Embed Size (px)
DESCRIPTION
IRON by Proxibid (IRON) is the officialequipment industry publication of Proxibid. The publication's focus is on heavy equipment, farm machinery, vehicles, industrial machinery, news, trends, and analysis.
Citation preview
UPCOMING SALESNES RentalsJanuary 31 | 10:00 AM ETwww.hilcoind.com/nes
Rebel Auction Co.January 10 | 8:30 AM ETwww.rebelauction.net
Roller AuctionsJanuary 16 | 9:00 AM MTwww.rollerauction.com
Ritchason Auctioneers, Inc.January 24 | 8:00 AM ETwww.ritchason.com
by proxibid®
HEAVY EQUIPMENT • FARM MACHINERY • VEHICLES • INDUSTRIAL MACHINERY • NEWS • TRENDS • ANALYSIS
RETAILERS REJOICE EQUIPMENT SPENDING ON THE RISE
MACHINERY PETE WHEN’S THE BEST TIME TO BUY?
TRUCKING IN 2013AN OUTLOOK FROM THE EXPERTS
JANUARY 2013IN THIS ISSUE
YODER & FREY THE FLORIDA AUCTION PHENOMENON
SIGN UP FOR A FREE SUBSCRIPTION IRONBYPROXIBID.COM
IRONBYPROXIBID.COM | JANUARY 2013 | 3
YODER & FREYTHE FLORIDA AUCTION PHENOMENON
BY DANA KAUFMAN
IN THIS ISSUE JANUARY 2013
06
Transport: Infrastructure, Spending, and HiringBY WALTER BRAFTON
10 January Calendar: Upcoming Events
12
Manufacturing: 2013 Industry-Wide OutlookBY DANA KAUFMAN
14
Pulse: Equipment Sellers Rejoice!BY WALTER BRAFTON
16
18
Letter from the Editor: Kissimmee ApproachesBY TIM KRYSZAK
04
COVER STORY
by proxibid®
IRON™ BY PROXIBID®
January 2013 – Volume 1, Issue 3 Proxibid Inc., Publisher
IRON by Proxibid 4411 South 96th Street Omaha, NE 68127 877.505.7770
EDITORIAL MANAGEMENT
Tim Kryszak, Executive Editor Dana Kaufman, Editorial Director Ken Maxwell, Vice President of Advertising Matt Kizzier, Managing Editor Katie Pavel, Advertising Sales Joe Szczepaniak, Creative Director
ADVERTISINGFor advertising rates, please visit www.ironbyproxibid.com/advertise
To place advertising, please contact Katie Pavel, Advertising Executive at 402.715.4092 or [email protected]
EDITORIAL CONTRIBUTIONSIf you wish to submit content for publication, please contact [email protected]. Editorial contributions are considered on a case-by-case basis. Please contact the editor directly for submission guidelines.
PUBLISHER’S OWNERSHIP & CIRCULATION STATEMENTIRON by Proxibid (IRON) is the official equipment industry publication of Proxibid. The magazine is owned and published by Proxibid Inc., located at 4411 South 96th Street, Omaha, NE 68127. There is no annual subscription fee, and the magazine is distributed to active equipment buyers in the Proxibid Marketplace, asset owners, dealers and advertisers. The average number of copies printed is 11,000. The publisher can be reached at 877.505.7770. The Executive Editor of IRON is Tim Kryszak. IRON™ is published on the 25th of every month by Proxibid Inc. There are twelve issues printed annually. IRON provides asset owners with the news, trends and analysis needed to enhance their decision-making when it comes to buying and selling equipment. Send address changes to IRON™ by Proxibid®, 4411 South 96th Street, Omaha, NE 68127. Copyright © 2012 by Proxibid. Materials in this publication may not be reproduced without permission.
Machinery Pete: When’s The Best Time to Buy?BY GREG PETERSON
4 | IRONBYPROXIBID.COM | JANUARY 2013
Tim Kryszak, Executive EditorIn this issue we get up close and personal with Peter Clark, the President and
Sales Manager for Yoder & Frey Auctioneers. It’s an interesting and inspiring
story of how a marketing visionary ultimately created what has become the
world’s largest annual construction equipment auction.
Proxibid is looking forward to providing live online bidding for Yoder and Frey’s
February 11-18 auction, and we hope to see you participating online if you
cannot make the trip to Kissimmee, Florida.
Interested in industry trends for the coming year? This issue is chock-full of
insights and analysis that will guide you through the coming calendar year.
For 2013, IRON by Proxibid will be moving to a bi-monthly printed publication,
but we’ll still be producing a complete online edition each month. The bi-
monthly print schedule will enable us to develop more engaging content
for our readers and online buyers. Additionally, we will shift the focus of
the publication’s content to showcase more listings and items available
for purchase from our heavy construction equipment and farm machinery
categories.
If you are interested in advertising your business and equipment to millions
of monthly visitors, then contact our IRON by Proxibid advertising sales
representative today! Visit: ironbyproxibid.com/advertise
Tim Kryszak
Executive Editor
KISSIMMEE AUCTIONS ARE ALMOST HERE!
JANUARY LETTER FROM THE EDITOR
KISSIMMEE AUCTIONS ARE ALMOST HERE!
