i read everything that was posted by everyone-if you're offering a warranty that your dealers are not honoring, then thats fraud-plain and simple- when you get the franchise then you should be willing to honor the companys contracts and thats what a warranty is;
Local Kubota dealer not honoring warranty
- Thread starter buckle97
- Start date
- Views: 44231
beppington
Elite Member
Does any tractor maker's warranty say anything like 'every one of our dealers will honor this warranty'? If so, then there could be fraud. If not, well ... isn't it always up to the owner to transport the tractor to the dealership for warranty work ... however far that may be? Not sticking up for a poor dealer, or even stick up for Kubota, just trying to think this through.
Last edited:
smweatherman
Bronze Member
http://www.kubota.com/assets/warranty/kubota_warranty.pdf
How To Obtain Warranty Service
To obtain warranty service under the terms
and conditions of the Kubota Limited
Warranty, you must deliver the product to an
authorized Kubota dealer, along with proof
of purchase. Kubota recommends that you
take your equipment to the dealer from whom
it was purchased for the warranty repair. If
that is inconvenient, it may be taken to any
authorized Kubota dealer.
In those cases in which it is inconvenient
to deliver the equipment to the dealer, the
warranty repairs may be made by the dealer
at the customer痴 location. However, please
note that the dealer may charge for either
pickup & delivery, or for travel time and
mileage. These charges are not covered
under the Kubota Limited Warranty but are
the customer痴 responsibility.
How To Obtain Warranty Service
To obtain warranty service under the terms
and conditions of the Kubota Limited
Warranty, you must deliver the product to an
authorized Kubota dealer, along with proof
of purchase. Kubota recommends that you
take your equipment to the dealer from whom
it was purchased for the warranty repair. If
that is inconvenient, it may be taken to any
authorized Kubota dealer.
In those cases in which it is inconvenient
to deliver the equipment to the dealer, the
warranty repairs may be made by the dealer
at the customer痴 location. However, please
note that the dealer may charge for either
pickup & delivery, or for travel time and
mileage. These charges are not covered
under the Kubota Limited Warranty but are
the customer痴 responsibility.
Is this just me or is this guy clearly not following "Kubota rules" Seems as though Kubota would have some way to make their dealers service or tell them they can no longer sell their tractors...
I think there is every chance the OP's problem traces to the difficulty small businesses have competing these days. Many mom and pop ag dealerships are barely hanging on by a thread. I know from personal experience the tough decisions a business confronts when you don't know where the cash will come from to meet payroll next week. What may seem to an outsider to be stupidity or a poor attitude may be the economic reality they can't afford to risk $ on a warranty claim from someone they don't know.
As for the mfr's cheaping out on warranty business, there was a saying back in the 1960's when Congress was debating Medicare: "If you think health care is expensive, wait until it's free and the govt pays for it." Fifty years later, we can see how true that was, and any manufacturer faces the same truth about funding richer warranties. The harsh fact that costs (and, in turn, prices), would increase prompts manufacturers to insist that dealers have some skin in the game, too. Not saying that's the right thing to do, but that's also reality.
I do not own any color tractors which were bought with a warranty. However, if I ever do, I would read the warranty policy very carefully. Then if something broke that was covered, deliver the tractor to the nearest dealership. If the dealer refused to do service, then I would be on the phone to the usa corporate headquarters, sending traceable letters, and then be finding an attorney to take on the case (or file in small claims court). Yes, a dealer might not make as much money as they would like on a warranty repair, but that goes with being an authorized dealer. A dealer (person or corporation) cannot have it both ways... either they are authorized dealers or they are not. Part of doing business.
Interesting thread. Makes me want to build my own or buy used and rebuild myself.
Interesting thread. Makes me want to build my own or buy used and rebuild myself.
smweatherman
Bronze Member
cannonfodder999
Silver Member
After reading this I'm glad I bought a used Kubota. Tough as nails and when it fails I will fix it.
