Ritchie Bros. introduces online tool for asset valuation
23 Oct 2021
Beta version of Asset Valuator uses database of millions of previously sold items to provide price estimates to prospective sellers
A new online tool from global plant and machinery auction leader Ritchie Bros is helping equipment owners and managers make more informed decisions on buying and selling their assets.
The tool, called Asset Valuator in its current beta version, has a database of millions of items previously sold through Ritchie Bros., which it utilises to help users make a price estimation of their machinery.
Describing the new online tool, a statement from Ritchie Bros. said: “A 20t excavator with 8,000 hours on the clock, the eight-year-old skid-steer loader you’re looking to sell, or that truck tractor you’ll need to replace soon. How much would they sell for in today’s market? With productivity at unprecedented highs in the industry and long lead times on new equipment, it’s a challenging time for many businesses to make calculated decisions to buy or sell machinery. Ritchie Bros. Asset Valuator (beta), a new tool from Ritchie Bros. Asset Solutions, is lending equipment owners and managers a helping hand.”
The company added that the free online tool pulls historical data from various sources: Ritchie Bros. auctions, IronPlanet, Marketplace-E and Mascus. Using millions of previously sold items, the algorithm calculates average prices and estimates the value of a prospective seller’s equipment.
After logging onto Ritchie Bros. Asset Valuator, users can search the database by brand, model, age, hours, mileage and more. For a more granular level of detail, customised searches can be made by region, country and sales channel, and users can compare current prices with those dating back up to two years – prior to pandemic pricing changes. There is also a useful currency converter to calculate market values in other currencies.
Johan Lustig, Ritchie Bros. product manager, Business Intelligence and Valuation Services, explained: “What makes this tool unique, is that users have instant access to millions of previously sold items from the world’s largest auction company and Europe’s largest machinery listing site. The algorithm provides a good price estimation that can be used when making decisions to buy or sell equipment.”
Ritchie Bros. added that utilisation and appetite to buy machinery has continued to be strong throughout 2021. A market survey conducted among construction businesses by the auctioneer earlier this year showed that 72% of the respondents expected to add machinery to their fleet in 2021. More than 90% indicated they expected older machines would need to be replaced. Price levels of construction machinery at Ritchie Bros. online auctions and marketplaces have soared 10-15% above last year’s averages, said the company in its statement, adding that its “no surprise that equipment owners and managers are looking to adjust their fleets and need data and tools to help guide their decision making”.
According to Ritchie Bros., the Asset Valuator tool is merely “the tip of the iceberg” in its Inventory Management System (IMS). Ritchie Bros. Asset Solutions is the company’s web-based, mobile friendly software tool that empowers equipment owners to upload and track their own assets with real-time market valuations and easily arrange disposition through multiple channels.