A Guaranteed Transaction: The Proxibid Asset Path™
The Asset Path™ provides asset owners with a one-stop-shop for the disposition of high value and specialized assets. With four points of entry and five ways for inventory to sell within the Proxibid Marketplace, the Asset Path™ is designed to maximize the marketing opportunity for your assets, depending on your sense of urgency. Learn more: www.proxibid.com/assetpath.
WHO CAN LEVERAGE THE PROXIBID MARKETPLACE™?Whether you’re an independent business owner, a large enterprise, an auction company or something in between, Proxibid is the best place to sell.
GET STARTED!Our team of professionals will work closely with you to determine which asset paths are best for your inventory. Contact a member of our sales team today for more information:
1.855.PROXIBID [email protected] www.proxibid.com/assetpath
AwarenessMarket to millions of
buyers in the Proxibid Marketplace.
Instant PurchaseDeliver a traditional
retail buying experience driven by market
conditions.
Make OfferNegotiate offers or
manage sealed bid and private treaty sales.
Timed EventProvide a buying
experience with an enhanced sense of
urgency.
Live EventSell your assets in a
live, online format. It’s now or never.
It’s all in the marketplace™
Four Ways to Enter, Five Ways to Sell, One Marketplace
1 2 3 4 5
6 | IRONBYPROXIBID.COM | JANUARY 2013
YODER& FREYTHE FLORIDA AUCTION PHENOMENONBY DANA KAUFMAN
If you purchase equipment, chances are you’ve been to the famed “Florida Auctions” that take place every year in Kissimmee. The Florida Auctions have a long and storied history, having been founded by Yoder & Frey Auctioneers, Inc. nearly 40 years ago.
COVER STORY
If you purchase equipment, chances are you’ve been to the famed “Florida Auctions” that take place every year in Kissimmee. The Florida Auctions have a long and storied history, having been founded by Yoder & Frey Auctioneers, Inc. nearly 40 years ago. This year’s sales will take place February 11–18 in Kissimmee.
Incorporated in 1964, Yoder & Frey was founded by two farm equipment
auctioneers, Tim Yoder and Eli Frey. Soon after, Jack Higley, who ran a local New Dealer branch in Toledo and sold heavy equipment, decided to join forces with Yoder & Frey to auction construction equipment, trucks and trailers.
“I joined Yoder & Frey in August 1971,” said Peter Clark, President and Sales Manager for Yoder & Frey Auctioneers, Inc. “After graduating from
the University of Toledo with a degree in marketing, I was a first lieutenant in the army. I was recruited into a management training program for an automobile rental company. My father-in-law was running this business, and suggested I come to work for him.
I was intrigued by the opportunity and decided to join him. I hit the ground running making sales calls. It
IRONBYPROXIBID.COM | JANUARY 2013 | 7
was an interesting time. I worked on commission and paid my own expenses so I was eager to close deals.”
The company experienced modest success in its early years, selling mostly east of the Mississippi, in the upper Midwest, in New England and the Southeast. In addition to construction equipment, trucks and trailers, Yoder & Frey provided appraisals for businesses looking to dispose of assets. In the mid-seventies, the Company began thinking big.
SEIZING OPPORTUNITY In 1975 Yoder & Frey was invited to appraise equipment for a large manufacturer located in Florida. Even though Yoder & Frey did not have the chance to sell the equipment appraised (it was offered to dealers at the appraised prices and sold), the trip to Florida allowed Clark the opportunity to meet with other asset owners who had inventory to sell.
Yoder & Frey had been working with several Florida-based clients, but this particular opportunity sparked an idea that has turned into an industry-wide auction phenomenon—to create an auction event that would allow buyers to take advantage of the high quality equipment for sale while their families could enjoy the theme parks located nearby.
“We were able to secure a package from a consignor for our first major Florida event, which turned into a $2.8 million sale. In
1975, that was a very large auction,” said Clark. “The next year we had the same seller and had another successful sale.”
After the second year, Clark knew that the success of the auction was not an anomaly. The Florida Auctions had become a terrific marketing tool for Yoder & Frey, and soon gained critical mass as crowds flocked to the Orlando area to take advantage of the sales and area attractions. In 1979, Yoder bought out his father-in-law and became a principle in the business.
“I knew we could capitalize on buyers who wanted to come to Florida for winter vacations anyway. Buyers started coming down to the sales, bringing their families and making it an annual trip. By the mid-1980’s the sale had real momentum and had grown to $8 million, $10 million, $15 million, and has continued to grow at a pretty aggressive clip,” said Clark. “We did $50 million last year, and expect to see similar numbers this year.”
The Florida Auctions are a critical part of Yoder & Frey’s business. Planning begins in October and the sales aren’t wrapped up until March. Additionally, the Company conducts between eight and ten auctions throughout the year.
While the Florida Auctions are important to Yoder & Frey, they also have an impact on the industry at large.
“This is the biggest concentration of equipment at one sale, in the business. Because of the location and the history and the size, the Florida Auctions bring better prices than 95% of other sales. Many buyers look to the Florida Auctions as a benchmark for equipment prices for the year,” said Clark. “The Florida Auctions indicate what is up or down in a particular year. Prices tend to be higher in here because of the cachet of the sale, but you can always spot the trends for the year in these sales.”
