Local Kubota dealer not honoring warranty

[TractorTidy]

This thread is wearing me out, after pg.3. Guys, listen, here is the way warranty works in at least the tractor industry, no matter what color.

Warranty is not an "open" work order where anything and EVERYTHING is covered and warr. will pay for all of a certain repair or workorder.
Warranty pays for most failures but there are many stipulations and exceptions. First, companies DO NOT pay diagnostic time. So if it take 2-3 hours to figure out the problem, no warranty on that time. Also, once problem diagnosed, they pay a flat rate for that type of repair and usuallly flat rates are under estimated. Example: a mechanic spends 3 hrs. on a particular repair, warranty may only pay for 1.5 hr. So the dealer has lost 1.5 hr. labor.
Also, sometimes you get retail on parts, sometimes you may only get 10% over. If your labor rate is $70/hr., some pay a fraction of that rate. Also, if there is P.U. and Del. involved, that is not generally covered, maybe the first one only. Lastly, warranty will not cover abuse or operator errors. For example, the guy who breaks the diff. housing to which the roll bar was mounted to because he hit his doorway. No, that's stupidity, not warranty.

So, as you can see, warranties on OPE and tractors don't pay the dealer fairly. It is a necessary evil for the dealer. You will almost never make money on a warranty and most generally lose money. You're lucky if you break even. ALSO, as I am experiencing now w/ 2 different companies, one tractor and one imp. manuafacturer, warranties drag on for 2-3+ months because companies are scrutinizing payment to the nth degree. They will try all they can to throw one out or part of it, especially on larger claims. Many times they require the defective item to be sent back before they pay. That takes a month or more.
Not to mention that the dealer has his money tied up in the new part and labor for several months before it is paid. Lots of time it takes many conversations and arguments w/ company. That's what I am doing right now on the above two and both have been since way before Christmas.

Now, I to will not do warranty on a machine that wasn't purchased from me if it was bought somewhere else because of a cheaper price. That's the price the customer has to pay for a cheaper price. Take it back to the original dealer so he can take the hit. He made the money off the deal to help absorb the warranty expense. The non-selling dealer shouldn't have to take
the "hit" on a deal he didn't sell. He'll very likely lose money just by touching it. That's not fair to him. If the customer wants to pay the difference then ok, but I haven't found one yet that does.

NOW, in this case, due to the guy moving into the area and if the original dealer is too far away to go back to, then I think the local guy should handle out of courtesy. I would. Maybe in that case, the customer would be willing to pay a little of the difference.

So that is the REAL scoop. I know because I used to be a Deere dealer and am a current dealer for another tractor brand so I deal w/ it continuously.
Hopefully you all can understand the dealer's position on warranty. You certainly would if you were a dealer.

 

[DK35vince]

Thanks to all the dealers who responded.
It is interesting to hear from both sides, consumers and dealers.
I'll admit when purchasing a new tractor I do shop around for a dealer I like and also prices.
If I purchase from a dealer that is farther away, I do take warrenty into consideration, because that is the dealer I will also use if a warrenty problem arises.

 

[grsthegreat]

This thread is wearing me out, after pg.3. Guys, listen, here is the way warranty works in at least the tractor industry, no matter what color.

Warranty is not an "open" work order where anything and EVERYTHING is covered and warr. will pay for all of a certain repair or workorder.
Warranty pays for most failures but there are many stipulations and exceptions. First, companies DO NOT pay diagnostic time. So if it take 2-3 hours to figure out the problem, no warranty on that time. Also, once problem diagnosed, they pay a flat rate for that type of repair and usuallly flat rates are under estimated. Example: a mechanic spends 3 hrs. on a particular repair, warranty may only pay for 1.5 hr. So the dealer has lost 1.5 hr. labor.
Also, sometimes you get retail on parts, sometimes you may only get 10% over. If your labor rate is $70/hr., some pay a fraction of that rate. Also, if there is P.U. and Del. involved, that is not generally covered, maybe the first one only. Lastly, warranty will not cover abuse or operator errors. For example, the guy who breaks the diff. housing to which the roll bar was mounted to because he hit his doorway. No, that's stupidity, not warranty.

