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Industry Outlook: Mini excavator evolution 

Mini excavators are being redefined, becoming much more than just compact digging machines.

Advanced features such as enclosed cabs, grade control systems and telematics management systems are now found on mini excavators. These advances are answering customers’ needs by providing enhanced operator comfort, more precise digging and better online machine tracking.

Pro Contractor Rentals asked industry experts about the trends they see driving min excavator development, and what rental centers can do to leverage new models to achieve greater ROI on their compact excavator investment.

Product and dealer marketing manager AARON KLEINGARTNER Doosan Infracore North America

Attachments add renter appeal
Advanced features such as enclosed cabs, grade control systems and telematics management systems are now found on mini excavators. These advances are answering customers’ needs by providing enhanced operator comfort, more precise digging and better online machine tracking.

Telematics systems enable renters and rental centers to remotely monitor mini excavators. Many companies today offer telematics access through a web browser or an app on a smartphone. They can see where the machine is located, when it was last operated and if it has displayed any fault codes that need to be addressed. Rental centers can also see when a mini excavator is getting close to a scheduled maintenance interval and it can dispatch a service technician to perform the service on-site or transport the machine to the dealership for service.

Some of the upsides of rental centers need to consider when bringing new mini excavators into their rental fleets include increased machine availability, enhanced operator comfort and greater access to online tracking with telematics.

Construction, particularly residential construction, is a significant source for mini excavator work and remains on the upward trend. Contractors may be looking to supplement their fleet with additional machines to finish projects in 2021, or they may be bidding on work that will start in 2022.

Today’s mini excavators offer many comfort features previously included in heavy construction equipment. Features such as adjustable suspension seats, ergonomic joystick controls and heating and air conditioning are becoming commonplace in today’s mini excavators. Rental centers may want mini excavators with these options for enhanced operator comfort.

Another consideration for rental centers is tail-swing type. Rental centers can purchase mini excavators with zero tail-, reduced tail-, minimal tail-, or conventional tail-swing designs. Although a mini excavator may offer zero tail swing, the machines are generally wider than conventional tail mini excavators. If a renter needs to drive the machine through a gate opening or other narrow space, it’s important for the renter to consider the machine’s width.

One way to increase demand or increase ROI with mini excavators is by stocking approved attachments for use with the excavators. Rental centers may consider a thumb to use with a bucket, a hydraulic breaker for demolition or an auger for landscaping projects.

To increase demand, become known as the rental center with inventory. Have enough machines in your fleet to satisfy demand and check out your competition.

Some rental centers may have purchased mini excavators with an open canopy for a reduced price. With today’s tight labor market, some contractors may have operators who prefer mini excavators with enclosed cabs that offer heat and air conditioning. Doosan mini excavators come standard with enclosed cabs. If a contractor needs to rent an additional mini excavator, the contractor may look for a rental center that offers models with enclosed cabs to keep their operators content. An open canopy is available as an option for Doosan mini excavators.

Another option that may increase ROI is offering renters a mini excavator with an angle blade. Nearly every mini excavator today comes standard with a straight dozer blade. An angle blade can expand the mini excavator’s versatility and ability to efficiently backfill trenches. Renters may be able to get work done faster with this machine option, making them more likely to continue renting from the same rental center.

Product Marketing Manager RYAN ANDERSON New Holland Construction

Easy adjustments interest end users
At New Holland, we are putting a focus on operator input, looking for ways to make it easier for operators to adjust the machine to fit their application and navigate through the screens. Operators are finding that being able to adjust hydraulic flow to match the attachment customizes the machine to the application they’re doing.

For example, if an operator is using a smaller mulching head on the dipper of a compact excavator, he or she can adjust the hydraulic flow output to that attachment to optimize its performance. Or, if they’re using an auger, they don’t need as much flow. Hydraulic flow can be adjusted so they’re not pushing the machine harder than it needs to be.

The other advance is the addition of lasers and depth finders attached to the dipper. Landscape and utility contractors can make sure the digging depth and grade are correct. These add-ons help the operator be more precise.

