Industry Watch June 2012

1.877.GETS.UTA • www.uta.org
Volume 14 • Issue 6 • June 2012
Used Truck Association
Chartered May 16, 1988
Published by the Used Truck Association
325 Country Club Drive, Suite A
Stockbridge, GA 30281
Table of Contents
2012
Board News & Views............................2
New Members...................................3, 5
Face to Face with Jon Tepper...............4
Unofficial Fisherman’s Club..................6
The Brooks Group
Sales Tip of the Month.......................6
Moving on Down the Road:
Checking in with Brad Everett.........7
Bruckner Truck Sales acquires
Colorado Mack of Denver................7
Lifetime Achievement Award
Class 8 Remains at Plateau; Medium
Duty Trending Upwards................8-9
I
Industry News Briefs..................... 10-11
Bryan’s Spotlight....................................12
UTA Golf Tournament Information.....13
Industry Events Calendar.................... 14
From Where We Sit............................ 16
The UTA…
Members Supporting Members!
t’s time to nominate your candidate for the 14th annual Marvin F. Gordon Lifetime Achievement
Award. This prestigious award will be presented at our 13th annual Convention being held
in New Orleans, LA, November 7-10, 2012.
We are looking for an individual who has a proven record of accomplishments within the Used
Truck industry, has demonstrated their capacity for maintaining the highest business practices
and standards, and promotes the ethics and goals of the UTA.
It is very easy to nominate someone. Go to the UTA website at www.UTA.org and look for the
Lifetime Achievement link on the left-hand side; go to the bottom of the page and click on the
nomination form. You’ll find a PDF form there; print it, fill it out, and send it to the address
listed. The nomination period ends July 20, 2012.
If you know of a worthy candidate, please, do them and our industry a huge favor and take the
time to nominate them for this prestigious award. Also, please remember you have until June 15,
2012 to nominate someone for the UTA Board of Directors. Thanks in advance for your support.
SHARE YOUR NEWS
with the UTA Industry Watch.
Send submissions, ideas and
comments to:
UTA Industry Watch Editors
Brad and Deb Schepp and Jay Burgess
c/o Grace Management
325 Country Club Drive, Suite A
Stockbridge, GA 30281
Phone: 877-GETS-UTA (877-438-7882)
Fax: 770-454-0029
[email protected]
George Barnett
Committee Chairman
Elections and Lifetime Achievement Award
[email protected]
Click here to download the nomination form
2012
Board of Directors
UTA Industry Watch
Board News and Views
The Good Times Can Be Great…But The Bad
Times Can Be Good
“D
Front, L to R: Kenny Doonan, Tim
Ormsby, Tim Ronan, George Barnett,
Marty Crawford, Mike Thurston
Back, L to R: Bryan Boyd, Bryan Haupt,
Sheri Aaberg, Tom Pfeiler, Rick Clark,
Lara Haag, John Cosgrove, Bobby
Williams, Ken Kosic, Jay Burgess alternate (not pictured)
President
Rick Clark
Vice President
Bobby Williams
Treasurer
Tom Pfeiler
Secretary
Sheri Aaberg
President Emeritus
Marty Crawford
Affiliates & Benefits Committee
Chairman
Bryan Boyd
Convention Committee Chairmen
Sheri Aaberg & Tim Ormsby
UTA Jerome Nerman Family
Foundation Scholarship Committee
Chairman
Tim Ronan
Elections Committee Chairman
George Barnett
Marketing Committee Chairmen
Jay Burgess & Rick Clark
Medium Duty Committee Chairman
Tom Pfeiler
Membership Committee Chairmen
John Cosgrove & Kenny Doonan
Training Committee Chairman
Ken Kosic
UTA Dealer Group Committee
Chairmen
Mike Thurston & Bryan Haupt
UTA.org Website Committee Chairman
Bobby Williams
2 June 2012
o you know where your next sale is coming from?” You’ve probably been asked that
question more times than you can count during your career in sales. In fact, I’ll bet your
sales manager asks you a variation of this question every Monday morning at your sales meeting.
I consider this a “counted on” question. For example, your sales manager might ask “Can I count on you
to close the Acme deal this week?” Or your wife (or significant other) might ask you “Can I count on you
to bring home a great commission check this week?” They are all counting on you! But this is also
a really great question to ask yourself! “Can I count on myself to sell enough trucks to finance my
trip to Vegas?” And the answer to these questions should always be a resounding “Yes!”
If you have chosen sales as a career, then you know that knowledge is power. You need to always
be aware of those often-referred-to “market sales cycles”—the ups and downs, the advantage or
the excuse. But sales cycles can be misleading. When the market is good, like it is today, it is good
for everybody. And when the market is down, it still can be good for somebody! How do you make
it good for yourself in both markets? The answer is ABP—Always Be Proactive. You should have
the “I will make it happen today and every day” mindset.
Do this, and you’ll be assured of good success during the up markets, and you will have built a
foundation for the down markets. You’ve established a pipeline of business. Reactive selling will
merely get you through the good times. Reactive selling will cause you to fail in the down markets. If
you come into the office everyday with the thought “I’m on the floor today and I sure do hope I get
a good walk-in or phone-pop,” you’ll never get anything established for future sales. There is a
difference between selling, and selling well.
Is your sales mentality “I hope I sell something today because it is 80 percent luck and 20 percent skill”?
Well, stop hoping! Zig Ziglar, legendary motivational speaker, once stated “You are the only person on
earth who can use your ability.” What Ziglar is saying here is “Look in the mirror, see who you are,
identify your talents and use them!” Another Ziglar quote is “I don’t care how much power, brilliance,
or energy you have, if you don’t harness it and focus it on a specific target, and hold it there, you’re
never going to accomplish as much as your ability warrants.” So where can we—as truck sales
professionals—harness, focus, and target?
ABP: The first step in prospecting is to ask yourself, “Do I know where my next sale is coming from?”
