NewEngland Co-op??

[spencer200]

New Holland offers a discount for purchases of 2 plus tractors and implements generally an extra 2% on 2-4 and 5% on 5 or more with 10% on implements. All tractors would have to be sold to one customer and delivered to one.

 

[cowboydoc]

What is the $1000 profit based on? Which tractor, mfg. etc. Is it MSRP or what?

 

[HayDR]

The Volume bonus runs from 3%-8% depending on the MFG and volume level. Many tractors are sold at invoice to $1000 over but this does not include curtailment payments or interest paid on the tractor. The key is to never have to pay a curtailment, put it in a customer's hands even below invoice and the volume will make some profit in the end.

 

[spencer200]

Well I can state for fact since I am a New Holland dealer there is no volume bonus on New Holland compact tractors there volume bonus on compact tractors was done away with more than 12 years ago. They do have monthly programs that give a certain percentage off the tractors every month ranging from 1% to the best I have every seen is 21% but this is on the high end and usually on discontinued models. The only volume New Holland now offers is on implements and haying equipment also some larger tractors are included in there volume program.

 

[hayden]

Although I like your idea (I've over paid in NH myself), your last post answered the question "why are prices higher in NH". It's because the dealers can sell them as fast as they come in. If you don't buy it at list, the next person will. It's basic supply and demand.

 

[Hambone]

Auto dealers, and auto dealer mechanics, do not make as much money doing warranty work versus non warranty work.
Dealers charge by the flat rate book. The mechanic gets paid this way also. If the book says it takes 4 hours to do repair, you take 6 hours to do, you still get paid 4 hours.
With warranty work, say said repair pays 4 hours, warranty will pay something like 2.6 hours. Dealer mechanics do not like doing waranty work.

 

[pekabu]

Not entirely true. There are some jobs that warranty work will pay well. Few and far between though. They make up for it by doing creative billing. Like my expedition. Ford didn't pay squat to change the torque converter (Big issue, ridiculous rate on a big job), so they put in for a tranny rebuild. Pays more. Unsure if it really was rebuilt or not.

 

[Hambone]

Yes you are right. There are ways to beat warranty pay scale. A lot depends on how much the service manager will bend the rules/paper trail.
I have not worked in a dealership for a while, things change.

Some guys can make a lot of money on flat rate. Cut some corners ect.. Still get that 4 hour pay even if it takes you 2.

 

[Wolfman]

Hi Mark,

I am having a different experience with MB tractor than what you have described. They appear to be over $3000 higher than what everyone else seems to be paying on TBN. I can understand $1000 extra profit, but $3000 extra profit seems a little steep.

I am looking at a TC40D and on TBN the average base price with loader is around $20,500. At MB they are quoting me $23,500 (the difference gets worse as I add options to the tractor).

I was just curious who you were dealing with, and what kind of deal you were able to make with them that allowed you to feel like you were getting a fair deal.

I would love to do business locally, but I also want to feel like I am getting a fair deal. My wife works as a controller for a commercial truck dealership where the average price is over $100,000 - and they only get about 4% on a sale. I believe that the two businesses are probably very similar in many aspects - and I would bet that the tractor dealerships sell more than four $25,000 tractors to every truck sold. These tractor dealerships should behave similarly and charge the same price that the rest of the country gets.

 

[Mark_in_NH]

Wolfman,
The salesman I dealt with is David Kendall.
I also agree that the prices that I have seen quoted here are at times quite a bit lower then I paid, BUT, you also have to take in consideration the varying geographic location that some of these prices are coming from.
Your quoted price of 23,500 is $300 more then I paid for the TC35D with loader and ALL other extras.
The only tool that I used was to get all my prices for tractor w/ loader and the extras seperatly priced from several dealers NH / ME. I then went back to MB with these prices and they either matched the lowest ones or at the least they met me somewhere in the middle at a $$ were we both were happy.
Good luck with your shopping, let us all know how you make out.