most expected to be invested in during 2013.
• A total of 65 percent of respondents from construction equipment and materials suppliers consider the need to ‘focus sales efforts on generating new business’ as a marketing
activity they plan to adopt.
So how do distributors of construction industry equipment move forward in the absence of
data, in an uncertain time? It appears these businesses can at least take small comfort in the
fact that, according to Reuters, the biggest gains in spending in the most recent Commerce
Department report came from the business sector as firms increased outlays on projects
for offices, commercial buildings, and factories. To boot, what held back an already bright
report in July was a drop in spending by state and local governments — and that federal
construction spending, though it increased, only accounts for a small fraction of total public
sector construction outlays. With that in mind, perhaps the shutdown will result in a smaller impact than the construction industry fears. The unfortunate aspect is that the industry
appeared to be moving past the era of wait-and-see before being hamstrung like the rest of
the economy by the issues at the federal level. Still, seeing levels not previously seen since
before the crash means the construction industry has something strong to hang its hat on.