farmers world
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Sure is real nice having all this great fianancing too,O DOWN FIANANCE YOUR OWN.
FarmTrac Troubles
- Thread starter gamble77
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bluechip
Veteran Member
Remember "the factory" is not Farmtrac Tarboro (except loader parts) Parts are already available through Montana for the compact series and it has been reported that LS is already talking about a plan to support warranty on thier tractors. I'll be very surprised if Escorts parts arn't made available by some enterprising third party (Maybe Textron could give them a loan to stock up
). In the mean time there are a lot of parts scattered around the country (some might be attached to new tractors!). I think if we wait for this situation to get "standardized" we will be selling antique tractors.
Most of these tractors won't need warranty work anyway, the few that do will have to be delt with on a case by case basis. I have told my prospective customers that they could experience some delays in parts in the short term until a parts supply chain is developed, but there are enough units on the ground in the states to make a parts operation very feasable and profitable. The manufacturer is still in business so parts are being made, we just need a supply line to the factory in India.
The customer can consider this risk because they are getting a tractor below dealer cost, cheaper than most brands, even well used ones and are comparable in price to chinese tractors that have no organized parts or service network either. In fact I have imported and sold hundreds of chinese tractors with minimum warranty and our Farmtracs are certainly built to a higher standard than some of the chinese product I have dealt in.
These tractors are a great opportunity for the right buyer (fully informed of course). Frankly, postings decrying problems performing warranty work that haven't even happened on this public forum are less than helpful. This is not a dealer only forum. We can spin this situation so negatively and our competitors will make this so gloomy that no one will buy or finance one of these tractors (at less than $10.00 /cwt anyway).
Anyway, I read some language in the warranty paperwork that provides for replacement product if the warranty repair cannot be completed. Not sure what that means and I need to read it again. In any case, I"d rather sell a few of these and risk cannabalizing an unsold unit or buying back one that I couldnt fix for a customer than keeping them ALL and eventually having Textron force me into bankruptcy.
Don't get me wrong, I think Textron needs to do more to help this situation and I hope that they will. In the end, it would not only reduce the tremendous loss they will eventually realize, but could curtail a lot of legal expenses for everyone over the next few years. For now, I feel the warranty is a positive step in that direction. If we can get Textron to work more with us, instead of setting ourselves up as adversaries maybe we can get this done and over with. Having farmtrac dealers in business adds value to the inventory that they hold as collateral.
The way I see it, we can either sell these tractors, at whatever price the market will bare, and have some control over the timing of our losses or Textron will scoop them up, auction them off and come after each of us for the deficency, eventually puttng many good people into bankruptcy.
If there is another alternative, please let me know what it is (by PM if necessary).
). In the mean time there are a lot of parts scattered around the country (some might be attached to new tractors!). I think if we wait for this situation to get "standardized" we will be selling antique tractors.Most of these tractors won't need warranty work anyway, the few that do will have to be delt with on a case by case basis. I have told my prospective customers that they could experience some delays in parts in the short term until a parts supply chain is developed, but there are enough units on the ground in the states to make a parts operation very feasable and profitable. The manufacturer is still in business so parts are being made, we just need a supply line to the factory in India.
The customer can consider this risk because they are getting a tractor below dealer cost, cheaper than most brands, even well used ones and are comparable in price to chinese tractors that have no organized parts or service network either. In fact I have imported and sold hundreds of chinese tractors with minimum warranty and our Farmtracs are certainly built to a higher standard than some of the chinese product I have dealt in.
These tractors are a great opportunity for the right buyer (fully informed of course). Frankly, postings decrying problems performing warranty work that haven't even happened on this public forum are less than helpful. This is not a dealer only forum. We can spin this situation so negatively and our competitors will make this so gloomy that no one will buy or finance one of these tractors (at less than $10.00 /cwt anyway).
Anyway, I read some language in the warranty paperwork that provides for replacement product if the warranty repair cannot be completed. Not sure what that means and I need to read it again. In any case, I"d rather sell a few of these and risk cannabalizing an unsold unit or buying back one that I couldnt fix for a customer than keeping them ALL and eventually having Textron force me into bankruptcy.
