Machine sales vs. service: What is important when

Which digital tools or processes have you recently implemented to make services more profitable and customer-oriented?

Donatus Weber: We have been operating our IoT platform since 2016 - it forms the technological and organizational basis for all digital services within the Jagenberg Group. We build on this with topics such as data analytics and artificial intelligence to better understand and specifically optimize our customers' production processes.

Our focus is not on technology, but on understanding the customer's situation: How does the customer operate their value creation? Which process steps determine their economic success? Only when we understand this can we deliver real, quantifiable added value with digital services - for example, through higher OEE, less waste, or more production security.

This way, digitalization becomes a tool that is not an end in itself, but creates concrete, measurable customer benefits.

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How do you assess the importance of service compared to traditional machine sales - and what changes in customer behavior are driving this shift?

Weber: Service is gaining massive importance, but it does not replace machine sales - it complements and expands them with digital performance promises. Customers today no longer expect just a machine, but a solution that keeps their processes permanently stable, efficient, and economical.

At the same time, one should remain realistic when discussing business models like equipment-as-a-service. This model can be sensible in certain industries or applications, but it will not be relevant for all capital goods. Financial, tax, or operational reasons often argue for keeping machine assets in one's own inventory.

Therefore, it is crucial to choose the right model for the respective market - whether it's traditional machine sales with digital added value, pay-per-use, or a full-service offering. What is important is that the offer pays off in a total cost of ownership consideration and brings real benefits to the customer.

In the B2B environment, one thing remains central: trust. Especially with data-based services, this only works if the customer and provider act in partnership and the benefit is transparent.

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What can cause machine builders to fail when establishing service business models?

Weber: Many initiatives fail because digital services are not conceived from the customer's perspective. The starting point must always be: how does my customer work - and what measurable added value can I offer them? Without a clear, economically verifiable benefit, no sustainable service business can be established.

A second critical point is the scalability of software and services. In the industrial environment, it is better to parameterize than to develop anew. Individual customer solutions sound attractive, but they are hardly economically viable and block valuable development resources.

And finally, balance is needed: standardization at the core to ensure efficiency, combined with targeted adaptability for different customer groups and markets. Those who master this can scale services economically - while remaining close to the customer.