RK74 $4000 Price Drop - Got the email this evening

[atsah]

It's much easier to sell small homeowner tractors these days than anything in the 74 size range, around here anyway..

 

[Ford850]

And once you cross that threshold to the larger size category 2, you need larger attachments. Does RK sell cat2 attachments?

 

[markie61]

It's much easier to sell small homeowner tractors these days than anything in the 74 size range, around here anyway..

A quick look at the specs it's very similar to the Branson 7845,
this size tractor is more then most homeowner type buyers are looking for.
The local Branson dealer sells a lot more of the smaller series then the larger,
when I got my 8050 I looked at the 7845 the same hp and 1000 pounds less weight.

The Front Royal store had 2 sitting next to the 55s - they are MASSIVE by comparison. And the 55 ain't little! Have yet to see the 74 and 19 side-by-side - the scale would make the 19 appear as an Ertl diecast toy.

 

[RK Tractor Guy]

We lowered the price of the RK74 for a very simple reason. While $43,999 with loader was already a very low price compared to that of competitors, the people that buy the Utility range tractors and up are usually long-time customers of the established dealers carrying the well-known brands. While the under-60 market is led in volume by Kubota, Mahindra, and is made up of mostly people not using it tied to their primary source of income, the 74 and up market is dominated by Deere, CaseIH, New Holland, Massey-Ferguson. We felt that taking the price under $40k would help us get a serious look from the commercial AG tractor users, and it has worked. The price of $39,999 with 74HP Deutz Turbo cab tractor, self-leveling loader, three sets of rear remotes, 16/16 with creeper interlock is now the regular everyday price. The move was done strictly to help us get more attention from the Ag market. We do not carry an extensive line of Cat 2 implements at our locations. The people that buy this range of tractor do so because they already own and use implements to do the jobs around their farms. Tractors and implements purchased together is more of a consumer buying tendency.

 

[RK Tractor Guy]

^^ Loaders are standard, so not called out individually.


The fine print:

"*See store location for complete eligibility, details and restrictions. Loans are subject to RFCUｮ membership eligibility and creditworthiness at consummation. RFCU is an equal opportunity lender. Example based upon sales price of tractor and loader model with no down payment, 5.99% APR and equal monthly payment amounts for 84 months. APR is current as of 5/1/19 and your APR may be different. Taxes, delivery and/or insurance charges could increase monthly payments. Insurance is required for tractor loans."

$584 for 84 months is just under $50,000

There is no fine print to the price, it is $39,999. Most people know that when they take out a loan they will pay interest, and are free to use any finance company they want or pay with cash or check. Professional farmers, who buy most of the tractors that are this HP and higher, are pretty astute managers of their finances. They see $39,999, and focus on that, and will usually work with their local bank for equipment financing. If you see 0% or low rate financing, the price is higher, the customer is the one actually paying for that low rate. We have chosen to offer one low price regardless of how the customer decided to pay for it.

 

[Ford850]

We lowered the price of the RK74 for a very simple reason. While $43,999 with loader was already a very low price compared to that of competitors, the people that buy the Utility range tractors and up are usually long-time customers of the established dealers carrying the well-known brands. While the under-60 market is led in volume by Kubota, Mahindra, and is made up of mostly people not using it tied to their primary source of income, the 74 and up market is dominated by Deere, CaseIH, New Holland, Massey-Ferguson. We felt that taking the price under $40k would help us get a serious look from the commercial AG tractor users, and it has worked. The price of $39,999 with 74HP Deutz Turbo cab tractor, self-leveling loader, three sets of rear remotes, 16/16 with creeper interlock is now the regular everyday price. The move was done strictly to help us get more attention from the Ag market. We do not carry an extensive line of Cat 2 implements at our locations. The people that buy this range of tractor do so because they already own and use implements to do the jobs around their farms. Tractors and implements purchased together is more of a consumer buying tendency.

That all makes sense. Good post, thanks!

 

[RK Tractor Guy]

I spoke to my salesperson last night. Apparently RK is not selling the 74 as quickly as the rest of the line, so the price drop is to clear out last year's inventory.

As mentioned in another post, we lowered the price on the RK74 because we felt as though we needed to get a little more attention from the market for this HP range. This price reduction is for all models, all inventory, and even tractors we haven't even received yet. The new everyday price for the RK74 is $39,999. It will remain so for all of 2019, and any movement in the future will be based upon changes to our cost from our manufacturer, just as the other models are. I'm sorry that someone at the store gave you incorrect information.

 

[markie61]

I'm sorry that someone at the store gave you incorrect information.

Well it just as easily could be *my* interpretation of the information...like the game of "telephone" where the last person gets to speak the messed-up message. I don't want to be "THAT guy" who spreads misinformation. Thanks for the clarification, Doug.

 

[Diggin It]

I spoke to my salesperson last night. Apparently RK is not selling the 74 as quickly as the rest of the line, so the price drop is to clear out last year's inventory.

I had every intention to post a reference to that as being my speculation about the price drop, but for some reason it didn't get included in my post above. It makes far more sense than 'spin'.

But I'm sure official sale figures as compared to forecasts will never be posted publicly. And even if they are, could they be trusted? I've lost 'faith' in this company's transparency.

 

[atsah]

I've lost 'faith' in this company's transparency.

I think most people know this by now.. Quit badgering about it already.. Don't like a particular brand or company, buy something else for goodness sake..