Ritchie Bros. (TSX:RBA) – already the world's largest industrial equipment auctioneer – is extending its reach into a $200 billion global market with a new eBay-style auction website.
Everything from diesel generators and backhoes to combines and helicopters can be bought and sold on EquipmentOne.com.
Like eBay, sellers can post both an ask price and a buy-it-now price.
It allows sellers to upload photos and details on the equipment being sold, and provides for secure transactions. Buyers can create watch lists for equipment they want to buy, and access Ritchie Bros.' Orange Book, a market reference tool that gives buyers an idea how much similar equipment has sold for.
EquipmentOne is currently available to equipment sellers in the U.S. Canadians will be able to start listing on the site later this year, and it will be expanded internationally in 2014. Membership is free. Richie Bros. gets a percentage on sales.
"Ritchie Bros. EquipmentOne offers sellers control of the selling price and process while providing buyers complete transparency and security—it's unlike any other marketplace in the industry," Ritchie Bros chief strategic development officer Bob Armstrong said in a press release.
Last year, the Burnaby-based auction company sold $3.9 billion worth of equipment. But that's a fraction of the global market.
"Still, our current estimate of the global used equipment market suggests it is in excess of $200 billion in annual transaction value with approximately half of all equipment transactions taking place on a private treaty basis," Armstrong said.
"With Ritchie Bros. EquipmentOne, we are now able to provide these private treaty buyers and sellers a safe, convenient and profitable way to exchange equipment and materials."
According to the company, the EquipmentOne Total Buyer Protection ensures buyers are protected through an escrow process, seller experience ratings and facilitated dispute resolution.
