BUSINESS ISSUES
BUSINESS ISSUES
Market Outlook
Future- Focused Fleets
Manufacturers Reflect on Equipment Purchasing Considerations
By Seth Skydel
Vehicle acquisitions, one of the largest expenses for fleets, are driven by several factors. Among them are economic issues and financial and budget considerations. At the same time, vehicle replacement needs and future business and operational requirements also factor into those decisions.
“ Our vocational segments are seeing elevated year to date sales growth,” said a spokesperson for Daimler Truck North America, the parent company of Freightliner and Western Star brands.“ Federal infrastructure spending has spurred growth in the construction sector while aging vocational vehicles have generated demand for replacements. Looking ahead, we will remain agile in the coming year to meet our customers’ needs for equipment.”
To gauge how manufacturers see purchasing trends and the factors impacting them, Lift and Access
discussed those topics with several market leaders. The panel of experts included:
● John Bistritz, Regional Vice President Sales & Marketing, Altec
● Kevin Lieberum, Commercial Truck Brand Manager, Ford Pro
● Tim Wrinkle, Senior Product Manager, Mack Trucks
● Joe Caywood, Director of Commercial Operations, Terex Utilities
What purchasing trends
Q: are you seeing for trucks and equipment among utility fleets?
Caywood: In general, the drivers for asset replacement remain focused on utilization, age and overall operating cost. Areas with significant growth from population, data centers or other drivers are increasing fleet
Drivers for asset replacement remain focused on utilization, age, and overall operating cost, noted Joe Caywood, Director of Commercial Operations, Terex Utilities.
sizes to meet the demand. Leading trends with utility fleets also include fleet electrification. In our industry, the limiting factor is typically chassis mileage that dictates when an asset will be replaced.
Bistritz: Many utility fleets seem to be circling around idle mitigation and ePTO options when applicable and leveraging telematics data to drive better decisions. In addition, they are navigating OEM allocations and managing capital budgets that often aren’ t sufficient to replace all their aging or maintenance-heavy assets.
Wrinkle: Recently, the storm damage across the southeast has spurred truck purchases. In general, utility trucks are purchased to support contracts involved with infrastructure maintenance or construction. Both industries have long term planning in
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