GolfAddict
Veteran Member
This has been an interesting thread. It has me thinking about recent history and the future a bit. I've written a narrative, mostly in fun, so don't beat on me too bad please. I know it's long, so if you ignore this it won't hurt my feelings any...
Once upon a time -
Buckos Purple Tractors has been an exceptionally successful dealership over the years. Their success can mostly be attributed to always being very fair in their sales practice, never trying to gouge their customers, always providing excellent service with a smile (warranty work or not), and a busy parts counter. Admittedly, a part of that success has been due to their location, with the surrounding area's fairly large market for potential buyers. Because of their admirable business practices they have been able to consistently capture a nice percentage of those buyers. And, of course, it helps that Purple Tractor Corp produces high quality products that the dealerships customers are very happy with.
Their sales volume grows, service work grows, parts business, you name it. Some of that drag along business is kind of lucrative which is nice. They are able to cut the margins on tractor sales over time, which results in ever more advantage in competing with the Pink Tractor dealer across town. They more than make up for thinner sales margins in volume and all the drag along business. They have to absorb some loss on warranty work of course, but it really doesn't impact their overall success because they're doing so well with everything else.
Buckos Purple Tractors has some really bright folks working there, and a couple of them are pretty far sighted. They recognize the huge potential for internet commerce. Because the business is thriving, they see that they
can absorb some development cost to get into this game. They are early adopters in creating a web presence and though it starts kind of slow it grows over time into a very effective sales portal. After a time they begin to see warranty work losses are decreasing. They are able to cut the profit margin on sales even more without hurting the bottom line. This results in even more sales - man this is going good. The profit margin per unit is getting puny but with volumes really taking off it more than makes up for larger profit margins. With the prices they can now offer, folks are starting to buy from all over the country!
(They didn't put the Pink Tractor dealer across town out of business. They are doing just as well. Turns out they've got the same business model.)
A few states away, Podunks Purple Tractors has been a successful small dealership over the years. They are located in a small rural town with a much smaller surrounding population. They've done OK competing for the small customer base with the Pink Tractor dealer in the next town over. Podunks has always had competetive prices on high quality Purple Tractors, service with a smile, a parts department, etc. Over the last few years their sales volume has been steadily decreasing. However, there seems to be just as many new Purple Tractors around as ever.
Podunks owner: "Some of these new owners do come in here sometimes for maintenance products. Seems just as many don't ever need any. Must be getting the stuff someplace else, probably that darn internet. The bottom
line seems to shrink a little every year and it doesn't help that those dang new owners feel free to bring their Purple Tractors here for warranty work just cuz I'm a dealer. I can't make no money on that! What are they thinking?? Man, this is making me grumpy. I was talking to someone who says if I'm real nice maybe they'll buy from me instead next time but I'm not so sure. I'll never be able to match those dang internet prices. If they buy their tractors off that net, bet they buy their dang attachments there too. Had to lay off one of my two salesmen yesterday. Man that was hard - ol' Hank worked here over 20 years!"
Eventually poor old Podunks has to drop his Purple Tractor franchise. Many folks around can't help but feel that some of that had to do with his bad attitude. He renames the business to Podunks Tractor Service and Repair. He lays off all but his mechanics and changes his business to working on tractors of all brands.
The Purple Tractor owners find there are no Purple Tractor dealers for a couple hundred miles around when they need warranty work done. "Sure, you can take it to Podunks Tractor Repair but it won't be covered and you'll
have to pay full price to get it fixed. This is no good - I'm going to buy Pink next time! Just as good a tractor, and at least there's a Pink Tractor dealer for warranty work in the next town over. What? The Pink Tractor dealer over there is closed???"
But - the owners saved enough money on the purchase price that they can afford to have it shipped to Buckos and back for any warranty work. And Podunks gets lots of business repairing tractors that are out of warranty.
And they all lived happily ever after.
Epilog: Over time, Buckos is finding that loss from warranty work is cutting into the bottom line, and is having to raise prices to cover. "And on top of it, half those dang owners think we should help cover the transportation cost too! Don't they know we lose money on warranty work to begin with?? This is starting to make me grumpy!..."