Prospecting is powerful—it is the foundation to our success in truck sales, and the life blood that sustains
us though all types of market conditions. Prospecting is getting in front of customers by using all the
tools and systems available to us in today’s electronic gadget-filled world. There have never been so many
options for communicating with your customers. There are CRMs, and there is email, social media,
marketing lists, field visits (cold calls), and the good old telephone. So many ways to pitch yourself, your
company, your ideas, and your inventory. Building customer relationships that transcend the economy,
and foster repeat and referral business can sustain a career, even in those down times. It also makes the
difference in our every day approach to success in sales. Prospecting is getting to know your customers’
wants, needs, and buying processes. Ultimately, prospecting culminates with the question “How many
trucks can I write up today and when do you need them?” Prospecting done right will make you the
admired truck salesperson of choice, and not just another salesman, “hard-closer,” or information
collector. Being that “go-to” guy enables you to expand your business, flourish during the up and down
times, and always be in the position to ask the question “When do you want those trucks delivered?”
UTA’s training initiative is committed to continue working on Sales Paths that cover and support the
Proactive approach to truck sales. Our goal is for all of us to become “Counted On” Selling Salespeople.
If you visit www.UTA.org, you will find under the training tab links to The Brooks Group (Masters
of Professional Selling) and TMI (Truck Marketing Institute). Both are training partners and UTA
supporters. I urge you to visit their sites as they are knowledgeable resources that can help you and
your organizations with hands-on training for a positive mindset and product information. On the
UTA site you will also see videos and PowerPoint presentations relating to DPF, SCR, and the
Used Truck Inspection Process. Coming soon, you’ll find a live walk-around
video, as well as webinars for sales managers (topics to be announced).
The UTA training initiative is just getting started, so stay tuned!
Best of Success!
Ken Kosic, Training Committee Chair
[email protected]
www.UTA.org
UTA Industry Watch
New
Members
Curt Apgar, Sales Support Consultant
Caterpillar
100 N.E. Adams Street
Peoria, IL 61629-2490
(309) 494-2825 (W)
[email protected]
Curt has been with Caterpillar since 1990
when he began with a position in engineering
large wheel loaders. He comes to the UTA
with the hopes of sharing information and
advice with other members, and having the
opportunity to interact with members. Curt
loves the fast pace of life in the truck industry,
noting that there are never two days that
are exactly alike. If he weren’t in the truck
business, he’d still be working with heavy
equipment. “I like big iron and most things
mechanical,” he told us. In his free time he
enjoys mountain biking and he plays guitar
in a rock band.
David Bass, Vice President
Shipley Motor Equipment Company
P.O. Box 250
Lowell, AR 72745
(479) 770-6040 (C)
(479) 387-2171 (W)
[email protected]
Bert Downton, Used Truck Sales Mgr
Custom Truck Sales, Inc.
520 Park Street
Regina, Saskatchewan S4X 3J1 CANADA
www.customtruck.ca
(306) 569-6217 (W)
(306) 539-1128 (C)
[email protected]
Bert comes to the UTA in hope of building
relationships that will lead to buying and
selling more trucks. He is passionate about
working with big trucks and the people in
the trucking industry. He told us there is
nothing else he’d rather do. Having started
his career as an apprentice heavy duty
truck mechanic he knows these machines
and the needs of the people who drive them
from the inside out. Now it’s been 34 years
that he’s been in this business, and he’s
seen a lot of change. That’s okay with Bert,
because he likes change and finds it helps
him to keep the passion for his job alive.
www.UTA.org
It’s always a treat to welcome new members to the Used Truck Association. Each month we profile
our new members in this newsletter. New members have the opportunity to complete a bio and send
a photo so our current members can learn more about you. We hope to learn not just how to
reach you, but what you like/don’t like about the work you do, why you joined the UTA, and
what gets your gears going as a person. So please return your questionnaire so your fellow UTA
members can get to know you!
If you’d like a copy of the new member brochure handed out at the convention, please contact
David Grace at [email protected] or 770-389-6528 ext. 404.
Marc Elentrio, Dealer Credit &
Relations Manager
CAG Truck Capital
4 Hillman Drive
Chadds Ford, PA 19317
www.cagtruckcapital.com
(610) 558-3800 x126 (W)
(856) 340-6045 (C)
[email protected]
Mitch Hatfield, Director of Truck
Sales and Leasing
GWP Holdings, LLC
3801 Airport Way South
Seattle, WA 98108
www.westernpeterbilt.com
(800) 255-7383 (C)
[email protected]
Lischkge Motors, Inc.
P.O. Box 210
Aurora, IN 47001
auroramack.com
(812) 826-1805 (W)
(513) 535-3753 (C)
[email protected]
Andy Maxwell, Sales Manager
Old River Truck Sales
139 Old Hwy 49 S
Richland, MS 39218
oldrivertrucks.com
(601) 664-1410 (W)
(601) 497-5978 (C)
[email protected]
Matthew Niebauer, General Manager
W. W. Engine & Supply, Inc.
3900 Depot Road
Erie, PA 16510
www.wwengine.com
(814) 898-8396 (W)
(814) 329-0177 (C)
[email protected]
Bobby O’Donnell, Operations Manager
Valley Hino Truck Inc.
5025 Gateway Drive
Medina, OH 44256
(216) 310-6233 (W)
[email protected]
Ajeet Pal (Bobbie), President
Value Truck Sales
7080 Pacific Cir
Mississauga, Ontario L5T 2A7
CANADA
www.valuetrucksales.ca
(416) 301-4444 (W)
[email protected]
Bobbie’s career in
trucking is young. He
started as a Class 8
driver and comes to the
UTA to gain more
knowledge of the
trucking industry. He
loves the public and
customer relations parts
of his job. When we asked him for advice to
others, he deferred. “I think I’m too new
and young to share experienced thoughts,
because everyone else has more experience
in the industry,” he said. If he hadn’t come
to the truck industry, Bobbie would have
pursued a career in the military or law
enforcement. In his spare time he enjoys
riding horses and hunting.
