Penarth traders say they are losing business because there is nowhere for customers to park in the town centre.
Business owners are calling on the Vale of Glamorgan Council to lift restrictions on loading bays along Windsor road.
Customers are not allowed to park in loading bays until midday to allow for deliveries.
Chair of Penarth Traders Forum Justin Horton said: “There are quite a lot of loading bays in the town which are catching people out.
“People are parking in the loading bays getting back to their cars and finding that they’ve got a ticket.
“If people get tickets, all they remember about Penarth is that they had a parking ticket here, not the great shops that we have – it doesn’t give the best impression.
“It is causing bad feeling and resulting in fewer people coming into the town centre.
“If the parking issue is not resolved, it will continue to put people off visiting the town.”
According to a survey done by Penarth Traders Forum most deliveries happen earlier on, before nine o’clock.
The Vale of Glamorgan council says a car parking strategy for the town is to be discussed at cabinet meeting in Spring.
But traders says action is needed now before the problem gets worse.
Mel Griffin, owner of Griffin Books, said the loading bays are not the only problem: “We’ve had a lot of feedback from customers of how challenging it is for them to find a space. They’ve driven around and around and get increasingly frustrated and in some cases give up and inevitably go elsewhere.
“It’s going to make people think twice about coming into Penarth, if they can’t be sure that they can park somewhere or leave their car for the day.