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6 Ways Equipment Dealers Can Maximize Parts And Service Revenue

Source: Trimble

Aftermarket parts and service are the lucrative ‘long tail’ of revenue for the heavy equipment industry, delivering over half of revenue and eighty percent of profit, on average. While frequently taking a back seat among other priorities, leading dealer organizations have honed in on six key areas to maximize parts and service revenue and profits.

In the heavy equipment industry, studies have consistently shown that parts and services in the aftermarket deliver longer term, and often more profitable revenue than the sale of original equipment that precedes them. This is particularly true for many of the industries that equipment dealers serve, such as construction, mining, and agriculture. A new equipment sale can result in years or decades of maintenance and replacement parts business for the dealer, driven by heavy wear parts, service and maintenance contracts and component replacements or rebuilds.

While heavy equipment manufacturers and their dealers are often aware of the potential for their business to grow and differentiate with aftermarket parts and services, many dealers struggle to fully capitalize on this potential which often requires having systems and processes in place that enable close collaboration within the dealership. Whether it’s emergency field repair, preventive maintenance, inspections or shop work, equipment dealers that invest in streamlining their processes and implement dedicated service workflow solutions are in the best position to capture aftermarket value. Having a service management system that easily integrates equipment and customer information into the service workflows is key to achieving results. In this report, we will discuss six key areas where Trimble PULSE® functionality and integrations with other systems can help equipment dealers improve field service efficiency, streamline back office processes, increase billable hours, and provide a positive service experience to their customers.

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