FEELING PUMPED ABOUT THE UAE
CMME TALKS TO KCP AND GARGASH ABOUT THEIR NEW PARTNERSHIP IN THE MARKET
Sometimes timing really is everything. In less than a year, South Korean concrete pump specialist KCP has finally started to solidify its position in the UAE market through its partnership with Gargash Motors and General Trading. The partnership brings together the technological expertise of KCP and the strong support network that Gargash is known for.
Mahmoud Daras, the sales manager at Gargash explains to CMME that timing for both firms could not have been better.
“KCP in the past had the opportunity to introduce the product directly to customers in the UAE, without having a partner which led to some issues in the aftersales services. Especially through the COVID-19 time, these experiences made KCP decide that they required a strong partnership with a reliable local company to represent the KCP brand,” he says.
Gargash was also rebuilding its heavy equipment division for 2022 and needed a global and reliable brand to expand their own business. We met, each of other’s needs. This created a synergy effect, leading to an upgrade of a stronger partnership.”
Since being formed in 2002, KCP has quickly risen through the ranks of a crowded market often dominated by European and Chinese brands.
Now one of the best known pump-makers in its own right globally, KCP runs many branches directly in six countries (Austria, Canada, USA, Japan, Uzbekistan, China) and has partners over the 60 countries. It also continues to diversify and branch out: bringing what it has learned from pump technology into an array of other applications.
“KCP has started to manufacture a new line-up of specialized vehicle technology, and have successfully expanded into industrial vacuum trucks, rescue trucks and fire-fighting trucks,” says KCP’s Hussein Nawas.
“Although we entered the Middle East market a bit later than planned for, we are now ready to promote ourselves more agressively,” KCP and Gargash formally began their partnership at the close of 2022. Darras says that the firms have worked quickly to showcase the new line-up to the market.
“Following the partnership, at the end of 2022, Gargash ordered three KCP concrete pumps to the UAE, which arrived in March 2023 and included a launching ceremony where sales and aftersales training were conducted.
Customers were invited to see the demonstration of these machines and this was an excellent opportunity to inform our customers now that KCP has, after a long absence, returned to the market in a powerful partnership with Gargash group,” he says.
Following this initial launch, much of the remainder of 2023 will see Gargash and KCP focused on continuing to conduct regular customer visits and additional training where and when it is required. The message from both is that KCP is now ready to be a powerful addition to contractor fleets.
Daras adds that bringing KCP into the fold is part of an on-going rebuilding of Gargash’s heavy equipment division which started in 2022. “We met each other’s needs. This created a synergy effect, leading to an upgrade of a stronger partnership.”
South Korean manufacturing is at the forefront of so many industries globally.
CMME asks how Korean brands have managed to build such a strong reputation in a relatively short period of time.
“South Korean companies have succeeded at the forefront of innovation and technology in many fields,” says John Lee, director of sales marketing at KCP. “We are investing a huge sum of money in research and development, leading to creation of cutting-edge products and services. Korean brands are well known for their commitment to producing high-quality products that meet international standards. This mentality of quality and reliability has helped them to gain trust and loyalty from consumers all around the world.”
“And currently the global popularity of Korean pop culture (i.e. K-Pop), Korean dramas (K-Dramas) and Korean entertainment has also contributed to the growing awareness and popularity of Korean brands around the world. All these factors, combined with a focus on customer satisfaction and continuous improvement have helped Korean brands establish a strong reputation and become competitive in various industries on the global stage.”
Focusing on KCP, Lee is unwavering in his belief of the source of its own success over the past two decades.
“The philosophy of KCP manufacturing is that simple is the best. Therefore, we aim to provide our customers with the most streamlined hydraulic and electrical systems possible. As a result, it has a reputation for being easy and most user-friendly concrete pumps for operators to use. Trouble shooting is also quick and easy,” he says.
“This simplicity combined with strong steel makes KCP machines tough and reliable, which allow the machines to run smoothly even in harsh environments.”
Turning their attention to the local market, the teams believe that the concrete pumps from KCP will have many opportunities to prove their worth on site.
“From what KCP can see, the UAE construction outlook is only positive,” says Nawaz. “The UAE government’s ‘We the UAE 2031’ vision aims to double the country’s GDP by 2031, and this will require significant investment in infrastructure, renewable energy and other sectors. The tourism sector is also expected to continue to grow in the future and this will create demand for new hotels, resorts and other tourism-related infrastructure.
“We consider that the UAE market is expected to and will grow at a healthy pace in the coming years.”