By Clark’s own admission, it is unique that a consignment sale like the Florida Auctions does as well as it does. However, the combination of the quality and the amount of equipment, the timing, and the people who come to buy, the sale has become one of the most successful events in the industry. And, now other auction companies have emulated Yoder & Frey, bringing even more buyers to the area.
GOING GLOBAL It didn’t take long for the Florida Auctions to become a global event. Initially international buyers would send a local agent or representative to the sales to make purchases. There was some initial trepidation from international buyers who were unfamiliar with the sale and who were shocked by the prices the equipment was yielding at the time. Within just a
“This is the biggest concentration of equipment at one sale, in the business.”
—Peter Clark
The Florida Auctions had become a terrific marketing tool for Yoder & Frey, and soon gained critical mass as crowds flocked to the Orlando area to take advantage of the sales and area attractions.
8 | IRONBYPROXIBID.COM | JANUARY 2013
few years the dealers were sending their representatives from Miami, and then began coming to the sales themselves.
Now the sale attracts buyers from many countries. Though most international buyers are from Latin and South America, Yoder & Frey sees buyers from Canada, UK, Philippines, Australia, UAE, Jordan, Nigeria, Lebanon, Saudi Arabia, Vietnam—really anywhere
you can possibly imagine.
“Because the sale has been going on for 39 years, and because we have cultivated relationships with the buyers, they are comfortable with us,” said Clark. “They know they will get the best equipment at the most competitive prices at the Florida Auctions, and that is what keeps them coming back year after year.”
The overseas market continues to be a major factor in the Florida Auctions, with 60-65% of sales going to international buyers in the last few years.
ECONOMICS According to Clark, the prices at the Florida Auctions are among the most competitive you will find anywhere. And, because of the longevity and popularity of the sale, it tends to be the biggest concentration of equipment available.
The recession’s global impact will certainly have an effect on February’s sale. Clark suspects some global regions may not purchase as much equipment as in the past.
“Because manufacturers aren’t building as much new equipment, and with the
amount of equipment going overseas, there has certainly been a shortage of equipment in the United States,” said Clark. “Consequently, everyone is looking to buy used equipment. As the foreign market takes equipment out of the country and as local contractors continue to buy used equipment, the prices on used equipment continue to increase. This is simply a supply and demand issue.”
Clark says the market is still very good—some parts are better than others. The coal industry, for example, has taken a hit. And, highway work has decreased significantly meaning there is not a lot of demand for some of the large, expensive equipment like D10s and D11s.
The asphalt business is doing well, and Clark expects to see pavers, rollers, graders and other equipment used to pave roads to sell well in this year’s sales. He also anticipates that anything with rubber tires, dozers, excavators, trucks and trailers to be big sellers in February.
LOOKING AHEAD Yoder & Frey has embraced technology, and Peter Clark believes that technology will help the Company maintain its competitive edge moving forward.
“I am a big believer in online bidding,” said Clark. “Anything we can do to
bring more buyers to our sales is great. We are constantly looking for new tools to make it easier for buyers to connect and participate in our sales. The Internet is completely changing the auction business, and we embrace it. It has been the single most effective way to increase our audience.”
Clark agrees that the auction industry is competitive, with new players joining daily.
“The competition makes us work harder,” said Clark. “We do everything we can to ensure our buyers and sellers have a good experience working with us. Online bidding and other technology tools helps us stay ahead of the curve and to compete with any player that comes our way.”
Looking ahead, Peter Clark is anticipating a busy 2013, starting with the Florida Auctions.
“We expect a very busy year between the Florida Auctions and our regular sales. The used equipment market is hot, and we plan to capitalize on that!”
For more info about the Florida Auctions, please visit www.yoderandfrey.com and www.proxibid.com/yoderandfrey.
“The internet is completely changing the auction business, and we embrace it.”
—Peter Clark
Don’t miss Yoder & Frey’s next event:
39th Kissimmee Florida Auction 7 Day Event: February 11–18, 2013
FEATURING: Heavy Construction Equipment, Farm Machinery, Trucks, Trailers, and Much More!
For more information, visit www.yoderandfrey.com
10 | IRONBYPROXIBID.COM | JANUARY 2013
SATURDAY2-Ring Farm & Construction Equipment Auction NOONDAY TRACTOR & AUCTION
January 5, 2013 | 9:00 AM CST 19090 Hwy 155 South, Flint, TX 75762 www.proxibid.com/Noonday
FEATURING: Kubota, John Deere, Caterpillar, Kobelco, Massey Ferguson, Case, Bobcat, Komatsu, Ford & More!
SATURDAYFarm Equipment Auction HINSON AUCTION & REAL ESTATE, INC.
January 5, 2013 | 10:00 AM CST Raymond Akin Road, Gates, TN 38305 www.proxibid.com/Hinson
FEATURING: Dozers, excavators, trucks, tractors, trailers, and equipment.
WEDNESDAYWeeks Farm Machinery Auction WEEKS FARM MACHINERY
January 9, 2013 | 11:15 AM EST 2186 Sylvester Hwy, Moultrie, GA 31768 www.proxibid.com/WeeksFarmMachinery
FEATURING: Implements, Shortlines, Salvage Equipment, Industrial Machinery, Construction Equipment and More!
