Originally announced in 2016, a strategic alliance between Canada-based industrial auctioneer Ritchie Brothers and US-based construction equipment manufacturer Caterpillar has been launched, following Ritchie Bros’ recent acquisition of IronPlanet – an online marketplace for heavy equipment and other durable assets.
With an initial five-year term, the alliance will make Ritchie Bros the preferred global partner for Caterpillar to auction off its used equipment both online and live onsite, complementing the existing offerings within Cat dealer channels.
Ritchie Bros has agreed to provide Caterpillar and its dealers with access to proprietary auction platforms, software and other value-added services, with the goal of enhancing the exchange of information and services between customers, dealers and suppliers.
Ravi Saligram, CEO of Ritchie Bros, said, “Our marketing capabilities, unrivalled suite of technology and powerful multi-channel transactional platforms will add tremendous value and make us a trusted strategic partner to the Caterpillar family.”
The alliance is also expected to strengthen the relationship Ritchie Bros has with independent Cat dealers around the world by providing them with enhanced and continued access to the global auction marketplace to sell their used equipment. It is hoped that this will accelerate the delivery of Caterpillar’s connectivity offerings to improve customer fleet utilisation.
Rob Charter, Caterpillar group president for customer and dealer support, said, “Caterpillar currently has the largest connected industrial fleet in the world and the strategic alliance with Ritchie Bros will help strengthen this key element of our digital strategy.”
He added, “Through this alliance, we will now be able to retrofit used Cat assets with new technology.”
Prior to the acquisition, Caterpillar and its dealers owned a minority position in IronPlanet.