John Picking, President
Ballard Mack Truck Sales and Service, Inc.
442 Southwest Cutoff
Worchester, MA 01604
www.ballardtrucks.com
(508) 753-1403 (W)
[email protected]
Walt Price, Sales Manager
Calmont Truck Centre Ltd.
11403-174 Street
Edmonton, Alberta T5S 2P4
CANADA
www.calmont.ca
(780) 451-2680 (W)
(780) 267-1273 (C)
[email protected]
Walt started in trucking as a driver in 1983.
He comes to the UTA to share ideas,
knowledge, and experience. He can’t even
imagine working in another profession as
he enjoys this one so much. He especially
loves dealing with the public and the
challenges this brings to his job.
New Members continued on page 5
June 2012 3
UTA Industry Watch
Jon Tepper
T
oday, Jon is president of Ameritruck in
Charlotte, NC and has been a longstanding UTA member. But, Jon actually got
into truck sales tentatively, like many of us
Jon tested the waters before jumping into the
pool. After Jon graduated from college, with
a degree in Management Information
Systems, he spent a couple of years working
in that industry. During this time, he
discovered that he really belonged in sales.
“It was very apparent to me that I needed to
be in sales,” Jon told us. “I began actively
looking for a new opportunity.” Jon and his
family decided to give the truck industry a
trial run. “The concept was ‘give it two years
and one of two things will happen.’ Either
you will do well, love the business, and stay
in it for your career. Or, you will have some of
the best experience necessary for managing
your own business within a business.” You
already know how Jon’s two-year experiment
worked out, so it may not surprise you to
learn the answer came quickly. “Needless to
say, I was hooked after my first big deal!” Jon
told us.
Jon cites his mentor, Ron Corley, as a having
set him on the path to success in the truck
industry. Taking his experience and the
wisdom Ron shared, Jon and his family
moved to Charlotte with “no home, job, or
business.” They planned to “start a business
from scratch and make it successful.” They
bought four acres of land just off the
interstate, and spent nine months getting
ready to open their business. “You really
appreciate what you have when you build
your business from the ground up,” Jon said.
“We have been in business 17 years and are
blessed to have been so successful!”
“As an independent dealer, Ameritruck has a
retail and dealer sales department,” Jon told
us. “Our goal is to have some of the
cleanest used equipment at very
competitive prices.” Jon oversees
the day-to-day operations at
Ameritruck, but he credits his
employees for keeping the
business humming. “We are
fortunate to have great people
who understand and join in
making the business work well,”
he told us. “This allows me to
spend more time on the buying
department, which is the
backbone of any good retail
business.”
And the deal-making part of
his job is still the one Jon
reports enjoying the most.
When we asked him what his
favorite part of his daily work
is, he was quick to answer.
“Without a doubt it is the art
of making a deal,” he replied.
“Whether it’s negotiating the
4 June 2012
purchase of a special truck, doing business
with a good repeat customer, or assisting one
of our sales associates, it’s the inner feeling of
making something positive happen.” To
make the job even better, after all these
years, Jon still thrills to each new opportunity. “Every deal, customer, and situation is
different,” he said. That helps Jon to share his
experience, helping his staff to learn and
grow as Ron once helped him.
As part of this sharing, Jon recommends that
younger people starting in this business have
“passion and be committed to everything
they do.” It takes time to build a business he
warns. “Your integrity and honesty should
be your guiding force. Set your sights high,”
he said. “The single most important thing is
determining how you can help your customer.
Everything else is just the details.”
Jon says the biggest concerns facing the used
truck industry as we move forward will
include meeting the challenges set forth with
the newer emissions standards. “The new
emissions make it more difficult to assess the
mechanical condition of used trucks,” he
said. “Dealers will have to become more
proficient with understanding these systems
(DPF/SCR) and be able to spot potential
problems before they happen.” Jon also notes
that mileage on used trucks is higher on
average than ever and selling these trucks
will require developing new sales strategies.
Jon and Cami have three sons, Jake, Austin,
and Clay. “Jake has recently joined Ameritruck,”
Jon said, and he’s “living the dream of a
used-truck salesman.” Austin graduated this
spring with honors and received a Woodrow
Merit Scholar Award at South Carolina
University. Clay finished 7th grade this spring
and is the musician in the family. He loves to
play the guitar and “especially the drums.”
When Jon can find some free time from his
busy home and work life, he enjoys playing
golf, surfing, and snowboarding. n
www.UTA.org
UTA Industry Watch
New Members continued from page 3.
Ken Sposato, General Manager
Steele Truck Center, Inc.
2150 Rockfill Rd.
Fort Myers, FL 33916
www.steeletruck.com
(239) 334-7300 (W)
(239) 872-6158 (C)
[email protected]
Ken started his trucking career as a night shift
service shop foreman in 1997. He is devoted to
showing the best possible image of used truck
dealers. His philosophy is that if you stay in
this business long enough you will eventually
“see it all.” When we asked if he had another
business area he’d like to explore beyond his
current one he replied, “I did not realize there
was such a thing!”
Ken is already eager to share his experience. “I
enjoy working with others to teach them what
I know,” he said. “If I can tell people about
things that work and don’t work for me, and
that helps them, it makes all the hard work
worth it. He joins the organization with thanks
for all the help and support he’s already gained
from the membership. “I just want to say thanks,”
he said. “There are a lot of members out there
who have helped me, and I believe this is truly
one of the great organizations out there.”
Bill Thomas, Manager, Sales & Soft
Products Training
Volvo Group North America
7900 National Service Rd.
Mailstop AP1/1-34
Greensboro, NC 27409
(336) 393-3548 (W)
(336) 681-8280 (C)
[email protected]
Since 1978 when he joined Mack Financial
Corporation, Bill has been in the truck business.
