“We want to keep the fleet fresh so customers benefit from using new equipment.”
consistent regional brand backed up by real family values. In fact, many people believe we present the image of a national operation, and that’s what we wanted to achieve. It shows we can compete with the larger players. Again, it is all driven by service.
Q. Another very new Smiths initiative is Go Green. What’s that? A. It is our way of promoting eco-friendly equipment. In a sense, hire itself is ‘green’, because one machine can be used by many different people and it will be well-maintained, giving efficient operation. Our new Go Green catalogue lists different options available, such as bi-fuel machines, or electric, battery operated variants that users might consider, in order to reduce CO2 emissions and noise levels on site. We are giving site ‘Demo Day’ presentations to promote the concept. We have invested significantly in greener delivery trucks and vehicles, including three new 26-tonners and a 32-tonner in the past year alone, which again conveys an image of quality when they arrive on site. We are also running hybrid vehicles and fitting dedicated charging points at our depots. This all helps to differentiate us.
Q. Any recent fleet additions? A. Constantly! From Stihl saws and Fuelproof bowsers, to Kubota minis and Thwaites high-tip dumpers. We want to keep the fleet fresh so customers benefit from new equipment. And we buy recognised brands: you can always find cheaper alternatives, but they can lead to problems, inefficiencies and higher overall costs. Our computer system tracks the whole-life cost of every item, including depreciation and repairs, so we know exactly the hire rate we need to achieve.
Q. How is business at the moment? A. Very busy and our customer base is growing and diversifying. That is a tribute to the work we have done in building our brand, constantly investing, and the hard work of the staff. We have a lot of accounts with smaller construction professionals and tradesmen who don’t complain about rates but, rather, value our service. We obviously deal with larger contractors, too. Our awards successes have raised our profile and they have made some people wonder why they haven’t hired from us before, so they give us a try. We see some hirers offering free delivery, but it’s a slippery slope.
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The powered access fleet currently comprises more than 500 machines.
Customers will begin to expect it. We can provide same-day delivery on certain items, but we make it clear there is no additional charge - there still has to be a transport cost element.
“We can compete with the larger
players”
Q. What are the key challenges at the moment? A. Rates. As any hirer will tell you, it’s the perennial problem. Even suppliers tell us they don’t know how some companies can provide equipment for hire at the rates they are offering. Our industry is its own worst enemy in this regard. You simply have to maintain a sensible margin. We are combating the issue through our efforts on widening the customer base, talking to site managers as early on in a project as possible, and the management systems we have in place mean we are in control of what we do.
Q. Any future plans you can tell us about? A. We are currently looking at two additional depot locations.
Q. Finally, what would your advice be to another senior executive in your position? A. [David Turner:] Prepare to work hard and the results will follow; and never underestimate the
power of marketing in the mix! [David Smith:] Stay organised and be professional at all times. The only way to achieve business success is through efficiency. [Thomas Smith:] Always treat people how you would expect to be treated: with respect.
•
www.smithshire.com
“We buy recognised brands, as cheaper alternatives can lead to higher overall costs.”
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