Why the huge difference in tire price.

[dangerdoc]

I managed to ruin both front tires on my m5400.

I went down to my local tractor tire and wheel shop. For a small town, this is a big business, they send wheels all over the country. They look at my tires and tell me that they don't carry them and I would have a hard time finding them.

I checked out all of the Ag tire places in the area, none of them have the tires. One place can order them in but it will be $900 for the pair, for FRONT tires!!!

I go down to the Kubota dealer, they can order them for $850, a little strange seeing the dealer have a lower price.

Before dropping the money, I check the internet, only can find them at one place and it is $900 plus shipping!!!

I remembered an out of the way but always busy tire place about 40 miles from my house. Yep, they have the tire. Sorry the price is kind of high, $200 apiece. SOLD, I got in the truck and drove directly there and sure enough they have them and the price really is $400 for the pair. But whoops, somebody hit one with the forklift and ruined it, they will sell me the one the have and order me a new one, for the price of...... wait for it.........$200.

I picked up the second tire last week for the promised price. They are Bridgestone, with the same markings of the tires that cost twice as much everywhere else.

What gives, is there that much mark up?

 

[LBrown59]

I managed to ruin both front tires on my m5400.


*What gives, is there that much mark up?

*gouging not mark up

 

[irwin]

I've run into the same thing..just be glad you stumbled on the much better deal.

I think it has something to do with what vendors a shop uses, middlemen and profit margins..you're a lucky guy.

 

[cappys tractor]

Lawn mower tires, lawn tractor tires, garden tractor tires, turf tires

try here for prices.

i am sure there are others, but searching for tires seems to be hit or miss.

 

[rbargeron]

I think that what's happening in the tire business is being driven by the fluctuations in oil prices. Wholesalers who stock tires don't know how much they will have to pay for replacement inventory - so they jack up the price of the tires they have in stock in hopes of covering it. There are some wholesale distributors who are not trying to anticipate the market so their existing inventory is being sold based on its cost. Although this seems the most fair to consumers it actually threatens the health of those businesses because inventory investment is about to rise, maybe substantially, without planning for it.

I just bought a new 17.5L-24 R4 rear tire - got an American-made tire from an "old school" source for $300 (plus mounting). But I'd seen a lot of prices for this same tire that were twice that much. I'd like to think those guys weren't trying to gouge - but pricing them to cover rising replacement costs.

 

[whatever1]

I think that what's happening in the tire business is being driven by the fluctuations in oil prices. Wholesalers who stock tires don't know how much they will have to pay for replacement inventory - so they jack up the price of the tires they have in stock in hopes of covering it. There are some wholesale distributors who are not trying to anticipate the market so their existing inventory is being sold based on its cost. Although this seems the most fair to consumers it actually threatens the health of those businesses because inventory investment is about to rise, maybe substantially, without planning for it.

I just bought a new 17.5L-24 R4 rear tire - got an American-made tire from an "old school" source for $300 (plus mounting). But I'd seen a lot of prices for this same tire that were twice that much. I'd like to think those guys weren't trying to gouge - but pricing them to cover rising replacement costs.

"cover rising replacement costs"..
Didn't the place have to order a new one for the same price ??? $200

 

[rbargeron]

There are still a few wholesale distributors selling off inventory at old prices. Probably won't last - get 'em while they're hot.

 

[Ob1kubota]

I've run into the same thing..just be glad you stumbled on the much better deal.

I think it has something to do with what vendors a shop uses, middlemen and profit margins..you're a lucky guy.

I use 5 National Tire Accounts in my rental fleet and all of these major suppliers, ( Goodyear, Michelin, Bridgestone, Continental and Yokohoma) Dealers complain that their credit for the sale of the tire is less than their restock fee. I ask them how they stay in business and they say it keeps the lights on but like kissing your Mother-in-law! HA...go figure that....

 

[ihookem]

I have a 7510 with 33" tires, could I put on a truck tire? It is 4wd though.

 

[art]

We often find tire prices showing big swings when we go looking for customers. The most common tires we do stock when we can get good pricing but what you found is not uncommon. We normally are priced right with the tire shops in the area.

 

[irwin]

I have a 7510 with 33" tires, could I put on a truck tire? It is 4wd though.

Tractor tires are different from car and truck tires...but any tire that fits your rims can be mounted...I have LT truck tires on the front of my IH 2424 (it's a 2WD) ..but ag tires on the rear.

A 4WD tractor has a front wheel lead ratio the should be kept to minimize the chance of front axle damage..You need to know what that front wheel lead ratio is and what the rolling circumference of the replacement tires are. It's easier to just put the right tires on.

 

[N80]

I have to agree with the 'gouging' assessment. That other stuff about inventory and all that does not compute here. We're talking about a difference of $250 per tire! That's more than double the retail price offered by the other places! 200% markup, over retail, seems like a little too much to be explained by hedging inventory.

The guy who sold him the tires was obviously able to order him a new tire, sell it to him for $200 and presumably still make a profit or at least break even. Certainly he's not selling at a loss, right?

So something else is going on here other than an unstable market.

Are you sure you weren't comparing radials to tires?

 

[Patches]

I think that what's happening in the tire business is being driven by the fluctuations in oil prices. Wholesalers who stock tires don't know how much they will have to pay for replacement inventory - so they jack up the price of the tires they have in stock in hopes of covering it. There are some wholesale distributors who are not trying to anticipate the market so their existing inventory is being sold based on its cost. Although this seems the most fair to consumers it actually threatens the health of those businesses because inventory investment is about to rise, maybe substantially, without planning for it.

That's using oil industry reasoning. As soon as something questionable happens in the world, the price jumps immediately;but when crude prices fall the standard answer is;"We have to get all that high priced oil out of the pipeline before we can lower prices" What about all the low priced product that was in tha pipeline when the "world event" happened