It Started With a Phone Call
Back in Q1 2024, our ops director called me into his office. “We need two new excavators this year – one for the downtown site, one for the quarry. Start the sourcing process.” I’d been managing procurement for a mid-sized construction firm (about 120 people) for six years, so I knew the drill. But this time, the budget was bigger: $450,000 per machine, give or take. And with that, every dollar mattered.
Our fleet was mostly Hitachi – we’d run six ZX series models over the past decade, and they held up well resale-wise. So naturally I went straight to Hitachi’s lineup. The 870 hitachi excavator caught my eye: 87-ton class, 516 hp, decent fuel efficiency. But then I saw the spec sheet for the largest hitachi excavator – the EX8000-6, a 780-ton behemoth used mostly in mining. I laughed it off (we don’t need that), but my boss asked, “What about the 890? We might grow into it.”
The Compare & Contrast Phase
The decision boiled down to two options: Option A: Hitachi 870 (standard configuration, local dealer support). Option B: a slightly larger pre-owned competitor (not naming names) with 10% more bucket capacity but no local parts network.
I went back and forth for three weeks. The 870 quoted at $432,000 with a comprehensive warranty. The competitor offered $389,000 – a $43,000 difference. But then I started digging into total cost of ownership (i.e., not just the purchase price). Spare parts, downtime risk, operator training, and – this was the surprise – training costs.
Our company runs forty forklifts across four sites. OSHA mandates that every forklift operator must be certified and recertified every three years (source: osha.gov, 29 CFR 1910.178). When I calculated the cost of renting alternative machines during downtime, lost productivity, and the need for on-site trainers, the “cheaper” competitor suddenly looked expensive. The local Hitachi dealer offered a bundled training package – not just for the excavator, but also a how to operate a forklift refresher course for our warehouse crew. That was unexpected.
(As of May 2024, prices verified with two major dealers; always confirm current rates.)
The Decision and the Hidden Lesson
I chose the Hitachi 870. In the end, the TCO calculation proved that the $432K machine would save us roughly $18,000 over five years compared to the competitor, once I factored in parts availability and training benefits.
But the real lesson? Customer education matters. I’d never thought about linking excavator procurement to forklift training, but the dealer’s honest offer flipped my perspective. An informed customer asks better questions – like “What happens when my operator needs recertification? Who pays for that?” – and makes faster decisions.
Part of me still feels a twinge of doubt: maybe I overpaid for the brand. But then again, when you factor in the hidden costs of a bare-bones deal – like unexpected shipping fees, rush surcharges, and quality rework – the “good enough” option can bite you. I have mixed feelings about brand premiums, but I’ve seen too many $1,200 redo jobs caused by poor parts support.
What I’d Do Differently
If I could go back, I’d start with a full cost checklist earlier. Here’s what I wish I’d written down from day one:
- Purchase price vs. total cost (include shipping, taxes, setup fees)
- Warranty length and terms (what’s excluded?)
- Parts availability in your region (ask for fill rate statistics)
- Operator training cost – both initial and recurrent
- Equipment downtime projections (ask the dealer for failure rates)
And one more thing: when comparing brands, don’t just look at spec sheets. Talk to the local dealer’s service manager. I spent a morning at the Hitachi facility – they showed me their rebuild shop and how quickly they could turn around a final drive. That kind of transparency is way more valuable than a discount.
So bottom line: if you’re in the market for an excavator – or any piece of heavy equipment – don’t let the first price tag fool you. The largest hitachi excavator (EX8000) might be overkill for your job, but the 870 is a solid compromise if you account for the full cost picture. And don’t forget: that forklift training program you’ve been putting off? It could save you a ton of money in the long run.
Prices as of June 2024; verify current rates with your local dealer.