Mahindra Tractors Choices and West Coast Pricing

[69runner]

Hello All:

I'm new to the site but have been reading for sometime now. I'm trying learn as much as possible about tractors so I can make an informed purchase. Like a lot of the folks here, I've never owned a tractor so the site has been invaluable as you all know. I have 2 acres mostly flat that I currently mow with a 14-year old Cub Cadet 1863. It has done a good job but is getting long in the tooth and is also slow. One acre is irrigated grass and the second is non-irrigated pasture grass. Besides mowing, I want to do some landscaping to level some of the less flat areas, move some large rocks 700 to 1000 lbs to build some water features, dig a shallow pond maybe 30' by 3', maintain a 200' gravel driveway, and move snow in the winter. I may irrigate the second acre as well for future gardens. There is a lot of rock under the surface in many areas of the property.

I'm researching all the brands/colors and it looks like the Mahindra Max 28 or 3016 will fit the bill giving the best FEL specs in those size units. To be sure I buy enough tractor, I thinking the 3016 HST with the ML115 FEL, mid PTO, Woods 6' box scrapper, Woods 6' blade, Woods 6' finish mower, and the 3715 backhoe. Any input on that setup is appreciated.

Now, for the second part of my post, when I see prices that folks are being quoted or paying for similar setups in the south and northeast parts of the country, it raises the question of why are west coast prices so much higher? I've talked to several dealers of all brands and everyone has a different take on why the differences but somehow I can't make sense of it. It would seem in to day's "global market" given the tractors are made all over the world and assembled or configured in various factories, pricing would be more consistent across the US. Does it just come down to more population and more dealers in those areas makes for more competition? Is it that simple? Some dealers say yes, some say there are other factors. And on top of that, I'm lucky enough to live in a state where the sales tax is over 8%, LOL!

I've had the pleasure to learn from a great local Mahindra dealer, one a few hundred miles away, and Dave, who posts here all the time. They have taught me a lot and have been very patient while I'm learning. I know that "service and knowledge" is worth a lot, but I guess I'm part Scottish since it "appears" consumers on the west coast are paying thousands more for similar packages and that bothers me.

I'll quit whining now and any input on the setup would be great.

Thanks,

 

[DavesTractor]

I think if you get an apples to apples comparison you will find that the prices do not vary that much, at least not thousands of dollars. Hundreds of dollars no doubt, but it should not be thousands. When I say apples to apples, the first thing is obviously to look at the exact same tractor package. The second is to make sure you are buying it the same way, meaning cash, standard rate, low rate, or 0%. That is your baseline to ensure consistency.

Pricing will vary by location for a few reasons. Freight is expensive, so dealers that are hundreds of miles from a distribution point have no choice but to pass on that expense. Keep in mind that buying from a distant dealer that has cheaper inbound freight will do you no good as you then have to bear the cost of getting the tractor to your location. That is a wash at best.

Some states are just downright expensive in which to run a business. We run a business in California, so we have high property values, high taxes, stiff regulations, higher employee wages, etc. Texas, Georgia, Nevada etc will be less as they are business friendly. We all have to make money to stay in business. I'd suggest that New England and California dealers are a little higher for these reasons.

Margins. Dealers have different thoughts on what profit they need to make based on volume and included services.

Keep in mind that a lot of the prices people post in this forum are the guys that got killer deals, not the nomral deals. Occasionally a dealer will have credit line issues with tractors coming due and will actually dump a tractor at cost, and I have even seen some below cost pricing. Dealers just going into business sometimes are low since they haven't yet figured out that it costs a bunch to run a business. Dealers going out of business are often real low because they are just bailing out. Established dealers with real parts and service departments and a decent amount of inventory should have similar pricing. And keep in mind that sales have been fantastic and we are really low on some models, so a great price from a dealer that doesn't have or can't get the product is meaningless.

Finally there are occasionally scratch and dent sales or aged tractor sales on outgoing models. Those are often great deals.

I hope this helps to remove some of the mystery out of pricing.

 

[kneedeep]

[QUOTE

I'll quit whining now and any input on the setup would be great.

Thanks,[/QUOTE]

Now you know!

 

[69runner]

Thanks for the insight Dave. As usual, you are a world of information. I believe I do understand most of the variables that you outline. Business is complex and depending on any given situation, retail (and sometimes wholesale) prices are different. I'll stop boring everyonenow but I would like to continue the discussion if you have some time off-line as I think a lot of the "mystery" could be removed if the tractor companies would take a different approach in how they limit their dealers advertising. I've seen this same (advertising) model in other industries and eventually, it will change. The manufacturers will learn they can control pricing and protect their brand at the same time.

So now back to the proposed set-up...

Guys: any help would be great? Will a MAX 28 work and save me a few dollars? or is the 3016 the way to go?

Thanks again...