Selling industrial equipment that is used or surplus to your ongoing operations is important for a large variety of reasons. If you are not already familiar with the process for selling industrial equipment or you don’t do it, now is the time to reconsider. Whether your business is an enterprise with multiple locations all over the world, or you are a small, medium sized business with plans to grow, selling industrial equipment can be extremely beneficial.
Selling industrial equipment that is no longer used in production is an excellent way to recover some of the initial investment you made when the equipment was purchased. The funds from the sale can be used by the business to buy new equipment that could help improve efficiencies in production. Additionally by selling surplus equipment, you are able to optimize your production processes. By finding and selling industrial equipment that is no longer needed, you can streamline operations and reduce costs associated with storing or maintaining this equipment.
Selling industrial equipment also has a positive impact on the environment. By selling this used equipment to potential buyers, you are able to find a new home for equipment that would have otherwise ended up in a landfill. Selling used industrial equipment enables businesses to reduce their carbon footprint and contribute to the circular economy, which will allow for a more sustainable future. By keeping your used equipment out of landfills, you will be able to fulfill environmental, social, and (corporate) governance policies (ESG).
Selling industrial equipment is a challenging task for any organization. In our 10+ years of experience of helping global enterprises sell their equipment, one of the biggest pain point we’ve been able to help our customers with is developing an efficient and repeatable process for preparing the industrial equipment to be sold. Selling your industrial equipment via an industrial auction enables a streamlined and easy process and can yield one of the highest recovery rates We will outline our recommended steps in order to start selling industrial equipment below.
The first hurdle many organizations face when they are selling industrial equipment is locating it within their facilities. Oftentimes, this equipment is in storage rooms, or scrap yards and the exact whereabouts aren’t known to everyone within the organization. By using a system that can help you track and identify used industrial equipment and machinery such as AuctoARS, you are able to identify the equipment in your facility and upload an associated location with the listing, making it easy to find when you are ready to start selling industrial equipment.
After locating the industrial equipment you wish to sell, it is important to thoroughly clean it. Try to remove as much grease, and dirt as possible, by using a damp rag and the appropriate cleaning solution. This step may seem simple, but it will help you in further steps when selling industrial equipment.
After cleaning the equipment, you can then begin creating the catalog. You’ll want to record as much information as possible as this will be presented to the buyers. Always include critical information such as manufacturer, model # and year of manufacture whenever possible.
The next step is to take high quality pictures of your asset. You want to get as many pictures as possible. Make sure you include important details like nameplates and areas where there might be damage to the equipment. The more pictures you can take, the easier it will be selling industrial equipment. If possible, also consider taking a video of the equipment in use.
Now that your auction catalog is built, it is time to create your sales terms. This step is crucial as it will lay out how all these buyers will engage with your sale. Make sure you consider removal terms, payment terms and whether or not you will require deposits. All your bidders must review and agree to these terms to be able to participate in your sale.
As you get towards the end date of your auction, you will want to facilitate as many inspections as possible with potential buyers. When selling industrial equipment, you want to have as many engaged buyers looking at your equipment as possible.
If you are selling industrial equipment, auctions are the best selling format you can use. According to a recent report from Technavio, the industrial equipment auction market is expected to continue to grow at a CAGR of 18.65% between 2022 and 2027. But why are auctions such a popular method for selling industrial equipment? Here are a few reasons.
Whether the auction is online or in-person, when selling industrial equipment, you want to attract as many potential buyers to the sale as possible. The more potential buyers, the more money you can make from your equipment. Auctions do an amazing job at attracting buyers to these sales because of the event, set-up around the sale. Auctions do a good job at attracting buyers and motivating them to buy. By turning your sales into must attend events, you are able to guarantee a higher net recovery.
Auctions create a competitive environment between buyers. This results in buyers competing with each other to win the equipment that is being sold. The competition is great when you are selling industrial equipment as it allows you to get more money for it compared to if there was not a bidding war on your equipment.
Auctions are the most time efficient method for selling industrial equipment. This is because it creates a sense of urgency with the buyers and preys on buyers' fear of missing out (FOMO) on the equipment and deals in the auction. This time based selling method allows you to attract more buyers, and sell entire facilities of industrial equipment in hours, compared to traditional selling methods.
Auctions offer a transparent and fair way of selling industrial equipment. The entire bidding process is visible to everyone with the highest bidder winning the item. This can create a sense of trust and confidence in the seller and the auction process. As a seller when the lot closes you know you got fair market value and you know what the final bid amount for your industrial equipment was.
Generally, online auctions are much more convenient when you are selling industrial equipment. According to a recent study from Research and Markets, the online auction format is the fastest-growing segment in the industrial auction market, this is because online auctions offer a better solution compared to in-person.
One reason online auctions are growing in preference to in-person auctions is that online auctions do not require sellers to ship equipment to the auction house. This cost savings alone is massive for sellers as it allows them to earn more money from their equipment sale proceeds. For sellers who usually hold the auction onsite within their property, online auctions eliminates this requirement, which reduces risks and liabilities to the organization.
Another advantage online industrial equipment auctions have over in person auctions is the transparency when bidding in the sales. With online auctions, all bids are recorded electronically, resulting in a bidding log that is visible to all participating buyers and those watching the auction. This transparency gives buyers in online auctions additional confidence in bidding as they know the process will be fair.
Online industrial auctions also offer a greater selection of product categories compared to in-person auctions. This is because online auctions are not limited by physical space like an auction house, as such online auctions offer a much larger variety of equipment and machinery. Combine this with the fact that multiple auctions can be ending at the same time online, this gives buyers more chances to find, bid-on and buy the industrial equipment that they are looking for.
If you think online industrial auctions make the most sense for selling industrial equipment, the Aucto Marketplace is one of the best online industrial marketplaces. With Aucto, you can sell your used, and surplus industrial equipment to qualified global buyers in just a few clicks. We do all the heavy lifting for you. When you are ready to start selling your industrial equipment on the Aucto Marketplace, all you have to do is follow these steps:
The process begins with a quick chat with one of our Asset Recovery Experts to understand your needs. Then they can help you set up your online industrial auction to get started selling industrial equipment on the Aucto Marketplace
Ready to start selling industrial equipment on the Aucto Marketplace? Click the button below to speak with one of our asset recovery experts.