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XtraBlatt Issue 01-2021

  • Text
  • Xtrablatt
  • Crop
  • Australia
  • Dairy
  • Grassland
  • Straw
  • Agricultural
  • Silage
  • Forage
  • Machinery
  • Krone

TITLE THEME 1 For Heinz

TITLE THEME 1 For Heinz Arns (l. managing director, Lankhorst) and Martin Fehren (managing director, Harvest Park) the marketing of used machinery is not a necessary evil. Instead, trade-in machines represent an important business field. 2 Alongside silage harvesters and other products from the BiG line, combine harvesters are also part of the core business at Harvest Park. 3 Every machine finds its own market: a large proportion of the machines taken in part-exchange during sales by Lankhorst remain in the region, or at least in Germany. company. Among other things, this is because, at least during primary acceptance, no one from HP centre is usually able to travel to the dealership in question, says Martin Fehren. On the basis of the paperwork a first estimation of price can then be made and those involved decide if the machine in question should be shipped to the centre. “This is the case with 99 % of the machines. Afterwards we can, during a further inspection, check condition more closely and decide whether there might be extra work needed”, he explains. CENTRAL LOCATION The further processing of a used machine always begins for both companies with a very intensive cleaning. At the Emsbüren centre the used machines are grouped according to type because Heinz Arns knows from experience that potential buyers prefer sufficient choice when deciding. “If we have our machinery and implements distributed at all six locations then the chances of sales, at least on a regional basis, would decrease.” Another reason for having all the sales at the centre is the good connections with an autobahn with quasi an “own” access road only a few hundred metres away. It’s no coincidence that the Emsbüren location in north Germany is shared for respective used machinery sales by both companies. In fact, the Lankhorst service team of 15 take care of all HP machines as well as their own. And there’s also a direct connection in sales, explains Heinz Arns. “Normally we take care of marketing all the used machinery, including the large-scale machines. After all, we already service around 75 BiG Xs in our sales area here. To this total can be added the complete Krone BiG line, so that we also have a plentiful supply of used machines coming in.” Preparation of machines for resale is an intensive business at the centre. Exterior condition and presentation are naturally important. Further “in-depth” work may, or may not, be carried out there. This depends on customer wishes and machine value. “Especially where they’re heading for export to eastern Europe, South America or Asia, our workshop prices may not be competitive with those in the importing land, so repairs might be best undertaken there”, explains Martin Fehren. Through the high technical abilities of the HP and Lankhorst teams, it is also possible, depending on respective machine condition, to offer guarantees, at least for certain components, for instance a part guarantee covering the engine for the first harvest year. “This gives the buyer more security. After all, harvesters – and this applies to used ones too - are becoming increasingly expensive.” A GOOD FUTURE 1 Key words costs and value highlight the general price development of used machinery and other trends in this business. The subjective view of many farmers and agricultural contractors is that there’s an ever-increasing 10

2 3 gap between prices for new and used machinery. “We can show, however, that this is definitely not the case”, clarifies the HP managing director. Neither can he confirm that the ever-increasing number of electronic components in agricultural machinery reduces the chances of international sales. “Quite the opposite, in fact. The digital components make it increasingly easier, even as a used machine buyer, to take full advantage of manufacturer servicing offerings, a factor especially valuable in markets outside Europe”, says Martin Fehren. As an example, he cites the customer portal “mykrone.green” over which a broad spectrum of technical services can be called up. “In the long-term perspective, this will increasingly help us, in the marketing of used machinery, too.” Talking of “trends”, both managers assume that assessed value of used machinery will increase substantially. “The technology is more and more valuable. Therefore on purely economic grounds, the machines have to be used longer, not only over a so-called second lifetime but maybe, depending on product category, over a third one too”, emphasises Heinz Arns. And Martin Fehren adds: “With this, the importance of used machinery moves increasingly into focus and is certainly no longer a mere by-product of new machinery sales but instead an economically efficient alternative.” “USED MACHINES ARE GOOD ALTER- NATIVES FROM AN ECONOMIC POINT OF VIEW” MARTIN FEHREN, HARVEST PARK MANAGING DIRECTOR functionality, quality and the complete theme complex of operator training, service and/or spare parts supply. Heinz Arns stresses that he finds possibilities for further modifications in machines increasingly important. Here, it should be possible, he says, to refit used machines with newer features and components, or spare aggregates to lengthen operational lifetime or to meet a customers’ special requirements. “Everything that contributes to lengthening machine working lifetime or to allow it to help work under particular conditions, improves economic efficiency as well as helping to maintain a positive development in used machinery value. In total in this respect, we find ourselves making very good progress. One thing is sure: the earnings per production unit in agriculture will not significantly increase. The marketing might of the food supermarket chains alone, and their influence on producer prices, will not permit this. For this reason, sustainability in agricultural machinery is not only a must on the grounds of environmental protection, but for reasons of economy too”, he concludes. « He also reckons that this means machines should be built for more “backwards-compatibility”, in other words, so they can be more easily uprated after their first or second working life. This longer life starts in product development planning alongside the basic work in 11