Price variation dealer to dealer... What gives!?

[arsenix2001]

So i recently priced a snowblower at my local dealer and got my "discounted" price of 4650 plus tax. Called another dealer in PA abot 75 miles away and got said exact blower for 3500, no tax. Now tax aside thats still $1,150 bucks difference. I also had a va dealer say he couldnt even touch a 4000 quote id gotten somewhere else. I can understand a 2,3 even $400 price difference for different areas overhead but 1150!! I felt taken advantage of, especially since ive spent almost 200k with them over 10 years. It makes me wonder how bad I got ripped before, because for the first few purchases i never really price shopped. If it werent for a ky dealers quote i would have paid 3500 more for my L3540 than I did too. Oh well caveat emptor I guess. One things for sure, they have lost my attachment business.

 

[Ford tractor]

Sorry, but you must be seen as a "premium" customer. ie one that gives THEM a profit premium.

Switch dealers.

 

[arsenix2001]

Sorry, but you must be seen as a "premium" customer. ie one that gives THEM a profit premium.

Switch dealers.

No doubt about that

 

[Uncle Wayne]

Yeah that sucks big time. It will leave a bad taste in your mouth for a long time.

 

[RickB]

It's not rocket science.
Discounts and incentives from manufacturer to dealer vary, mostly on dealer volume and cash availability.
Dealer profit margins vary based on business model.

That makes prices to the end user vary, sometimes significantly.

 

[arsenix2001]

Yeah still tough to comprehend a 25% difference in margin on the same item. It is what it is I guess... My local dealer is pretty big and does significant volume too, not like its mom and pop and they sell 5 implements a month. I guess they figure theres a sucker born every day.

 

[Villengineer]

RickB is correct, I've seen dealer costs on equipment vary 10-15% or even more and is dependent on many factors. So it doesn't necessarily mean that your local dealer is trying to stick it to you. Additionally the guy in PA may have too many in stock or is in $ trouble and is simply getting it out of his inventory. I guess what I'm saying is, unless this is the "final straw" with your local guy, don't write him off over the price of a single attachment.

 

[arsenix2001]

RickB is correct, I've seen dealer costs on equipment vary 10-15% or even more and is dependent on many factors. So it doesn't necessarily mean that your local dealer is trying to stick it to you. Additionally the guy in PA may have too many in stock or is in $ trouble and is simply getting it out of his inventory. I guess what I'm saying is, unless this is the "final straw" with your local guy, don't write him off over the price of a single attachment.

The thing is, now that I have been shopping... Im finding out they are ALWAYS high on everything. And the pa dealer is ordering a new unit, so stock isnt the case. I havent or wont write them off, they have at least treated me well in the past and i continue to do parts business there, thats why im not throwing out any names, but you can bet I will be price checking any future purchases. Its almost boiling down to me wondering more "how is the pa dealer makinh a profit?". I saw the woods book at my dealer, his price was list less 10%. Using those numbers i figured this other dealer was almost at list less 30%. Small margin, big movement maybe? Or maybe he was just happy to sell a blower in august when its 100 degrees outside :laughing:

 

[bigbull338]

theres always dealers that that over price their tractors an equipment.an i tell them they are over priced.thats when you find a new dealer to buy from.the other day for fun i priced a NH 5050 cab tractor 4x4 for $38500 w/o loader.an i told the dealer i could get a kub 8540 ROPS 4x4 w/fel for $35000 or a tad more.

 

[Spudland_Dave]

Shipping also factors in...More then you might think. This spring I was "window shopping" for a land plane...Luckily I've got some really good & honest dealers...I really dont remember the numbers off hand, but it was a good 250.00 cheaper to wait until they were putting in a "Corporate order"...which equates to a complete truckload of stuff from Woods. They said, I can have one here in a week for XX price, and if time isnt important, It will be this price.