Mini excavators are becoming one of the most popular machines in rental fleets. They are rather simple to maintain and can offer a long life.

As you start looking at new machines to replace in your fleet, consider your expenses vs. actual income by factoring in the rising cost of parts and maintenance into your rental fee pricing.

The downside to mini excavators is because they turn over so fast, they need to be conscientiously maintained.

To increase demand, become known as the rental center with inventory. Have enough machines in your fleet to satisfy demand and check out your competition. What do they stock? Position yourself as the go-to place that has what customers need when they need it. If your customers know that if they have issues while they have the rental, that your rental house has the resources and expertise to keep them running, that goes a long way.

Some attachments that a rental house should stock include augers, which are great for creating a fence line and compactor plates, which are popular with landscape and utility contractors. Thumbs attached to the dipper are popular. A variety of buckets, ranging from 12-inch to 30-inch helps you best match the bucket to the job at hand.

Excavator Product Manager CHRIS LUCAS JCB

Mini excavators offer safety and productivity
JCB’s newest mini excavators and compact excavators are designed to excel in the ?ve areas: comfort, controllability, reliability, serviceability and performance. Operators today work long hours with high-demand roles. Owners are under the gun to ?nish jobs on time and on budget. JCB’s line-up is engineered with the owner and operator in mind.

Three of the newest features on JCB mini excavators include a lift overload system, advanced tool select and the auto-health check.

The Lift Overload System technology provides audible and visual indicators of safe lifting limits. The system warns the operator when he or she is reaching maximum capacity, or if the load is unstable. For rookie operators, this is a key safety and performance bene?t.

Three of the newest features on JCB mini excavators include a lift overload system, advanced tool select and the auto-health check.

JCB’s Advanced Tool Select system saves time. It allows the mini-excavator operator to pre-program auxiliary ?ows and pressures for up to 10 attachments. Imagine having to stop and readjust settings every time the operator switches between a bucket and grapple.

One of the biggest time-savings upgrades to JCB’s newest line of mini-excavators is the Auto Health Check. JCB has focused on telematics technology that positively impacts an owner’s bottom line. Within three seconds of system start-up, this program automatically scans ?uid levels, ?lters, hydraulic pressures and engine performance and diagnoses any issues. This eliminates the need for the operator to perform the daily checks manually, saving 15 minutes a shift on average.

Getting into a new-to-you piece of equipment can be daunting for some customers. The electronics panel can be a maze in any new car, truck or rental equipment. JCB engineers have worked to ensure the digital screens have a simple user interface, customizable home screen and offer useful diagnostic information, all designed to boost productivity.

When it comes to attachments, JCB’s offers ultimate versatility. All JCB excavators have optional seven-way multi-function joysticks to easily use any of their attachments to their full potential.

Due to their compact size and low weight, many of JCB’s mini-excavators are easy to trailer and tow, often without a Commercial Driver’s License (where local regulations permit). This saves the site manager headaches when it comes to moving equipment between sites because just about anyone on the crew can haul JCB compact excavators.

As JCB experts work with rental ?eets across North America, dealer partners are urged to understand their client’s needs. Landscapers may prefer renting vs. owning equipment because their work is seasonal, while highway or commercial construction contractors may consider a long-term lease until a project is completed.

JCB’s advanced telematics system, LiveLink, can be a big selling point for ROI. Combined with JCB’s Auto Health Check feature, this system can save customers and rental companies a load of time and money. Fleet managers don’t need a terabyte of data every week from their machines; much of that information is useless to them. JCB follows the practice of “No Data without Action.” Customers won’t be flooded with data, just value. JCB allows ?eet managers to pick and choose the alerts they want to receive about their equipment.

When a ?eet is connected to JCB’s LiveLink online system, a manager can subscribe to app noti?cations, emails or texts for speci?c issues. Fleet managers or crew leaders can also contract with their JCB dealer so alerts go directly to the dealer’s service department for proactive assistance. This kind of robust, support plan for long-term rentals is attractive to big customers who are especially concerned about stress-free, hands-off accounts.

