In pursuit of the business-to-business e-commerce rainbow, more than a few dotcom sites targeting the construction equipment market were launched in a hurry. And it shows.
Some sites are still "under construction" months after the glossy marketing brochures were mailed; some are giving away their services on a test basis, hoping curiosity will bring credibility; and some have come out of nowhere, with no background in the market they seek to serve, much less a discernible plan to capture it.
At this rate, at a time when Internet development is measured in weeks, not years, it would appear many of these would-be e-players won't offer more than a cute domain name to be acquired by larger Iron Lions - or maybe just more creative, well-funded cats.
Start with one of the Lions: Ritchie Bros. Auctioneer, the No. 1 seller of used construction and industrial equipment in the world. The traditionally staid Canadian company has begun working on a system that will allow real-time online bidding at its auctions around the world.
Ritchie says it wants to offer equipment in an unreserved format - something most Web auction sites don't do yet - by broadcasting its auctions live on the Internet.
Given the volume of equipment Ritchie has its hands on, and the number of auctions it holds, this could dramatically expose the limitations of other sites that offer equipment for a period of time, letting buyers and sellers work out the details on their own. Using a real-time system means Ritchie's customers will find out sooner rather than later if they get the machines they want.
Ironmax.com, which recently secured more than $10 million of venture funding from CMGI, among other investors, is emphasizing a streamlined approach as well. The free site enables renters and buyers to submit a customized "request for quote" to dozens of suppliers to get the best price on a particular unit.
The biggest challenge facing Ritchie, Ironmax or any other equipment Web site is that no digital image or detailed description of an aerial lift or excavator can assure a purchaser quite like a hands-on look under the hood and the old kick of the tires.
That's why any serious equipment presence on the Internet must provide an inspection and certification system to convince people the machine will run, much like the encrypted credit security systems that have helped put tentative Web shoppers at ease.
One newcomer, IronPlanet, began its first online auction last month, with detailed information on each piece of equipment, including separate ratings on key parts and systems, photos of critical parts and oil analysis results. The information is gathered during independent, third-party inspections as the equipment is consigned for sale.
Along these lines, EquipmentAuction.com founder William Smith cites research that shows end-users want 24/7 access to "significant inventories of pre-inspected, rental-ready equipment ... and a host of support services."
The month-old site, which has partnered with Atlas Copco-owned Rental Service Corp., among others, won't be alone in recognizing that need, or promising to meet it. And the dotcoms that "deliver the goods" will end up selling and renting most of them, too.
powerstore.cummins.com - A new site where Cummins customers can renew service agreements and purchase service manuals, parts catalogs and merchandise
vermeer.com - Named an "Outstanding Web site" by the Web Marketing Association
freightquote.com - A freight logistics service that allows companies to price and arrange pickups, and track shipments with multiple carriers
