A fax to my dealer

Henro · Jul 25, 2003

The following is a fax that I intend to send to the owner of the dealership where I bought my tractor(s), after the BX2200 is delivered this morning. I want to make the needle that is jabbing me feel a little less sharp. /forums/images/graemlins/frown.gif and /forums/images/graemlins/confused.gif

I'm also going to copy it to Kevin, the manager of the Kubota store...

Ken,

I consider myself one of your better customers since I have bought two brand-new Kubota tractors from you in a 12-month period. I also consider you and your dealership to be on the high side of the ladder as far as tractor dealerships and owners go.

The dealer/customer relationship means something to me, and certainly means something to you too. After all, it is the customer that keeps you in business, sends other potential customers you way and all that. You know this better than I do by far.

Perhaps you could explain something to me. I am curious as to why you would want to encourage a good customer like me to go to the competition for the purchase of my tractor implements.

When I am in the area, I usually stop by your Kubota dealership to see what is on the lot and to say hello. Maybe buy some filters or super UDT or other supplies. I had been talking to Kevin about the possible purchase of a rotary cutter over the last several months. After deciding to buy the BX2200, without quibbling on the asking price, knowing the current short supply situation and all, I asked for a quote on a Woods BB60CW. Kevin quoted $1,250.

Someone I know had purchased a similar Woods unit recently from [the other dealer] in Evans City area, and suggested I get a price from [the other dealer]. I did and it was $1,175 delivered. I was up front with Kevin and told him where I got the price and how much. I also told him I would give him the opportunity to match that price. He matched the price and I ordered it from you. I want to give you my business and I want your Kubota dealership to be there for me when I need you.

I have been toying with the idea of buying a landscape rake over the last couple weeks. Earlier this week I asked for a quote on a couple Woods models with gauge wheels. On the LR72 your price was $655 and [the other dealer]’s was $605. On the LR1066-2 your price was $1,120 and [the other dealer]’s was $1,045.

At the time I asked Kevin for this quote, I told him I was going to price it elsewhere, and he certainly knew it would be [the other dealer]’s since I told him that was where I priced the rotary cutter. I also mentioned that I was telling him this so he could price the landscape rake competitively. I was not going to bargain or try to get him to lower his price later. I would simply buy from whoever was cheaper. Naturally if the quotes were the same or very close, you would get my business. YOU are my dealer. I want you to be there if I need you.

Now there is always the question of whether the prices I am stating are fact or fiction. You can easily check that by having someone call [the other dealer] and get a price. But I can assure you that they are indeed fact, not fiction.

I am not a stranger to you or your business. I am taking the time to write this fax to you because something is wrong with this picture, at least in my mind. I think I gave you enough business in the last 12 months to have earned the courtesy of a competitive price when I ask for a quote. Yes, I know you have overhead and that it costs money to run your business. I also know that you can be competitive in price, at least for a good, repeat customer like me, and still put some money in your pocket.

As things stand presently, the net affect is that each time I buy an implement from you a number of $20 bills are falling out of my pocket onto the showroom floor. Just can’t let that keep happening. Have to sew up the hole in that pocket..

Given the above background, I keep asking myself why you would want to send a good customer like me down the road to buy his implements from a competitor.

After typing all this, I realize this question is rhetorical.

No need to bother answering. Just consider this a complaint letter.

Thanks for reading it if you got this far.

You might add this to that list of “Ten ways to aggravate a customer” that is on the wall above Kevin’s desk.

CC: Kevin

MikeD · Jul 25, 2003

Could it be that you are shopping at the wrong dealership? /forums/images/graemlins/ooo.gifI think I would want to be a regular customer of the "other" shop. Let us know if your letter does any good. Up here in New Hampshire the local dealers would not care one way or the other. Heres the price and have a nice day if you dont like it. I do my shopping in New York. Long ride but a better attitude.

Henro · Jul 25, 2003

Hi,

The other dealership is not Kubota...and yes, for implements I guess I have been shopping [pricing] at the wrong place.

I would like to keep my dealer in business though, if I can help, because I don't like the other Kubota dealership that is nearby. The third closest is probably an hour's drive away...as compared to 20 minutes...

Golfgar4 · Jul 25, 2003

Hi Bill!

I'm not sure what exactly the problem is here. /forums/images/graemlins/confused.gif

In the rotary cutter example, you went to your dealer with a price for a particular implement from a competitor, and your dealer matched that price for that same implement.

In the landscape rake example, you just told your dealer that you would be pricing the rake elsewhere, but you don't mention whether the dealer said, "Fine I'll match it", or "Go take a hike".

You seem to be upset that your dealer has his implements "tagged" with a higher price than the competitor. I guess the way I would look at it is, each dealer sets his own prices based on his particular situation and needs. I don't think I'd care much what my dealer set his prices for, as long he would match a lower price that I was able to find. If the dealer can get what he asks for the implement, hey, more power to him. But if a customer challenges his prices and the dealer responds in a positve way, what's the problem?

