In 2006, only 38 percent of US earthmoving equipment manufacturers sell 100 percent of their production through their independent authorized dealers, and those manufacturers expect that to decline to just 31 percent in 2007, according to AED`s just released 2006 Construction Equipment Market Study.
The study, which surveyed, manufacturers, dealers and end users on current and future market trends also found that, the percentage of earthmoving manufacturers selling new product through rental companies will increase to 50 percent in 2007, and the number that sell direct to end users will climb from 25 percent to 38 percent.
The number of earthmoving equipment manufacturers that sell new product through auction companies will continue at 6 percent. None of the earthmoving manufacturers responding to the survey sell new equipment through a mass retailer now or intend to do so in 2007.
At the same time, the percentage of lifting equipment manufacturers selling new product through rental companies will increase from a whopping 77 percent in 2006 to 85 percent in 2007. The number that sell direct to end users will also climb from the current high of 69 percent to 77 percent in 2007.
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