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Dealer raided again; AGCO to acquire Lely Forage; STIHL roadshows conclude; Turf Maintenance LIVE returns
IN THIS ISSUE
PENN LAWN MOWERS RAIDED AGAIN
AGCO TO ACQUIRE LELY FORAGE DIV
STIHL 2017 ROADSHOWS CONCLUDE
TURF MAINTENANCE LIVE! RETURNS
AEA ANNOUNCE SPEAKERS
TECHNICAL SUPPORT APPOINTMENT
SALTEX EXHIBITORS EXPANDING
REESINK AWARDED BY TORO
TORO'S TITANS INTRODUCED TO UK
BALLYBUNION MAINTAINS QUALITY
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MARCH / APRIL 2017 issue :


COMPACT TRACTORS

DEALER PROFILE: GSR FARM MACHINERY

FACE TO FACE: TIM LANE, T H WHITE

STIHL DEVELOPMENTS

LAMMA REVIEW

FOCUS ON IBCOS

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SWITCHED ON TO BATTERY?
Survey indicates some lingering worries
by Service Dealer Editor, Steve Gibbs


 
Steve Gibbs

Thank you to everyone who joined in with our survey last week on how you view the current state of the cordless products market.

We had an excellent response with some very interesting findings and as ever some fascinating and insightful comments from dealers across the country. We shall publish the results of the survey and a selection of your thoughts within a feature on cordless in the next issue of Service Dealer magazine.

Cordless has been on my radar again this week as I visited a manufacturer, some dealerships and attended a dealer roadshow where the subject was very much on the agenda.

Firstly, I visited Ego Power Plus's offices in High Wycombe. Their exclusively cordless products are distributed to specialist dealers through Henton & Chattell.

The company believe that the industry is experiencing a real step-change currently in terms of how cordless machines are perceived and consumed. President of Ego Europe, Peter Melrose told me he believes that dealers "..need to fully embrace the cordless revolution."

Cordless absolutely represents the future believe Ego. With the new products they have coming on stream this year, including a new multi-tool, the company are confident that this all represents powerful extra revenue streams for dealers. Dealers who are willing to fully engage with the products will see excellent returns they say.

And meeting several dealers in Scotland this week, both at their premises and those attending the STIHL roadshow in Dunfermline, it was clear that everyone is highly aware of the product sector and how it's likely to play an increasingly significant role in their futures.

However, based on some conversations I had this week and comments received through our survey, there is clearly still some genuine concerns and worries out there amongst some. It's probably too strong to claim that there's any real resistance to battery within the network, more so it's this lingering worry about the effect on service levels.

Yes dealers know the products are coming in increasing numbers and according to our survey they are indeed stocking them in increasing numbers, but for some there are still legitimate concerns that once their retail shelves are filled with battery products, their workshops may see work dwindle.

STIHL gave some very interesting statistics in their presentation to dealers attending their roadshows. They said currently European cordless machinery sales represent 1 in 10 machines sold. By 2020 they forecast that this will change to 1 in 4 machines - and by 2025 the company believe that 1 in every 2 products sold will be battery powered. That is a quite extraordinary take-up being predicted there. And if it's anywhere close to being accurate it's clear that specialist dealers can't afford to not be involved.

In all of this though, we mustn't lose sight of the fact that petrol powered products are not going to disappear. I saw some incredibly busy workshops this week in Scotland and I get the impression that similar scenes are being repeated at dealerships across the country.

With all the petrol machines currently in the hands of users, and indeed with all the petrol machines which will be continued to be manufactured and sold in the future, it would presumably take an awful long time for cordless sales to have any major effect in workshops? And battery machines themselves do not necessarily represent zero service work.

Dealers are a clever and adaptable breed. Clearly cordless will be a significant part of their future - and they will no doubt find a way to make it work for their business, on their terms.


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