So, as you can see, warranties on OPE and tractors don't pay the dealer fairly. It is a necessary evil for the dealer. You will almost never make money on a warranty and most generally lose money. You're lucky if you break even. ALSO, as I am experiencing now w/ 2 different companies, one tractor and one imp. manuafacturer, warranties drag on for 2-3+ months because companies are scrutinizing payment to the nth degree. They will try all they can to throw one out or part of it, especially on larger claims. Many times they require the defective item to be sent back before they pay. That takes a month or more.
Not to mention that the dealer has his money tied up in the new part and labor for several months before it is paid. Lots of time it takes many conversations and arguments w/ company. That's what I am doing right now on the above two and both have been since way before Christmas.

Now, I to will not do warranty on a machine that wasn't purchased from me if it was bought somewhere else because of a cheaper price. That's the price the customer has to pay for a cheaper price. Take it back to the original dealer so he can take the hit. He made the money off the deal to help absorb the warranty expense. The non-selling dealer shouldn't have to take
the "hit" on a deal he didn't sell. He'll very likely lose money just by touching it. That's not fair to him. If the customer wants to pay the difference then ok, but I haven't found one yet that does.

NOW, in this case, due to the guy moving into the area and if the original dealer is too far away to go back to, then I think the local guy should handle out of courtesy. I would. Maybe in that case, the customer would be willing to pay a little of the difference.

So that is the REAL scoop. I know because I used to be a Deere dealer and am a current dealer for another tractor brand so I deal w/ it continuously.
Hopefully you all can understand the dealer's position on warranty. You certainly would if you were a dealer.

You know, i do understand the dealers standpoint on this matter. However, by agreeing to sell a brand (Kubota, Ford, GM, Kioti, whatever) you also take over responsibility of taking on their warranty work. If a company warrants their product for 2 years, its a company warranty, not a dealership warranty.

Bottom line. You back your brand.

and Wallace is 1000% right. Your losing $50-100 now on this repair (over your regular rates) may get you years of customers future purchases in the future. Seems like cheap advertising cost for 10+ years of sales???

I actually made a repair of another electricians work on a job that had an open house that day. The original guy wasnt returning his calls. I came and installed the last remaining lights without saying...who was your original electrician...bla bla bla.

I got all of his work after that. That was 8 years ago, and i have wired many, many 5,000 - 8,000 SF homes for him since then. It was one of the best things i ever did for my business. Why would anyone turn down the thought of future business over a few bucks is beyond me

 

[Willl]

I to will not do warranty on a machine that wasn't purchased from me if it was bought somewhere else because of a cheaper price.

You should put that on a sign and stick it out in front of your shop.

 

[TractorTidy]

Willl, you're probably one of those!

 

[TripleR]

TractorTidy, gotta agree with grsthegreat and Willl. I buy locally, but if my dealer had that attitude, I would sure find someone with a different approach to business and customer service.

 

[beppington]

Now, I to will not do warranty on a machine that wasn't purchased from me if it was bought somewhere else because of a cheaper price. That's the price the customer has to pay for a cheaper price. Take it back to the original dealer so he can take the hit. He made the money off the deal to help absorb the warranty expense. The non-selling dealer shouldn't have to take the "hit" on a deal he didn't sell. He'll very likely lose money just by touching it. That's not fair to him. If the customer wants to pay the difference then ok, but I haven't found one yet that does.

This is good information. BTW, what is your dealership name?

 

[Martian]

This is good information. BTW, what is your dealership name?

Nice catch! I missed that. Maybe it's the OP's!:laughing:

 

[Robert_in_NY]

This is good information. BTW, what is your dealership name?

Its in his profile. Haltom Equipment, Mooresville

I don't know anything about him or his dealership/business. Its his investment and I feel that gives him the right to run it however he feels is proper and regardless if we disagree it isn't our place to attack him for sharing his honest thoughts on this particular topic. I actually appreciate hearing from both sides of this topic and if he is a good dealer then he won't have very many people buying tractors from outside his area to even have to contend with this problem.

And I didn't mean to imply you were attacking him Beppington, just in general as I see this thread turning ugly very fast.

 

[TripleR]

Its in his profile. Haltom Equipment, Mooresville

I don't know anything about him or his dealership/business. Its his investment and I feel that gives him the right to run it however he feels is proper and regardless if we disagree it isn't our place to attack him for sharing his honest thoughts on this particular topic. I actually appreciate hearing from both sides of this topic and if he is a good dealer then he won't have very many people buying tractors from outside his area to even have to contend with this problem.