He joined the company in their collections
department. He comes to the UTA in hopes of
staying as close to the used truck market as
possible. He loves helping dealerships train their
sales staffs to be more successful, and he intends
to focus his energies within the group toward
helping others support their sales and management personnel with training opportunities.
There is no other industry on earth that would
tempt Bill away from trucks. In his free time
he enjoys playing Bridge.
Tom Zimmer, President
Tri-State Truck & Equipment, Inc.
P.O. Box 1298
Billings, MO 59103
www.tste.com
(406) 245-3188 (W)
[email protected]
www.UTA.org
Don’t forget to
take advantage of your
MEMBERSHIP BENEFITS
Used Truck Industry Communications
■■ Monthly
Newsletter
■■ Website­—www.uta.org
■■ Mailing Lists
■■ Professional Membership Directory
(for Members Only)
■■ Industry Issues & White Papers
• What Is A Low Mileage Truck?
• Trade Terms and Conditions
• Exporting with Confidence
• Succeeding as an Owner/Operator
■■ Educational Certificates
■■ Creating and Promoting of Industry Standards
■■ Promotion of Industry Ethics
Annual UTA Convention
■■ Professional
Networking
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■■ Industry Updates
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■■ Affordable Spouse Program
■■ FUN!
Personal Growth Opportunities
■■ New
Classes Forming (TBA)
■■ Manufacturer Specific Video Training
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■■ Educational Endowment Fund
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■■ Education
Programs
Events
■■ UTA Convention
■■ UTA Affiliates Products and Services
■■ Industry
The difference between the impossible and
the possible lies in a person’s determination.
~Tommy Lasorda
June 2012 5
UTA Industry Watch
Unofficial Fisherman’s Club
Mark
Your
Calendars!
13th Annual
Convention
O
n Wednesday May 16th the
Used Truck Association’s
unofficial “Fisherman’s Club” met
once again after the 2012 Truck Blue
Book Conference. This year’s event
was hosted by Brian Murphy of
Bruckner’s Truck Centers in Ocean
Reef­–Key Largo, Florida. Because
of the poor weather in Palm Beach,
where the Truck Blue Book
Conference was held, an invitation
was extended from the Murphy
residents in Ocean Reef only a few
hours south of the conference.
Early Thursday morning the five
UTA members rose to fish the
Atlantic for dolphin (mahi-mahi)
and wahoo only to be delayed by thunderstorms and some minor engine trouble. Within an
hour the thunderstorms cleared and the engine trouble began. With only a couple of screwdrivers, a wrench and a hammer onboard John Deason and Mike McColgan took control of the
engine situation and the day began. The fishing tour started a little late but the crew was out 20
miles trolling in no time.
The first catch of the day was landed by John Deason with his I-Phone in his left ear and his rod
in his right hand. He managed to land a good size dolphin without losing the fish or the call.
The second catch of the day went to Brian Schmid with a four foot barracuda. Captain Murphy
decided that the group should troll deeper into floating seagrass for schools of dolphin. The
captain was correct again, all lines were hit with dolphin, jumping out of the water and crossing
lines while confusion began on deck with the entire group with a dolphin on the line.
The unofficial group will be meeting again at the Used Truck Association’s annual convention
in November with a fishing trip scheduled in New Orleans. n
November 7-10
Hyatt Regency
New Orleans
In building value for your client,
recommend actions. Use terms like:
•And here is what it means to you…
•Here’s how we address your concerns…
•This will provide you with…
•This will take care of …
Paint a picture!
6 June 2012
www.UTA.org
UTA Industry Watch
Moving on Down the Road:
Checking in with Brad Everett
I
n August 2011 Brad took on a new role at Caterpillar, Inc. when he switched
from his job as Senior Product Consultant to a position as Truck Body
Specialist, North American Vocational Trucks. In his previous job, Brad was
responsible for truck engine parts and service marketing. He was also Caterpillar’s liaison for the UTA. Now he works on special assignment within the truck
group focusing on the truck body design for the newly launched Cat CT660 vocational truck.
Brad is enjoying his new job, although he admits it can be a bit overwhelming at
times. “That’s only because there’s so much to do,” he told us. His new job is quite
different from his old one in that it requires more strategizing and business
planning and far less dealing with customer relationships. He does miss that part
of his old job, and he misses his interactions with the UTA. “Working with the
UTA was great,” he said. “I think it’s one of the best examples of how an industry
or trade association can bring value to its members.” Still, his absence from the
UTA should be temporary, according to Brad. “As we grow into our new role of
selling trucks, I expect Caterpillar, and especially our dealers, to become more
involved,” he said.
Brad’s photo shows him posing with one of Caterpillar’s newly launched trucks.
“This was taken at ConExpo 2011 in Las Vegas,” he explained. “I helped get the five
show trucks spec’d and ready for the show. This truck was my favorite. It’s a 40-foot
long lube truck.” We wish Brad every continued success in his new venture. n
Bruckner Truck Sales acquires Colorado Mack of Denver
Grows to 18 locations in 5 states
B
ruckner Truck Sales of Amarillo, Texas, has announced it’s expanded its
dealer network by adding Denver through its acquisition of Colorado Mack
of Denver. Bruckner’s now consists of 18 locations across five states –Texas,
Oklahoma, New Mexico, Kansas, and now Colorado.
“We are pleased with our expansion to Colorado. Our team looks forward to
being able to serve customers in Colorado and those who travel the I-25 & I-70
corridors through Denver,” says Brian Bruckner, President of Bruckner Truck
Sales. “Colorado Mack has served this area well and built a strong customer base.
The added location allows us to serve customers further north than we were able
to before,” Brian added.
Chris Bruckner, Executive Vice President stated, “Our multiple locations
continue to be a key aspect in helping us keep our commitment to providing a
high-level of customer service. By adding a service center in Denver, our customers
enjoy an additional convenience, and it’s a perfect complement to our network.”
