New dimensions in road equipment buying process

“Growth of infrastructure sector is largely affected due to funds since past few years. The growing needs of improvements in road infrastructure, repair, expansions etc. will demand the road equipment. The announcements in new greenfield projects need to raise the fresh funds. Since change of the government in April, the budgetary support for this sector has increased to ` 429.12 crore. We feel this is the beginning of the turnaround,” Sanjay Wadnerkar, Vice President, LiuGong India Pvt Ltd said speaking on the current market scenario for road building sector.

Giving an overview on the performance of road building equipment sector, he adds, “Indian concrete and road equipment industry has been growing at rapid pace. The road equipment like graders, compactors, dozers and loaders has shown positive rise. Motor grader demand is up by 50 per cent in 15-tonne category, crawler dozer 250 HP has grown by 36 per cent and loader demand has increased by 30 per cent in 5-tonne capacity.”
Buying factors
Talking about the major factors a buyer should consider before making a decision of buying road building equipment, Wadnerkar says, “Buyers decisions are based on the economics for his planned business to decide on the equipment specifications, cost of ownership, maintenance, make of critical parts like engine, transmission, hydraulics etc. The service support is an important criterion for choosing global brands. Some customers are sensitive to warranty support as well. It is worth mentioning that the opportunities to new brands have gone up due to awareness and visibility of brands.”

Driving factors
Focusing on the factors driving the procurement decision making apart from pricing, productivity and durability, Wadnerkar says, “Since the business model for most of the new equipment buyer is changing from institutional to retail buyers, the influence of machine performance and word of mouth publicity based on the experience of individual buyers has increased. Hourly fuel consumption, responsiveness in customer support, and application needs is the new dimensions in buying process.”

Buy or rent?
When asked about the factors a buyer should consider while determining whether to rent or buy road building equipment, Wadnerkar says, “The most important is the hours of equipment engagement in given project. A buyer should also consider daily operating hours.”

He adds, “Equipment up-time and frequency of schedule intervals, types and quantity of consumables, tyre life, availability of fan belt and timing chain, operator output related features accessories or attachment cost, percentage of funding by financial institutes, interest rate, resale or salvage value, transportation of equipment, storage and protection are also the factors a buyer should consider while determining buying or renting.”
LiuGong’s offering
Liugong has established as a key player in wheel loaders and motor graders in Indian market by offering the contemporary products in wide range wheel loader from 2-tonne to 5-tonne  at affordable rates. The company offers AC cabins and variety in blades, buckets, attachments, quick change coupling, breakers etc.

While talking on why a buyer should go for a road building equipment offered by Liugong, Wadnerkar said, “Being ‘Made in India’ product our service support is excellent. We have a reach of 18 dealers across country to be near to our customers. Regional stock points and large centralised part warehouse near Indore is accessible to all corners of the country in 48 hours. Trained and skilled service personnel at customer site, dealers’ end and at our regional offices for fast response.”                           

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Hourly fuel consumption, responsiveness in customer support, and application needs are the new dimensions in buying process.

Sanjay Wadnerkar, Vice President, LiuGong India Pvt Ltd