THURSDAY2-Ring Farm & Construction Equipment Auction REBEL AUCTION COMPANY, INC.
January 10, 2013 | 8:30 AM EST 1175 Bell Telephone Rd, Hazelhurst, GA 31539 | www.proxibid.com/Rebel
FEATURING: Farm Machinery, Construction Equipment, and More!
JANUARY UPCOMING EVENTS SPONSORED BY
5JANUARY v
5JANUARY
9JANUARY
10JANUARY
FRIDAY2-Ring Weeks Ocala Public Equipment Auction WEEKS AUCTION COMPANY
January 11, 2013 | 9:30 AM EST 4851 West State Rd 40, Ocala, FL 34482 www.proxibid.com/Weeks
FEATURING: Tractors, Mowers, Maintenance Vehicles, Trailers, Sprayers, Heavy Equipment, Fuel Tanks, and more!
SATURDAYMonthly Commercial Vehicle & Equipment Auction SIERRA AUCTION MANAGEMENT, INC.
January 12, 2013 | 8:00 AM MT 3570 W. Grand Ave, Phoenix, AZ 85019 www.proxibid.com/Sierra
FEATURING: Government, Municipal, Repo, Bankruptcy, Seized, Fleet, & Much More!
SATURDAYCovington Trucking MIKE GRAHAM AUCTIONEERS
January 12, 2013 | 10:00 AM CST Hwy 70 E & 93, Hugo, OK 74743 www.proxibid.com/GrahamAuctioneers
FEATURING: Trucks, Trailers, Parts, Miscellaneous and More!
SATURDAYJanuary Farm & Construction Machinery Auction MAYER AUCTIONEERING
January 12, 2013 | 12:30 PM CST 5452 N. Hwy 77, Lincoln, TX 78948 www.proxibid.com/Mayer
FEATURING: Farm & Ranch Construction Machinery and More!
11JANUARY v
12JANUARY
12JANUARY
12JANUARY
SATURDAYMonthly Truck, Construction & Equipment Auction BAR NONE AUCTION
January 12, 2013 | 8:30 AM PST 4751 Power Inn Rd., Sacramento, CA www.proxibid.com/BarNone
FEATURING: Government Surplus, Vehicles, Construction Equipment, & Commercial Trucks & Trailers.
SATURDAYFarm and Construction Equipment Auction INSIGHT AUCTIONEERS & SALES
January 12, 2013 | 9:00 AM EST 5000 State Rd. 66, Sebring, FL 33875 www.proxibid.com/Insight
FEATURING: Large Farm & Construction Equipment, Vehicles, Miscellaneous and Much More!
TUESDAYJanuary Heavy Duty Truck & Equipment Sale ADESA PITTSBURGH
January 15, 2013 | 10:00 AM EST 758 Franklin Rd, Mercer, PA 16137 www.proxibid.com/AdesaPitt
FEATURING: Public Auction with Trucks, Equipment, and More!
WEDNESDAYHeavy Construction & Contracting Equipment ROLLER & ASSOCIATES, INC.
January 16 2013 | 9:00 AM MT 9755 Henderson Rd, Henderson, CO www.proxibid.com/Roller
FEATURING: Excavators, Wheel Loaders, Crawlers, Motor Graders, Crane Trucks, Sweepers, Dump Trucks, and Much More!
12JANUARY v
12JANUARY
15JANUARY
16JANUARY
IRONBYPROXIBID.COM | JANUARY 2013 | 11
To have your event listed in our printed or online calendar, please contact us today! | Phone: 402.715.4092 | Email: [email protected]
THURSDAYHeavy Equipment Auction BAR NONE AUCTION
January 17, 2013 | 8:30 AM PST 1001 N. Schmeer Rd, Portland, OR 97217 www.proxibid.com/BarNone
FEATURING: Caterpillar Rental Returns and Used Equipment Dispersal.
FRIDAYClean & Green Retirement Farm Equipment Auction JACK NITZ & ASSOCIATES
January 18, 2013 | 11:00 AM CST 1658 County Rd 12, Mead, NE 68041 www.proxibid.com/JackNitz
FEATURING: John Deere Tractors, Combine, Planter, Drill Seeder, Discs and Truck Tractors, Grain Trailer and More!
SATURDAYMonthly Public Vehicle and Equipment Auction SIERRA AUCTION MANAGEMENT, INC.
January 19, 2013 | 8:00 AM MT 1702 S Euclid Ave, Tucson, AZ 85713 www.proxibid.com/Sierra
FEATURING: Public Auto Auction Late Model, Nice, Green Light Cars, Trucks, Minivans, SUVs, and Much More!
SATURDAYSouthern Timber Products ASSOCIATED AUCTION & LIQUIDATION CO.
January 19, 2013 | 10:00 AM CST 24679 Hwy 4 East,Senatobia, MS 38668 www.proxibid.com/AssociatedAuction
FEATURING: Complete Scragg Mill & Pallet Assembly Equipment
17JANUARY v
18JANUARY
19JANUARY
19JANUARY
MONDAYAnnual Ag Consignment & Inventory Reduction Sale WARMKA AUCTION COMPANY
January 21, 2013 | 10:30 AM CST 505 2nd St, NE Grand Meadow, MN 55936 | www.proxibid.com/Warmka
FEATURING: Tillage, Skid Loader, Planter, Tractors, Combines, Mowers, Sprayers, Vehicles and Much More!