Bruckner’s new service center is located at 4850 Vasquez Boulevard. Hours of
operation are 7 a.m. to midnight (Mon. to Fri.) and 7 a.m. – 3:30 p.m. on Saturday.
A 24-hour call-out service is available. Phone number: (303) 388-6225. For more
information visit: www.brucknertruck.com n
www.UTA.org
June 2012 7
UTA Industry Watch
Class 8 Remains at Plateau; Medium Duty Trending Upwards
By Chris Visser, Senior Analyst and Product Manager, ATD/NADA Official Commercial Truck Guide
T
he retail Class 8 sleeper market remains at its historically high
plateau even as average mileage reaches new heights. Wholesale
selling prices for this segment have been fluctuating, with wide swings
in average mileage each month creating opacity. On the medium duty
side, Class 3 and 4 cabovers have regained parity with early 2011
prices, while Class 6 conventionals have also reversed course to trend
back upwards.
(1)
Starting with Class 8 retail sales, the graph illustrates how average
price hit its peak of $49,539 in September 2011. Average mileage was
541,218 that month. Currently, average price is only $730 lower than
that peak, while average mileage is 13,184 higher. In addition, 2012
pricing is beating 2011 in every mileage range (see graph). As of April,
then, the Class 8 sleeper market is showing no signs of pulling back
from its historically high level.
The benchmark four-year-old sleeper market retracted by $5582 vs.
last month, but average mileage was 40,364 higher (see graph). April’s
$65,759 result is on par with recent months in which mileage was
similar. In addition, the spread between four-year-old sleepers and the
sleeper market overall remains large (see graph). As such, a pullback
in price due to an increase in mileage is entirely predictable, and in
line with known market factors. The favorable supply/demand
environment has not changed, and we can expect higher average
prices in months with lower average mileage.
(2)
On the wholesale side (auction and dealer-to-dealer sales), Class 8
sleeper average pricing has been inversely proportional to average
mileage. Since mileage has fluctuated dramatically from month to
month, so has price. As is evident in the graph, April’s average price
was comparable to recent months with similar average mileage. As
such, we are confident that there has not been any notable market shift
in the wholesale channels.
As for the medium duty market, Class 3-4 diesel cabovers trended
notably downwards in the second half of 2011. This movement was
reversed in January 2012, and average price is back up to a level nearly
equal to the first half of 2011 (see graph). Average mileage has
remained constant since January of 2011, so while we are not ready to
call a rebound in this segment, we are no longer concerned about a
retrenchment.
Class 6 conventionals are following a similar pattern, although with
smaller monthly swings in average price and mileage (see graph).
April’s average price of $12,473 was relatively strong considering the
corresponding average mileage was 199,886 – the highest in at least
three years. We are cautiously optimistic about short-term pricing
trends in this segment.
(3)
In sum, the Class 8 retail and wholesale markets are basically on
cruise control going into the summer. Medium duty segments should
also stay steady to upwards. Fundamentally, we expect minimal
change in most economic measures until after the Presidential
election. As such, we do not foresee any notable changes in the supply/
demand relationship.
For twice-weekly updates on this and other data, be sure to visit
NADA’s Commercial Vehicle blog at: www.nada.com/b2b. n
8 June 2012
www.UTA.org
UTA Industry Watch
(7)
(4)
(5)
(6)
www.nada.com/b2b
Reprinted with permission from the ATD/NADA Official Commercial Truck Guide®
www.UTA.org
June 2012 9
UTA Industry Watch
Industry News Briefs
FTR: April’s Class 8 Orders
Continue Downward
ATA Urges Electronic Logging
Device Mandate Support
Preliminary data from FTR Associates
shows April Class 8 truck orders at 16,877
units (net), which the forecasting company
said is the lowest number since September
2010. It’s also 55 percent below the same month a year ago. April’s
orders continue 2012’s downward trend in Class 8 orders. Annualized
units for the past three months come in at 234,600. (These numbers
cover all major North American OEM’s.)
American Trucking Associations (ATA)
has asked members of its upcoming conference committee on the surface transportation
bill to “do the right thing for driver and
highway safety and require motor carriers
to use electronic logging devices to promote
drivers’ compliance with hours of service
driving limits.”
“A four month trend is certainly significant and it is causing many in
the industry to question their assumptions of growth for 2012,” said
FTR president Eric Starks. FTR expects that with the typical ordering
season behind us, orders will stay “in the sub-20k level” through the
summer. “If the truck OEMs don’t scale back their build plans for the
second half of the year then we are likely to see a more significant
payback once we get into 2013,” FTR added.
“We urge conferees in both bodies to adopt the Senate’s requirement
for carriers to use electronic logging devices to monitor drivers’
hours-of-service compliance,” said ATA President Bill Graves.
“Clearly, these devices lead to greater compliance with maximum
driving limits – which is very good for the trucking industry as a
whole and highway safety,” he added.
By the time you read this, FTR’s final data for April should be available
as part of its “North American Commercial Truck & Trailer Outlook”
service. Contact FTR Associates at [email protected] or
1-888-988-1699 ext. 1 for details. n
It’s clear ATA supports an electronic logging mandate. It decided to
support electronic logging when it looked at feedback from member
carriers. They reported the technology improves compliance, safety,
and operating efficiency.
“Many logging devices, or electronic onboard recorders, have
additional functions that aid in managing fuel use, routes, and other
aspects of fleet operations – reducing fuel consumption and making
carriers more efficient and environmentally responsible,” Graves said.
“In addition, research shows that drivers at fleets using electronic
logging devices report improved morale.”
Summing up its position, the ATA said Congress should require all
large trucks to have electronic logging devices. By doing so Congress
would “stand with law enforcement officials and the vast majority in
the trucking industry who want to further improve trucking’s
compliance and safety record.” n
Western Debuts New 4700 Tractor
Daimler Trucks subsidiary Western Star Truck Sales, Inc. has added a
new 4700 tractor to its product lineup. The 4700 features several fifth
wheel options, and according to the company is “the ideal solution for
bulk haul, local delivery and construction applications.”
