Assessment of Demand Potential and New Business Models
The growth of online models will increase product-based or bundled cross selling across distributor Web stores, equipment dealer networks, B2B and B2C eCommerce Web pages, and mobile apps.
The increasing sale of aftermarket spares and lubricants through online marketplaces will also lead to the seamless sale of used equipment, with a win-win model for both buyers and sellers.
The evolving and competitive online business platform space has reduced gaps between buyers and sellers. B2B eCommerce and marketplace sites allow stakeholders to buy, rent, sell, auction, and perform various activities related to equipment sourcing. B2B online platforms are also used to buy, sell, and auction used construction equipment.
About 9% of machines are currently fitted with telematics on site to ascertain fuel efficiency, engine health, transmission, and machine performance and access information online.
Market participants are beginning to understand telematics' advantages, and the technology is set to capture the Indian market over the next 10 years. With the younger population looking for profitable earning options in urban India, the agriculture sector is experiencing a labor shortage, and farmers are trying to compensate with increased mechanization.
In addition, the increased productivity of machine-based processes is increasing the demand for off-highway equipment and agricultural tractors.
