Plant & Equipment travels to Dobříš in the Czech Republic to attend Doosan Bobcat’s first Demo Days for MEA dealers and customers in almost three years.
The global pandemic caused myriad challenges for companies operating across the entire spectrum of industry, not least the plant and equipment sector.
Strict local lockdowns coupled with wide-ranging international travel restrictions meant that projects of all sizes had to be put on hold and, in many cases, the acquisition of new equipment was placed on the backburner.
But manufacturers’ bottom lines were not the only thing to take a hit during this period. The pandemic also put paid to physical meetings, and while the widespread adoption of video conferencing software enabled businesses to maintain relationships remotely, many missed the ability to meet clients and suppliers in person.
Gaby Rhayem, Regional Director – Middle East and Africa at Doosan Bobcat EMEA, certainly falls into this category. Before the pandemic, his team regularly organised events at the manufacturer’s Dobříš Campus in the Czech Republic, enabling dealers and customers from across the Middle East and Africa (MEA) region to try out the latest Bobcat machines first-hand.
“These are the first MEA Demo Days that Bobcat has hosted in almost three years,” Rhayem tells Plant & Equipment with a smile, shielding his eyes from Dobříš’s midday sun. “The last time we were able to invite people here was in October 2019, before the pandemic. The last time we met at all was at our MEA Dealer Meeting, which took place in February 2020 at our facility in Pontchâteau, France. Since then, we haven’t been able to meet at all. That’s why we’re calling this our ‘reunion’.
“Of course, we’ve been able to maintain contact with our dealers and customers via phone and video calls, but we haven’t been able to catch up with them in person,” he continues. “That’s why we’re so excited to bring everybody here to Dobříš. All our MEA dealers are in attendance: Saudi Arabia, Kuwait, Qatar, the UAE, Bahrain, Oman, Iraq, Yemen, Lebanon, Egypt, Morocco, Algeria, Tunisia, Côte d’Ivoire, Kenya, Ghana, Nigeria, Gabon, Angola, Mozambique, Sudan and South Africa – we’ve invited more than 80 people in total.”
Aside from the advantages of meeting with contacts face-to-face, Rhayem explains there are also a number of practical benefits offered by Demo Days. “There’s nothing better than giving dealers and customers the opportunity to see the machines and try them out in person,” he says. “Look over there. You can see someone using a Bobcat tree transplanter attachment. We could show that person videos, we could share brochures and supporting information, but it wouldn’t compare to actually trialling the technology first-hand.
“Over there, someone else is cutting the ground with one of our wheel saws,” Rhayem continues. “That guy now knows exactly what the unit can do, and he’ll be thinking of the various applications for which it can be used. That’s the beauty of Demo Days: they enable attendees to jump straight into the latest Bobcat machines, start the engines and assess their capabilities. There’s nothing better than getting a feel for a particular model. Customers benefit by being able to test drive the equipment, whereas dealers can return to their regions and speak more authoritatively about our offering.”
Of course, flying the best part of a hundred people from the MEA to the Czech Republic is a costly exercise, even for a multibillion-dollar company such as Bobcat. So, does Rhayem expect a suitable return on investment? Do Demo Days really translate into new orders?
“They absolutely do,” he replies. “And we mustn’t forget, it’s very kind of our dealers and customers to come here. Taking two or three days out of their busy schedules is not easy. But they are keen to attend because they understand the benefits – especially when there are so many new models in our line-up. In the current climate, machines are often sold before they arrive at the dealership. Suppliers aren’t able to carry the same volume of stock as they did before the pandemic, so the opportunity to gain hands-on experience at Demo Days represents a distinct advantage.”
In addition to time-honoured favourites, Bobcat’s Demo Days featured a broad range of new and yet-to-be-launched models and technologies for attendees to try. However, as is the case for the vast majority of equipment manufacturers, many of these innovations have been developed with Western markets in mind, and so are unlikely to be rolled out within MEA markets for some time. Nevertheless, Rhayem is adamant that showcasing cutting-edge advancements to dealers and customers in his region is still a worthwhile exercise.
“For sure, some countries are ahead of others when it comes to the latest innovations,” he says. “For example, Bobcat has been selling one-tonne electrical excavators in the United States and Europe for almost a year now. We haven’t sold this product in MEA markets, though, because the technology is more expensive than internal combustion units and there’s no regulatory incentive to use electrical models. Our regional customers are free to invest in these products, of course, but they’d need to pay extra and, right now, it doesn’t always make commercial sense to do so.
“However, consider some of the latest regional megaprojects,” Rhayem continues. “NEOM in Saudi Arabia, for example, requires all machinery working on site to be electrical. So, when the time comes, dealers that can supply electrical mini-excavators, compact track loaders, skid-steer loaders and so on, are going to have the edge over their competitors.