Is it that you think each and every dealer that offers a particular brand should all price the exact same way?

Just trying to figure this out a little bit. /forums/images/graemlins/crazy.gif

Henro · Jul 25, 2003

In the landscape rake example, you just told your dealer that you would be pricing the rake elsewhere, but you don't mention whether the dealer said, "Fine I'll match it", or "Go take a hike".


Kevin, the kid who is the manager of the Kubota store, said to go take a hike. I guess I did not mention that in the fax...because they know that. I think he just follows the owner's lead as he is only a couple years out of college. He told me he knows the other guys prices are better than theirs.

The problem is that some profit is better than no profit. They should know their customers and I want them to stay in business. If I buy from the guy down the street, that is money my dealer does not have in his pocket at the end of the month. A lost opportunity. Shame he does not take advantage of it. His choice.

If they turn away good customers I think this in the long run will be detrimental to their long term survival. I happen to like this dealership much more than the other Kubota dealer in my area. I would hate to see the other guy be my only option for service if I needed it.

I know I could just be a price driven consumer and say screw this dealer...but in the end that would be against my best interest, at least as I perceive things at this moment.

Not sure if this makes sense or not... /forums/images/graemlins/blush.gif

Maybe I should add a line to that fax before I send it stating that Kevin was not interested in matching the price on the landscape rake, just to make sure he understands that.

Golfgar4 · Jul 25, 2003

( Kevin, the kid who is the manager of the Kubota store, said to go take a hike. )

O.K. Now this makes a little more sense, and I tend to agree with you. If they tell me to "take a hike", then I will. It's my money and I'm going to get the most bang for it.

( If I buy from the guy down the street, that is money my dealer does not have in his pocket at the end of the month. )

You're right Bill. I'm a huge believer in having a good relationship with a dealer. BUT, the bottom line is that I have to do what is right for me. If the dealer and I could work things out, fine. He'll get my business. I'm even willing to pay a little more, depending on the circumstances, for service/parts, etc. to continue my good relationship. But in the end, it's my choice. If your dealer knows that you're a fair, loyal customer, he's not going to hold it against you for occassionally buying somewhere else because you've found a better price.

( Maybe I should add a line to that fax before I send it stating that Kevin was not interested in matching the price on the landscape rake, just to make sure he understands that. )

You might want to consider doing just that, because your initial fax didn't convey the fact that you were basically told to go somewhere else. Might help avoid a misunderstanding.

Just my opinion! /forums/images/graemlins/wink.gif

Henro · Jul 25, 2003

Is it that you think each and every dealer that offers a particular brand should all price the exact same way?


Golfgar4,

Forgot this part...hit preview once and you lose the original post you are responding to /forums/images/graemlins/smile.gif

No, what I actually think is that a dealer should know his customers and realize that someone who has given him $35,000 in business in 12 months should be given a competitive quote.

Joe blow and henro are not the same guy when they walk in his showroom. Joe blow may be wasting his time. Henro puts the cash on the table. Simple as that. He should know he can make a quick buck on henro and should match or come close to the cheaper dealers prices for all the henro's he has sold multiple tractors to.

Like I said, I can get the better price without much effort. The goal here is to try to educate the dealer and hopefully let him make a little more money than he would otherwise If multiple "good" customers walk down the street and buy their implements from the competition, and send their friends to the competition...this will certainly take some profit away from a dealer I happen to like.

PS...I was in the middle of typing this when a fax came in regarding the new bx...guess you replied to my reply when I was getting that fax and it took me a while to get this one off...

Worksmart · Jul 25, 2003

Henro - I'm with Golfgar4 on this one. I'm not sure what your point is??? I have a dealer which I consider to be "mine," but I will get quotes from other dealers to "keep him honest." Doesn't get me upset. He's in business to be in business. I "shop" with most products/services I purchase...tractors, cars, insurance, tires, homes etc, etc. That's just me. There are plenty of people out there who will not "shop" for one reason or another. They'll pay the marked price and move on. If you ask, "your" dealer gives you the price you want. Are you saying he or other business people should give a lower price to people who DON'T ask?? /forums/images/graemlins/confused.gif /forums/images/graemlins/confused.gif Chuck

Henro · Jul 25, 2003

Worksmart,

Guess I need to learn how to express myself better... /forums/images/graemlins/frown.gif

I think Golfgar4 and I pretty much think the same way. Since you are with him, and I think I am pretty much with him too...then me and you are together too...

Oh well... /forums/images/graemlins/confused.gif

fivestring · Jul 25, 2003

We all know what you really mean, Bill. It's a hassel to beg the dealer to match prices when he should match prices to begin with. Kinda like if Wally World sold implements, there would not be any dealers selling implements.