There are a lot of factors that influence the equipment cost and value of pretty much anything in the world. No matter what industry you work in, you know that the cost is somehow related to the value and in most cases, low-bid options are not always the best because lower prices could mean deterioration in terms of quality. But whether you’re buying or selling equipment, there are more important factors to consider. If you are investing in large quantities of equipment or even if you are just investing in one or two pieces of equipment, you would want to be sure that you are getting the best value for your money.
Understanding what influences the price of equipment will give you a better idea of its true value, which will make it easier for manufacturers to sell, and gives buyers more confidence when they buy.
In this regard, it is worth mentioning that some factors affect the cost of equipment only, regardless of its value. The economic climate, market conditions, shipping cost, exchange rate, inflation, employee wages, and operating costs, all play a huge role in determining the cost of equipment whether it was valuable or not. The supply and demand cycle is another factor that affects equipment availability. As demand increases, supply gets scarcer, and prices tend to rise.
However, there are other factors that can affect both the equipment’s cost and value:
The Material Used
This is probably the most important factor to consider when buying construction equipment. The majority of structures today are made of wood, metal, steel, aluminum, concrete, and glass so it is crucial to purchase the best available material. All these materials have different costs and different values. As it is essential to choose the right quality building materials for your structure if you want it to last, you should talk to an expert to find out what material suits your needs best. A lack of quality in the construction will lead to premature deterioration and may lead to eventual failure, causing loss of structure and financial hardship.
Brand Name Recognition and Reputation
Brand loyalty is a significant factor that impacts equipment cost. Typically, manufacturers often charge more for brand-name equipment than generic or off-brand equipment. This strategy works because consumers are prepared to pay more for the brands they recognize.
If you’re looking for a specific model from a known-and-trusted brand, you should remember that the price may differ from that of a similar machine from another brand. However, in this case, it’s more of an investment than a splurge because brand loyalty is also associated with value.
Sometimes, a company’s reputation can follow the equipment they sell. Equipment that comes from a company whose reputation is for buying and caring for high-quality machinery is often more valuable, and it will often draw the attention of buyers. In contrast, the equipment may be perceived as a “riskier” purchase if it comes from an unknown company or if it has a reputation for cutting corners.
Safety Features
All brands of equipment should meet minimum safety standards. Some go above and beyond with secondary steering, sturdier handrails, ergonomic cabs, extra visibility, and more. There are costs associated with the additional features, but the benefits, in terms of added value and in terms of preventing accidents and injuries, pay off in the long run.
Maintenance
When a winch scaffolding or a chain hoist breaks during rush hour, wouldn’t that be related to the maintenance? When your agency is unreliable, it adversely affects efficiency, inconveniences the public, and portrays your agency as ineffective and incapable of getting the job done right. Higher-value equipment may be designed to deliver a second life. The maintenance of equipment is a very important factor to consider for both the price and the value. You may pay a bit more upfront for maintenance but the cost is recoverable through faster, more efficient, and valuable performance.
Age
How old is it? This is probably the first question you should ask your manufacturer about their equipment. And yes, age is an significant factor in determining price. Generally, equipment depreciates as it ages. Wear and tear become more evident as the equipment sees more use, and it requires more repair and maintenance.
Equipment is not like wine. Two identical pieces of equipment of the same age vary significantly in value and can vary widely in price. They might both be old, but one that’s well-maintained or has low hours of usage can be worth considerably more.
Condition
If a piece of equipment is expected to perform a job well, then the condition should be one of the most significant aspects when it comes to determining price.
Any piece of equipment, regardless of age, won’t fetch a good price if it’s in poor condition overall. But older equipment that’s been well-maintained or lightly used can still sell for a respectable amount.
Design and appearance can make a big difference too. Having equipment painted, repaired, or even just cleaned often results in a higher price. And if more detailed information such as maintenance, repair records, and history can be shown, then buyers will have more confidence and are generally willing to pay more.
Ability to Inspect and Test Equipment
Last, but certainly not least, for potential buyers, being able to inspect and test equipment in person can make a huge difference in what they’re willing to pay. The more people can see for themselves what they’re buying, and the more proof they have of the equipment condition and ability to perform the task they’re buying it for, then the more likely they will be to pay. Additionally, having a positive, personal interaction with the seller or seller’s agent will instill more confidence in a potential buyer.
Building Value While Reducing Construction Costs
Bardawil is your trusted partner for your next construction project. We make sure to deliver you equipment that guarantees you get the best value for your money. With Bardawil, your equipment will last longer, and you will have peace of mind knowing you’ve protected yourself from unexpected costs or deceptive quality.
Using our site, you can search for specific categories and products, or you can just download our catalog. If you have trouble finding tools that meet your specifications, don’t hesitate to contact us.