Paul Kaye, sales and marketing director at Close Brothers Motor Finance, reflects on how the events of 2016 affected the world of motor finance where the evergreen Ford Focus is the top financed car for Close Brothers.
2016 was a year of ups and downs for the economy. The first half of the year was dominated by the uncertainty in the lead up to the EU Referendum, which caused many businesses to halt investing and hiring until the result of the vote was known.
Once the result for Brexit was confirmed, this understandably shook the economy and caused several industries to dip amongst further uncertainty of our future. Nevertheless, one industry that has stood firm, grown and prospered among all this uncertainty and instability is the motor industry.
This year proved to be another golden year for motor industry – the most recent SMMT figures standing at 2.5 million new cars registered to date. The used-market has also seen record rises in sales, with the latest Q3 figures for the market showing over 6.3 million cars to date being sold which is an 8% rise from 2015.
Consumers really have never enjoyed so much choice – whether it’s brand, body style or fuel type, the range of finance packages on offer makes them more accessible than ever.
To celebrate a great year for the industry, here at Close Brothers Motor Finance we have listed our top 10 most financed vehicles of 2016.
- Ford Focus
- Ford Fiesta
- BMW 3 Series
- Vauxhall Astra
- Vauxhall Corsa
- BMW 1 Series
- Volkswagen Golf
- Ford Transit
- Mini Hatchback
- Vauxhall Vivaro
It is unsurprising to see Ford dominate our most financed cars of 2016, with the Focus and Fiesta remaining the most financed vehicles of 2016, closely mirroring the SMMT’s statistics for 2016 sales. BMW 3 Series and 1 Series sandwich the popular Vauxhall Corsa and Astra models, perhaps indicating the aesthetic nature of BMWs.
It’s also worth pointing out that our top 10 also includes two vans – the Ford Transit and Vauxhall Vivaro. 2016 has been a strong year for new and used sales across the board; however, strong continued demand for business and fleet markets has also been a highlight, which we’ve seen borne out in our own business performance in the light commercial vehicle sector.
2016 has been a great year for sales in both the new and used market, but the year ahead will be a different environment. With speculation of rising inflation amidst falling consumer confidence, we expect to see a rise in demand for affordable vehicles which will be matched by tailored finance packages.
The road ahead will pose many interesting challenges for dealerships in attracting and retaining customers to the forecourt.
However, it is one that we at Close Brothers Motor Finance are greatly looking forward to, and we will continue to support our dealerships and customers through not only bespoke finance options, but through our branch network, helping to ensure local dealers are supported with business development whilst using local knowledge to help cater to their customer’s specific vehicle and financing requirements.
This is what we have done over the last 28 years, and will continue to do so in the future.