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OUTDOOR POWER OUTLOOK
Where to for the outdoor power industry?
Are we there yet?
This time last year, the team that
brings you NZ Outdoor Power Equipment managed to produce the magazine in lockdown.
We were working remotely, spread around “Island Auckland” as I called it at the time.
Level 4 – seems like it was only yesterday...
A year later, Covid may be slightly less threatening, but it hasn’t gone away.
Still, we have grown increasingly relaxed about mask wearing and the traffic light system is no longer seen as useful.
We never did get to the green setting. Are we there yet?
Have we reached the “new normal”? Answers on a postcard please...
Steve Bohling Group Editor steveb@mpm.nz
NZ Outdoor Power Equipment
is published 4 times per year
by Marketplace Media,
PO Box 28372, Remuera, Auckland 1541 Phone: 09 375 3097
Website : www.ope.co.nz
ISSN: 1177-4215
The opinions expressed and material published in New Zealand Outdoor Power Equipment
are not necessarily those of the publisher, except where specifically stated. The content is copyright and may not be reprinted in any form without the permission of the publisher.
Publisher Simon Little 021 507 343 simonl@mpm.nz
Group Editor Steve Bohling 021 0223 6887 steveb@mpm.nz
Account Manager Karen Condon 0275 420 338
karenc@mpm.nz
Studio Manager Rachel Walker 021 169 0201
rachelw@mpm.nz
IT’S BEEN A few months since our
last issue and much has changed since July, what with persistent and unusual weather patterns and demand for outdoor power products appearing to be returning to some semblance of “normal” (whatever that is these days), despite pundits insisting there’s a recession around the corner.
What do some of the key retailers and suppliers in outdoor power make of all this?
First, we turned to Mike Roberts, Country Manager at Husqvarna NZ, asking are sales patterns back to normal?
“We are starting to see some normalisation in the market amongst consumer spending from the highs encountered over the last few years.
“Our dealers are also finding a number
of new customers looking for a quality premium product over the cheaper brands that have not lived up to the customer’s expectations, particularly when the machines require servicing and therefore they want the added confidence that the product and parts are strongly supported by after sales service.”
Have supply chain issues subsided? “Supply chain issues have vastly improved, but still some items are
battling for componentry to finish the final build, given there are still some global componentry shortages which should improve on the short-term horizon. Shipping delays are continuing but likewise we are starting to see improvement.”
Has the lockdown surge towards buying online persisted?
“Lockdown has created more understanding of how easy purchasing online can be for customers. For some
items particularly those that require lower decision-making input like entry level models & accessories, online purchasing habits and trends will undoubtedly continue to grow.”
And has this changed the way Husqvarna works?
“While our dealers continue to see an increased presence of online activity moving forward, our core offer remains strong throughout our dealer network where you get the expert advice and strong back up after sales service. This strong in-store dealer presence & support is paramount to the Husqvarna brand.”
Some home-related channels abroad have been seeing a “post-pandemic” drop-off
in demand – so some channels have been
dealing with excess inventory – relevant here?
“We have not experienced this drop-off in demand to date but continue to have high demand from our Dealers with Husqvarna still carrying increased inventory levels to meet sales.”
Phil Needham, Product Manager at STIHL New Zealand, agrees with much
of the above, saying that far from seeing a typically quieter Winter 2021 season, “the Covid effect” seems to have stimulated the outdoor power retail market.
“So last year we had the biggest winter we’ve ever had in the history of our company,” says Phil.
Despite a parched summer, STIHL was “very busy, considering how dry it was.”
In terms of Winter 2022, Phil Needham says the market has been tracking back towards more traditional, pre-Covid sales levels, although it has been particularly wet.
“I’d say it seems to be somewhat business as usual. There’s been a lot of economic and political things going on that have knocked retail a little bit, but considering that, we’re pleased with how we’re going.”
And how is the supply chain treating STIHL in NZ?
“We are carrying high levels of stock to buffer the effects of long lead times. But I would say in general things have improved somewhat in the supply chain, although we still have certain challenges at the manufacturing level where the supply of
some components is challenged.” Admitting there may be challenges
ahead, Gavin Lowndes, Steelfort’s General Manager, has not yet noticed any negative movement in the market: “We are not seeing any signs of slowing down although, you know, you keep hearing so many reports about it.
“Somewhere along the line it has got to happen, I guess,” he admits however.
“Wearegoingtobeinforafew headwinds. But we’ll take it while it’s there and hopefully over the last few years we’ve put ourselves in a pretty good position to weather any storms that might be out there.
“We’re just taking a positive approach to it. At the end of the day, we’re gearing ourselves up to have a good year. And, you know, we’re going to do everything we can to make it happen.”
Accurate forecasting will definitely be interesting for the next year or so.
Steve Huddleston, Masport’s Australasian Sales & Marketing Manager, says: “Power garden will stay strong.
Even if peak demand for products has passed, or wallets depleted, he says, “Repairs will be good. Part sales will be good. If people don’t want to spend the money on new product, they’ll get it repaired.
“You’d have to say over the last 5-10 years that repair versus replace has really swung to replacement. So maybe we see a lot more repair business happening and part sales and the workshops being a lot busier?” n
02 NZOUTDOORPOWEREQUIPMENT SEPTEMBER/OCTOBER2022
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