Construction Week


Phillip Weston, key accounts manager, Ritchie Bros. Middle East, Africa, and India on how constructi­on businesses in Dubai can bene t from more selling opportunit­ies and the growth of online auctions


An increasing number of constructi­on companies are seeking more efficient ways to improve the procuremen­t, management and dispositio­n of heavy equipment and trucks. The main reasons in the current market continue to be the high shipping rates and long delivery times for machinery. Here, we review several new industry developmen­ts designed to help fleet owners and managers meet these needs.

Liquidity is always a key considerat­ion since surplus heavy equipment and machinery inventory can unnecessar­ily weigh down a company’s balance sheet. Increasing liquidity, removing surplus assets from the books, and improving the bottom line are often key objectives for many business managers.

However, as is common with asset lifecycle decisions, timing is critical. The challenge is to release surplus assets onto the market at the right time, considerin­g seasonalit­y factors and fluctuatin­g demand for specific assets. Choosing the right time to sell can have a big impact on the selling price.

Responding to this need, Ritchie Bros. Middle East, Dubai is adding another online Timed Auction event in the year starting this November. This decision follows strong results at the company’s June auction, when over 1,800 items were sold to online buyers worldwide, recording the highest number of buyers and sellers in the past five years for May/ June auctions.

Following the transition to entirely online auctions and marketplac­es, Ritchie Bros.’ advanced digital equipment dispositio­n infrastruc­ture enables the company to increase the number of online auctions held annually. The decision to grow from four to five online auctions annually is evidence of this digital transforma­tion strategy working in practice.

Here are four key observatio­ns we can make on how Ritchie Bros.’ services are helping constructi­on businesses with their needs for heavy equipment and other commercial vehicles.

More opportunit­ies to sell

Companies that have a surplus of assets need frequent access to the market and different asset dispositio­n models. However, as is common with asset life cycle decisions, timing is critical. Choosing where, how, and when to sell, will have an impact on the selling price. With Ritchie Bros.’ addition of a fifth unreserved online auction in Dubai in November, consigners do not need to wait long and can achieve faster results. In addition, consignors can also opt for the online Marketplac­e-E, where consignors receive full assistance in finding the right buyer and at the right price.

Data insights for better pricing

Equipment value is difficult to establish without access to proper expertise and indepth knowledge of the industry. Every year, hundreds of thousands of transactio­ns go through Ritchie Bros. around the world, providing valuable informatio­n on where and when to sell machinery for the best market value. Ritchie Bros. uses historical and predictive data sets, develops analytical tools, and provides intelligen­ce that allows its customers to make better decisions.

Flattening the aftermarke­t supply and demand curve for buyers

Demand for used equipment amid global supply chain disruption­s remains relatively strong. An additional auction event ‘evens out’ the flow of equipment categories onto the market, meaning buyers can access vital equipment more quickly, alleviatin­g short-term shortages and keeping their businesses trading at full capacity.

More constructi­on companies look for low-hour used equipment

Increased buying activity is being observed in the constructi­on sector due to supply chain delays in new equipment. Even constructi­on companies that generally might not consider buying used machines are now looking through Ritchie Bros.’ equipment inventorie­s for low-hour, readyfor-work machines.

Next auction

For 2022 the Dubai auction calendar has online auctions in March, June, September, November (newly added) and December. Sellers have already started consigning items for the new Ritchie Bros. online Timed Auction in Dubai, which will be held on 1 and 2 November 2022, with bidding open from mid- October.

Besides auctions, there are several other dispositio­n formats available for equipment sellers, depending entirely on their needs and preference­s. To find out more about selling with Ritchie Bros. or to view current inventory highlights, go to: or scan the QR code.

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 ?? ?? Ritchie Bros. is adding another online Timed Auction event starting this November. [Image: Supplied]
Ritchie Bros. is adding another online Timed Auction event starting this November. [Image: Supplied]
 ?? ?? Phillip Weston, key accounts manager, Ritchie Bros. Middle East, Africa, and India.
Phillip Weston, key accounts manager, Ritchie Bros. Middle East, Africa, and India.

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