Branson/Century/Zetor sales numbers?

[Bob_Skurka]

Mahindra certainly has a well rounded product line with lots of sizes and both HST and Gear models. I think Kioti is also in the same league as Mahindra here in the US with a wide product line. I have no idea on their sales numbers, but I do know that Kioti only has 2 dealers within a 100 mile radius of where I live. I only know of 1 Branson dealer in that same area. I can't find a Mahindra dealership. In all cases, the lack of dealers is a big handicap for the minor brands. While JD, Kubota, NH, Cub all have multiple dealerships within 30 miles of where I sleep at night. I think the lack of quality dealers really is the main reason the minor brands are hampered in their sales efforts.

But consider something here on TBN. Kubota has the largest number of posts . . . followed by JD . . . followed by NH. Kioti comes in 4th place, but I suspect they are disproptionately represented on TBN. Power Trac actually has more total posts than Kioti, but they have far fewer threads. Again, I think PT is probably disproportionately represnted. But overall, I think the posts/threads probably are a good indication of where a brand sits in the American market. For good or bad, 3 companies dominate the market with probably something over 90% of the total sales.

 

[Bob_Skurka]

<font color="purple"> Extrapolating using 80,000 units at %15 growth the numbers would be: </font>


Micro, I think that 15% growth is probably low. From what I recall, it may have grown 15% followed by 20-25% followed by even more than that. So total growth is not quite exponential, but it is not linear either. And that could explain why Neil has seen numbers in the range of 250,000.

 

[Daffy]

I don't know about sales numbers, but an article in today's paper (Rome, Ga) says that Branson has bought a large building down the road from me because they have out grown the plant in Lafayette. They will be moving the assembly & distribution plant to Rome. According to the article the number of employees is expected to increase by about 2/3 by end of 2007. They are spending about 2.3 million on the move and expect to be completed by the end of the year.

Doesn't sound like they are going anywhere but up.

 

[MessickFarmEqu]

2.3 million for a tractor company is a joke. I have heard of dealers who have spent more than that.

 

[Bob_Skurka]

Neil, I totally agree with you, but I was hesitant to post it until someone with close ties to the tractor industry said something about it. My distribution facitilty is easily worth that amount and it is pretty small, only capable of serving a radius of about 150 miles; were sitting on 6 acres, 2.5 paved, 1 in grass and about 3.5 under roof. I tend to agree, 2.3 million for a facility isn't even going to buy adequate offices for a national concern, let alone warehousing, assembly or distribtution. I have been looking for a larger facility, something roughly 2.5 times the size and that still would not give me the capacity to extend beyond a 2 or 3 state area.

 

[Chipperman]

Bob and Neil
Remember Rome was not built in a day. It was built one stone at a time. Zetor and Branson are building there Rome one tractor at a time. I would think twice before calling anyone’s progress a joke. If you remember it wasn't that long ago that Mahindra had only one or two models here in the States and I am sure Neil, you know that Case/New Holland, Kubota and Deere are not calling them a joke now.
Happy Tractoring
Chipperman /forums/images/graemlins/smile.gif /forums/images/graemlins/smile.gif

 

[Bob_Skurka]

Chipperman no offense meant, I'm just being objective here. Looking over this entire thread, the basis of the thread is one that asks about getting rid of cold feet and using sales figures to do that. We have spun into several areas here, but still are trying to be objective in how to build the brand. That said, an investment of $2.3 million is at best paultry. Talk to a commercial banker and lay out your plan to take a tractor company national and he will expect to see that decimal point moved over to the right. Nobody called their PROGRESS a joke, but that amount of investment is virtually a NON-committment to the brand. The reality is that this is currently a very small tractor company with a couple of products to offer, and they are operating in the US marketplace that has an CUT market that is exploding in terms of sales. Branson needs to get their distribution up substantially by signing on quality dealers, they also need to get their website to work (because there are parts that are still not working and that does NOT ease anyone's cold feet if they are considering the brand) they probably also need to look at doing some serious marketing as well as making themselves DIFFERENT than Century because if they are identical then one brand will very likely languish and (take a look at NH and Farmall. . . identical tractors, Farmall sales are a small fraction of NH sales). Many tractor companies can grow sales in today's market, there are more buyers out there than there are quality tractors. The real question is NOT can you sell more tractors, the real question is how to do grow long term when this demand bubble subsides and you have to have a product line established, a market covered and dealers who service all the machines that were sold.

 

[Chipperman]

Bob
No offense taken but I think you of all people should know you need to take one step at a time. Building a $23 million (I moved the decimal point as you suggested) Distribution facility until you have the volume makes no sense at all. Yes, right now both Zetor and Branson have a very small piece of the market. But they are growing and offer an excellent value in a CUT if it meets the customer's needs/requirements. I agree they need to sign quality dealers that can take care of the customer. The dealer more than anything else will make a difference in weather the customer gets cold feet or not. If a customer has faith in the dealer he is much more likely to have faith in the product.

The New Holland CUT has been around for quite some time but the Farmal CUT is new under the Case Label. With only a year or less under its belt it is hard to say how they will do. That’s my 2 cents.
Happy Tractoring
Chipperman /forums/images/graemlins/smile.gif /forums/images/graemlins/smile.gif

 

[Daffy]

I agree if building a new facility, but as they said in the article, this is for a move to a larger facility not building a new one. It doesn't matter if you are a large company or a small one as Branson is in the Tractor field now, 2.3 M is a lot of money to spend if your sales aren't increasing or you don't plan on being around. It really doesn't matter to me, I have a Branson and am very happy with it and my dealer. For my 2 cents thats really all that counts. I figure to take care of my 6~ acres and what I paid I couldn't justify the extra $K for a JD or NH (which is across the street from the Branson dealer).
BTW, I am glad I found this site and its varied opinions. I would have been dissappointed if everyone agreed on everything. That would have been a commercial!

 

[dancce]

$2.3 million dollars is a joke only to those born with a silver spoon---and not had to fight and scratch to start a business from ground zero.

dancce