Available in a set-forward and set-back day cab configuration, the
4700 tractor has a high visibility hood, and a variety of fifth wheel and
wheelbase selections. The company added that the new tractor also has
a broad range of power range options “from 260 hp to 470 hp.”
Western said it’s combined with several transmission options
including the Allison automatic, Eaton manual, and Eaton UltraShift.
The company added that the 4700 tractor can be spec’d “perfectly” for
many regional and bulk haul applications.
Aside from the new tractor, Western announced new options for its
4700 product line. These include Hendrickson and Watson Chalin lift
axles, and several new lift axle “solutions” from Hendrickson and
Watson Chalin. The benefits, the company said, include “varying
weight savings, SPIF compliance, optimized packaging and added
durability.” Also available are new roof fairings and side extenders.
Western said adding roof fairings and side extenders helps improve
aerodynamic performance and maximize fuel efficiency. It added that
10 June 2012
the Chalmers suspension offers “increased stability and traction for
off-road applications, and lower maintenance costs on suspensions
and other components such as tires.” The 4700 tractor and additional
product updates can now be ordered.
More information, including a dealer list, is available at http://www.
westernstar.com/. n
www.UTA.org
UTA Industry Watch
TCP Survey: Carriers Shifting
Long Term Strategy
Carriers are adjusting their business models and
strategies, with a goal toward “current and longer
term success,” Transport Capital Partners’ (TCP)
reported in its First Quarter 2012 Business
Expectations Survey. The survey found carriers
have been changing their operations for the last few years. More
carriers are changing their hauls than a year ago. Now, 19 percent
report changing their type of haul—25 percent more than last year.
Most carriers, however, (68 percent) didn’t make any changes to the
main thrust of their businesses, including their type of haul, type of
equipment, or commodity. “Long term strategy has come to the
forefront as carriers cope with high demands for equipment and
balance that with rising equipment costs, driver constraints, and
operating dynamics,” said TCP Founder Richard Mikes.
Compared to last year, carriers are more confident they can renegotiate
“accessorials,” such as fuel surcharges and detention times. But a third
of carriers don’t feel confident in their ability to renegotiate accessorials,
a boost from only 19 percent of carriers in February of 2011. “Carriers are
focusing on big ticket items such as driver time (for example, detention),
and fuel cost reimbursements in rate discussions this time,” Mikes added.
Some of these staffing decisions may result from changes to comply
with CSA 2010 regulations. Seventy-eight percent of carriers have added
training so that carriers may better understand how CSA 2010 will
affect their careers, and 55 percent of carriers have invested in monitoring
technology; both of which require company resources. There has been a significant change, however, in the amount of time it
takes for carriers to get paid. In February 2009, about a year after the
“Great” Recession began, 57 percent of carriers reported seeing their
Daily Sales Outstanding (DSOs) increase. Now, several years later,
only 28 percent report this increase. There was not a significant
difference found between carrier size and average DSO time. n
New Research
Identifies Large
Truck Rollover
Locations
Rollovers are not only deadly, they’re costly. The
American Transportation Research Institute (ATRI) has shared data
from a study that’s underway aimed at mitigating “costly” large truck
rollovers. ATRI unveiled a
database of locations with the
greatest number of these
rollovers. The findings were
based on 50,000 crash
records from a nine-year
period. The database covers 31 states, and “provides valuable insight
into the location of high frequency rollover locations to both public
transportation officials and the trucking industry.”
“This research is not only important to the trucking industry, as it
informs drivers of potentially dangerous locations, but it should also
jumpstart the dialogue between industry and government to work
together to improve safety at these sites,” commented Steve Niswander,
Vice President of Safety Policy and Regulatory Relations for Groendyke
Transport. The rollover locations identified through the first phase of
the research are provided in state-specific summary reports and
through an online interactive map (website location follows).
ATRI will continue this research by investigating the identified locations
further to “better understand rollover causal factors.” It added that
subsequent phases of its research will focus on rollover mitigation
strategies, such as a real-time in-cab notification systems and outreach
to public sector officials who can address potential problems related to
roadway design and signage.
The full report, state-specific summary reports and an online interactive
map are available on the ATRI website at www.atri-online.org. n
USDOT Proposes Rule to Prevent Bus and Large Truck Rollover Crashes
Agency says new safety standard could prevent more
than half of all rollovers, and help main steering in
large commercial vehicles.
A new federal motor vehicle safety standard,
requiring electronic stability control (ESC) systems
on large commercial trucks, motor coaches, and other
large buses, was proposed by the U.S. Department of
Transportation’s National Highway Traffic Safety Administration
(NHTSA). This was the first time a safety standard of this type had been
proposed. NHTSA said its research shows “the technology could prevent
up to 56 percent of rollover crashes each year—the deadliest among all
crash types—and another 14 percent of loss-of-control crashes.”
“The Department and the National Highway Traffic Safety Administration
have long recognized the potential impact of stability control technology
in reducing deaths and serious injuries that result from rollover crashes,”
Transportation Secretary Ray LaHood said. “Today’s proposal is a major
step forward to improving the safety of large commercial trucks, motor
coaches, and other large buses.”
An extensive NHTSA research program to learn how stability control
technologies affect crashes involving commercial vehicles found ESC
www.UTA.org
systems are the most effective tool for “reducing the propensity for heavy
vehicles to rollover or lose control.” NHTSA said that with sensors that
monitor vehicle movement and steering, ESC can help mitigate rollover
incidents by using automatic computer-controlled braking, and also aid
the driver in addressing severe understeer or oversteer conditions “that
can lead to loss of control.” NHTSA estimates that a standard requiring
ESC on the nation’s large trucks and large buses would “prevent up to
2,329 crashes, eliminate an estimated 649 to 858 injuries, and prevent
between 49 and 60 fatalities a year.”
