Buying Advice Bobcat Track loader No MSRP/negotiation ?

   / Bobcat Track loader No MSRP/negotiation ? #31  
Not so.. My husband and I do not live in an exclusive county and our nearest dealer was priced $7000 higher than the one we bought from a neighboring state. It is brand new, less than 3 hours on it. Even the local dealer was impressed! He is happy stating that we bought a bobcat because he knows he will be getting all of our service business as well as selling us parts or various attachments we need. You have every right to check around... get the most for your money!

Now that all the details are known, I'm sure your local dealer was burning up when he told you how happy he was for you.
 
   / Bobcat Track loader No MSRP/negotiation ? #32  
...Your local dealer didn't make a dime, and I'm sure you just expect him to service it with a big fat smile on his face the next time you drive into his yard with it on your trailer. I would be ashamed to step back on that local dealers lot if I stuck it to him like that.

Drama, much?
 
   / Bobcat Track loader No MSRP/negotiation ? #33  
Yeah Digdeep, everybody knows that you dealers have to climb over all of the money you are making to get in the doors everyday. How could you not be getting rich, considering there are 20 brands with inferior products claiming to be as good as or better than the big names while flooding the market so you might be able to make 7% and still be able to compete. :laughing:

Brian
 
   / Bobcat Track loader No MSRP/negotiation ? #34  
Yeah Digdeep, everybody knows that you dealers have to climb over all of the money you are making to get in the doors everyday. How could you not be getting rich, considering there are 20 brands with inferior products claiming to be as good as or better than the big names while flooding the market so you might be able to make 7% and still be able to compete. :laughing:

Brian

So very true. It was hard to decide which one of my 6 Lamborghini Gallardos I wanted to drive for each day of the week I worked!
 
   / Bobcat Track loader No MSRP/negotiation ? #35  
Drama, much?

No drama at all. these were the previous comments that prompted my statement on behalf of the local dealer-

"But, If there was another Bobcat dealer, you'd be a fool not to check with them. That's when you discover who is willing to deal and who is leaning you over the counter! Do you just walk in the store and say... I'll take 10 of those, without even looking at the price... I think not.... sooner or later the salesman is going to realize how trusting you are of your 'precious relationship' and he's going to start sticking it to you."

Most people understand that dealers need to make a living as well. They employ people with families that live in the same communities that the customers do, so "leaning you over the counter" is very counter productive, as is "sticking it to you" because he's gained your trust and built a relationship with you. However, if the dealer dows not make enough margin he goes out of business, or has to lay off dealer employees.

I don't care where anyone stands on this issue, but nobody that runs a business can tell me that making $1000 (1.3%) on almost $100k worth of equipment that you will have to support is good business or fair to the dealer. JMHO
 
   / Bobcat Track loader No MSRP/negotiation ? #36  
No drama at all. these were the previous comments that prompted my statement on behalf of the local dealer-

"But, If there was another Bobcat dealer, you'd be a fool not to check with them. That's when you discover who is willing to deal and who is leaning you over the counter! Do you just walk in the store and say... I'll take 10 of those, without even looking at the price... I think not.... sooner or later the salesman is going to realize how trusting you are of your 'precious relationship' and he's going to start sticking it to you."

Most people understand that dealers need to make a living as well. They employ people with families that live in the same communities that the customers do, so "leaning you over the counter" is very counter productive, as is "sticking it to you" because he's gained your trust and built a relationship with you. However, if the dealer dows not make enough margin he goes out of business, or has to lay off dealer employees.

I don't care where anyone stands on this issue, but nobody that runs a business can tell me that making $1000 (1.3%) on almost $100k worth of equipment that you will have to support is good business or fair to the dealer. JMHO

If the buyer pays too much for the equipment then maybe they can't make the payment on the note, or they can't compete on a bid against another contractor who isn't being home-runed by his equipment supplier. Then the buyer goes out of business or lays off employees. And the machine is sold off and no longer sits in your service territory.
 
   / Bobcat Track loader No MSRP/negotiation ? #37  
If the buyer pays too much for the equipment then maybe they can't make the payment on the note, or they can't compete on a bid against another contractor who isn't being home-runed by his equipment supplier. Then the buyer goes out of business or lays off employees. And the machine is sold off and no longer sits in your service territory.

What would you do if you quoted a local job for a $20k retaining wall and the customer told you that he could get a landscaper just over the state line to do it for what would amount to a 1.3% margin on your quote? A dealer needs to make at least 7-10% gross on machine sales if he is expected to support the machine. 1.3% does not cut it unless you never have to work on it. 7-10% of that fictional $20k quote listed above would be $1400-2000. Would you do a retaining wall for a 7-10% gross margin?
 
   / Bobcat Track loader No MSRP/negotiation ? #38  
What would you do if you quoted a local job for a $20k retaining wall and the customer told you that he could get a landscaper just over the state line to do it for what would amount to a 1.3% margin on your quote? A dealer needs to make at least 7-10% gross on machine sales if he is expected to support the machine. 1.3% does not cut it unless you never have to work on it. 7-10% of that fictional $20k quote listed above would be $1400-2000. Would you do a retaining wall for a 7-10% gross margin?

Retaining walls, once complete, don't have a revenue stream. Unlike equipment sales/service.

I'm reading that you're expecting this equipment to come back frequently for no-charge service. Why is that?


I don't make my living playing in the dirt (unfortunately), but I do get dirty as often as possible. But I am a business consultant on the finance side. I understand price, rate and scope pressure. I've been struggling with the same issues for my own business for almost 30 months now. In this climate, I take the work I can get. Stay busy, get by, and wait for better days.
$0.02
 
   / Bobcat Track loader No MSRP/negotiation ? #39  
I'm reading that you're expecting this equipment to come back frequently for no-charge service. Why is that?

Nobody wants a machine to go down. Unfortunately, these machines engage the dirt in excavation, in dusty/muddy conditions, are used as battering rams, get put together by humans, and generally live a rough life (not counting the weekend warrior machines).

That being said, they do break (all brands). Dealers strive to keep customers running, and sometimes this involves loaner machines while their machines are being fixed, reduced rental rates, reduced shop rates, and miscellaneous other actions that fall outside of standard warranty coverage. It's all in keeping with building and maintaining relationships.

Contrary to popular belief, most of the dealers I've either worked for, managed stores for, or know, don't try to "stick it to" the customer. They are small town dealers (Bobcat especially) and good people that sell products to people who know and trust them.
 
   / Bobcat Track loader No MSRP/negotiation ? #40  
As I am a prime example of someone wanting to buy a excavator, I was just complaining that I wanted to see an asking price before I began negotiations....Personally I find it difficult to even meet the dealer if there is no price.....I went through the process of trying to choose and equip a Bobcat, only to not get a starting price....I don`t think that is inductive to build a relationship...

I agree that a dealer has the right to do as he or she wishes, and further if a person were to get a price, that that price is solely up to the dealer to give....If the dealer chooses to not negotiate then they may not get the business at all....

I find after I purchase a piece of equipment---no matter which manufacturer--I have to pay for the service I choose to have, and in my case I choose to have a lot of service, and implement purchases.....I congratulate the people who shop around and get a competitive price...I know I am doing just that.....Tony
 
 
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