Mini excavator concept reimagined

General Manager PETER BIGWOOD Mecalac North America

A cursory review of the many brands of mini and compact excavators available will reveal a steady, albeit incremental, improvement in features and functionality.

Fundamentally, most mini excavators are very much alike. Mecalac takes a decidedly different approach, and the results are readily apparent: at 6.2 mph, a Mecalac Crawler Rapid (MCR) excavator travels at twice the speed of any other compact excavator; the multi-part boom folds in to create a true 360-degree compact working radius, and its ability to mount a full-sized loader bucket means exceptional productivity with almost 80 percent more capacity per load. Unlike conventional excavators, Mecalac models offer the functions of an excavator, loader, and telehandler in one sleek package, meeting customers’ needs in a variety of ways.

At 6.2 mph, a Mecalac Crawler Rapid (MCR) excavator travels at twice the speed of any other compact excavator. The multi-part boom folds in to create a true 360-degree compact working radius, and its ability to mount a full-sized loader bucket means exceptional productivity with almost 80 percent more capacity per load.

The MyMecalac telematics system is now standard on every model, giving users and rental companies the ability to track the whereabouts of the machine at any given moment. Beyond that, rental centers can track the number of working hours, key operating parameters such as fuel consumption and engine temperature and detect error codes remotely. The judicious use of the MyMecalac telematics system can help owners manage and reduce the total cost of ownership (TCO).

Another Mecalac innovation on its compact excavators is the Connect system, an elegant, deceptively simple integrated quick-attach system. Easily the safest and most versatile on the market, the Connect system offers a lightweight but robust connection system to buckets and other attachments. The system has advanced in 2021 with several improvements to enhance reliability and durability. Rental customers appreciate the ease of use, the ability to reverse-mount any bucket as well as its unique streamlined design.

An ongoing and accelerating trend in the United States, originating in Sweden, is the use of tilt-rotators on excavators. Found mostly on larger excavators, they are gradually evolving to fit smaller carriers. They can transform an excavator into a versatile tool for moving and shaping the earth. Mecalac has introduced a completely integrated system direct from the factory, along with dedicated grading buckets. These are available now for the 9- and 11-ton wheeled excavators, but will soon be offered across the range, starting at the 8-ton tracked model. The beauty of the system is that it allows most operators to use the tilt-rotator function for only a portion of the workday. With the Mecalac MR system, when the added weight and length become a liability for heavier duty digging or loading work, it can be removed, leaving the operator with all the advantages of the Connect system alone, such as mounting loader buckets or a set of forks.

Adding attachments is the fastest way to gain versatility and with it, improved ROI from mini excavators. Mecalac’s new tilt ditch-cleaning buckets are no exception. Equipped with two hydraulic cylinders, they can angle the bucket up to 45 degrees in either direction, allowing the operator to adjust for different ditch-cleaning applications, or use the bucket for grading and finish work. A wide opening with a pre-drilled cutting edge accommodates a bolt-on wear blade combines with a rounded profile for easy emptying.

Attachments achieve versatility and ROI

Product Manager DAVID CALDWELL Takeuchi

Takeuchi and other manufacturers continue to innovate by integrating technologies into their compact excavators that impact price, productivity and efficiency. Improved engine technology is creating machines that run cleaner, more efficiently and deliver ample power.

Many of today’s excavators are equipped with long arms that maximize their working ranges allowing the excavator to dig deeper, reach further and reposition less, making these machines ideal tools for a wide range of applications and job sites.

The Takeuchi lineup has excavators from 6- to 15-ton machines that now include three auxiliary circuits which make it possible to use many different types of attachments and greatly improving their versatility and value on the job.

Takeuchi and other manufacturers continue to innovate by integrating technologies into their compact excavators that impact price, productivity and efficiency. Improved engine technology is creating machines that run cleaner, more efficiently and deliver ample power.

Telematics are being found more often on compact excavators, making it possible to capture important engine and machine performance data remotely. This makes it easier for owners and their dealer partners to schedule downtime for maintenance and repairs. Utilization tracking helps owners see exactly how operators are using the machine and make decisions based on this data. Geofencing can ensure an asset is secure when it’s no longer in the rental yard. When a machine is moved beyond the set perimeter, the owner receives an alert.

