Chris Aiello

Are you embracing the electrification of forklift fleets?

Posted on Jan 20, 2024 in Featured, Features

This time last year, in February 2023’s edition, I asked the question, ‘who owns the end-customer and their customer experience’ when it comes to the dealership and the battery agent?  Electrification in the material handling industry, electrified equipment, and fleets, continue to be business trends within our industry and into the future.

According to Transparency Market Research, they estimate the global forklift battery market will reach US $43.1 billion by the end of 2031.  Warehouse operations continue to grow and expand within your service areas.  This expansion has of course increased the requirement for forklifts, concurrently driving an increased demand for forklift batteries, battery service, technical support, battery monitoring and battery management.

The growing trend towards electric forklifts can be attributed to their environmental benefits, lower operating costs, and advancements in battery technology.  As we continue to see the electrification of forklift fleets across our industry, many dealers and independent service providers have embraced this as part of their business strategy.  If you are considering adding forklift battery service and maintenance to your service offering, let’s take a closer look around some of the topics surrounding this trend and how it can be a new avenue of profitability for your dealership.

Sustainability

More and more dealers and suppliers I talk to are adding sustainability initiatives and incorporation of Environmental, Social, and Governance (ESG) strategies into their businesses.  They are also being asked by their customers on what they are doing in regard to ESG, especially as many forklift users are embracing 100% zero-emission forklifts which is being driven by their own corporate sustainability initiatives.  Implementing a battery service program into your ESG strategy aligns with the broader goals of environmental responsibility, social impact, and governance excellence. By prioritizing sustainability in your operations, your dealership not only contributes to a greener future but also positions itself as a leader in the industry, attracting environmentally conscious customers and employees. This also reflects a commitment to responsible business practices and long-term value creation.

An additional part of a comprehensive battery service program is the inclusion of battery reconditioning services as part of your service offering, which further emphasizes your business’s commitment to sustainability. Instead of outright replacements, reconditioning offers a cost-effective alternative that resonates well with your budget-conscious customers. It’s not just about saving money – it’s about presenting environmentally friendly options that align with the sustainability goals of many businesses as noted previously.  Extending the life of forklift batteries through reconditioning conserves resources and helps minimize waste of batteries that would otherwise end up in garbage landfills.  Also, this eco-friendly service offering not only mitigates environmental impact but also presents a competitive advantage for your business to further market itself with the sustainability initiative.

Technicians and Technology

As the complexity of forklift battery systems increases, many of your customers opt to outsource maintenance services to specialized providers. This trend is driven by the need for expertise in handling advanced battery technologies and ensuring compliance with manufacturer specifications.  Therefore, investing in your service staff through training and certification programs is an investment in the success of a battery service program. Well-trained technicians equipped with the latest knowledge and skills instill confidence in your customers. Certification adds a layer of credibility, assuring your customers that their forklift battery service and management is being serviced by experts.

Customers value transparency and expertise and investing in state-of-the-art diagnostic tools and technologies is a strategic move.  Outfitting your technicians with these tools will not only enable your technicians to identify battery issues with precision but also showcases your commitment to provide advanced services.

Incorporating fleet management software and battery monitoring systems into your service program also enhances efficiency. Real-time monitoring allows your service team to be proactive, which ensures the reduction of unexpected breakdowns for your customer. This not only adds value to your service but positions your dealership as a leader in technology, which is also good for attracting the younger generation of technicians entering the workforce.

Customer Satisfaction

Establishing a battery service program isn’t just about meeting a market demand – it’s about positioning your dealership for long-term success in our ever-evolving industry.  Offering solutions that go beyond a conventional service department, your dealership can not only stay ahead of the competition but also become a driving force for the future of forklift battery services.  Your customers prefer streamlined services, and offering forklift service alongside dedicated battery services positions your dealership as a convenient and reliable partner.  A forklift battery service program is a strategic investment that can boost your service department’s profits.

The increasing emphasis on sustainability and cost-effectiveness in business operations will continue to fuel the demand for extensive battery services. The ongoing shift from conventional internal combustion forklifts to their electric alternatives, driven by a commitment to sustainability and reduced carbon footprint, underscores the importance of cleaner and more energy-efficient solutions. This transformative transition has elevated the need for maintenance, reconditioning, and replacement services for forklift batteries. By aligning with this trend, your dealership can solidify its position as a comprehensive, one-stop solutions provider for customers seeking forward-thinking and environmentally conscious options.

About the Author:

Chris Aiello is the Business Development Manager at TVH Parts Co.  He has been in the equipment business for 17-plus years as a service manager, quality assurance manager, and business development manager. Chris now manages a national outside sales team selling replacement parts and accessories in various equipment markets such as material handling, equipment rental, and construction/earthmoving dealerships.