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10.04.2017

Another new aerial lift entrant

A new brand of aerial work platforms will be launched at Vertikal Days next month, starting with a line of slab electric scissor lifts.

The company preparing to make a big splash in the market is US-based GMG or Global Machinery Group, with locations in California and The Netherlands. The company is part owned by Jim Tolle, who currently owns and operates the international division of MEC, selling, marketing and distributing that manufacturer’s products outside of North America. The identity of the other owners and backers have not been named.
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The GMG logo


GMG says that its focus will be on new equipment for the rental market, including aerial work platforms, earthmoving and industrial machines. It plans to source the equipment from different manufacturers, on the basis that no one manufacturer is strong in every sector. It says that it will evaluate each product in depth, redesigning them as required and in some cases may design a new model from the ground up and then source it from a manufacturing partner.
Once any design changes have been made it will subject each machine to a 100,000 cycle test to highlight any potential weakness, and then once any necessary modifications have been made, submit the product to a leading notified body for third party evaluation and certification before placing it on the market.
In order to obtain the lowest prices it will commit to substantial volumes of each model from the supplier.

The company says that each of the above stages have already been completed for the new slab scissor lift line and it already has some large provisional orders on hand, subject to customer’s evaluating the final production machines. The company has refused to reveal the manufacturer of the scissor lift line - apart from saying that it is a highly experienced Chinese manufacturer - and stating that it has signed a two-way confidentiality agreement. The products will be marketed throughout western markets, but GMG will not focus on the Asian market.

The first models, which will be displayed at Vertikal Days include: the 10ft 1030-PA, 13ft 1330-ED, 19ft 1930-ED, 26ft 2632-ED, 33ft 3346-ED, 40ft 4046-ED and the 46ft 4646-ED. According to the company the lifts have been designed to be simple in terms of layout and the number of components etc.. but are far from being traditional or basic. They will feature electric direct drive wheel motors and utilise well-proven high quality international componentry. As a result of the testing and componentry used, it is providing a standard two year full warranty, and claims that its flat organisation, low overheads and direct sale approach will allow it to sell at prices that are 10 to 25 percent lower than current market prices - in spite of the higher product specification. Further products are planned for launch the third quarter.
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No full photos of the new GMG models have been released this is so far all we have


Tolle said: “GMG’s basic principal is simple, to provide our customers with better solutions for their equipment needs. We accomplish this in three very important areas: 1) All products are equipped with the latest innovations and designs, providing our customers with environmentally friendly machines, longer duty cycles and less required maintenance. 2) Excellent product support with a two year warranty as standard, in order to accomplish this all components are of high quality and are extremely durable. 3) Industry leading pricing, even with the latest innovations, all GMG products will have a price point that allows customers to recognise a much better ROI than they have seen in the past.”

“The GMG team is made up of seasoned veterans, we know and understand the equipment business, we know what works and what doesn’t, and we know what our customers go through in order to maintain a successful business. It isn’t easy for rental companies in today’s market to be competitive but still offer reliable equipment and yet remain profitable. It is quite simple, GMG products are high quality, innovative, long lasting machines at wholesale pricing, it doesn’t need to be anything else.”

Vertikal Comment

You wait for years for a new aerial lift manufacturer and then two turn up at the same time. GMG is attempting to do the same as JCB – having an established Chinese manufacturer build a product range that has been modified to its own designs or requirements, and then marketing it to buyers in the West. While JCB is using Sinoboom, GMG is rumoured to be using Mantall BUT it should be pointed out that this has not been confirmed at all and GMG is giving no clues - neither confirming nor denying when we asked.

Unlike JCB, which is looking to exploit its strong brand awareness and distribution network, GMG – which has none of these advantages - is relying on the personal knowledge, experience and contacts of its owners and sales team, along with the higher specification of its products and lower prices. Tolle whose background is in replacement parts and product support is also claiming that the new company will provide a first class knowledgeable replacement parts service.

Whether both companies will succeed to break into what is a very competitive market with many highly experienced manufacturers building machines that have evolved through years and even decades of fine tuning - or even remain in the business long term is hard to say. It will depend to many extent on how the established providers react, how brave rental companies are to experiment and how well the first units perform in the real world.

What it is likely to do is to provide a conduit into the North American and European markets for leading Chinese aerial lift manufacturers, potentially transforming the market.

The Chinese companies are unlikely to remain behind the scenes forever. I can see a point down the road where they will move to the front, in JCB’s case it might involve the acquisition of Sinoboom, while GMG might well be acquired by its main supplier? Or once the new products are well established those companies behind them can say “we have been supplying the machines that you currently buy as XYZ, we can now supply you direct at a more competitive price.” This technique has been used in the past by Asian manufacturers looking to break into the global crane and excavator markets so it it’s nothing new.

Interesting times.

Comments

Eric L
I like how a new manufacturer can arrive on the scene with a range of machines that are not only more reliable, higher spec, longer lasting, but with a superior warranty and tech support. And all that while being much cheaper.

It is like they imagine that the main players haven't already spent many many years and many millions of dollars working to achieve just that!..

Apr 10, 2017

Gasping for air
Aren't JCB & GMG just dealers who badge up the product?

Apr 10, 2017
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