Titel-Trader 1.2011.indd - Agritechnica Trader

Gilbert Daverdisse, Climmar invites
dealers to Agritechnica in Hanover.
seasonal changes will have a huge impact on
the output and quality of harvests. The globalisation
of trade further increases the overall
risks and amplifi es their effects, resulting
in major and sudden fl uctuations in raw materials
prices, which are themselves subject to
much market speculation.
Examples of such unpredictability abound
in the agricultural market. Barely three
months earlier, analysts were predicting that
the income of cereal growers, which had fallen
in 2009, were unlikely to increase this
year. Yet today, we see that their incomes
have risen quite substantially, helped by the
key factors of quality, quantity and price.
On the other hand, milk producers, who
have enjoyed a contractual increase in the
price of milk, are now complaining that costs
have soared due to a rise in cereal prices. This
is due to the drought which has cut down
available amounts of fodder crop and straw.
Clearly, providing an accurate forecast of agricultural
markets is an almost impossible
task.
The future for dealerships
Although the fundamentals in agriculture
are still synonymous with growth, volatility
in prices and agricultural income are
now the norm. Agricultural machinery dealerships
must learn to cope with these major
fl uctuations and work with, rather than
against them.
Although turnover is highly dependent on
distribution, dealerships are mostly regarded
as equipment-based companies, with more
than half of all employees working in tech-
nical services. There is a need to constantly
raise the level of human resource expertise
and skills in dealerships.
Firstly, workshop and store facilities must
account for an important part of structural
costs if the company is to withstand periods
of downturn in sales. There can be no sales
without good service, which is why this must
be maintained at any cost. By focusing on the
cost effectiveness of after-sales service, dealers
are offering an additional good with a market
value that can be sold. This increases the
product’s value and improves the dealer’s
bottom-line in the long run.
Next, fi rms should tap on prosperous
times to optimise their margins as this would
help them tide through leaner periods. The
dealer should carry out a professional assessment
of second-hand items while at the same
time checking if it is able to cover any losses
should the market value fall below what was
paid during trade-in. Trade-in prices have already
started to slump, and subsequently, the
rate of rejection for second-hand equipment
will increase.
As both the service and second-hand market
form the core of the second-hand trade,
the value-add of these activities must be suffi -
ciently high so that companies would not just
stay afl oat but also thrive. This means that
the relationship between dealers and farmers
is bound to evolve. And that change has only
just begun.
Dealer satisfaction
CLIMMAR has a dealer satisfaction index
set up specifi cally to help dealers. Originally
conceptualised in France for manufacturers,
the index is now used in six other countries.
Specifi c European data based on more than
1000 surveys from all over Europe were collected
and used as the database for this index.
Apart from its roles as a European toolbox
and pool of ideas, CLIMMAR is also a
source of information for comparing ratios,
markets, economic climates and guarantees.
The annual CLIMMAR congress is the key
event for the exchange and collection of information.
Training is another important aspect of the
organisation. The 2nd CLIMMAR Skills, a
competition open to mechanics and mechanical
engineers, helps assess the various European
training systems while promoting the
dealership trade. CLIMMAR also encourages
all member countries to participate in major
events, notably Agritechnica which will
be held from 13 to 19 November 2011 in
Hanover, Germany.
Gilbert Daverdisse
Double
safety!
Search
online.
Purchase
on-site.
World Trade Fair
for Used Technology
6 to 8 April 2011
Cologne, Germany
Organisers:
Koelnmesse GmbH
and Hess GmbH
Technical sponsor: FDM e.V.
Registration and information:
Tel. +49 7244 7075-0
www.usetec.com
2011 | 1 | TRADER 19