Effects of recession on sales

riptides · Jul 15, 2009

It is a message of hope. Hope over that hill that his donkey is there. If not, stick around and you may hear the crying, but YOU must decide if YOU will stick around. The donkey man is on the move.

MessickFarmEqu · Jul 16, 2009

since this question was put out in terms of tractors... I can give some info. Most manufacturers have laid some poeple off as sales have fallen some. Most OEM's report being down 20-25% from what I've heard. The worst hit stuff has been tied to the housing market.. skid loaders, excavators, etc. Some farm machinery is still hard to get because of production delays, and we're still selling $400,000 combines and $150,000 GPS guided planters.... so there is business out there, we're just working harder for it. We've seen some small dealers go under, but its been those who have been marginal even in good times. As for us, we're doing fine. Not our best year, but all told we're happy to be where we are.

Lyrch75 · Jul 16, 2009

MessickFarmEqu said:
since this question was put out in terms of tractors... I can give some info. Most manufacturers have laid some poeple off as sales have fallen some. Most OEM's report being down 20-25% from what I've heard. The worst hit stuff has been tied to the housing market.. skid loaders, excavators, etc. Some farm machinery is still hard to get because of production delays, and we're still selling $400,000 combines and $150,000 GPS guided planters.... so there is business out there, we're just working harder for it. We've seen some small dealers go under, but its been those who have been marginal even in good times. As for us, we're doing fine. Not our best year, but all told we're happy to be where we are.

My local Kubota dealer has been moving a buncha L series and smaller tractors this year, and at least one M (grin). AGCO dealer has been moving some big iron, 185+HP Fendts, but the 75-110 hp range rigs are on the lot.
I don't drive byt the NH or JD dealers often enough to get a real feal for their sales, but I have seen a couple new big JD rigs running around..

That makes me think the folks are ponying up the $ for the new prime tillage, planting, etc tractors that they can see a real fuel savings in, but the medium general usage tractors are being held onto instead of getting replaced.

Mike Costello · Jul 16, 2009

This is my 4th recession. Without getting too technical, they have all been about the same; the marginal guys fail, the profligate spenders crash and burn, and innocent people get into trouble too.
Cycles of boom and bust happen about every 10 years. This current recession is more painful because it was directly tied into the housing boom which affected many more people. Greed at the highest business levels also contributed to the current mess.
So, what can one do to protect themselves against all this? Well, start by thinking smart and having a plan. Live within your means. Realize there is no such thing as an easy and fast buck. Don't take unnecessary risks. Keeping the "Greed Monster" at bay won't be easy because, like an addiction, it will be hard to kill at all levels. Don't be a part of it--think and act for yourself. Mike.

Ray_Fort_White · Jul 16, 2009

I'm in N. Central Florida. The local JD dealer says his sales are up. The Kioti dealer closed shop. The MF dealer doesn't have a single new tractor on his lot. The Mahindra - NH dealer now only has NH on his lot. Same with the local Cubcadet dealer, no tractors at all.

I wanted to look at the Bobcat tractor and was told the dealer in Jacksonville closed. I drove to Ocala to the Kubota/Bobcat dealer and he only had 2 Bobcats and didn't have the 230. He did have lots of orange tractors.

I think this is a great lesson in why I should buy from a very well established dealer. In my area NH, JD and Kubota seem to be the survivors.

MessickFarmEqu · Jul 16, 2009

Ray_Fort_White said:
In my area NH, JD and Kubota seem to be the survivors.

...as they have been for the last 30 years. Its unpopular to talk about, but if this recession drags on we're going to see some of the small tractor companies close their doors.

shownuff · Jul 16, 2009

I priced out a new all aluminum 45 ft flatbed trailer,was told a month and a half till delivery and thats american built

Hematite · Jul 16, 2009

Ray_Fort_White said:
I'm in N. Central Florida. The local JD dealer says his sales are up. The Kioti dealer closed shop. The MF dealer doesn't have a single new tractor on his lot. The Mahindra - NH dealer now only has NH on his lot. Same with the local Cubcadet dealer, no tractors at all.

I wanted to look at the Bobcat tractor and was told the dealer in Jacksonville closed. I drove to Ocala to the Kubota/Bobcat dealer and he only had 2 Bobcats and didn't have the 230. He did have lots of orange tractors.

I think this is a great lesson in why I should buy from a very well established dealer. In my area NH, JD and Kubota seem to be the survivors.

It's definitely a wise idea to make your choice from the Big 3 (NH, JD, and Kub). The NH dealer that I bought from is not only meeting his sales goals but exceeding them.

Hematite · Jul 16, 2009

shownuff said:
I priced out a new all aluminum 45 ft flatbed trailer,was told a month and a half till delivery and thats american built

Hey neighbor (Dutchess county)! My steel, Texas built, trailer took about a month and a half to get after ordering it. Apparently, people are still buying trailers!