Thanks to the many innovations manufacturers are building into compact excavators, they’re more useful in a broader range of applications than ever before. They’re attractive to rental center customers who need to accomplish multiple tasks on their job sites. Because, like tracked or skid steer loaders, compact excavators can now be outfitted with many attachments, so rental centers can gain more revenue when renting them out.

Risks or downsides can occur when rental centers stock any type of construction equipment. It is important to properly maintain the excavator. Ensure it is properly greased, perform routine maintenance, make repairs in a timely manner and make sure renters are familiar with the machine’s proper use.

As compact excavators evolve and become more capable, it’s important for rental companies to do their research and purchase excavators that provide exceptional build quality, intuitive controls, ease of attachment set-up, greater hydraulic performance and cooling capability and have a proven rental track record.

Rental centers can increase demand for compact excavators by informing customers about the many ways they can now be used and stocking compatible attachments. Some customers may not be aware that compact excavators can be used for demolition, mulching or picking and placing landscape/hardscape materials. It’s the rental center salesperson’s job to determine what customers need to do and then match them with the right machine, which quite often could be a compact excavator. Having a knowledgeable salesperson who knows about the many advantages a compact excavator has over other machines will go a long way to increasing demand and ROI for these units.

Product Manager BRAD MACE Case Construction Equipment

Simple operation saves
Case engineers have focused on simplicity of operation, which is critical for the rental industry. If an operator feels comfortable in a mini excavator, he or she is more likely to be a repeat customer for the rental business. When operators get in the cab of a Case mini excavator, the controls are easy and intuitive. With advances in hydraulics and machine design, the operating capacities of these machines can feel more like working with a larger excavator.

Just because an excavator is mini, doesn’t mean that it must be lesser-featured. Case engineers have focused on greater feature standardization, which gives the machines the feel of a larger excavator and improves the operator experience. Standard suspension seats, adjustable arm rests, large entry doors, and a wide field of view all combine to give the user a great experience in the cab. A standard auto-shift travel system provides operator comfort and convenience by adjusting travel speed and torque as ground conditions change. Case mini excavators feature standard auxiliary hydraulics and a standard thumb bracket for easy addition of a thumb or other attachments; standard boom and blade guards protect the cylinder.

Even compact equipment can be wired and connected through telematics, which is very helpful to keep track of hours the machine has been out on rent, engine hours between service intervals and geofencing and tracking capabilities.

Case offers zero, minimal and conventional tail swing options, giving businesses options for rental based on how and where they work.

Even compact equipment can be wired and connected through telematics, which is very helpful to keep track of hours the machine has been out on rent, engine hours between service intervals and geofencing and tracking capabilities. Mini excavators can be equipped with simple and intuitive machine control solutions that can set a consistent trench grade.

Transportation is a big consideration for mini excavators. At some point, the combination of a pickup truck, a trailer and the machine may exceed DOT weight restrictions, depending on the model of mini excavator. Case offers several models that can be transported with a pickup and a trailer.

In selecting new models, first ask contractor customers what they would like to rent. Ask about size and maximum digging depth/reach as well as if they’re interested in retractable tracks to get through doors and gates. Would an offset boom be helpful in tight digging spaces? A machine with a cab with heat and air conditioning offers year-round comfort. Understanding what the most common rental uses for a machine are will increase the amount of time it can be rented and increase machine profitability.

Mini excavators are outstanding platforms for attachment use. The addition of a thumb makes these machines an instant material handler. Hammers, compactors, and augers can be easily added to a mini excavator. Think of the mini excavator as a platform; what else do your customers want to do with it?

Focus on utilization. Know how to promote your machine in different markets and identify seasonal opportunities for mini excavators.

Product Manager, Compact Equipment DARREN ASHTON Product Manager, Electromobility LARS ARNOLD Volvo Construction Equipment

Trend toward electric machines
Customers are always looking for increased mini excavator flexibility. Volvo has met that need by designing Volvo machines to support a variety of attachments with fast, safe changeouts and flexible hydraulics. These compact machines are designed to work in tight spaces and Volvo’s compact excavator lineup includes six short-swing models with performance comparable to a conventional machine.