Don't get me wrong, I think Textron needs to do more to help this situation and I hope that they will. In the end, it would not only reduce the tremendous loss they will eventually realize, but could curtail a lot of legal expenses for everyone over the next few years. For now, I feel the warranty is a positive step in that direction. If we can get Textron to work more with us, instead of setting ourselves up as adversaries maybe we can get this done and over with. Having farmtrac dealers in business adds value to the inventory that they hold as collateral.
The way I see it, we can either sell these tractors, at whatever price the market will bare, and have some control over the timing of our losses or Textron will scoop them up, auction them off and come after each of us for the deficency, eventually puttng many good people into bankruptcy.
If there is another alternative, please let me know what it is (by PM if necessary).
SESS
Gold Member
Tommy your right that the dealers are not offering any negative to this thread that is not already public knowledge. Normally I do not like to air my dirty laundry for all to know, BUT the buying public needs to know what they are investing their hard earned money in. Yes they are getting a great tractor that normally does not have many warranty parts, but these tractors are man made. There are going to be warranty claims regardless of how great the units are. That is just simple fact. A $200K Bentley could have warranty claims just as easy as a $20K Farmtrac or a $20K deere. I do not see us being able to honestly sell a tractor without making sure that the buyer is fully aware of what they are getting into. Because IF and WHEN they do have a parts issue, we are going to look really bad when we tell the customer at that point once they have already paid their money and Textron has been satisfied with the purchase price, that "we can't get the parts", etc. If the buyer is completely informed and they continue with the purchase, then alls well. But the buyer should be given a discount for not having a "perfect" situation to buy into also. Why have the customer buy a product with a tarnished name with the same price that they could have bought last summer when there wasn't any issues (that we knew of!). That is just my 2 cents! I would like nothing more than to sell all of mine this month, pay off Textron and be done. But I do not see that happening with the economy the way that it is.
Hello everyone!
One thing we know is... the parts issue is (and has been since 01/18/08) a lynchpin to the ability of dealers to not only service existing customers, but obtaining alternate forms of financing and subsequent sales of units to the public.
Here's another thing we know is... given recent statements, receiver Marrow does not believe this is an issue.
1) "We have $1.8 million dollars of parts in stock." He forgets dollar amt is a quantitative measure (10 lbs of fecal matter and 10 lbs of gold both weigh the same amt... but which would you prefer to have?). Tractor hoods or seats may be expensive, but are seldom used... In contrast, oil filters, belts and maybe certain drive train gears(?) are perishables that are rapidly turned over -- subsequently depleted from stock.
Perishables are probably gone or almost gone at present.
***I want to hear from Farmtrac dealers on this!****
E-mail me at bob_benedetti@hotmail.com and post your reply on this site so everyone will know!
2) "The dealers know much more about that than I do." It was in the context of dealer experience... knowledge and how to improvise. Funny thing... if you're the CEO of a company (by default due to court ruling), then doesn't logic dictate that you'd work to overcome the **largest sticking point** that your retailers have to date?
***
Regarding the resourcefulness that Marrow eluded to and "bluechip" cited in a recent post ... in a more concise fashion it could be interpreted as saying "best take actions into your own hands, dealers... and figure out alternative solutions to the parts issue."
Makes complete sense... otherwise, you're going down without a lifeboat.
WHAT TO DO?
I also interpreted previous statements/postings as meaning this:
Create an "alternative manufacturer(s)" parts list... a comprehensive cross-reference system that will permit Farmtrac dealers to complete circumvent the Company Store and *any* dependancy on Farmtrac for parts.
Granted, it'd be a major undertaking... esp since time is already the dealer's enemy.
Some quickhit thoughts on a few possible methods for such a project:
- have one person be the "project manager" to keep the comprehensive list
- start with the most highly used parts
- have each dealership volunteer to figure out certain parts/models
(A way to use the dealers' collective knowledge pool.)
Hope that helps.
Thx,
--blueliner
One thing we know is... the parts issue is (and has been since 01/18/08) a lynchpin to the ability of dealers to not only service existing customers, but obtaining alternate forms of financing and subsequent sales of units to the public.
Here's another thing we know is... given recent statements, receiver Marrow does not believe this is an issue.