“This is what we’re discussing with our partners at GTE Saudi Arabia, Bobcat’s authorised dealer in the Kingdom,” he adds. “They’re really interested in ordering electrical track loaders for these sorts of projects. It’s just a matter of identifying how many machines are needed, the delivery timelines and how we can make this happen. Because, ultimately, if GTE can acquire the machines and align on pricing with their customers, they will order them.”
So, all in all, the advantages offered by in-person gatherings appear to far outweigh the costs of hosting them. When asked how it feels to be reunited with the manufacturer’s MEA family, Rhayem replies: “Do you remember the headline of your last article (see Issue 252 of Plant & Equipment). It was ‘Go Big or Go Home’. Here, we say ‘Come back to our home’. We are at the home of Bobcat, after all.”
MEA Demo Days: next-gen machinery highlights
With a comprehensive line-up of machinery, including skid-steer and tracked loaders, mini-excavators, telehandlers, light compaction equipment, and an array of versatile attachments, Bobcat’s 2022 MEA Demo Days featured a plethora of cutting-edge kit for its dealers and customers to sink their teeth into.
Of particular interest to attendees were the manufacturer’s product previews, which offered a glimpse into the innovations that will be rolled out to benefit end users over the months and years to come. In addition to previewing the MT100 Mini Track Loader, Bobcat chose the Dobříš Demo Days to debut concepts such as its brand-new object avoidance technology and the T7X compact track loader.
Bobcat MT100 Mini Track Loader | Preview
Designed to replace the need for wheelbarrows, shovels and other hand tools, Bobcat plans to launch this compact track loader later this year. MEA Demo Days attendees, however, were given the opportunity to undertake some hands-on testing ahead of time. Despite being narrow enough to pass through gates, doorways and other tight spaces, the MT100 still packs a punch with a rated operating capacity of more than 450kg. This piece of kit is specifically designed to boost productivity on both urban and small-scale jobsites.
Bobcat Object Avoidance with Radar Sensors | Concept
These state-of-the-art sensors have been developed in collaboration with the manufacturer’s partners at Ainstein, a US-based radar specialist that received a strategic equity investment from Bobcat back in 2021. Based on similar technology to that employed by parking sensors already used on cars and agricultural machinery, this system is able to either passively warn operators of obstacles or actively stop the machines to which it is fitted.
Commenting on the technology, Vijay Nerva, Bobcat’s Innovation and Acceleration Head for EMEA, said: “It is no surprise that operators often hit objects with their machines. This happens due to poor visibility, high density of moving objects surrounding the machine, or a simple lack of attention. We have developed a solution that assists operators in performing work without worrying about their surroundings, resulting in higher productivity and more awareness.”
Bobcat T7X Compact Track Loader | Concept
Billed as the ‘world’s first all-electric compact track loader’, the Bobcat T7X is an eye-catching concept that is being developed in line with the manufacturer’s emissions and noise-reduction goals. Its 62-kWh lithium-ion battery pack can deliver up to four hours of continuous use, thanks in part to a load-sensing power management system that automatically reduces the output to suit the task being performed.
With a rated operating capacity of 1,374kg and zero CO2 emissions, Bobcat plans to use its prototype T7X to gather further feedback from customers so that it can better understand market opportunities and applications across the EMEA region.
With such a diverse range of technologies on display, one could be forgiven for wondering whether Bobcat’s R&D experts are working towards a specific vision or, instead, operating as spontaneous problem-solvers. Plant & Equipment caught up with Joel Honeyman, Vice President of Global Innovation at Bobcat, to find out more.
“We have to take a pragmatic approach to innovation in the sense that we develop individual solutions that might be deployed on specific platforms,” Honeyman explains. “However, by combining these innovations, we can create a whole new solution further down the line. Our radar sensor could be combined with our remote-control tech, which could in turn be used to supplement some of the features we’ve developed for excavators. The result might be semi-autonomous guidance features.
“Even so, we do have a direction of travel,” he continues. “We have developed a 10-year view of what we call ‘The inevitable future’. We’re interested in ascertaining how our customers will work a decade from now, subject to future advancements in technology. This is our guide; we take a lot of input from this roadmap in terms of the solutions we choose to develop.”
Meet the dealmakers
Bobcat’s 2022 MEA Demo Days provided an ideal shop window for its latest models and innovations, but it also offered a welcome opportunity to speak with those responsible for growing Bobcat’s regional order book. As Chief Executive Officer of Vara Company, Bobcat’s authorised dealer for Iraq, Haidar Maulwed knows more than most about how to leverage the manufacturer’s global reputation for quality.
“We have been Bobcat’s official dealer in Iraq for around six years now and, believe me, our business has grown rapidly,” he tells Plant & Equipment. “It’s good because there are a lot of opportunities in Iraq at the moment. The main problem we face is getting hold of enough machines, but we receive strong support from Bobcat’s management team in this regard.
“I can say that we are dominating the market in Iraq right now,” Maulwed continues. “In fact, Bobcat and Vara Company enjoy a more than 90-percent market share within the country’s compact machinery segment. And I’m talking about all types of smaller machinery, from mini-excavators, backhoe loaders and telehandlers to skid-steer and compact track loaders.”