TUESDAYLake Mary Logistics, Inc. MOECKER AUCTIONS, INC.
January 22, 2013 | 11:00 AM EST 9313 Bachman Rd., Orlando, FL 32824 www.proxibid.com/Moecker
FEATURING: Large lot of trucks and trailers. Assignment for the Benefit of Creditors Case No.: 2012-CA-016597-O
THURSDAYEquipment & Truck Auction RITCHASON AUCTIONEERS, INC.
January 24, 2013 | 8:00 AM EST Online-Only Auction Event www.proxibid.com/Ritchason
FEATURING: Heavy Equipment & Truck Auction. Online-Only. Consign today!
FRIDAYConstruction Equipment Trucks and Trailers MID SOUTH AUCTIONS
January 25, 2013 | 10:00 AM CST Carthage, TX 75633 www.proxibid.com/MidSouth
FEATURING: Construction Equipment, Trucks & Trailers, and Much More!
21JANUARY v
22JANUARY
24JANUARY
25JANUARY
SATURDAYMonthly Truck & Heavy Equipment Auction BAR NONE AUCTION
January 26, 2013 | 8:30 AM PST 175 W Central Ave, San Bernardino, CA www.proxibid.com/BarNone
FEATURING: Government Surplus, Vehicles, Construction Equipment, & Commercial Trucks & Trailers.
SATURDAYLarge Construction Equipment & Utility Fleet J.J. KANE AUCTIONEERS
January 26, 2013 | 8:30 AM EST Plymouth Meeting, PA 19462 www.proxibid.com/JJKane
FEATURING: Light Duty Trucks & Construction Equipment
THURSDAYTarget Inventory - Instant Purchase / Make Offer Sale RDO EQUIPMENT CO.
January 31, 2013 | 9:00 AM CST Online-Only Sale Event www.proxibid.com/RDO
FEATURING: Combines, Harvesters, Forage Attachments; Sprayers, Tractors and more.
THURSDAYRental-Ready Construction Equipment Auction NES/HILCO INDUSTRIAL
January 31, 2013 | 10:00 AM EST Location TBD www.proxibid.com/HilcoIndustrial
FEATURING: Rental-Ready Cranes, Loaders, Lifts, Excavators and More!
26JANUARY
26JANUARY
31JANUARY
31JANUARY
12 | IRONBYPROXIBID.COM | JANUARY 2013
Professionals in the trucking
industry should expect changes on
the horizon. Three characteristics
are predicted to have a large
impact on the success of the
industry - transportation spending,
infrastructure updates and hiring.
EXPERTS HOPE TRANSPORTATION SPENDING WILL INCREASEMost transportation specialists are in agreement that long-haul shipments will continue to increase into 2013. However, with the number of open trucking positions being left unfilled and the looming fiscal cliff unresolved, businesses may not increase transportation spending until a more positive market is indicated, according to For Construction Pros.
“We’re hoping to see some growth [in transportation spending] resume, according to our forecast models, possibly in 2014, ‘15 and ‘16,” said Chief Economist Allison Premo Black, of the American Road & Transportation Builders Association, according to the source. “That’s really going to depend on what’s happening in the overall economy.”
INFRASTRUCTURE GROWTHThose in the trucking industry may have to deal with a changing national infrastructure. World Highways reports that a forecast from the American Road & Transportation Builders Association predicts that U.S. transportation
construction infrastructure market will increase slightly in 2013. Federal and state governments are investing $130.5 billion in infrastructure in the upcoming year—a 3% increase in a year-over-year comparison.
Highway and street paving is expected to be the largest percentage of the associated costs. However, a substantial amount will also be dedicated to paving and building driveways, parking lots, airport terminals and runway work in commercial sectors. In addition, tunnel and bridge construction should remain flat after achieving a four-year streak of significant growth. The World Highway reports that the record amount spent on this portion of the infrastructure market was $28.5 billion in 2012.
In contrast, the paving market will grow 2.8 percent to $58.4 billion in 2013 - including $47.7 bill in public and private investments in highways, roads and streets. Private investments in parking lots, driveways and similar structures are expected to reach $10.7 billion.
JOB GROWTH IN TRUCKING INDUSTRYAccording to the American Trucking Association, data indicates that there is currently a need for an additional 20,000 to 25,000 big-shipment, long-distance truck drivers. Combined with expectations of increased shipping demand and retirements, the number of open positions could rise to nearly 100,000 driving jobs each of the next 10 years.
The Detroit Free Press reports that a new long-haul trucker on average makes about $38,000 to $44,000 his or her first year on the job. An experienced driver can expect to make about $50,000 to $65,000 a year - although those figures are dependent on a wide variety of variables.
“So it’s an opportunity for a lot of people,” Bob Costello, the report’s author and the trade group’s vice president, told the news source. “You don’t need a college education. You need to be a safety-conscious, hard-working individual.”
Area schools specializing in training are available across the country and typical charge $6,000 in tuition. Some trucking agencies will even reimburse new hires for completing training.
