OP
wdchyd
Elite Member
Sad......
R N Johnson, Walpole, NH Losing John Deere
- Thread starter wdchyd
- Start date
BuilderML
Gold Member
It would of been nice if they picked up the Yanmar line and stuck it up the you know what of JD. Just goes to show that after over 80 years you are just another number in the JD world. Now i am really glad i didn't buy green and never will. Nothing against the owners just against the corp.
vtsnowedin
Elite Member
The fact that they tried to pick up another brand and failed tells me their finances were not solid. There is probably more to the story here then meets the eye.
VTtractorguy
Silver Member
Yes, Yanmar was the first site I visited to check out alternatives. It looks like they have decent equipment. I assume Yanmar is fully made and assembled in Japan? The only problem for me is; the dealers are too far away from where I am - Quechee, VT. It looks like Kubota may be the next visit. The BX2670 looks like the direct competitor of the 1026R.
VTtractorguy
Silver Member
Yes, I thought of that too. But they were a fairly large dealer with lots of equipment and always busy when I ever went there. But that probably doesn't mean much. But I am surprised they didn't make it after 84 years of being in business and weathering all the economic ups and downs (including the great depression).
I did a dealer search on JDs website yesterday down in that area. RN has been taken off the dealer search engine. If one lives in that area, I believe they have to travel quite a distance to buy/service JD equipment. I don't know how that helps JD.
vtsnowedin
Elite Member
How long you have been in business does not help you make a profit this quarter. I expect the average showroom time on tractors at Walpole was too long and JD was losing money as they sat there in the line.
sixdogs
Super Star Member
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I don't like it either but it's almost certainly strictly business. JD is doing what modern management evolution dictates by lowering costs with economics of scale and strengthening pricing power by reducing competition and it's what is vogue right now. The company is owned by it's shareholders. That's the way it is and JD figues the few customers lost will more than make up for other gains. Face it, JD has been around for a long time while many others have failed and good management is how it's done.
Maybe there was a way for RN Johnson to stay in biz and who knows, JD may have tried. Beats me and I'm sad to see them go. Seems like JD could have benefitted from one of the oldest dealers in the country to stick around. Or at least not appeared so unceremonious about it.
The fact that the dealer chose to close may be a realization that there is not sufficient sales or repair biz around. They apparently needed to borrow to operate so a banker had to look at the biz plan to see if it worked enough to repay the loans. Probably the business is there but not to the degree needed. Maybe management is weak. NH is a hard scrabble state of glacial till, granite (it's the Granite State) shallow topsoil and small fields. It's a hobby farmer state and even the dairy business is in trouble.
You know, an aggressive newcomer could buy the location, tools, etc and maybe make a go of it right there. I understand the whole shootin' match is up for sale.
Maybe there was a way for RN Johnson to stay in biz and who knows, JD may have tried. Beats me and I'm sad to see them go. Seems like JD could have benefitted from one of the oldest dealers in the country to stick around. Or at least not appeared so unceremonious about it.
The fact that the dealer chose to close may be a realization that there is not sufficient sales or repair biz around. They apparently needed to borrow to operate so a banker had to look at the biz plan to see if it worked enough to repay the loans. Probably the business is there but not to the degree needed. Maybe management is weak. NH is a hard scrabble state of glacial till, granite (it's the Granite State) shallow topsoil and small fields. It's a hobby farmer state and even the dairy business is in trouble.
You know, an aggressive newcomer could buy the location, tools, etc and maybe make a go of it right there. I understand the whole shootin' match is up for sale.
VTtractorguy
Silver Member
Yes, I see your points. It's just sad. Another local dealer up here, L.F. Triottier, has two locations - one in White River Junction, VT and one in Sharon, VT. Their facilities are smaller than some others, but they have been in business for a long time. I've been wondering if they're next to be swallowed up or go out of business, but maybe their lean operation is what will allow them to survive.
MessickFarmEqu
Super Member
I can't speak for VT, but most states have laws that prevent an OEM from simply just coming in and yanking a contact without cause. The dealership needs to be in breach for some reason. If the are not picking up another contact, they almost certainly are no longer in financial shape to be in business. There are tractor lines that will give a contact to anyone with breath. The equipment business is not easy. The average net profit at the end of the year averages around 2.5% for a dealership. Not too much has to go wrong for that to become negative real quick!