Australian Mining Equipment Sector, 2014
Albany, NY (PRWEB) May 20, 2014
The survey primarily assessed heavy mobile equipment, however respondents were also asked about their practices and preferences in areas such as mining software, technology, and maintenance.
Areas of analysis include:
- Customer priorities when buying mining equipment, with ratings of the importance of 16 separate factors for customers when choosing mining equipment, including cost factors, supplier attributes and product attributes.
- Ratings of existing suppliers across the same factors, identifying best-performing suppliers and how well suppliers performed versus the importance of each factor.
- In-depth analysis of the major suppliers, namely Caterpillar, Joy Global, Komatsu and Volvo, including their overall performance ratings and their ratings for each of the factors relative to its importance.
- Rankings of the leading suppliers for each equipment type, with respondents indicating who they viewed as the top suppliers in Australia for trucks, excavators, loaders, shovels, dozers, drills, continuous miners, longwall systems, engines, tyres, pumps and mining software.
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Overall trends in the data revealed:
- Customer priorities in supplier selection are product quality and availability of parts.
- Suppliers perform well, but customer satisfaction is frequently lowest in the most important areas for customers.
- Volvo and Komatsu received the highest average satisfaction ratings, with Caterpillar considered the leading supplier for most categories of mining equipment.
- Account managers make a significant impact in the selection process.
- Although loyal to their suppliers, customers look for improvement in parts availability and product quality.
Winning and Retaining Business in the Australian Mining Equipment Sector, 2014 published by Timetric – Mining Intelligence Centre, provides readers with a detailed analysis of customer preferences in the Australian mining sector. The analysis is based upon Timetric’s survey of 110 mine managers, procurement managers and other key decision-makers
Reasons to buy
- Identify key areas for differentiation by understanding what factors most influence choice of supplier.
- Target product and service improvement areas based on where mining equipment suppliers are currently underperforming relative to customer expectations.
- Develop successful sales and marketing strategies through an understanding of the leading competitors and their strengths and weaknesses.
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- When choosing an equipment supplier, respondents rate ‘Production reliability and quality’ and the ‘Availability of replacement parts’ as most important. However, over half of respondents feel that suppliers need to improve in the latter.
- Overall the major suppliers perform well in terms of customer satisfaction, however, their weakest ratings were given for two of the three most important factors for respondents.
- Account managers make a significant impact in the selection process with 77% of respondents citing ‘Better understanding of your needs’ and 81% indicating ‘Better ability to build a long-term relationship’ as differentiating factors when choosing their current main supplier.
- There was a greater likelihood for respondents to switch supplier where satisfaction was low. While on average 7% plan to switch supplier within the next five years, this percentage is much higher for respondents whose satisfaction scores were below average.
- Although most are loyal to their suppliers, customers are specifically looking for improvements in parts availability, product quality and the ability to support cost reductions.
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