“We’ve already seen how effective stability control can be at reducing
rollovers in passenger vehicles—the ability for this type of technology to
save lives is one reason it is required on cars and light-duty trucks
beginning with model year 2012,” said NHTSA Administrator David
Strickland. “Now, we’re expanding our efforts to require stability enhancing
technology on the many large trucks, motor coaches, and other large
buses on our roadways.”
While many truck tractors and large buses can be ordered with this
technology, the proposed standard would require ESC systems to become
standard equipment on these types of vehicles. As proposed, the rule
would take effect between two and four years after the standard is
finalized, depending on the vehicle types. n
June 2012 11
UTA Industry Watch
U TA A f f i l i a
tes
4 STATE TRUCKS INC.
Chrome Shop Mafia
HALO Branded Solutions
HTAEW.com
Manheim Heavy Duty Truck and Equipment Auctions
My Little Salesman
National Truck Protection
NextTruck
Home of the Chrome Shop Mafia
Based out of Joplin, Missouri, 4 State Trucks, Inc. has provided new
and used parts for the heavy-duty truck industry since 1979. The
family owned business had built a strong reputation for servicing the
four-state area with quality salvage, parts, and truck repair services.
Premium 2000+ Medium and Heavy Duty Warranty
R.L. POLK
Ramsey MediaWorks LLC
Revolution Payment Systems
SOARR.com (Interstate Online Software)
The company soon ventured into new parts and chrome accessories,
and truck customization. 4 State Trucks printed its first catalog in
1998, and they were soon “off and running!” The catalog introduced 4
State Trucks to a national audience, and very soon they saw great
success from coast to coast thanks to strong customer support!
Tired Iron
The early 2000s brought many changes, including a new 40,000 square
foot distribution center, and a customer service call center to support
growing internet and catalog orders, and the retail store’s rapid growth.
Here are some details on what makes 4 STATE TRUCKS so special today.
Vehicle Inspection Pros
•Nation’s Largest Chrome and Accessory Showroom. Here you’ll find
over 40,000 sq. ft. of the newest and coolest parts and pieces for your rig!
Whether you are looking for the latest in chrome, seating, bumpers, or the
latest in high-tech electronics, 4 State Trucks has you covered from
A to Z. We have expanded our truck parking for up to 30 tractor/trailers
to make it even more convenient. Stop by and check out our showroom,
we’re confident that you’ll be glad you did! Our retail store is conveniently
located in Joplin, Missouri
on Interstate 44, Exit #4,
right across the street from
Pilot and Petro.
• Internet/Catalog Sales
Call Center. With 16
Customer Service stations
to take your internet or
phone orders, we want to
make sure we provide
excellent service when
you place your order.
Our customer service
representatives are knowledgeable and
have the information to help you get just the right part for your rig,
and get it to you quickly. www.4statetrucks.com
•Warehouse/Distribution Center of Heavy Truck Parts. With over 2,200
skid positions in a 40,000 sq. ft. warehouse, 4 State Trucks wants to make
sure we have that special part when you need it fast. We don’t just order it,
we stock it! That means you are able to carry the part with you the same
day you need it if you are in our store, or we can ship most parts within
48 hours. That’s one of the advantages of having the nation’s largest heavy
truck accessory warehouse--we can make certain we have the part you need.
•State-of- the-Art Installation-Customization Shop. Let the
Chrome Shop Mafia create, design, and build that one-of-a kind rig,
or just help get that new bumper installed on your current rig! No
job is too big or too small.
12 June 2012
The Truck Blue Book
Truck Marketing Institute
Trucker to Trucker
•Custom Metal Fabrication Shop. If you can dream it, we can build it.
Our Fabrication Shop manufactures many of the heavy-truck accessories
you see in our catalog and showroom. Look for that “Authentic CSM”
sticker to know you have the real thing! With the latest in fabrication
equipment, the ChromeShopMafia (more on this soon) can build those
unique accessories that we all love!
•One of the nation’s Largest and Most Organized Salvage Yards.
4 State Trucks maintains over 1,000 salvage units in our Joplin yard
to provide our customers with an unmatched inventory of used
parts. With a 13,000 sq. ft. indoor used showroom, over 15 acres of
used parts, and access to a network of over 300 nationwide used
parts dealers, we can help you find that used part to “get you going!”
In 2003, the Chrome Shop Mafia was introduced as a “truckers club” for
customers of 4 State Trucks, and the “tommygun” logo became the foundation
for a full line of apparel and logo merchandise­—a nice complement to the
existing product lines of chrome, parts, installation, salvage parts, and
fabrication. One thing led to another and in January 2006, a new TV series,
TRICK MY TRUCK, aired on Country Music Television. The series featured
several member of the Chrome Shop Mafia crew doing what they do
best—customizing big rigs!
4 State Trucks is committed to being the leader in the heavy-duty truck
parts aftermarket industry by providing our customers with the best
parts, at the best prices, with the best customer service. Chrome Shop
Mafia intends to lead the industry by delivering the very best in truck
designs and customization, and offering unique parts and accessories
for big rigs. We also work hard to offer a fresh and entertaining website
that appeals to a wide range of truck enthusiasts, and to offer logo apparel
and merchandise that sports “edgy and stylish” designs. We will continually
promote trucks, truckers, and the trucking industry in a positive and
respectable manner. We invite you to visit www.chromeshopmafia.com
for our complete line of apparel. Everyone at 4 State Trucks and the
Chrome Shop Mafia hopes you enjoy our brand new website!!
All UTA members receive discounted pricing, so come by and see us
or give us a call. We look forward to seeing you. Keep on truckin’! l
www.UTA.org
UTA Industry Watch
Just a few short days
until the 7th annual
2012 Jerome Nerman KC Golf Tournament
Join us Wednesday, June 20,
2012 from 6:00pm to 9:00pm
for the Welcome Reception at
the Adams Pointe Conference
Center and Courtyard
Marriott.