Once upon a time -
Buckos Purple Tractors has been an exceptionally successful dealership over the years. Their success can mostly be attributed to always being very fair in their sales practice, never trying to gouge their customers, always providing excellent service with a smile (warranty work or not), and a busy parts counter. Admittedly, a part of that success has been due to their location, with the surrounding area's fairly large market for potential buyers. Because of their admirable business practices they have been able to consistently capture a nice percentage of those buyers. And, of course, it helps that Purple Tractor Corp produces high quality products that the dealerships customers are very happy with.
Their sales volume grows, service work grows, parts business, you name it. Some of that drag along business is kind of lucrative which is nice. They are able to cut the margins on tractor sales over time, which results in ever more advantage in competing with the Pink Tractor dealer across town. They more than make up for thinner sales margins in volume and all the drag along business. They have to absorb some loss on warranty work of course, but it really doesn't impact their overall success because they're doing so well with everything else.
Buckos Purple Tractors has some really bright folks working there, and a couple of them are pretty far sighted. They recognize the huge potential for internet commerce. Because the business is thriving, they see that they
can absorb some development cost to get into this game. They are early adopters in creating a web presence and though it starts kind of slow it grows over time into a very effective sales portal. After a time they begin to see warranty work losses are decreasing. They are able to cut the profit margin on sales even more without hurting the bottom line. This results in even more sales - man this is going good. The profit margin per unit is getting puny but with volumes really taking off it more than makes up for larger profit margins. With the prices they can now offer, folks are starting to buy from all over the country!
(They didn't put the Pink Tractor dealer across town out of business. They are doing just as well. Turns out they've got the same business model.)
A few states away, Podunks Purple Tractors has been a successful small dealership over the years. They are located in a small rural town with a much smaller surrounding population. They've done OK competing for the small customer base with the Pink Tractor dealer in the next town over. Podunks has always had competetive prices on high quality Purple Tractors, service with a smile, a parts department, etc. Over the last few years their sales volume has been steadily decreasing. However, there seems to be just as many new Purple Tractors around as ever.
Podunks owner: "Some of these new owners do come in here sometimes for maintenance products. Seems just as many don't ever need any. Must be getting the stuff someplace else, probably that darn internet. The bottom
line seems to shrink a little every year and it doesn't help that those dang new owners feel free to bring their Purple Tractors here for warranty work just cuz I'm a dealer. I can't make no money on that! What are they thinking?? Man, this is making me grumpy. I was talking to someone who says if I'm real nice maybe they'll buy from me instead next time but I'm not so sure. I'll never be able to match those dang internet prices. If they buy their tractors off that net, bet they buy their dang attachments there too. Had to lay off one of my two salesmen yesterday. Man that was hard - ol' Hank worked here over 20 years!"
Eventually poor old Podunks has to drop his Purple Tractor franchise. Many folks around can't help but feel that some of that had to do with his bad attitude. He renames the business to Podunks Tractor Service and Repair. He lays off all but his mechanics and changes his business to working on tractors of all brands.
The Purple Tractor owners find there are no Purple Tractor dealers for a couple hundred miles around when they need warranty work done. "Sure, you can take it to Podunks Tractor Repair but it won't be covered and you'll
have to pay full price to get it fixed. This is no good - I'm going to buy Pink next time! Just as good a tractor, and at least there's a Pink Tractor dealer for warranty work in the next town over. What? The Pink Tractor dealer over there is closed???"
But - the owners saved enough money on the purchase price that they can afford to have it shipped to Buckos and back for any warranty work. And Podunks gets lots of business repairing tractors that are out of warranty.
And they all lived happily ever after.
Epilog: Over time, Buckos is finding that loss from warranty work is cutting into the bottom line, and is having to raise prices to cover. "And on top of it, half those dang owners think we should help cover the transportation cost too! Don't they know we lose money on warranty work to begin with?? This is starting to make me grumpy!..."
