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Download - Modern Materials Handling

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modern reader surveyConveyor technologyConveyor purchases may be preparingfor a pause, according to <strong>Modern</strong>’sannual survey of conveyor users.By Bob Treblicock, Executive EditorAre new conveyor implementations poised for ahiatus? That’s just one of the questions raisedby <strong>Modern</strong>’s 2011 annual reader survey onconveyors.In 2009 and 2010, readers had big plans forthe purchase of conveyors and sortation systemsin warehouses, DCs and manufacturingapplications. In those years, our readers spentan average of about $300,000 on conveyors,parts and accessories during the last 12months and planned to spend $261,000 in thenext 18 months.This year, readers tell us they spent$164,000 during the last 12 months and planto spend $193,700 in the next 18 months.The good news: Those who are increasingtheir conveyor budgets in the coming 18months, plan to spend 35% more than theydid in 2011.The responses could indicate that many ofthe facility expansions, renovations and consolidationsthat have been taking place overthe last two years are wrapping up and the enduser community is catching its breath beforelaunching its next round of improvements.It could also be a reflection of uncertaintyover the health of consumer spending,demand in emerging markets and the strengthof the bounce back in manufacturing. In fact,26% of respondents said they were taking await-and-see approach and have no plans toinvest at present. That compares to 22% whosaid they were taking a wait-and-see approachin last year’s survey.Reader plans for conveyor spending wasonly one of the questions we asked in ourannual survey. We also looked at how <strong>Modern</strong>readers plan to deploy conveyor technologiesin the future and how they plan to purchasetheir conveyor technology. To answerthose questions, we surveyed subscribers of<strong>Modern</strong> as well as a sample of recipients ofour e-newsletters. We received 351 qualifiedresponses, defined as a reader who buys oruses conveyor. The respondents representeda range of company sizes, with 26% reportingrevenues of more than $500 million, 15%reporting revenues of more than $100 millionand the remainder less than $100 million.Average annual revenues of $411 million wasconsistent with last year’s survey.How important is energy efficiencyas it relates to your conveyor system?10%9%40% 39%50%December201052%December2011Source: Peerless Research Group (PRG)Not very/Not at all importantSomewhat importantExtremely/Very importantmmh.com <strong>Modern</strong> <strong>Materials</strong> <strong>Handling</strong> / F e b r u a r y 2 0 1 2 25

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