The average price of pallet trucks will rise further in the next three years as production costs and demand continue to grow
Los Angeles, California (PRWEB) January 09, 2015
Pallet trucks have a buyer power score of 2.8 out of 5. According to IBISWorld market research analyst, Jordan Weinstein, "This score reflects a buyer's low to moderate ability to negotiate lower pricing due to the large number of suppliers in the market, the product's widespread availability and rising import trends." IBISWorld estimates that there are more than 600 vendors of pallet trucks, which provides buyers with a substantial number of supplier options. However, recent demand growth and price fluctuations in key inputs have reduced buyer negotiating power.
In the three years to 2014, the average price of pallet trucks has grown due to a rise in demand, specifically from the industrial and manufacturing sectors. "Both sectors serve as major demand segments for the pallet truck market and the recovering economy has propelled both sectors to grow at a steady pace during the three years to 2014," says Weinstein. Growth in these sectors has consequently increased demand for pallet trucks. Additionally, suppliers are expected to experience price increases for key inputs such as steel over the three years to 2017. As a result, the selling price for pallet trucks is anticipated to increase further as suppliers pass on a portion of their rising input costs to buyers.
Fortunately for buyers, price increases for pallet trucks in the next three years will be mitigated to an extent by the moderate level of competition among suppliers and increasing import penetration into the market. Suppliers that drastically raise prices will lose business to those vendors offering the same products at a lower cost. Major vendors in the market include Mitsubishi Electric, Toyota Industries Corporation and Kion Group AG. Buyer power is also aided by low market share concentration and low switching costs, which strengthen competition. These conditions are favorable for buyers and are expected to remain unchanged over the next three years. For more information, visit IBISWorld’s Pallet Trucks procurement category market research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of pallet trucks, which are a type of industrial truck that is used to lift and move pallets. Pallet trucks are also called pallet jacks and can either be manual or powered. Pallet trucks have hydraulic jacks that raise and force a load upward to move cargo. This report does not include carts, dollies, wagons or pushcarts.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.