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Titan Machinery on further expansion in Romania

Together with Mr. Erich Urban, General Manager of Titan Machinery Romania we take a look what has changed since the USA based Titan Machinery entered Romania by 1st of January 2013.

Briefly before talking about the specific situation in the Romanian market, what’s the history of the Titan Machinery in the USA?
Titan Machinery is known to a lot of people as the largest American dealer of agricultural and construction equipment manufactured by CNH (CASE NEW HOLLAND). It was founded in 1980 and it is based in Fargo, North Dakota and has 106 North American dealerships throughout the Midwest of the United States.
When Titan Machinery started their activity in Romania and what was their motive to come to here?
For many years Titan Machinery was looking for an opportunity to come to Europe, more particular to Ukraine. In 2011 Titan Machinery started to negotiate for the Romanian market and entered by taking over the previous distributor by beginning of 2012. They started fully operational in Romania and Bulgaria in spring 2012, in the autumn of 2012 Titan Machinery signed up for a significant part of Ukraine and at the end of 2012 they signed for Serbia. Their motive is easy to explain: Americans are pragmatic people and as Eastern Europe with its agriculture structure of large fields, huge individual farms, same cultures and even comparable soil conditions is more close to the conditions in the US-Midwest then a lot of people might think that’s why they came here.
What are the services that you offer?
Unlike other equipment distributors, we are offering our clients a “One-Stop-Shop” system. It stands for all services and product offers from agricultural machines to construction machines, spare parts, auxiliary services such as repair workshops, seasonal overhauling campaigns, buy-back of clients’ machines, rental of machinery until consulting of financing. In 2012 we successfully extended the network to 5 fully operational outlets and this process is not over, yet. We will continue to extend in order to reduce the coverage of each outlet to radius of max. 100 km.
To what extent have you been affected by the economic crisis with regard to your financial results last year and in the first months of 2013?
Generally in 2012 farmers had a tremendous decrease of income because of the very dramatic weather conditions and we as the partners to the farmers of course are depending on such circles. 2013 looks much better not only in the respect of field conditions but also for order intake and the projects we are working on. We see a very strong increase in business and our activities in the territorial offices are starting to deliver results. All indicators for sales of machines, spare parts, number of working hours of our technicians but also the request of our customers for rental and second hand machinery are going up constantly – we are quite happy with 2013 so far.
What is the next big step coming up with Titan Machinery?
The only next big step I can tell you is that we go a further step implementing a similar structure in Europe as in the USA. The Fargo office is functioning as a central support centre to all the US – dealerships and we are going to open the same support centre in this autumn in Vienna, Austria. This office will support the European country networks with central support in the fields of IT, human resources, controlling and sales and marketing.
We heard this is also connected with a personal step of yours?
That’s right; I will take over responsibility for Sales and Marketing of our Europe operation. In this new role I will continue to support the sales structure in Romania and will hand over the day by day activities as General Manager to my successor Mr. Manfred Spendier, a very experienced Austrian manager known also in the field of agricultural machinery business in Eastern Europe. I truly hope that I will have in the future more time to sit down with customers, continue this prosperous dialogue with them and to help to grow Titan Machinery business and CASE IH market share over the years to come.

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