“Carriers are competing with each other for those individuals who are high-quality truck drivers,” said Walter Heinritzi, executive director of the Michigan Trucking Association. “The demand for freight will continue to increase— that’s pretty much acknowledged—but the number of people choosing to go into trucking has not increased.”
As demand continues to increase for professional drivers, more companies will invest in the infrastructure and supplies that will be required to safely track workers and products as they travel across state lines or even across the country. RFID chips that cooperate with business operations, remote time clocks and other technologies are crucial in the trucking industry.
BY WALTER BRAFTON
TRANSPORT SPENDING, INFRASTRUCTURE & HIRING
AUCTION
HEAVY CONSTRUCTION & CONTRACTING EQUIPMENT
INCLUDES EQUIPMENT FROM COLORADO MUNICIPALITIES
ROLLERAUCTION.COMLive on-site auction with live online bidding available.
(866) [email protected]
7500 York St, Denver, CO 80229
INVENTORY INCLUDES: CRANES, MOTOR GRADERS, WHEEL LOADERS, LOADER/BACKHOES, SKID STEERS, EXCAVATORS, CRAWLERS, TRACTORS, FORKLIFTS, COMPACTORS, DUMP TRUCKS, TRAILERS & MUCH MORE!
Location: Adams County Regional Park 9755 Henderson Road, Henderson, CO 80641
Inspection: Jan. 14 from 8:00am - 5:00pm Jan. 15 from 8:00am - 5:00pmJan. 16 starting at 8:00am
WEDNESDAY, JANUARY 16 @ 9:00AM MT
INSPECT & CATALOG ANYTHING YOU WANT
Property autos, collectibles, heavy equipment and more. We go look for you!
Property
Autos
Heavy Equipment
Collateral Assets
CUSTOM TRANSPORT SERVICES AVAILABLE!
International and domestic transport. We are your “Boots on the Ground.” Need a purchased item picked up from the auction site, and delivered to a shipper? Your agent will ensure the item is porperly delivered to you.
Our agents verify, inspect, catalog and transport heavy equipment.
CUSTOMIZE YOUR INSPECTION REPORT
•Verify asset exists prior to sending deposit
•Inspect equipment prior to purchase
•RUSH order available
DISPATCH ANY AGENT
79 ACI Inspectors
•Heavy Equipment,
•AG Machinery,
•Heavy Duty Trucks
7,500 Nationwide Agents
WWW.WEGOLOOK.COM | 100 NE 5TH STREET OKLAHOMA CITY, OK 73104 | PHONE: 855-265-LOOK EX. 5665 | FAX: 866-478-9326
Visit us on the web for a special offer:www.wegolook.com/SampleEquipmentReport.aspx
TRANSPORT SPENDING, INFRASTRUCTURE & HIRING
The manufacturing industry plays a crucial role in the nation’s economy. The sector impacts employment figures, gross domestic product and fiscal earnings for the country and the many businesses based within its borders.
According to the National Association of Manufacturers, the United States is the world’s largest manufacturing economy in the world and produces 18.2% of global manufactured goods–China is the second at 17.6%. U.S. manufacturing produces $1.8 trillion of value each year, or 12.2% of the nation’s growth domestic product. The field supports an estimated 17.2 million jobs in the United States—about one in six private sector positions—while another 12 million Americans (or 9% of the workforce) are directly employed in manufacturing.
The industry plays such an integral role in the success of the country’s market that for every $1 spent in manufacturing, an additional $1.48 is added to the economy.
While the manufacturing industry, like many others, slowed down during the third quarter of 2012, a few economic indicators released during the last week of November point to a recovering market. For example, new residential construction continued to climb and is up from
863,000 in September 2012 to 894,000 in October 2012. Overall, housing statistics show that new construction has risen 41.9% in the course of the last twelve months—reflecting the continued growth of the nation’s economy. The success of the housing market boosts manufacturing rates as products, tools and other goods are developed and shipped to builders and craftsman handling these projects.
The National Association of Manufacturers claims that the Markit Flash Purchasing Managers’ Index (PMI) for the United States is showing improvements in manufacturing activity levels for November. The indicators of the improving manufacturing market include increasing sales and output. In fact, despite expert predictions to the contrary, even export sales are showing growth
Exports increased in September 2012, according to the source. Good exports increased to $143 billion—an all-time high–while the overall trade deficit came in at $41.5 billion. The major sectors of the manufacturing industry that supported such gains were the petroleum and non-petroleum fields. Manufacturing exports rose 6.1% in a year-over-year comparison.
As competition to remain the top manufacturing power in the world heats up, American companies may need to update equipment and increase production output. Current economic challenges for the industry are not limited to the United States, as both European nations and China are facing difficulties as well, which is why now is the time to innovate and modernize solutions. By investing in the proper tools during low times, American manufacturing businesses will be better able to support the eventual ramp up required to remain at the top of the industry.
Traditionally, the manufacturing industry sees strong activity during the first fiscal quarter of each year. In 2012, the sector saw the necessary boost is required to drive global exports and output numbers. Industry Week Magazine reports that at that time, 89% of manufacturing executives were either somewhat or very positive about their company’s outlook.
The United States manufacturing industry is expected to post gains in the upcoming year, depending on the outcome of the fiscal cliff debate. Until a decision has been reached between legislatures, modest growth for the end of the fourth quarter of 2012 should be expected as the industry poises itself for various potential outcomes. Now, manufactures may be required to prepare for the eventual business ramp up by investing in the proper tools and procedures that will reduce operational expenses and boost production.
