As is well known, after decades of development, especially the nearly ten-year golden period since the new century, China has become the world's largest construction machinery market. Moreover, it has consistently leveraged China's unique advantages, such as more vast land, a huge market, and abundant human resources compared to foreign countries. Consequently, China's construction pace has generated enormous demand for construction machinery.

    This is the general trend of industry development. Admittedly, in the past two or three years, the construction machinery industry has encountered some gloom, but the wheels of history roll forward. The future is bound to belong to China's century. Therefore, for the vast number of construction machinery manufacturers and agents, both parties need to do their own work well to meet the demands of the market development period. Below, we will briefly discuss several aspects that construction machinery agents need to focus on strengthening in the Year of the Horse 2014. Only by clarifying the direction and knowing the methods can we make our progress more powerful and targeted.

    Overall, the work that construction machinery agents need to value and strengthen in 2014 mainly falls into the following aspects: implementing a unified concept, delivering considerate service, and effective risk control.

    Implementing a Unified Concept

    For grassroots users of China's construction machinery, the main machine agent may be the more accessible or frequently contacted product seller. Whether they are part of the same company as the main machine manufacturer or not, at the grassroots user level, their impression directly reflects the user's view of the main machine manufacturer. Therefore, as the new year 2014 arrives, from main machine manufacturers to their construction machinery product agents, all must be guided by a unified concept.

    Among these, the most important is to establish the marketing service concept of "creating value for customers." In terms of sales policies, agents need to implement the main machine manufacturer's marketing system well and carry out all policies effectively. As for the agent's internal construction, within its agency area, it should scientifically and standardly set up its own agency outlets and decorate and layout each outlet in a unified style, so that a good image of the agent can gradually be established in the minds of grassroots users. In addition, agents can also drive product sales through various promotional activities such as exhibitions, seminars, and experience days.

 

Delivering Considerate Service

    In the new era and market situation, the competitiveness of enterprises is more reflected in the service quality of every detail throughout the product life cycle, especially for agents. Therefore, service itself should include maintenance, spare parts, remanufacturing, etc.

 

    After the industry downturn in 2013, as the industry gradually recovers in 2014, all construction machinery enterprises are strengthening after-sales service, as only this can win more customer recognition. For agents, they must also keep pace with main machine manufacturers and improve their after-sales service systems in all aspects, such as response time after receiving tasks, skill enhancement of engineers, daily reserve of spare parts, and even maintenance of service vehicle conditions—all these are closely related to improving service quality.

    In fact, in the past 2013, many large construction machinery enterprises launched their own unique brand services and special services, from which many agents can draw valuable experience.

Effective Risk Control

    In the past two years, as the construction machinery market continues to decline, the industry has entered a downturn. The ills masked by the previous decade of prosperity have been exposed one by one: surging accounts receivable, high inventory levels, rising proportions of bad debts... These series of problems have made enterprises struggle even more during the market downturn. Under market pressure, major construction machinery manufacturers are further transforming and upgrading by improving product quality and service levels. In the current industry situation, risk control has become an indispensable part of enterprise development strategies.

 

    For the vast number of agents, risk control is an even more necessary link. A professional risk control department should be established and improved as soon as possible, a dedicated pre-sales credit review institution should be set up, and a complete customer credit evaluation process and risk control mechanism should be established. In addition, the processes and related management systems for telephone collection and on-site collection should be improved.

    Regarding industry risk control, HC Construction Machinery Network provided a more detailed discussion in its year-end review at the end of 2013, and the vast number of agents can learn from the suggestions given by HC Network.