An emerging trend is customers seeking sustainability solutions, and one way Volvo is meeting this need is the development of electric machines.

An emerging trend is customers seeking sustainability solutions, and one way Volvo is meeting this need is the development of electric machines. This includes the battery-powered ECR25 electric compact excavator, a compact excavator with zero exhaust emissions and significantly lower noise levels than a diesel machine. It’s been shown to have the same performance as an equally sized diesel excavator. Once it is more widely available, it will be ideal for rental applications. Customers can test out an electric machine and the cleaner, quieter ECR25 could give an advantage on jobs with sustainability targets or noise regulations.

When adding new equipment into a rental fleet, it’s important to first consider what the demand is in your area and ensure your fleet corresponds to that. Take inventory to determine what machines will complement what you already have. The rental center should also take note of what attachments it currently offers and make sure they are compatible with potential compact excavator models.

Advanced telematics systems like ActiveCare Direct from Volvo can be a big help with this. ActiveCare Direct provides monthly reports that allow owners to see if certain machines are being underutilized from an hour or work percentage.

Also, rental centers should consider whether they need additional resources for the new equipment. For instance, depending on the type of compact excavator and the technologies available on it, rental owners and managers may need to train their service technicians. If these resources aren’t available, they may need to consider working with the dealer to outsource these services.

It’s important that rental centers meet customer demand by adding certain compact excavators to their rental fleet. For instance, at Volvo, we see a growing demand for short-swing excavators to work in tight spaces. We also see an increased demand for wheeled excavators, which are ideal for road and city work due to the convenience of being able to drive them to the jobsite instead of hauling them with a truck or trailer. We’re also seeing an increased interest in electric excavators, which helps meet the increased demand for sustainable solutions. These compact machines can be equipped with a wide variety of attachments to expand versatility on the job site.

Excavator Product Specialist LUKE HILL Bobcat Company

Equipment advances improve productivity
There are many advances being incorporated into today’s mini excavators to give contractors and operators a leg up on the ever-increasing demand job sites place on them. Some of the most important advances are serviceability, increased service intervals and uptime.

Bobcat has made advances with longer intervals between changing engine oil and fuel filters.

For uptime protection, Bobcat has implemented hydraulic and engine shutdown features to guard against significant damage to critical components. In addition, telematics improvements throughout the industry enhance machine awareness to rental fleets with the ability to remotely track and monitor machine hours, geographical location and service alerts. These features are geared to keep the machine operating at the job site and out of the shop for maintenance and repairs.

Many of Bobcat’s latest mini excavators have seen performance enhancements in crucial areas for customers such as breakout forces for increased digging power, faster cycle times for productivity, enhanced controllability for fine movements and grading, and increased lifting performance over the front and over the side of the machine.

Another key improvement is increasing machine performance as mini excavators become more versatile and are expected to complete a wider array of tasks than in the past. Many of Bobcat’s latest mini excavators have seen performance enhancements in crucial areas for customers such as breakout forces for increased digging power, faster cycle times for productivity, enhanced controllability for fine movements and grading, and increased lifting performance over the front and over the side of the machine.

As the automotive industry continues to make great strides in technology and user comfort, customers have grown to expect similar features and comfort in their construction equipment. Areas where this can be seen throughout the industry are upgrades in the operator’s station and machine display. Bobcat’s new R2-Series mini excavators feature an optional high-back heated seat with headrest and a 7-inch touch display that offers Bluetooth audio, hands-free calling, enhanced service codes and multiple languages for ease of use, along with many other features that help keep the operator productive and comfortable.

Another area where the industry has seen an increase in demand from customers are improvements in lighting for nighttime operation and low-light situations. To meet this demand, Bobcat, along with several other OEMs, are now featuring LED lights as standard equipment.