14 | IRONBYPROXIBID.COM | JANUARY 2013
MANUFACTURING 2013 INDUSTRY-WIDE OUTLOOK
BY DANA KAUFMAN
REAL GDP (Q3 2012, Revised)
ISM PURCHASING MANAGERS INDEX (November)
MANUFACTURING EMPLOYMENT (November)
MANUFACTURING PRODUCTIVITY (Q3 2012, Revised)
INDUSTRIAL PRODUCTION (Mfg Sector, November)
2.7%
49.5
7,000
0.7%
1.1%
MANUFACTURING ECONOMIC REPORT
››FOR MORE INFORMATION, VISIT WWW.NAM.ORG‹‹
AUCTIONS ARE OUR BUSINESS.
CALL US TODAY: 800-533-0673Everyday is Sale day at Rebel Auction. Come see us for all your Farm, Construction, Truck & Trailer needs. Call Dan, Larry, Brad or Jim today!
FARM & CONSTRUCTION EQUIPMENT AUCTION
SALE LOCATION: Rebel Auction Permanent Facility @ 1175 Bell Telephone Road, Hazelhurst, GA 31539
Online bidding is available! Visit us online at www.RebelAuction.net for further details.
THURSDAY, JANUARY 10 | 8:30 AM EASTERN
Ritchason Auctioneers,inc.
January 2013: 24th-31stOnline Only Auction
www.raliveonline.com
HEAVY EQUIPMENT & TRUCKS | CONSTRUCTION | INDUSTRIAL | COMMERCIAL | FLEET
Consignment DeadlineJanuary 18th, 2013 @ 2PM CSTEquipment Must Be On the Yard
Consign Now!
BidNow, BidLive, BidRitchason via RAlive! Register to Bid Online!
7538 Linwood Rd. | Lebanon, TN 37090 | 800.806.3395 | 615.444.5464
MANUFACTURING 2013 INDUSTRY-WIDE OUTLOOK
16 | IRONBYPROXIBID.COM | JANUARY 2013
Two industries are combining efforts and supporting the economic recovery of the United States—construction and manufacturing. In this tech-centric age, some of the oldest professions have stepped in to lead the nation in hiring and output.
Bloomberg News reports that for the past three years, manufacturing has been the hero of the United States’ economic recovery. Spending in the sector has outpaced any other since the recession ended in June 2009—capital expenditures and exports contributed close to 75% of all gross domestic product since then and created almost 500,000 new jobs in the course of two years.
While the job growth is a drop in the bucket in comparison to the 1.8 million manufacturing jobs lost since 2007, companies are still chugging away.
Meanwhile, the construction industry, which greatly suffered following the housing bust of the mid-2000s, is steadily improving. According to the Associated General Contractors of America, all major areas of construction spending increased in October—bringing total spending at an annual rate to $872 billion, reports Construction Equipment Guide.
“Widespread gains in spending in October, along with hefty upward revisions to estimates for the previous two months, show that construction has finally come out of its long slump,” Ken Simonson, the association’s chief economist, told the news source.
“Although all major spending categories are far below pre-recession highs, they are well above their recent low points.”
Construction spending rose for the seventh consecutive month in October 2012—up 1.4% from September. In a year-over-year comparison, industry spending has risen 9.6%. Part of this increase, is the strength in private construction projects. Private residential spending reached its highest levels since November 2008—increasing 3% compared to the previous month and 21% in 12 months. Simultaneously, private non-residential construction rose 0.3% for the month and 11% compared to October 2011.
“Construction companies have continued their strong performance,” analyst Libby Bierman told Forbes Magazine. “One possible explanation may be due to the fact that the rebound in construction started a bit later than it did in those other sectors. Construction may be earlier in
the recovery cycle than some of the other industries, like manufacturing and retail.”
As a result of the improving construction and manufacturing market, development companies are investing in new equipment. According to the Equipment Leasing & Finance Foundation’s 2012 U.S. Economic Outlook Report, investment in construction equipment has more than doubled in the last two years and reached a record high during the third quarter of 2011.
Highlights of the report, published by Construction Executive Magazine, claim that new equipment acquisition will improve gradually – 9% growth was expected for 2012 for equipment and software investments. The main driver for new tool and machinery purchases was aging equipment in 2012 because many companies wished to wait for more economic stability before buying.
In 2013, the source believes that construction equipment investment is projected to grow by about 15% as the housing market continues to improve. Industrial equipment used by manufacturers will grow at a slower-than-average rate than other industries. However, increased growth is expected during the second half of the year.
Both manufacturing and construction companies may find themselves investing in equipment to take on a greater number of jobs. Experts recommend that organizations consider purchasing reliable used equipment to keep operational costs down.
BY WALTER BRAFTON
MANUFACTURING JOBS LOST SINCE 2007
››1.8 MILLIONMANUFACTURING JOBS CREATED SINCE 2009
››500,0002012 CONSTRUCTION SPENDING INCREASE
››9.6%2012 RESIDENTIAL SPENDING INCREASE
››21%
SPENDING STATS RECAP
PULSE EQUIPMENT SELLERS REJOICE!