June 20th and 21st
June 17 & 18th, 2010
NEW GOLF COURSE!
Tee Time is at 8:00 AM on Thursday, June 21st,
at Adams Pointe Golf Course.
Breakfast will be served at the course from
7-7:30 AM.
MORE INFORMATION AT WWW.UTA.ORG
www.UTA.org
June 2012 13
UTA Industry Watch
Industry Events Calendar
JUNE
SEPTEMBER
14-16 • Great West Truck Show
Las Vegas, NV 9-10 • NMFTA Annual Meeting
Alexandria, VA
Sands Expo & Convention Center
www.greatwesttruckshow.com
Hilton Alexandria
http://www.nmfta.org/Pages/NewsandEvents.aspx
20-21 • UTA Kansas City Golf Open
Blue Springs, MO
16-22 • National Truck Driver Appreciation Week
Sponsored by American Trucking Associations (ATA)
Location TBD
Benefiting the UTA
Jerome Nerman Family
Foundation Education
Fund
28-29 • 22nd Annual Antique and Working Truck
Show
Cookeville, TN Wednesday: Adams Pointe
Conference Center and
Courtyard Marriott.
www.truckline.com
Hyder-Burks Ag Pavilion
http://www.aths.org/
Thursday: Adams Pointe Golf Course.
www.uta.org/kc_golf_tournament/
OCTOBER
5 - 6 • Charlotte Diesel Super Show
Concord, NC
Charlotte Motor Speedway
zMax Dragway
www.dieselsupershow.com
7 - 10 • ATA Management
Conference & Exhibition
Las Vegas, NV
JULY
12-13 • Truckers Jamboree
Walcott, IA
I-80 Exit 284
http://iowa80truckstop.com/
trucker-jamboree/
http://truckinginfo.com/industry-events/event_detail.
asp?ID=1823 NOVEMBER
AUGUST
7-11 • National Truck Driving Championships
Minneapolis , MN Minneapolis Convention Center
www.truckline.com
23-25 • Great American
Trucking Show
Dallas, TX Dallas Convention Center
www.gatsonline.com/great-american-trucking-show-faq/
14 June 2012
www.UTA.org
UTA Industry Watch
www.UTA.org
June 2012
15
Don’t Miss the Excitement This Year in The Big
Easy
UTA Industry Watch
From Where We Sit
We are saddened to share the loss of a beloved
member of our family. This loss, in particular,
changes the view from where we sit. The
beautiful, sprawling, maple tree that has stood in
our front yard since before our old house was
built did not survive to bud another spring. Now,
in the last few growing seasons, we’d begun to
suspect the old girl was not what she once was,
but denial is truly a powerful emotion. We were
all a little shocked when only one branch off her
trunk sprouted leaves with the return of the
growing season. Now we faced the challenge of bringing down this
120-year-old giant who had come to be what the farmers around here
call a “Widow-maker”.
The actual loss was bad enough, but to also have to pay thousands of
dollars to take her down seemed only to add to our suffering.
Fortunately, we learned from a neighbor, that our local utility
company would bring
the tree down if it
seemed to be impinging
on their electrical
wires. As luck would
have it, one huge
branch would have
taken their wires out in
a New York Minute, so
out they came with a
huge truck, cherry
picker, and crew of
well-trained tree
people. With our
stomachs clenched,
we watched her come
down piece by piece.
The noise and the thuds
as big chunks of our
friend hit the lawn will
take some time to fade
away in memory. The
utility guys were great,
but their only job was
to get her down. We
hired a local crew to cut her up and haul away the wood. By 3:00 pm it
was all over and there was only a pile of mulch and debris left to mark
the spot where she’d lived her natural life span of more than a century.
First, let’s count the positives. It cost us much less to fix this problem,
because of the help of a neighbor’s advice and the work of the utility.
Next, we lost a great old tree, but bringing her down did not hurt
anyone or anything. She could have taken someone out if she’d come
down any other way. Finally, with guilt as a driving force, I asked the
tree people my most difficult question. “Was there anything we could
have done to prevent this?” Now, when I asked this question, I knew
this group of nice men might just lie. After all, I was about to write a
sizable check for their services, and they might want to spare my
feelings. I had all my “big city” tools activated to detect even a chance
of a little fib. The instant the question left my lips every one of the
six-man crew vigorously shook their heads. The foreman said, “She
had her natural life span.”
16 June 2012
And so, all things must pass. Now my office is no longer nestled in the
canopy of a beautiful tree. I’ve lost the apartment building that was
once home to countless birds and squirrels. Their busy chatter and
lively caretaking of their families are gone to some other great old tree.
But, my neighbors across the street have beautiful homes that they
care for with great pride. There’s no way on earth the postal carrier is
going to get away
without my noticing
she’s delivered the mail.
I have a window onto
Main Street that won’t
let anything slip by my
notice.
Our home is quite
noticeable as people go
by in traffic. This town
loves the old houses
that line our street and
the trees that shelter
them. We’ve received
condolences from many
people we know and
even a few we don’t.
We’ve also gotten some
advice about how to
memorialize our old
friend. “Have them give
you a piece of wood to
polish and keep,” said a
friend. “Maybe you
could keep a chunk to
make into an end table for the porch,” said another. In an alternate
universe, we’d have the skills to transform a chunk of tree trunk into
an end table, but not in this one. I could have a polished piece of wood,
but that would just be a constant reminder of the one who is no longer
here. No, we’ve decided to embrace the future rather than to cling to a
past that has come and gone. We’ll plant a Mimosa tree in the spot
where our old friend stood. The new tree will
grow quickly and flower with sweet fragrance.
Life is for the living, and we plan to honor the
tree that’s gone by tending to a new tree to
come. That seems a better homage to a lost
friend. At least, that’s the way it looks from
where we sit.
Deb and Brad Schepp
[email protected]
www.UTA.org