Dealer What Makes a Great Dealer

[stuckmotor]

For me the thing that makes a great dealer is a great parts department that knows how to find the parts in the computer when I give them the make, model, and serial number.

 

[Root Cause]

That your staff believes that their goals will be met by meeting those of your clients.

My dealer responds to texts and phone calls when I am out in the field in need of help and will find a way to help- not pass the buck or avoid the call.

 

[RSR]

Congrats on the new endeavor, and good luck! You are doing the right thing by first determining the customer's needs. Kudos for recognizing, and doing that.

Now, much of the extra "service" individuals are referring to here costs money. For example, it costs money to have enough salespeople on board so that they have enough time to follow-up on every single request.

I'm not saying that isn't an important part of business. But, I would be very careful of falling into the trap of doing "more". For every extra thing you do, you are either going to have to pay for it, or neglect some other aspect to find the time/money to do it.

Keep that in mind as at the end of the day I think what most customers want is a quality product at a competitive price. Therefore, my focus would be "how do I maximize value, while minimizing costs so that I can ensure I have the lowest prices, WHILE providing a customer-driven experience." (Don't put the cart before the horse).

That is, an important corollary to the question you asked may be, "what do you NOT care about receiving from your dealer," rather than "what do you want out of a dealer."

Using myself as an example, the advice repeated over and over here is "buy the dealer." Well, in 2.5 years of ownership, I've been back to my dealer precisely zero times for tractor-related reasons. I think that is likely to be the experience of most. So, if you aren't winning on price, everything else becomes inconsequential.

p.s. - I don't know what your background is and past experience, but if you don't have a college degree in business or vast experience running businesses, I would spend a LOT of time educating myself reading reputable books on how to run a successful business. I think oftentimes it is poor execution of the mundane aspects of business (paying taxes, meeting payroll, etc.) that can do in a business.

 

[azbinder]

DO what YOU tell your customer YOU are going to do.. Sometimes you may have to step out of your norm. Don't be afraid if it is needed. Remember that how you treat someone can either bite you or be a boon to you.

I sold a tractor package to someone 75 miles to the north of our dealership. a couple of months later I got a call from a friend of this fella. He lives about 135 miles to the south of me. Sold him a t/l/s Following month I sold a tractor to #2 next door neighbor.

Word of mouth travels a long way. Good or BAD.

 

[m1garand762]

1 have a knowledgeable, well trained sales staff. Hold them accountable for there actions. Make sure they are honest and not commission motivated.
2 have a well trained service department that can fix anything you rep and is somewhat knowledgeable in machines of the past as well.
3Have a very well stocked parts department that had most if not everything that could possibly be needed in stock. This one is a must because I actually sold a decent piece of equipment because not a single dealer within 100 miles had a decent parts inventory and everything I needed always took 2-3 weeks to get in. Breakdowns cost money and nobody should be down any longer than absolutely necessary

 

[rScotty]

Nice to hear this sort of concern from a new dealer.

I think that you are stepping out on the proper foot by realizing that today's compact and utility tractor dealer is serving a customer very different from the customers served by traditional Ag tractor dealers who also find themselves selling smaller tractors.

Those traditional Ag tractor customers were likely to be locally born and raised farm owners in business for themselves. They grew up knowing tractors, land, financing, and many of the rural disciplines that are all part of growing up in that lifestyle.

Todays small machine buyer is a different breed entirely. His interest and expertise is often in other areas. Working his land is his hobby and relaxation. He may or may not have any interest at all in doing routine maintenance. However, he probably does know the value of having it done - and is likely to be expert at determining quality work.

I think you hit on a major point when you said that you are building a quality repair and parts operation. The things that will set a dealership apart in my mind are salesmen who are sympathetic to this new type of rural landowner, and the same for the service shop.

For particulars, you may want to consider some evening "new owner" classes, and eventually expand the service dept. to include a mobile unit.
Classes could include:
What to look for in a rear blade - how many adjustments does a blade need to have?
Spring tillage.... do I plow, disc, or till? What tools? What advantages?
Local types of soils and tire recommendations for each.
3pt adjustments, PTO types. How to set a slip clutch & a shear bolt.

A list of parts & checklist for each model that lists parts used for the normal service intervals will save new owners a return trip for a forgotten part.
Accepting returned parts as long as they are in the original resaleable packaging - or close enough to be used in your own shop - is a way to encourage complete part sales for scheduled service.