He adds: “The UAE market has been undergoing significant changes in recent years. The country has been diversifying its economy, moving away from reliance on oil and gas, and investing heavily in various sectors such as technology, tourism, renewable energy, and infrastructure. Their economic diversification efforts have opened up new opportunities for businesses across different industries. KCP find potential opportunities in the UAE market with Gargash.”
He continues: “The construction industry has been thriving due to various development projects, including the construction of mega infrastructures, real estate ventures, and urban development initiatives.”
Daras adds that as the UAE market evolves and diversifies, Gargash has adapted its offering to meet the changing needs and preferences of customers. “Gargash has expanded its product range and incorporated new technologies to align with the demands of the emerging market trends,” he notes.
KCPs main clients are ready-mix companies. With ready mix companies supplying concrete to all construction sites, KCP and Gargash are working side by side with all the main players across UAE to offer the right solutions to their projects and requirements”, he says. “We are also following the latest news and updates on major projects with government sectors and developers in the construction industry.”
With KCP, a leading concrete pump manufacturer, and Gargash, a well-known local supplier of the world’s leading brands, the companies are focused on ensuring that professional support is available for contractors and customers whatever field they are operating.
According to Daras, one of their strengths is the provision of technical knowledge even before a pump is mobilized on site. “We possess extensive knowledge about the various types of machinery and equipment. We explain about detailed specifications, operation methods and other requirements for all our products, which help customers to optimize their operation,” he says.
“To find the most suitable concrete pumps based on customer needs and budget, Gargash team engage in individual consultations. They take into account customer’s intended use, work environment, and budget to recommend the most appropriate equipment,” he says.
Gargash’s facilities in the Al Quoz industrial district of Dubai is also proving to be a useful staging post, as well as a location to demonstrate the equipment in action.
“We assist customers in observing and test the products of interest at the yard. By watching the equipment performance and operation first hand, customers can gain confidence and make informed purchasing decisions. Also, we utilize the pumps supplied to our customers as a reference in the market,” says Daras.
“On-site and out in the field, contractors can rely on emergency services and maintenance support wherever they need it. We provide quick response to customers calls when it comes to maintenance support to ensure customer’s heavy equipment operate smoothly. Swift and reliable service builds trust with customers and fosters long-term collaborations,” says Daras, adding that they are also providing education programs on machinery operation, including training and safety courses.”
With the machinery scene being highly competitive in the UAE, KCP and Gargash are determined to ensure they are working together to offer something compelling and different for end-users.
It helps that both are able to draw on the engineering excellence of another famous brand.
“The majority of concrete pumps in the market are mounted on Mercedes Benz trucks. Gargash combines the dealerships of both KCP and Mercedes-Benz, which provide the perfect service environment for both the truck and the pump,” he tells CMME.
“Comprehensive service contracts and extended warranties give contractors and customers confidence in our products,” says Daras.
Gargash also offers various sales channels such as leasing and financing, to help buyers secure the necessary funding for purchasing concrete pumps. The start of the KCP and Gargash partnership coincides with UAE hosting of the COP28 summit.
“ESG (environmental, social, and governance) and sustainability is a hot topic all over the world and all manufacturers are making a lot of effort to create equipment that is lightweight and fuel-efficient to reduce carbon emissions.
“Additionally, there is now a manufacture and development phase for an electric type concrete pump.
“Additionally, KCP’s own technology, 3D-printed concrete casting, is in the research phase. We believe this technology will eventually help the UAE achieve its environmental goals,” he says.
R&D a KCP remains focused on three areas to stay competitive: simplicity, lightweight materials and stability. We understand the importance of providing you with equipment that makes you money.
As we all know, time is money, especially when it comes to concrete,” says Mahmoud Daras. “When you combine our simple hydraulic and electrical systems with a team that is dedicated to keeping you up and running, you can count on less downtime than ever before.”
“Secondly, the new generation of concrete pumps has an extended reach – and is 5 to10% lighter than most of our competitors’ products.
“After we reduced the weight, the users benefited with better fuel efficiency and less downtime on the job. As an appointed My Inner Strenx member, the certified concrete pump indicates that our system has passed strict quality inspections and is approved by SSAB AB in terms of welding, design and manufacturing process.
“Lastly, KCP solidified the design through structural analysis programs and increased durability of the equipment is proven by using materials such as SSAB, REXROTH, HAWE and HBC, and others.”
With interview coming to a close, Gargash’s Daras is ultimately confident that the partners will strive to deliver for their customers. “Gargash will always offer the best services to satisfy customers in UAE in close collaboration with KCP.”