INVENTORYLarge Selection of Rental-Ready Construction Equipment Featuring Cranes, Loaders, Lifts, Excavators and Much More!
FEATURING•Genie&JLGTelescopicBoomLifts
•Genie&JLGArticulatingBoomLifts
•BrodersonCarryDeckCranes
•Manitex&USTCBoomTrucks
•KomatsuExcavator
•Bobcat&YanmarMiniExcavators
•TerexLoaderBackhoes
•JohnDeere&BobcatSkidSteerLoaders
•BobcatCompactTrackLoaders
•Gradall,JLG,Gehl&SkytrakTelehandlers
•Genie,Skyjack&JLGElectricScissorLifts
•JLGRoughTerrainScissorLift
•GenieElectricRunaboutScissorLift
•Daewoo,Caterpillar,Toyota,Komatsu&HysterForklifts
These are partial listings only. For more information on additional auctions or to subscribe to our email mailing lists, visit www.hilcoind.com/nes.
LOCATION(S)
TBD - Assets located in Acworth, GA & Genoa, OH
REGISTER ONLINE
www.hilcoind.com/NES
THURSDAY, JANUARY 31, 2013 | 10:00 AM ET
SURPLUS EQUIPMENT TO THE CONTINUING OPERATIONS OF
WEBCAST/ONSITE AUCTION
ONLINE BIDDING ALSO AVAILABLE WITH
www.proxibid.com/hilcoindustrial
PREVIEW INFORMATION
Tuesday and Wednesday, January 29 & 30, 2013 8:00 AM to 4:00 PM
Earlier preview also available by appointment.
Contact Jody Bacque: 251.404.2367
VIEW MORE HILCO AUCTIONS WWW.HILCOIND.COM
PULSE EQUIPMENT SELLERS REJOICE!
18 | IRONBYPROXIBID.COM | JANUARY 2013
“Hey Pete, what time of year is the best time to buy?”
Boy I’ve heard that question a ton over my 23-plus years of tracking auction sale price data on all types of used farm and construction equipment sold throughout the U.S. and Canada. On the farm equipment side I used to tell folks the period from St. Patrick’s Day through the end of summer was the time to buy as that’s when auction sale prices trended a bit lower on all equipment categories.
Then things began to change.
It started in the summer of 2004 when the price of steel increased, in great part due to exploding building demand in China. Auction sale prices increased noticeably that summer, which made sense given the dramatically rising price and tighter production of new farm equipment driven by escalating steel costs.
The St. Patrick’s Day through end-of-summer “auction buy time” took a further hit the past five years as commodity prices surged higher, farm income rose and auction sale prices on good condition used farm equipment sold well all through the year, with just a few exceptions.
The biggest being late-model used combines. What I’ve seen each of the
last four years going back to 2009 was a definite “softening” of auction sale prices on late-model used combines in the second quarter of each calendar year.
For details, check out the “Combines” section of my Machinery Pete “Used Value Index” Quarterly report in the graph above.
At a macro level, dealer sales of new combines the last five-plus years have been exceedingly strong, but the absorption rate on late-model trade ins or roll program combines coming back to dealer lots has slowed way down. So, late-model used combines started stacking up on dealer lots. Fewer buyers plus increased options equals lower auction prices, which tend to
be accentuated in the second quarter following the historically stronger fourth quarter (year-end tax buyers) and first quarter (fewer number of auctions).
Will we see this trend continue in 2013? Speculation of course, but four years of historical auction sale price data says chances are, yes, the trend will likely continue in 2013 and the second quarter will be a great buying opportunity.
MACHINERY PETE Q2: THE BEST TIME TO BUY USED
(1–10 RATING SCALE, 6.0 = STABLE/NORMAL USED VALUES)
Learn more at www.MachineryPete.com…
BY GREG “PETE” PETERSON
109876543210
2007 2008 2009 2010 2011 2012
“What I’ve seen each of the last four years…was a definite ‘softening’ of auction sale prices on late-model used combines in the second quarter of each calendar year.”
—Machinery Pete
JANUARY 10, 2013 | 8:30 AM EST
2-RING FARM & CONSTRUCTION AUCTION Rebel Auction Co., Inc. | Hazelhurst, GA REGISTER ONLINE: www.rebelauction.com
JANUARY 11, 2013 | 9:30 AM EST
2-RING PUBLIC EQUIPMENT AUCTION Weeks Auction Company | Ocala, FL REGISTER ONLINE: www.weeksauction.com
JANUARY 12, 2013 | 9:00 AM EST
FARM & CONSTRUCTION AUCTION Insight Auctioneers & Sales | Sebring, FL REGISTER ONLINE: www.insightauction.com
JANUARY 31, 2013 | 8:00 AM EST
TARGET INVENTORY-INSTANT PURCHASE
OR MAKE AN OFFER RDO Equipment | Online-Only Event REGISTER ONLINE: www.rdoequipment.com
UPCOMING FARM /AG AUCTIONS
››FOR MORE INFORMATION, VISIT PROXIBID.COM‹‹
COMBINES (USED VALUE INDEX)Q2 Q2 Q2 Q2 Q2 Q2
by proxibid®
4411 South 96th Street Omaha, NE 68127
