$200.00 to transport 30 miles for servicing?

[gemini5362]

With a short haul, I'd figure the time it takes to do this more then how many miles he's driving. An employee will have to hook up a trailer, then drive to your place, load and fasten down your tractor, haul it back, and unload it.

There have been allot of discussions on what guys here charge to run there tractors and what there time is worth. I wonder what they would charge to do this? It's not a hard job, but it does take up some time and there is a liability issue if it's not fastened down properly. Might be some insurance to pay for hauling tractors too.

That said, $200 does seem a bit high, but the reason might be that it is a pain in the rear for them to do this. Is it big dealership with extra people who can run out and pick up tractors without taking away from work that needs to be done at the shop? When I get an odd job to do that I either don't want to do, or I know will be a headache, I charge extra. I figure that I'll charge enough for them to change there minds, or see if somebody else will do it. Usually they say no thankyou to me, then shop around. Sometimes they come back as I was the lowest price at what I thought was a rediculous amount. It seems others also didn't want the job and jacked up the price to do it as well. hahaha

I wouldn't knock the dealer on this one thing, there's too many things we don't know about there situation and available resourses.

With a manual and a little time, it's very easy to do ther sevicing yourself. Draining fluids and refilling them is simple. Greasing fittings and replacing filters is all within the abilities of most everyone. When you do it yourself, you aslo pay more attention to the tractor. You will notice everything that might be wrong with it, where the person doing this at the dealer might not. There's not gurantee of there skill level or concern with your machine. The guy doing this job probably does hundreds of tractors a month and could easily be in auto mode. Just do the job and get paid for it. Finding problems with a tractor in for servicing isn't what he's paid for, so he doesn't bother looking or investigating things that you, the owner of the tractor will investigate.

Eddie

Eddie I am not sure I agree with you on this one. Most dealers have to pick up tractors if they are a big enough dealer to do service work. I am sure that most people do not have something that will hall a 75 horse and above tractor around. The amount of time that it takes to hook up a trailer is pretty negligeable. I agree that there are liability issues and there is some time that it takes to load and fasten the trailer down. The liability issues is handled by insurance and that should be spread out over all the tractors they service. The dealership should make a substantial profit over the service itself. They buy fluids in bulk and sell for retail. They buy parts at a discount and charge retail prices. They also charge labor charges that pays for the cost of the shop as well as the workmens labor. I have no problem with them doing that if a dealer cannot make a profit then they are not going to stay in buisness long. For the amount of money they have tied up it should be a substantial profit. At some point though the dealer should give the customer a break to be able to get service. To my way of thinking delivery service should be one of those items. The cost of picking up and delivering a tractor should be a break even buisness expense. If you are making your profit off of the service give the customer a break by getting his vehicle in there with no loss no gain priceing.

 

[DavesTractor]

As a dealer, we struggle with this. It cost us about $85 to go pick up a tractor that is within 20 miles. Then $85 to deliver it back. Yet $170 just doesn't work for the customer. We aren't making a dime of profit, but it just seems like too much. We have been considering lately that we may just have to take a loss on the hauling aspect. The shop essentially may have to subsidize the hauling.

The other day a customer decided to haul his tractor himself. He borrowed a trailer from a friend, but didn't latch it to the ball. As he drove up the ramp, the trailer came unhitched and went into his tailgate. Then another guy did the same thing, borrowed a trailer, and when he unloaded at his house he was on a steep decline. He did not block his wheels. As he backed off, the trailer lifted his back wheels (on the truck) and the whole package started down the hill and landed in the ditch. It was in park and the brake was set, but when the rear wheels left the ground, it didn't matter. No one was hurt, but lots of damage.

So if you aren't trailer savvy, be careful!

 

[KICK]

figure it costs 20 bux an hour for the employee to drive the truck

vehicle cost dealer 20 bucks a day to own assuming they are using a pckup truck or van to do the workm bug truck going to cost more

cost of a trailer

cost of insurance

fuel cost 30 cents a mile if vehicle gets 10 mpg

40 or 50 bucks for one way trip would be break even point.

 

[Joe1]

Have you asked the dealer what it would cost to have them come to your place and perform the service there? The 200 hr service should not require any particular tools and/or splitting the engine open. It's probably just air, fuel, engine, hydraulic filters, and oil plus a lube job and maybe a valve,l clutch and brake adjustment. They should charge about half of their pickup and delivery charge to do the work at your place. Most tractor dealers are equiped to do this.

Other than the valve adjustment, those maintenance items are all pretty simple and you might want to consider doing it yourself or having a friend do it. You can purchase the filters and fluids yourself, and with a 10 quart collection pan you should be able to drain it yourself and take it to an auto parts place that accepts used oil.