1) "We have $1.8 million dollars of parts in stock." He forgets dollar amt is a quantitative measure (10 lbs of fecal matter and 10 lbs of gold both weigh the same amt... but which would you prefer to have?). Tractor hoods or seats may be expensive, but are seldom used... In contrast, oil filters, belts and maybe certain drive train gears(?) are perishables that are rapidly turned over -- subsequently depleted from stock.
Perishables are probably gone or almost gone at present.
***I want to hear from Farmtrac dealers on this!****
E-mail me at bob_benedetti@hotmail.com and post your reply on this site so everyone will know!
2) "The dealers know much more about that than I do." It was in the context of dealer experience... knowledge and how to improvise. Funny thing... if you're the CEO of a company (by default due to court ruling), then doesn't logic dictate that you'd work to overcome the **largest sticking point** that your retailers have to date?
***
Regarding the resourcefulness that Marrow eluded to and "bluechip" cited in a recent post ... in a more concise fashion it could be interpreted as saying "best take actions into your own hands, dealers... and figure out alternative solutions to the parts issue."
Makes complete sense... otherwise, you're going down without a lifeboat.
WHAT TO DO?
I also interpreted previous statements/postings as meaning this:
Create an "alternative manufacturer(s)" parts list... a comprehensive cross-reference system that will permit Farmtrac dealers to complete circumvent the Company Store and *any* dependancy on Farmtrac for parts.
Granted, it'd be a major undertaking... esp since time is already the dealer's enemy.
Some quickhit thoughts on a few possible methods for such a project:
- have one person be the "project manager" to keep the comprehensive list
- start with the most highly used parts
- have each dealership volunteer to figure out certain parts/models
(A way to use the dealers' collective knowledge pool.)
Hope that helps.
Thx,
--blueliner
The "Less Than Zero" rip off has already harmed the reputation of Farmtrac dealers ( no fault of their own, I might add). The damage that can happen with a warranty and no parts availability would cause the Farmtrac dealers to be in danger of being tarred and feathered, then lynched. Many a good and honest dealer has had his name and reputation smeared just by believing in the Farmtrac brand........then being blindsided by this mess. The "Less Than Zero" debacle will be one thing that MUST be addressed before there can be any real progress in regaining the trust of the tractor-buying public.
Last edited:
SESS
Gold Member
tommybr said:
Used equipment! No warranty, no financing and no floorplan company!
California
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Ok, here's a draft business model to discuss and refine into something useful:
Sell the tractors as new with warranty, cannibalizing your other units if needed to fulfill the warranty. But if possible make it a very limited warranty same as on the Chinese tractors. You need to conform to State warranty laws.
Be prepared to buy back some unrepairable tractors. Those can honestly be resold as Used, with no warranty obligation.
Provide full disclosure!!! Maybe give a printed copy of this thread to prospective buyers, or other disclosure documents if available. You need customers who are going into this fully informed. Some Chinese tractor buyers make their own parts at home. That's the sort of customer you need to find for those unrepairable buybacks.
There are probably repeat customers out there impressed with the quality and willing to buy under these conditions if the price is far below last year's retail or anything else on the market.
From what I'm reading here it doesn't sound like waiting for some unseen force to come along and make these tractors worth what you owe on them, by arranging free warranty parts or reimbursing the LessThanZero customers, is a useful strategy. I hope I'm wrong on this.
Sell the tractors as new with warranty, cannibalizing your other units if needed to fulfill the warranty. But if possible make it a very limited warranty same as on the Chinese tractors. You need to conform to State warranty laws.
Be prepared to buy back some unrepairable tractors. Those can honestly be resold as Used, with no warranty obligation.
Provide full disclosure!!! Maybe give a printed copy of this thread to prospective buyers, or other disclosure documents if available. You need customers who are going into this fully informed. Some Chinese tractor buyers make their own parts at home. That's the sort of customer you need to find for those unrepairable buybacks.
There are probably repeat customers out there impressed with the quality and willing to buy under these conditions if the price is far below last year's retail or anything else on the market.
From what I'm reading here it doesn't sound like waiting for some unseen force to come along and make these tractors worth what you owe on them, by arranging free warranty parts or reimbursing the LessThanZero customers, is a useful strategy. I hope I'm wrong on this.