Loyalty to Local Dealership? ??

   / Loyalty to Local Dealership? ?? #1  

namesray

Platinum Member
Joined
Dec 31, 2011
Messages
726
Location
nc PA.
Tractor
kubota rtv900: kubota mx5200
Here is my situation. I can get a new kubota mx5200, loader, r4 tires loaded, remote, qa forks, 6ft bush hog, 20ft 12k rated trailer, and chains/binders, delivered for $34,744.68! Sounds great right! (At least I think so). Alif I buy the equipment listed above is good equipment, not junk. (Believe me, I have asked a thousand questions about this package deal.

This deal is from dealer in neighboring state over 7 hours away.

Here is where I feel a problem comes into play. All the local dealerships in my area are asking about $34,000 for just the tractor, loader, r4 tires / loaded. With the package as listed above, local dealers are about $8000 higher. That is a lot of money!

I am worried if I dont buy from local dealer, I will loose a very good relationship that I have now. (Have bought a lot of equipment from this local dealer and in return gotten the red carpet traetment, such as parts, repairs done to my equipment immediately, and just being treated like family whenever I show up).

I am especially concerned since this mx5200 has a lot of electrical stuff on it that I am sure only kubota dealers can work on and not just your friend who happens to be a mechanic. I feel I will get the cold shoulder treatment if I buy the better deal from out of state dealer and go walking in to my local dealer asking can you fix my tractor for me. You see where this is going. I think I will hear from my local dealer, load your tractor up and haul it to your out of state dealer if you want it fixed!

What do you folks all think. Loyalty is great and so is that relationship with local dealer and community, but is it worth $8000???
 
   / Loyalty to Local Dealership? ?? #2  
Tough call.I always buy local myself.For starters I don't think a 20ft.trailer is anywhere long enough to haul that tractor with a FEL and any implement,what brand and how heavy duty is the BH(lots of differences in quality and weight).
My dealer has been outstanding and I would pay more to have him service my tractor,but that's just my experience.
Kind of funny,you hear about a lot of people running to Pa. to get a deal from NY.
 
   / Loyalty to Local Dealership? ?? #3  
A good relationship with a local dealer is worth a lot to me, but $8k is a lot of money. If you have that good of relationship with the dealer, then I would take your deal to him and see if he can come closer to it. If he can't then you will have to decide how much that red carpet is worth to you. I think that he would need to meet me at least half way.
 
   / Loyalty to Local Dealership? ?? #4  
I sort of see the point, but I also would question the integrity of any dealer who is nice to you on the sales floor but suddenly becomes a jerk if you bring a tractor in for service that was purchased elsewhere. If you are a paying customer (past/present/future), who are they to discriminate? Seems like a good way to lose parts/service business.

What if it was a used tractor from out of state? That is a common scenario. People couldn't buy used tractors if they were restricted to get service work done only at the original dealer.

The only place where I have heard this sort of practice described in a reasonable manner is at my boat dealer. They told me there are certain times of year where they get super busy, and they prioritize purchasing customers in the service department, but otherwise they don't turn away any work and will service anyone's boat no matter where it came from.

I do recall hearing a couple stories here on TBN where someone actually got better warranty service done from a different dealer than they purchased from (often in cases where the original dealer screwed something up). Warranty service is paid for by the manufacturer to the dealer, so it's not like you're putting them out or anything.

$8K is a lot of money in this case. If you think your local dealer is reasonable, you could maybe see if they can work up a better price to come closer to the out of state deal. But you may know ahead of time how they operate and what their sales attitude is like. I know when looking at Deere's my local store didn't give a rip about meeting/beating prices, even from their sister store 30 miles away. I happened to pass that sister store on the way to check out Kubotas, and they had a better price (by a lot) and weren't going to charge for delivery. I ultimately did not buy a Deere, but always remember how odd it seemed that I could get a better price buying from a location further from my home, when it was the same exact company. I know for a fact they trade inventory all the time, but I guess it's up to the local manager to decide on selling price. Their attitude ultimately cost the whole brand a sale opportunity.
 
   / Loyalty to Local Dealership? ?? #5  
When I bought my last Kubota, bought three from my dealer previously, I told them while I'd much prefer to buy from them, loyalty only meant so much and if they wouldn't couldn't com up with a price much more reasonable than the original offer, I would buy elsewhere. More negotiating ensued than I like, but we came to a good price, I paid a bit more and they took a bit less.

I don't mind paying a little more, but $8000 is a lot more, I would have bought elsewhere.

I have a great dealer that's been in business for about 60 years and there's a reasn for their success.
 
   / Loyalty to Local Dealership? ?? #6  
if you're comparing apples to apples, and that needs to be listed clearly in the bid, I go with the better price. if the local dealer shows a bad attitude, he loses future business and I get the regional manager involved.
Having said that, I give him every chance to get closer to the lower bid, and give him a little slack for good will in the future. I could find better things to do with $8000 than donating it to that dealer.
 
   / Loyalty to Local Dealership? ?? #7  
Take you bid in to your local dealer, show him exactly what each item costs ( if you have a breakdown by item), look at the msrp for each item, then have a breakdown with 15% off the msrp. I always put this info on a spreadsheet take it to the dealer, then we discuss from there, if you can agree to a price that is great, if not, thank him for trying to work with you and buy somewhere else. I think we all have seen how something looks good until you sign the papers and there are "hidden charges", so I always ask for out the door prices. I don't care what they give me for my vehicle (or tractor) and I don't care what they sale theirs for, I just want the out the door price, all the other stuff don't mean anything to me. I just want to know what comes out of my pocket.
 
