Increasing globalization, sterner emissions regulations, and the recent upsurge of big data are among the top challenges impacting the construction equipment industry in the next few years.
The major challenges manufacturers and suppliers in the construction equipment industry face are as varied as the products they develop and sell. Nevertheless, designing products which meet customer needs, and doing so in an efficient and quick manner, is an area of continual improvement for manufacturers and suppliers in this industry. Additionally, increasing globalization is also a noted challenge, particularly in terms of manufacturing and developing products that meet the requirements of customers in various markets.Globalization has also brought about more consolidation of manufacturers and suppliers as companies in the construction equipment industry look to improve their product offerings, as well as better manage uncertain market conditions.
- The client: A leading construction equipment supplier
A leading South American conglomerate consisting of diversified businesses in the fields of construction and engineering, founded in 1944, approached Infiniti to conduct a robust market segmentation study. The construction equipment supplier was facing predicaments in identifying the potential customer segments and segment them based on their preferences. As a result, the client wanted to devise a robust market segmentation strategy to target specific and smaller groups. Additionally, with the help of a market segmentation engagement, the client wanted to identify the key segments and implement a segmentation strategy to deliver services for specific segments in South America.
How Can Market Segmentation Help Construction Equipment Suppliers?[spacer height=”10px”]
Market segmentation solutions help construction equipment suppliers overcome the factors influencing the growth, yield advantage of new prospects, and reduce overall costs. These solutions also help companies in profiling the needs and desires of the customers and develop the product offerings accordingly. Moreover, Infiniti’s market segmentation solutions help construction equipment suppliers to categorize the market segments in terms of the distribution and geography.
Summary of our market segmentation solution?
Client Journey[spacer height=”10px”]
The market segmentation experts at Infiniti followed a widespread research methodology comprising interviews and discussions with prominent stakeholders in the construction equipment industry space to help the client efficiently segment their products according to their end-user requirements. The experts also compiled information from a plethora of secondary sources including paid industry database, company presentations, and industry forums to help the client gain a better perspective of the market scenario in South America.
Solution Benefits and the Business Impact[spacer height=”10px”]
With the help of Infiniti’s market segmentation engagement, the construction equipment supplier created multiple segmentation strategies to differentiate the market in South America based on distribution and pricing. This helped them to streamline their product positioning strategy based on the potential opportunities and accordingly align the product offerings with the target segments. Additionally, the client offered personalized marketing campaigns to target the best customers while being cost-effective.
The Future of the Global Construction Equipment Industry[spacer height=”10px”]
The global construction equipment industry is witnessing significant changes. The demand has been highly unpredictable and is currently weak, the customer landscape and prospects of manufacturers and suppliers are changing, new revolutionary technologies are booming (big data and electrification), and competitors from emerging markets are becoming stronger. Also, change is not new in the construction equipment industry. But what is unique about this moment in the industry’s development is that many of these changes are congregating and hammering the industry all at once.