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One thing you need to put into your thought pattern is that in North America a very popular way to acquire the use of new equipment is through the fair market value lease w/ the 5 years lease the most common and Toyota made the 3 year FMV lease very popular with great montly rates that competition had a hard time meeting. At the end of the term the customers turn in the equipment & it is sold in the second hand market and the customer get new equipment. So why would users want to incur higher monthly lease payments for a more expensive equipment that will last for ions. All they want is equipment that will perform well, safely & reliably during the lease period.
The second hand market buyer is price sensitive & is commonly a low hour use application.
Once upon a time, when I was a much less experience person than I am now & fresh out of the university, it was very common that the buyer of new equipment would keep a forklift 10 years on the average and usually was a cash buyer. But Clark introduced & promote the concept of 'financial" merchandising to the lift truck industry and soon Hyster (the #2 player at the time) followed, then other jumped into the program.
  • Posted 2 Oct 2015 20:45
  • By johnr_j
  • joined 3 Jun'06 - 1,452 messages
  • Georgia, United States

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Global Industry News
edition #1244 - 21 August 2025
In our feel good story for the week, we report on a donation from Wisconsin-headquartered Big Joe Forklifts to the University of Wisconsin-Madison’s College of Engineering, after discovering the institution was still using one of its 1960s walkie stackers... Continue reading
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