And I didn't mean to imply you were attacking him Beppington, just in general as I see this thread turning ugly very fast.

Not attacking just restating an opinion consistent with my earlier posts.

 

[crazyal]

I understand a dealer, like any other company, needs to make a profit but when you agree to sell Kubota (or any other brand) you agree to making a profit on parts and the sale of new and used equipment and loosing a little on warranty work. Don't complain about the bad while enjoying the good.

Quite frankly I wouldn't buy anything from a dealer that wouldn't do warranty work on equipment they didn't sell. I would also bad mouth that dealer and try to put them out of business or have them bought out. Think about it. What would happen if every dealer took that attitude? Just think of all the times when you may use another dealer for warranty work. If you moved, if you brought your tractor a few hundred miles from your home to do work (who would want to tow it back, get it fixed, then tow it back to where you were working only to tow it home again), or if your normal dealer was swamped and couldn't get to it for a week and you needed it in a hurry.

Like I said, I would be open to working something out so the dealer didn't loose money on a tractor he didn't sell, fair is fair. But any dealer who just will not do it wouldn't get any business from me and would suffer each time the subject came up or the dealers name was said. Being pig headed is a two way street.

 

[beppington]

Nice catch! I missed that. Maybe it's the OP's!:laughing:

I saw Willl's comment.

 

[Martian]

I want to say this as a general statement, no brands attached, no dealers attached.

I grew up with a father as a salesmen. Drove me crazy because anything I wanted or even wanted to do I had to "sell it to him" before I could do it. When I see people in the profession today that simply want your money and could care less about making a relationship, fixing a problem, even if it wasn't bought from them, but potentially making a client down the road because maybe the dealer that he bought it from said no, and now you will, he'll come to you, it drives me crazy. I go to where people who are willing to take the extra step to make it seem as though I'm not buying a tractor from you but more having a friend help a friend get a tractor (with a little money exchange in there) and will be willing to go the "extra mile" to buy the tractor from them. When I bought my last vehicle for example (see truck in avatar), I received a HAND WRITTEN letter from the owner of this large dealer personally thanking me. No, not a automatically generated email, she took the time to get out a pen and paper and put it in the snail mail. That alone made me feel as a more valued customer and made me want to go back there to buy another vehicle. I am willing to pay more money to someone who is willing to go the extra mile for me than to get the internet bargain guy who may give me the best deal but then I will never hear or see of again when a problem comes. Yes, I get the same tractor, but I don't get the same service. For a dealer to not do warranty repair is unacceptable, of course we don't know all of the story, and there simply may have been a miscommunication that what needs to be repaired is not covered under warranty. If it is indeed just a dealer telling someone I'm not taking your warranty repair, then please report them to (in this case) Kubota and say they should no longer be a dealer. Not only does this make the dealer look bad but Kubota as a brand, an I'm sure Kubota doesn't want that. There's no place in the warranty contract that says all repair work must be done at place of purchase, therefore you can go wherever and get repair work done, so refusing it is NOT OK.

 

[ultrarunner]

I realize this is not an exact comparison...

When the Oldsmobile Dealer went out of business because GM killed the Brand... the local Buick Dealership blanketed the area with letters asking Oldsmobile owners to bring their warranty and service needs to them...

They were actually, soliciting via cold calling or writing asking for warranty work on cars they never sold and vehicles they couldn't have sold.

 

[Baldyonthehill]

I, also, had a similar issue and used this site to vent my frustrations as well as hoping to inform those thinking of making a purchase. Don't know about the other colors, but Kubota's warranty isn't worth the paper it is written on. I contacted the regional rep and got the run around and the national office never answered my email, snail mail or phone calls. I felt sorry for those that responded to my posts in support because of the accusations and insults hurled our way by the orange worshippers.

The best thing that came from my run in with Kubota/bad dealer was getting to meet a good service mechanic that sells a different brand who fixed my tractor (while under warranty but I paid). Anything else that comes up that I won't be able to fix, I know where to go.

For me, I would never buy another Kubota because of their lack of support for their so-called warranty. I hope your BIL has better luck than I did.

 

[jejeosborne]

When you need a belt or oil filter, go to the parts counter at that dealership and let them pull all the parts. When it comes time to pay for the item, tell the counter person that "oh, I forgot, I can't buy these parts here!". When he/she questions why? Tell them "I didn't buy my tractor here so I CAN'T buy the parts here".

