Randstad motoring ahead with fuel efficiency device

Jun 25 2008 by Peter McCusker, The Journal

AFAMILY business which is the sole UK distributor of a fuel efficiency product which is claimed to cut hundreds of pounds off annual motoring bills is preparing to expand as fuel prices soar.

Cramlington-based Randstad, says the market for its DPT (diesel power tuning) device is growing rapidly as company fleet managers and private motorists think long and hard about cutting bills and reducing CO2 emissions.

As the sole distributor in the UK, Ireland and Spain, Randstad says it is in a strong position to develop a substantial market for the product, which in recent weeks has been endorsed by one of the UK’s best known motoring journalists, the Sunday Mirror’s Quentin Wilson. Randstad currently takes about 35% of all the DPT made by Dutch firm Wim Essing.

Martin Dowd, managing director of Randstad, said: “It’s a fantastic product. It costs £300 and in a lot of situations the product will have paid for itself within 10 months. We have established a network of installers across the UK from Wick in Scotland to Cornwall. To date, we have sold 2,500 units but there is no reason we cannot sell half-a-million units and then more.

“Our turnover could easily quadruple and this would obviously mean a significant increase in the number of staff we currently employ.”

Randstad was established in 1976 as Tyne & Wear Autoparts by Martin’s brother Tony, who is now chairman.

It has been based in Cramlington since 1985 and in 2004 it relocated to a 25,000sqft freehold unit on a 2.5 acre site at Crowhall Road, which will allow room for further expansion. The company is currently working on securing more contracts with fleet operators. A recent deal involved selling 166 units to a Surrey company for installation in its fleet of luxury minibuses.

Randstad is also involved in talks with Transport for London to secure the rights for use on the capital’s 20,000 Hackney cabs.

Mr Dowd said: “The business is well-placed to grow rapidly. We have in place an existing telesales operation. It’s a product that appeals to all motorists.” Randstad, which employs 35 people, is an automotive parts distributor and was able to secure the rights for the product with the help of the Allied Irish Bank (GB) in Newcastle.

Mr Dowd said: “Competition in the automotive industry is tough and continued success requires that we have the ability to make innovative, opportunistic decisions at all times. Allied Irish Bank (GB) helps us achieve this.”

Our turnover could quadruple and this would mean a significant increase in staff we employ