 

[gemini5362]

figure it costs 20 bux an hour for the employee to drive the truck

vehicle cost dealer 20 bucks a day to own assuming they are using a pckup truck or van to do the workm bug truck going to cost more

cost of a trailer

cost of insurance

fuel cost 30 cents a mile if vehicle gets 10 mpg

40 or 50 bucks for one way trip would be break even point.

lets break down your costs a bit.

Truck to pull it with. Most buisnesses have to have a truck for picking up stuff and if it is a dealer that sells large farm equipment most customers dont have what it takes to haul larger equipment, if you are going to sell anything you need the truck and it is amortized over time and number of customers.
cost of a trailer amortized over time and number of customers.
cost of insurance. I dont know about where he lives but trailers are dirt cheap to insure in arkansas.
fuel costs are a flat rate of whatever it costs.
and drivers pay should be just a wash. I am surpised that you figure 20.00 and hour to pay the driver most places have a person that does that and I sure dont imagine they pay them 20.00 an hour.

I sell real estate part time. I dont know how many times I have spent money on a vehicle, insurance, fuel, time to cart customers around for a couple of weeks showing houses. I dont hear from them for a couple of days and I get told that they were driving around and saw this nice house with xyz realtors sign on it so they called them up and made an offer. In arkansas any realto can show any house that is listed and I have told customers that when we talked about what they wanted I told them that anything they saw to call me and I can show it. So I spend a lot of the above time and costs with no money to show for it. I dont know about other states but a realtors costs to run property in a newspaper add is pretty expensive and those cute little home magazines you pick up in the grocery store cost about 500.00 a page where I live to advertise in them. So having to pick up a tractor and breaking even to get their buisness or even subsidizing it a bit when you are getting paid most of the cost for picking up the trailer and are getting your full profit on the serviceing seems like a pretty good bargain to me.

 

[Diamondback]

Thanks for all the comments. Been looking for used trailers for a couple month's so I wouldn't have to be concerned with this problem but only found three types in my area: new, worn out and almost as much as new. It seems good used trailers sell for just slighty less than new ones round here. Maybe I'm just not patient enough...

Situation solved...bit the bullet Saturday and bought a new 10k, 18ft trailer from a reputable dealer that has been making and selling trailers for 30 some years. BTW, the advice you fellas gave about telling the boss that in ten trips the trailer would pay for itself worked!

One side note...the service manager was at the dealership when I arrived this morning and did the service himself. Not only did he do it while I waited, he allowed me to watch and gave a tractor 101 course throughout the process. Truly impressed with him and the service department now.

 

[firefighter9208]

The dealer where I bought my Kubota M4800 wanted $175.00 to pick up the tractor and return it to replace a hydraulic cylinder that was under warranty. I live 11 miles from the dealer. I borrowed my neighbors trailer and took it myself.

I no longer use the dealer for any repair work, parts, oil, filters, etc... I found a local Branson dealer that will order me filters, etc... for half the price the Kubota dealer wants and he only charges $1.00 a mile to pick up and deliver.

The Kubota dealer has lost a lot of sales to the Branson dealer, because of Customer Service and Satisfaction. He acts like you have to buy from him. The Nephew of the Kubota dealer bought a Branson. That has caused a lot of family problems.

 

[gemini5362]

The dealer where I bought my Kubota M4800 wanted $175.00 to pick up the tractor and return it to replace a hydraulic cylinder that was under warranty. I live 11 miles from the dealer. I borrowed my neighbors trailer and took it myself.

I no longer use the dealer for any repair work, parts, oil, filters, etc... I found a local Branson dealer that will order me filters, etc... for half the price the Kubota dealer wants and he only charges $1.00 a mile to pick up and deliver.

The Kubota dealer has lost a lot of sales to the Branson dealer, because of Customer Service and Satisfaction. He acts like you have to buy from him. The Nephew of the Kubota dealer bought a Branson. That has caused a lot of family problems.

This sounds a lot like it was along the lines of what I am talking about. For a dollar a mile he does not make a lot of profit if any on picking up tractors. He obviously feels like not making a profit or even taking a loss on his delivery service is more than made up by the increased sales and service revenue.

More people in buisness should remember that the LARGEST retailer in the world (Walmart) became the largest because Sam Walton felt that he would rather make a small profit on a LOT of sales rather than make a large profit on a few sales.

 

[dieselalles]

For non-warranty work, I would expect to pay for hauling.

But warranty? That should be included IMHO.

 

[KICK]

lets break down your costs a bit.
and hour to pay the driver most places have a person that does that and I sure dont imagine they pay them 20.00 an hour.

QUOTE]


labor costs more than what the employer pays by the hour.

employer pays 7.65% for Fica and Mica, pays worker comp and unemployment insurance, quite possible if employer likes to have long term experienced employees he pays some type of benefits like vacation, part of the health insurance etc..

thats where I got 20 bucks, just a swag at a cost, and its probably a reasonable assumption that it does cost about 20 bucks an hour to employ a truck driver.