I did this exact same thing to a Cub Cadet dealer after experiencing the same thing you did. Great thing was that the owner was working the parts counter that day. I left with nothing and drove 10 miles to dealer who did accept the warranty work.

I don't get it, don't they make money on warranty work?
Jeff

 

[jimbo64]

You should put that on a sign and stick it out in front of your shop.

not in the front yard-can think of a more approprite place

 

[TripleR]

When you need a belt or oil filter, go to the parts counter at that dealership and let them pull all the parts. When it comes time to pay for the item, tell the counter person that "oh, I forgot, I can't buy these parts here!". When he/she questions why? Tell them "I didn't buy my tractor here so I CAN'T buy the parts here".

I did this exact same thing to a Cub Cadet dealer after experiencing the same thing you did. Great thing was that the owner was working the parts counter that day. I left with nothing and drove 10 miles to dealer who did accept the warranty work.

I don't get it, don't they make money on warranty work?
Jeff

We buy supplies once a year in February when our dealer offers 15% off. We have three tractors for which to get assorted filters etc. from every year. The order is pretty sizable and can't imagine why any dealer would want to pass on repeat business like that.

 

[LD1]

I understand a dealer, like any other company, needs to make a profit but when you agree to sell Kubota (or any other brand) you agree to making a profit on parts and the sale of new and used equipment and loosing a little on warranty work. Don't complain about the bad while enjoying the good.

Quite frankly I wouldn't buy anything from a dealer that wouldn't do warranty work on equipment they didn't sell. I would also bad mouth that dealer and try to put them out of business or have them bought out. Think about it. What would happen if every dealer took that attitude? Just think of all the times when you may use another dealer for warranty work. If you moved, if you brought your tractor a few hundred miles from your home to do work (who would want to tow it back, get it fixed, then tow it back to where you were working only to tow it home again), or if your normal dealer was swamped and couldn't get to it for a week and you needed it in a hurry.

Like I said, I would be open to working something out so the dealer didn't loose money on a tractor he didn't sell, fair is fair. But any dealer who just will not do it wouldn't get any business from me and would suffer each time the subject came up or the dealers name was said. Being pig headed is a two way street.

That sums up how I feel 100% to a TEE.:thumbsup::thumbsup:

Well said crazyal:thumbsup:

 

[Delphicoder]

This has all been very enlightening.

I recently bought from a few hundred miles away. I shopped around, and really wanted to stick with my local dealer since I bought my first tractor from him (as well as a rotary cutter and box blade). He was a little higher than some, but close to most. I pretty much knew I was going to buy my second tractor from him.

I decided that I would try Barlows, and just get an idea of what their price was like. In the end, they saved me about 3K on the tractor. Now to me, if my local dealer had been 1K in range, then I would have still gone local without a second thought, but 3K was a big difference to me on a small tractor. I thought about the service and warranty real hard.

I decided to go with Barlow's, and I knew the risk I was taking. I sent an email to my dealer explaining that I had found a tractor that better aligned with my budget needs, and hoped that I could still frequent there for supplies and equipment, and was not burning bridges. If I did burn the bridge, then I apologized in advance. I was kind of hoping he would have responded back with a second offer, but he didn't. That was tough for me, and I did not even know at the time all this information that has been exposed in this thread.

As it turned out, I did have a few small issues with the Barlow's tractor. However, to their credit, they sent me the parts free of charge to replace anything, and I did the labor. I don't mind doing the labor, since then I know exactly how the work was performed. Brady was very responsive to any issues I had. I think he realizes the situation, and tries his best to make it work out for the customers the best he can. I have no complaints and have heard nothing but good things about them.

My local dealer did reply back, and although I could tell he was disappointed, he pretty much said they would be there if I needed them in the future. They would not be able to do the free things like pickup and steam clean, but certainly there for normal work. I told him that was understandable, and I have been back to his store several times since then to buy supplies. Last week I was there and bought a new leaf blower. I plan to but a rotary tiller soon from him as well. He seems fine, and I hope it stays that way. He is a really nice person, and now I really feel guilty, but I am a pushover for people's feelings.

In retrospect, my only regret is that I should have been more direct with my local dealer, saying if you can meet me somewhere in the middle we have a deal. But, I think it all turned out ok in the long run. If I can get the parts under warranty, I like doing the work myself (within my limited abilities that is!)

That's my take on it.