cent for the GCC segment this year compared with 2013.

The introduction of the financing programme comes at a time when the regional construction industry is set for rapid growth thanks to heavy government investments and diversified market drivers, including a growing population, infrastructure development, an increase in tourism, and preparations for the upcoming Dubai World Expo 2020 and FIFA World Cup 2022, the company said.

It also follows the launch in January of three new models – the FH, FM and FMX.  Together with the brand’s on-going best-seller, the FH, the new models constitute the most significant development in the truck world for a generation, delivering the most advanced safety, efficient and performance-oriented features currently available in the global truck market.

Henrik Larsson, sales finance advisor, Volvo Trucks Middle East, said: “The growth in regional markets and the introduction of new trucks has spurred increased demand, and so there is more of a need for active support in local markets. While this financing programme already existed, it was managed from Sweden. Now we are offering these options in the Middle East, which will ensure even better customer service, a shorter lead time, and better understanding of our customer needs via face-to-face meetings. A better customer service means that our local presence will allow us to gain better access to the local and regional financial markets.

“This scheme allows us to bring our customer service to a new level and assist them in choosing products depending on their specific needs and financial capabilities. Our role is as an advisor to help them make the best possible choice.”

The truck manufacturing giant works with a large network of many of the major global and regional banks which deals through a range of currencies including US dollars, the euro and Sweden’s SEK, allowing regional business’ greater financing options.

With financing typically up to five years, which can be tailored specifically to a business’ needs, the scheme provides a number of payment options designed to reduce payments or initial down payments and offer other conveniences.

Meanwhile, a Volvo Trucks Middle East spokesperson said: “All the three new models (FH, FM and FMX) are successful in their specific segments as they respectively cover the long haulage, construction and heavy construction segments. The company has indeed registered a strong sales performance of the new Volvo trucks range.”

FH, the flagship model, accounted for more than 55 per cent of Volvo Trucks sales in the GCC region last year. The FMX comes second with roughly 30 per cent. Saudi Arabia accounts for most sales, followed by the UAE and Oman. The state showing the most sales improvement in 2013 was Oman. The long haul and construction segments contributed to most sales in the GCC states.




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