With Resale coming up, Kurt Radermacher, Managing Director of the Trade Association of Machine and Machine-Tool Wholesalers (FDM) talks about current problems for dealers and about the expectations from Resale in Karlsruhe.
Dr. Rolf Langbein
Herr Radermacher, 2009 was a difficult year for machine-tool manufacturers. How did it affect your members?
At the end of 2008, for most of our members strangely enough exactly in October 2008, there was a big bang and business stopped abruptly. This was true of the whole trade, i.e. machine-tool manufacture, machine sales and the whole tool area.
What effect did the reluctance to invest in new machines have on the used-machine market?
Many people believe incorrectly that bad news in the area of new machines is good news for the used-machine sector. This is simply not true. The whole trade suffers from an unwillingness to invest, whether in new or in used machines. The main problems are the customers’ lack of trust in the economic climate coupled with financing problems. Banks are very nervous and reluctant to give credit. A new financing concept must be devised in particular for medium-sized companies. This is a challenge not just for the financial sector but also for politicians.
Are there international markets which have suffered less from the crisis?
Naturally there are regions such as China, India or Brazil where there are always chestnuts to be pulled out of the fire, if you’ll excuse the expression. This however does not alter the fact that all markets have been affected by this economic crisis, even the ones I have named.
How important was the internet portal http://www.machinestock.com for your members?
MaschinenStock is a portal for used machines only, and it has become so important that we cannot imagine doing without is. Don’t forget that in particular the used-machine trade is very export-orientated and the internet is of course ideal for reaching customers in the furthest corners of the globe. By now, customers are completely accustomed to getting information from the internet, to looking at offers, to preparing purchase decisions or indeed to buy.
Dealers are increasingly expected to be also service partners and to help in solving problems. To what extent have your members made the necessary adjustments?
This is actually an old subject, and it is precisely the service which needs to be offered in addition to the actual sale which separates the wheat from the chaff. This is a very important theme for our members in the whole association, whether we are talking about the logistics of supplying machine tools, guarantees relating to the sale of new machines or general after-sales service. Even dealers in used machines have in most cases their own repair shops for carrying out repairs, retrofitting, modernisation or adjustments required by customers. The customer needs and wants this service but, of course, it costs money. Our problem is to make the customer realise this so that we can recover these costs from him.
What expectations do your members have from Resale?
The economic parameters are difficult, but it is important especially in bad times to show presence and to let our customers know that we are there for them. There is no better way of doing this than in a personal conversation. For this reason the Resale in Karlsruhe is of course the top international event in the used machine market, and attendance is a must for our members. In addition, in spite of the depressed economic climate there are a lot of inquiries, and the demand is there. We thus hope that the coming Resale will transmit a lot of positive signals.
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