Above all, be reasonable rather than dogmatic. Every deal is a special deal.
Good Luck,
rScotty

 

[Slowpoke Slim]

My experience is a mirror to PTSG's. I went to every dealer in my area, including the "big guys" with the expensive colors.

The Green one spoke to me when I walked in, but didn't have any models in stock that were even close to what I wanted (cabbed 3R I believe-it's been so long now), their only one (chain store) was 200 miles away in SD, and the only option he gave me was to either order a new one from scratch (by looking at his glossy brochure-no he didn't know how long it would take to get in) or driving down to SD myself and buying and hauling up the one 200 miles away. After telling me that, he sat back down at his desk and completely ignored me and went back to his phone calls.

The Big Orange one didn't even acknowledge or speak to me when I walked in their door. Neither did the 2 employees at the parts counter. I walked back down a short hallway, passed several offices with open doors and employees sitting at desks, and not one of them spoke to or acknowledged me. After standing around inside their front lobby for at least 15 minutes straight, I figured they didn't want my money and walked out.

The small orange (Kioti) and Bobcat dealer was the same. Walked around, poking my head into different offices, standing at the parts/service counter, standing by the empty brochure wall, finally stood directly in the middle of the main lobby floor. Nothing. Not even a wave or a head nod to acknowledge that a living person had entered the building. I went back to this dealer 3 separate times, in 3 different days, and it was exactly the same treatment ( I wanted to see one of the Kioti models, they were sitting out in the yard).

The New Holland dealer said he would call me back. He did actually speak to me. He was the only other one that did when I walked in. I told him what I was looking for, he wrote it down while telling me how busy he was. He never called me back. That was 5 years ago.

The Branson dealer acknowledged me when I walked in, asked me if he could help me, listened to what I was looking for, told me he had several models on hand I should look at, grabbed a fist full of keys and walked me out to where the tractors were. We checked over each model, I asked fairly standard questions that he listened to, knew the answer to, and answered each one like it mattered to him that I got the information. We spent maybe an hour standing out there talking and comparing models, I told him which one I thought would work, he compared features vs. the work I wanted done and attachments I would likely get in the future. He tossed me the keys to the one I was leaning towards and said, "Go play", pointing to the vacant lot next to the tractor yard. I played a little bit, walked back in and told him I'd take it. Deal was done, paperwork signed, he had the tires loaded for me and delivered it (plus the attachments I bought) right to my place later on that week.

It's not rocket science. You don't even have to be a GREAT dealer. Just don't be a crappy one.

I had no brand loyalty at all. But the first dealer I walked into was The Green One. If they would have given me the same experience that my Branson dealer did, I would have a green tractor in my shop building right now, instead of the red one I have now. And The Green One I was looking for ended up being over 20K more money than the red one I took home. Same goes for any of the other dealers. If they would have just operated their business like the Branson dealer did, I would have bought their product.

I don't need to be lavished with love and attention when I walk in. But I do expect to be acknowledged and waited on. I also expect that you will have product on site that you are selling (tractors and attachments/accessories in this case). I expect that your sales staff knows enough about their products to at least answer relatively standard questions about it without having to look it up. If they don't know the answer to a more obscure question, I expect them to offer to look it up (and then actually do so). That's all I'm looking for, not exactly "high maintenance" customer here.

 

[azbinder]

I would also highly recommend having a demonstration/work area for your customers to operate different pieces of equipment whether it be a t/l, t/l/b, so that they can move a few buckets of dirt or find out how a tiller or scraper operate. Yes, it takes up space, but you would be surprised how many people don't realize the difference in operating an HST vs. a gear drive. Or how to use a loader.

 

[K5lwq]

Do what you say you are going to do.

This and add “when you say you are going to do it”.

 

[RustyA]

In our business we treat every customer as a guest in our home. Clean restrooms, clean office, return phone calls, text and emails same day or within 24 hours. First hour every Monday is contacting website inquiries from the weekend web traffic. It's really basic treat them as you would want to be treated whether is a $2995 beater or an $85000 diesel crew. For some people that beater might be their life savings. Treat everyone with dignity, respect, and honesty. It's truly a lost art today to greet people by name and take pride in helping them solve their problems.