Mohamed Shams Elramly, General Manager of General Trading & Equipment (GTE) Saudi Arabia, is a man with decades of experience working alongside Bobcat. “I’m GM of the oldest Bobcat dealer in the world,” he says, explaining that GTE’s relationship with the manufacturer dates back to 1976. “Bobcat has a strong reputation in Saudi Arabia and there are numerous applications driving demand. We provide machines that are used for construction, telecommunications and electricity infrastructure, and even cleaning projects right across the Kingdom.
“Business hasn’t quite returned to pre-pandemic levels just yet, but we’re doing okay,” Elramly adds. “As is the case for all manufacturers, our biggest issue relates to a shortage of machines. The supply chain represents a challenge across our region at present. But, for us, if we had more machines, they would be sold – no problem.”
As a long-standing GTE customer, Eng. Ali H Al-Ayuni, General Supervisor of Equipment at Al-Ayuni Investment and Contracting Co, offered his perspective on the advantages that the manufacturer’s models offer to end users. “Bobcat is number one within Saudi’s compact machinery segment,” he says. “In fact, when it comes to smaller machinery, the company is number one in the world. Bobcat’s products are of the highest quality, which is why we like to use them.”
Maulwed and Elramly are clearly adept at connecting end users with Bobcat machinery, but adequate financial mechanisms are also necessary in order to keep the wheels of business in motion.
Enter Andrew Higgins, Vice President of Doosan Financial Solutions Europe Middle East and Africa (EMEA), whose job it is to ensure Bobcat’s dealers and customers have the financial backing they need to acquire stock and machinery.
“We’re a small team of five people, and we look after the financing requirements of around 180 Bobcat dealers across the EMEA region,” he says. “Every one of our dealers carries stock, so, instead of expecting them to acquire stock and pay us a month or two later, we arrange stock finance facilities. These enable our network to take delivery of Bobcat machines and postpone payment for a period of up to six months, depending on when the stock gets sold. Another part of our job is to fund that same equipment into the end user market thorough our zero- or low-interest rate programmes. We expect dealers to carry stock and we do all we can to help them sell it.
“I’ve been with Bobcat for ten years, five of those in my current role and our finance revenues have doubled during that period,” Higgins continues. “Last year, we registered $1.6 billion in finance revenues. In 2017, when I took this job, we registered around $750 million.
“Clearly, demand for Bobcat products has increased significantly during that time and the demand for financing continues to grow, particularly in these times of political instability and economic uncertainty,” he adds. “Our programmes are being well received right now and we expect to finance even more stock into the dealer network once the market’s supply chain issues ease.”
Given the perspectives offered by Maulwed and Elramly, Higgins’ prediction seems likely to prove accurate. For instance, with a 90-percent-plus share of Iraq’s compact equipment market, one might assume that Vara Company’s potential for expansion is limited but, encouragingly for Bobcat, the dealer’s CEO says this is not the case.
“The market in Iraq has more potential,” Maulwed emphasises. “This year, many of our customers are unsure whether or not projects are going to be available. However, it’s a very low-risk and low-cost option for them to deal with us. As such, it’s a matter of educating end users and contractors through activities such as workshops and demonstrations. [Bobcat’s Demo Days are] proof that it’s better to allow operators to come and test the machinery for themselves, rather than to rely on videos and catalogues. This hands-on approach should enable us to increase the volume of potential sales across our market.
“At the same time, given Vara Company’s high market share in the compact equipment segment, it’s also very important for us to defend our position,” Maulwed adds. “We don’t want to show any weaknesses to our competitors, so there’s no room for complacency.”
In terms of newly introduced models and technologies that are likely to prove popular in the Kingdom, GTE’s Elramly echoes Rhayem’s point about electric-powered machinery. “We can see there will be demand for electrical track machines in Saudi Arabia,” he explains. “This will be an important segment for us, especially when it comes to important developments like NEOM and the Red Sea Project.”
All things considered, Bobcat’s MEA Demo Day ‘reunion’ looks set to pay dividends for the manufacturer – and not only in terms of its order book. Higgins concludes: “Demo Days are an opportunity for us to offer a hands-on experience for our entire range of machines. They also offer a great way to thank our partners for their business while connecting with existing and potential Bobcat customers. It’s been a fantastic event and one which we will undoubtedly repeat next year.”
In his own words: Scott Park, President and CEO, Doosan Bobcat
“We started this dealer meeting as a reunion, and… we have added more members to our family. It was very nice to meet our new dealers from Sudan, from Lebanon, from Gabon, from Kenya, and a family-member-to-be from Algeria. So, our family is getting bigger and bigger. Just a few short years ago, we were a $2.5 billion to $3 billion company. Last year we were a $5.1 billion company. This year, we’re going to be $6.5 billion. We’re growing thanks to [our dealers and customers] and, together, we’re going to deliver more and more results. And what I mean by results, at the end of the day, is making sure that our customers can do more.”
