Get pre-approved before attending a machine tool show

Attending a tradeshow can be a valuable use of your time for networking and shopping for new equipment.

This year the only formal Canadian machine tool exhibition is the Montreal Manufacturing Technology Show (MMTS), which provides a unique experience to interact with all the major sellers in that marketplace.

The show will be held in downtown Montreal at Place Bonaventure May 14-16. Show organizers are expecting more than 4,000 attendees who will be visiting 200 sellers of machinery, equipment, and accessories. The equipment is strategically placed to showcase some of the newest technologies that, for the most part, can be delivered as soon as the show ends. The entire show can be covered in one day, but more important, it can be very easy to meet and spend time with the principals and upper management of every significant seller of machinery in Canada.

This accessibility can be a problem when attending large, international shows because they have a tendency to be extremely busy, particularly during years when the market is good. It can make having a significant conversation of significance tremendously challenging.

The key attribute of MMTS is that the booths are predominantly arranged by local representatives and supported by the manufacturer for whom they distribute. For a prospective visitor, this means the people working the booth will be a combination of individuals at the distributor level along with some of the smartest application-oriented support staff from the manufacturer.

Build Relationships

But on a personal level, I always found that attending these regional shows gives machine sellers the ability to interact with their best local customers. Having come from the sales side of the machine tool industry and working out of a Toronto-based head office before my career in equipment finance, I did not have many opportunities to interact face-to-face with our Quebec customers. We had a very loyal customer base, developed over many years, and although we represented good equipment and provided first-rate service and support, it was our ability to develop close relationships with our customers that allowed us to continue to sell them equipment.

There is nothing more important than the ability to pick up a phone and know exactly who is on the other end, and it is by attending a local show that these relationships are established and strengthened.

Having spent many hours at this show, first as a seller and the last four shows as a financier, I have found over the years that most manufacturers do not attend just for the experience. Yes, the industry is its own little world, and if you’ve been in it long enough, you will no doubt run into some old friends, but the reality is anyone attending is doing so with a specific purpose in mind.

Usually they have a piece of equipment that needs to be upgraded, or shop owners are looking for new ideas to improve efficiency and increase profits.

Get a Pre-approval First

What I tell my clients, particularly if they are thinking of making a purchase at a show, is to get a pre-approval in place before attending. This allows their chosen financial institution to let them know how much money is available to them before they consider buying a new piece of equipment. Without a pre-approval, shop owners may have no idea what they can spend and what the monthly payment will be.

The most common theme a potential buyer will come across at one of these exhibitions is a “show special.” I can tell you from first-hand experience that machine tool sellers spend a lot of money decorating and stocking the booth with new machinery, so there is an immense amount of pressure to move product.

Going to a show with a pre-approval in hand will give you the opportunity to negotiate a great deal on a new piece of technology, as well as establish meaningful relationships, both certainly a productive use of time.