Our very own Pete Hendrickson, the director of Route Ready truck sales, sat down with Waste360 to discuss why waste haulers are strategically choosing to buy Route Ready trucks over new garbage trucks. We summarized it down below, and you can read their full discussion here.
Maximizing return on capital
Pete mentions that in the past waste haulers primarily looked to used trucks as a cheap method to fill in for breakdowns or contract expansions. However, haulers are now looking towards used trucks as a way to maximize their return on capital when looking for new trucks. Haulers reported that they were attracted to the high ROC potential of our certified Route Ready trucks. The excess capital that would have been spent on a new truck was redistributed to higher-yielding segments of the business.
On top of that, Pete explains that a 3,000-hour truck is just entering its “break-in period”. Bugs and issues with the truck have already been fixed at this point, so the truck hits the ground running on day one. The extra uptime coupled with the extra capital gives waste haulers plenty of reasons to turn away from buying new garbage trucks.
We formed Route Ready in 2016 and refined it in 2018 to meet the needs of waste haulers who wanted to increase the net present value of their garbage trucks through used and refurbished trucks. We know buying used is a risky business, so we make sure each truck comes with the impeccable quality and durability that waste haulers need.
Bridging the gap between used and Route Ready garbage trucks
Route Ready trucks are inspected, certified, and ready to hit the ground running. As Pete explains, our Executive VP of Operations, Dave Stafford, brings 30 years of industry experience from mechanic to executive. He partnered with our dealership network to create a consistent, high-quality garbage truck that our customers can rely on. This process gives waste haulers the high return on investment they need in their businesses.
This process also provides three tiers of options. “Flexibility is our number one priority in the market, and that’s what drives our three tiers of certification, which are designed to fit any budget and any timeline”. The Route Ready level is the most accessible. Route Ready Plus adds a 215 point inspection, part replacements, and one month warranty that handles all wearables. Finally, Route Ready Premium makes the warranty last for two months and adds a custom paint job. We fix any and all body and interior damage to restore the truck to a true new like condition.
We are excited to continue growing into 2020 and expanding our mission to provide waste haulers quality and affordable refuse trucks.