The latest features and improvements on new models help maximize the owner’s return on investment, such as increased serviceability and lower operating costs with maintenance items such as fuel and engine oil filters. Additionally, new machines offer factory warranties that you can’t get with used equipment, however, the downside of new machines in the rental fleet could be higher base machine price vs. used equipment. The depreciation costs plus machine damage/abuse that comes with the nature of rentals must also be considered.

Solutions Marketing Manager, Site Development and Underground JUSTIN STEGER John Deere

Renters want reliable, easy-to-operate models
John Deere 26G to 60G compact excavator models now come standard with auxiliary hydraulic selector valves plumbed on the arm. This feature allows a machine equipped with a thumb the ability to run additional hydraulic attachments as needed without having to swap auxiliary hydraulic lines from the thumb to the attachment. The operator simply turns the valve to divert hydraulic flow to the attachment of their choice, which saves time. Making it easier to operate a wider range of hydraulic attachments makes the machine more versatile.

Bringing machines that are reliable and durable into a rental fleet is the upside with Deere compact excavators. Simple things such as easy operation and ground-level daily easy service access allow machines to go back on rent quickly.

The latest features and improvements on new models help maximize the owner’s return on investment, such as increased serviceability and lower operating costs with maintenance items such as fuel and engine oil filters.

There is a balance between customer return on investment and rental company return on investment. It’s important to offer machines in the fleet that meet the needs and expectations of the customer, which will create a demand for one machine or one rental company over the other. For example, when customers are seeing Deere compact excavators available with Engcon tilt-rotators on the 26G to 60G models, they’re excited and interested. The versatility and efficiency these systems provide a good value to their business by reducing the need for manual labor.

From a rental company perspective, ease of operation across several operators and skill levels is important. Operating these systems takes some practice. To find that balance, rental companies usually choose a reputable machine, that looks good and performs well from a manufacturer that offers the right size machine that they need in their fleet. From the 17G to the 60G, Deere compact excavators give rental companies their choice of machine to meet all those needs.

Vice President and General Manager CHRIS SAUCEDO LiuGong North America

Shorter rentals and attachments key to increased revenue
From a technology perspective, users are starting to see the telemetry and telematics that have been on full-sized machines for several years. This helps owners/operators manage their fleet better, reduce total cost of ownership through diagnostics and make sure that there’s no damage to the machines due to operator errors.

One of the biggest advances is alternative energy sources to power the units; electric units are coming into the compact excavator field. Electric variants are extremely quiet and are often used in applications inside buildings. In many ways, compact products are pacing some of the developmental changes that are going on elsewhere in the industry.

One way rental centers may be able to increase revenue by offering shorter rentals. Not many rental centers like to do that. Shorter rentals may drive up some costs, but it can increase revenue by taking, for example, a weekend rental.

One of the biggest changes that the rental centers need to contemplate is understanding that the mini excavators are tool carriers and have a multitude of attachments that can change their primary function. No longer are they simply there to dig. There are many different attachments that can be added, so one of the biggest areas is to understand their strategy to how work tools can be harmonized across the entire fleet.

That’s everything from the couplers that fit the tool to the machines to the way the hydraulics and electrics connect to the machines as well. So that’s a large consideration that’s made independent of whatever brand a rental center chooses to run in terms of construction equipment. Work tools selection and the serviceability and transportability factors of that. One of the reasons why mini excavators are so popular is because they can be pulled behind a half-ton or three-quarter ton pickup truck.”

Rental centers can increase demand and ROI with these units by thinking of compact excavators as tool carriers, not just digging machines. By taking a segmented approach to their marketplaces and understanding that certain tools such as breakers and compactors garner higher rental rates. At the end of the day, rental centers looking to maximize ROI will find that tailoring machine to an application generates more return or revenue on an asset than just a standard digging machine.

One way rental centers may be able to increase revenue by offering shorter rentals. Not many rental centers like to do that. Shorter rentals may drive up some costs, but it can increase revenue by taking, for example, a weekend rental. Utilization is a big key.

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This article originally appeared in the November-December 2021 issue of Pro Contractor Rentals magazine. ©2021 Urbain Communications LLC. All rights reserved.