Loader Decoder
Tracking Skid Steers and Compact Track Loaders in the North American Market
By Keith Gribbins
For years, the skid steer market has been one of the most consistent machine categories for equipment manufacturers in North America. It seems around 60,000 units are sold nearly every year into a variety of different industries - landscape, construction, rental, farming, municipal, private users and ever onward.
It’s the ability for a skid steer to run a myriad of different attachments off the front of its quick-attach system that has allowed it to enter a cross-section of markets and end-users. In the past few years, however, skid steer sales have dropped in volume a little -- mostly because of increased competition in compact track loader sales (skid steers with a dedicated track undercarriage).
"Approximately 58,000 skid steers were sold in North America in 2006,” explains David Daniels, brand marketing manager with New Holland Construction. “While all the numbers are not in yet, the number of skid steers sold in 2007 will probably be less than what was sold in 2006. The reason for this is because more users are turning to compact track loaders as their equipment of choice and because of the decrease in the residential construction market.”
While the slowdown in residential construction is having an overall affect on machine sales, compact track loaders are specifically infringing on the skid steer market. But from some manufacturers’ perspectives, it’s not necessarily hurting the industry. In North America, sales for skid steers in 2003 were in the 57,000 range, for 2004 in the 66,500 range and in 2005 the 66,500 range, according to the manufacturers CE has surveyed over the years. The market supposedly peaked in 2000 with 70,000 plus units sold that year.
While compact track loader sales are not official tracked by the industry, most estimate the market size (at least in 2006) to be about 22,000 to 24,000 units sold. Combine those two numbers for 2006 and you get a whopping total of 82,000 compact loaders sold. Some might argue that the track loader market is actually expanding the skid steer market (as both are very similar machines and both are for the most part sold by the same manufacturers). But track loaders definitely have their niche – landscape, forestry and construction jobs that need extra flotation, traction and pushing power, while still leaving a light footprint. Wheeled skid steers will always have their strong markets too – especially when hard surfaces, cost of ownership and increased cycle times come into play.
Most manufactures in the small equipment market make both -- Bobcat, New Holland, Caterpillar, John Deere, Case, Gehl and Mustang, Takeuchi and ASV (the two pioneers of the track loader market) still only make compact track loaders. It should also be noted that Gehl and Mustang sell branded Takeuchi units and that Caterpillar buys its undercarriages from ASV, a company in which it has significant investments. To round it out, Volvo is one of the only skid steer manufacturers to not sell a track loader unit.
Across the range, skid steers and track loaders come in a multitude of models, power configurations and size categories. Both loaders are categorized by rated operating capacity; operating capacity is calculated by considering 50 percent of the tipping load for skid steers, while track loaders are calculated at 35 percent of the tipping load; tipping load is the capacity at which the rear wheels lift off level ground. Today, operating capacities range from 600 to 3,700 lbs. The Association of Equipment Manufacturers (AEM) recognizes nine classes of skid steers worldwide, but has yet to categorize track loaders.
"Today, the most popular size skid steer is the 2,000-lb rated operating class. The suggested list price for a Case 430 is $31,000,” says Jim Hughes, marketing manager, Case Construction Equipment. “These are very versatile machines because they deliver high performance in a compact package. But there’s no question, customers are looking for bigger — not necessarily bigger size, but increased lift capacity and increased capacity for handling attachments. Skid steers are being asked to do more on the jobsite, whether it’s landscape, Ag or a construction application.”
Beside size, the skid steers and track loaders have grown the number choices available in features. The two main types of boom configurations are called radial and vertical lift. These different booms are engineered to work in specific applications. In a radial boom pattern, the boom pivots on one joint as it moves up, naturally radiating — moving backward — as the load arm is raised into its full position. Radial lift machines have traditionally been used as digging machines or tool carriers.
Vertical lift style loaders specialize in load-and-carry operations, getting good lift capacity by keeping the load close to the machine while the boom of the machine rises. Vertical lift machines have additional linkage which allows the boom to pivot on more than one joint as it moves up, giving it a true, perpendicular, to-the-ground movement. New Holland Construction was the first to popularize true vertical lift with its Super Boom skid steers.
"Over the past 10 years, customers have been purchasing skid steers that are larger and therefore the manufacturers are building machines with higher capacity and operating weights,” says Gregg Zupancic, product marketing manager for skid Steers and compact track loaders and John Deere Construction & Forestry. “Vertical Lift style boom systems are the most popular on the larger machines because they can reach up high and also reach out over a dump truck sidewall better then the radial lifts units. It should be noted that radial lift machines are more popular in the smaller skid steer sizes due to compact advantages.”
Regardless of the style, hydraulic horsepower will be operating the rising and falling of the attachment and boom. Better hydraulic drive motors, hydraulic pumps and auxiliary hydraulics have given today’s machines more oil flow to operate larger loads and bigger implements. The rise of high-flow hydraulics has taken a skid steer and track loader and made it a true tool carrier.
Today, regular flow hydraulics for skid steers and track loaders ranges from 19 to 23 gpm, depending on the size and power of your unit. With high-flow hydraulics, you can get up to 40 gpm, depending on your size. High-flow hydraulics give that customer more opportunities to run bigger and more efficient attachments — whether it’s a massive cold planer to strip asphalt, a brawny stump grinder to remove old trees or a large wood chipper attachment to dispose of the debris.
While power and size are definitely on the rise, it seems that comfortable cabs and easy-to-use control patterns are the most important features that manufacturers are refining. Just take a look at the release of Caterpillar’s new C-Series loaders, which redefines luxury with items like sealed and pressured cabs, independently adjustable seat mounted joysticks, air ride suspension seats, high performance AC and heating, increased visibility (to the front, top, rear and side) and even radio-ready cabs (with satellite technologies).
Almost all of these same technologies can be found on compact track loaders as well – although pricing will vary. The price for skid steers today ranges from $16,000 to $40,000. The price for compact track loaders is in $23,000 to $60,000 range. The difference in price can be attributed to the complexities of a track loader’s dedicated track undercar riage, which is one reason its taken rubber track loaders since the mid-1980s to become so mainstream. Will their success continue?
“We have seen steady growth in overall sales numbers of compact track loaders and as an increasing percentage of our business,” says Mike Fitzgerald, loader product specialist for Bobcat Co. “However, we do continue to sell large numbers of skid-steer loaders as well. At some point in the future, the market will level out into a percentage of compact track loaders and skid steer loaders, but when that will happen is currently unknown. With the continual introduction of larger and smaller models of compact track loaders, we will continue to see the expansion into new markets and applications and an increase in customer interest.”
Keith Gribbins is managing editor of Compact Equipment.
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