Ritchie Bros. is the world's largest industrial auctioneer and a global leader in used equipment sales. Through our sales channels, namely Ritchie Bros. Auctioneers and EquipmentOne, the company sold more than $4.2 million of industrial equipment in 2014. Our services cater to the needs of equipment sellers and buyers, primarily in the construction, transportation, agricultural sectors; however, our services are also widely valued by those in the material handling, energy, mining, forestry, marine, real estate and other sectors. With 44 permanent auction sites worldwide, sales and operations in 17 countries, and a consumer facing website in 22 languages, Ritchie Bros. provides a truly global market for industrial equipment.
Ritchie Bros. Auctioneers
All auctions held by Ritchie Bros. Auctioneers are unreserved, meaning there is no reserve prices for assets sold at the auction. Each item sells to the highest bidder, regardless of the price. As a result, our auctions provide equipment sellers and buyers with true global market values and efficient liquidity (much like a stock market). Our auctions are differentiated by the size of our bidding audience (our industrial auctions attract the largest audiences in the world) and our physical auction sites, which provide potential bidders with the opportunity to test and inspect equipment before the assets are presented at auction.
As a market leader, and the pioneering equipment auctioneer, Ritchie Bros. has innovated the way equipment owners sell their assets. Since 1950, we have provided market leading technology, marketing, and operational excellence to deliver our customers value. All of our auctions are broadcast live on the internet, to allow bidders the opportunity to either bid live at the auction site, or live online. More than half of our registered bidders participate in the auction online, however most take advantage of our physical auction yards to test and inspect the equipment they are interested in prior to the auction. Inspecting the machinery ahead of time provides our bidding audience with the confidence to bid at fair market pricing -- as they know first-hand the quality and condition of the machinery. As equipment assets are often high-value items, most equipment owners prefer to test the equipment they are considering, rather than relying purely on written descriptions.
Of the $4.2 billion of assets sold by Ritchie Bros. in 2014, $4.1 billion was sold through Ritchie Bros. Auctioneers. Ritchie Bros. generates revenue through its unreserved auctions from sales commissions from equipment sellers, the performance of underwritten sales transactions, buyers fees, and fees from complementary services (such as equipment refurbishment).
An online marketplace, EquipmentOne provides equipment sellers with the ability to list and transact their equipment online, with use of reserve prices. Through this sales channel, equipment owners are able to post their equipment for sale; have the option of posted a minimum price; and have the ability to decide if they want to transact at the prices offered. Compared to Ritchie Bros. unreserved auctions, EquipmentOne provides equipment sellers with more control over the sales process, price and time.
EquipmentOne was officially launched in 2013, and was built open the technology and marketplace gained through Ritchie Bros.' acquisition of AssetNation in 2012. Unlike pure listing services, EquipmentOne provides a safe and easy end-to-end sales solution for equipment sellers and buyers, with the use of an escrowed transaction process.
During 2014, Equipment transacted more than $100 million of equipment and transportation assets. Revenue for EquipmentOne is generated through buyer and seller transaction fees, as well as seller listing fees.