THE continued rationalisation of machinery dealerships is bringing new challenges to owners.
That's the opinion of Tractor and Machinery Association executive director Richard Lewis, as he provided a sales snapshot of machinery equipment throughout Australia over the last 12 months.
There will be owners ready to sell or embrace foreign investment and those who will be alert to new opportunities.
"I think you will see a changing landscape in the dealer shop window over the next three to five years," Mr Lewis said.
"If you are watching customer habits, a lot of business is going to the internet so the days of salesman sitting around the kitchen table having a cup of coffee and discussing a customer's requirements is fading.
"And with only 604 machinery dealers left in Australia, the message is to be ready for opportunities particularly where you can value-add to your business.
"For existing players it will change the way they go to market
"As a hub of activity, a dealership could morph into any number of scenarios whether it be through new products to stimulate cash flow, or services.
"It is certain that more rationalisation will go on and while customer demands will increase, so will opportunities."
According to Mr Lewis, tractor sales throughout Australia in the rolling 12 months to May 2013 was 10,879 units, compared with the previous period of 11,034.
WA's figures remain relatively static with 1100 units sold compared to the previous period of 1106.
The power demand saw a 22 per cent spike in track sales, representing five per cent of the market, while 4EWD units dropped 30pc, capturing 8pc of the market.
Utility tractors, representing the biggest market share of 39pc and with power ratings between 30-105kW (40-140hp), rose only 1pc while the lifestyle market, with power ratings up to 30kW, rose 11pc.
The row crop segment (105kW-plus rigid) was down 8pc.
Sales of combine harvesters were down 10pc to 1012 units for 2012 but were up 17pc on a five year average, with units sales in WA totaling 336 on a rolling 12 month period to May 2013.
It represented an 89pc increase on the previous period and was the highest increase throughout Australia.
Not surprisingly, hay baler sales in WA were steady at 84 units with the biggest segment being round balers at 62.
