image.jpg

EMPLOYMENT GROWTH FALLS

The Bureau of Labor Statistics just released the revised figures for truck transportation employment as part of their annual update and benchmarking of all of the employment data.

As you can see on the chart below, January saw an interruption of the rising trend in employment that had been in evidence since last May when the economy began to emerge from the lockdown associated with the onset of the pandemic.

1.jpg

We were not surprised to see the small drop in the first estimate of employment in January.  There will be two revisions to that figure, and given the size of the decline, it is possible that it could be revised to a small increase before all is said and done.  From what we read in the trade press, hiring is still on the upswing.  We will see how and when this is reflected in the official statistics.

The second chart includes updates that go back three years.  We have been waiting for those numbers to show that there is a new pattern in this recession. (Recessions are the shaded areas on the chart).  Historically, trucking employment has not begun to rise until well after the official end of the recession.  This time, because of what happened during the lockdown, we had a sharp drop in trucking employment, followed by a rebound inside the current shaded area.

2.JPG

Over the next several months, we will be trying to find out just how much of this rise was the result of the removal of lockdown prohibitions on movement and how much was the beginning of the process of recovery from the recession itself.  We will report those findings to you several ways: through our roadshows and webinars, through our quarterly report on Truckable Economic Activity (TEA®) and through our updates in this newsletter.  

 

Brand Study.jpg

Our Brand Study has launched! Our fleet and distribution channel surveys examine, in detail, all things brand-related: brands used, brand recognition, the importance of brand, replacement practices as they relate to components – OE versus other branded parts, brand quality and much more. Our in-depth analysis will provide study participants with a comprehensive look into brands, providing the necessary foundation for developing brand strategy, brand growth, and brand diversification to name a few. Please contact us for more detail on
this Study.


Welcome to Brian VanCamp

Brian VanCamp joined MacKay & Company in December of 2020 as a Market Analyst. With over 12 years of experience in the heavy truck industry and industrial sales / marketing roles, he contributes across multiple products including DataPulse, DataMac®, and various multi-client and proprietary research projects.

Complimentary to a hands-on technical learning style, he earned a Bachelor of Science in Marketing degree from Indiana University as well as a Master’s in Business Administration from Lewis University.


HDAD-2021.jpg
HDAD-logo.jpg

HDAD 2021 was, by all accounts, an informative and insightful day focused on the aftermarket. With fleets, distributors, manufacturers, dealers and industry experts, our panel discussions and presentations provided the audience with a comprehensive look into our industry. Several press pieces are highlighted on our website; take a look to see details of the day.

Please mark your calendars for January 24, 2022 for the next HDAD.

 

E-commerce.jpg

Throughout the pandemic, one of the strong takeaways has been the increase in e-commerce parts purchasing. Throughout our weekly (at the beginning of the pandemic) and now monthly surveys with dealers and distributors, we have been able to track, firsthand, the increase in this business channel.

While not true for all, many outlets are now offering this part purchasing option, marking a notable increase since our last E-Commerce Study in 2019. Our client base is showing great interest in reexamining this market.

Contact John Blodgett if your company is interested in our 2021 E-Commerce Parts Purchasing Study; early study participation allows participants the opportunity to add questions to address your specific e-commerce needs.

Datamac-Mexico-header.jpg

DataMac® Mexico

Since its inaugural year in 1995, MacKay & Company has examined the medium duty and heavy duty truck, commercial bus (motor coach and transit) and trailer markets in Mexico for five additional years, the last being in 2018. At that time, our detailed Study examined 400+ components, gleaning data from nearly 400 fleets operating 21,000 power units. 

In 2020, the impact of the pandemic resulted in tough economic declines, similar to what was seen in many other countries. The pandemic, unfortunately, hit Mexico at a time when the economy was already contracting, driving the economic decline even steeper. Like the U.S., the labor market in Mexico also experienced a direct hit. But, areas of improvement have been seen in the past few months as the economy and the employment situation are on the rise. The manufacturing sector has begun to recover as trade activity returns. How is the aftermarket in Mexico fairing through these times?  Have fleets adjusted their replacement cycles? Purchasing channels? Points of service? Is this a market of interest to your company?

For more information contact John Blodgett.