   / Loyalty to Local Dealership? ?? #8  
how does sales tax play into the equation? able to go agri exemption within your state?...as mentioned, dealer support is big... lots of variables here & well founded. always a question of final price vs serviceability. best to you on this. the mx series is a reliable no nonsense series. wish you the best on your decision.
 
   / Loyalty to Local Dealership? ?? #9  
I'd give the local dealer the chance to at least come real close in price. If he drops within say a grand stay with him.
Otherwise save yourself $8,000. It's a no brainer to me but that's just me.
 
   / Loyalty to Local Dealership? ?? #10  
Personally, I don,t think it is fair to give your local dealer another shot at the price.
If you are comparing the exact same equipment, they are trying to stiff you for 8K, which is a lot of cash.
If the guy giving you the deal was good enough to give you that price on the first quote, then I think he deserves your business.
When I,m shopping for big ticket items, I tell all the bidders they get one shot at the price, no games.
 
   / Loyalty to Local Dealership? ?? #11  
Fairness is often in the eye of the beholder.

You ask to see what the price is, and they give you a price, basically assuming you have not done your homework and probably are a total newb, unless you've bought there before.

You do a little more shopping on the internet, ask for a quote from a dealer 7 hours away, and the dealer assumes you are doing your homework, and quotes you a realistic price based on his situation. Why blame the first dealer? He was seeing what the market would bear and what he could get away with. He's not running a charity organization, he's in business to make money.

If you give him a second chance, which I would, you're basically telling him that you're doing your homework, and he should take you seriously. If he doesn't, he loses the sale. He knows that, you know that, so everybody's cards are on the table. If you don't like it, and he can't come down, not really that big of a deal, if you're both courteous and respect each other. It's just business.
 
   / Loyalty to Local Dealership? ?? #12  
I am with BleedingOrange I tell them they get 1 chance and I will be shopping around low man wins - end of story ! after farming for 30 years I can tell you the loyalty only goes from the buyer ! the dollar rules for the dealer so why should'nt it be the same for the customer ?
 
   / Loyalty to Local Dealership? ??
  • Thread Starter
#13  
Both prices include the taxes. All the non kubota equipment is not the same brand, but are acceptable to me and I actually like the out of state dealers woods rc6 bush hog more then local dealers landpride 1872 bushhog. The out of state dealers trailer also looks good and is rated 2k more axel load then local dealers, 12k compared to 10k. I like the design of the "coyote contractor pro series and its features/options.

Tractor looks like it will fit ok on trailer with the setups I require, although I will admit it will be a little tight, but there is also issues with longer trailers too. Half both ways.

I admit, if local dealer could come close to just $1000 higher, I buy from him, but $8000 higher?? I have to survive and make smart business decisions too. I hope local dealer can picture this from my shoes or point of view.

I am going to give him a chance to "close the gap", but I am worried bad feelings are coming.
 
   / Loyalty to Local Dealership? ?? #14  
For a $ 8000.00 price difference I would drive 24 hours . Loyalty works both ways .
 
   / Loyalty to Local Dealership? ?? #15  
I am with BleedingOrange I tell them they get 1 chance and I will be shopping around low man wins - end of story ! after farming for 30 years I can tell you the loyalty only goes from the buyer ! the dollar rules for the dealer so why should'nt it be the same for the customer ?

Agree 1 shot at it as I don't like my time wasted.
 
   / Loyalty to Local Dealership? ?? #16  
8 grand is better in my pocket than a local dealer but... you seriously have to consider what happens when the local dealer isn't around any longer. How far will you have to haul it for repair then?
 
   / Loyalty to Local Dealership? ?? #17  
First, make sure it's apples to apples and separate the equipment out. $8,000 is a lot of $$ and some of the equipment has to account for some of the price differential. Something can't be right. Woods things can cost way more than Landpride. If that works out, then you know why you got treated so well when you walked into the first dealer. Separate the equipment out or ask for a price on just the tractor. He will get the hint.

It's business and not personal. What would a dealer do for you if the shoe was on the other foot? Would he take $8,000 out of his pocket to keep things right with you? If you want to know the value of $8,000, go try to borrow it.



I had this situation when I wanted to buy a tractor 10 years ago. Local dealer gave me a "retail plus" price without understanding that the rules had changed in retailing. He was several thousand away from a price a couple of hours away--and I had a trailer to haul. I wanted to trade local so I talked with him about it and agreed to pay $500 more than my long distance deal to keep it local. He smirked and accepted it with a twinge of arrogance/disdain and sort of treated me a little like a second class citizen . Not a lot but little. Imagine that, I paid $500 extra to keep it local and he was offended. In fact, when I asked for a price on a $45,000 tractor later, he took a month to get back to me with price. Should have been 5 minutes because I lost interest after a month.

We did a lot of business together including equipment repairs and another tractor with no haggling. He kept his retail pricing structure with other people, sold not many tractors a year and lost the brand to another dealer that sells far more. Point is, being nice only goes so far and will label you a trouble maker if you try too much to be a nice guy and negotiate a deal. Huh? It's your money. Had I bought from afar I would never have gone back to the local guy for service but would have hauled elsewhere. It's a gamble anyway because likely nothing will ever go wrong with a Kubota anyway.



Something is not right on the apples and oranges thing so be sure what all the pieces cost and are being priced at. Know this before you do anything else. Figure that out, buy the best price and if it's from afar, never mention it locally. Drop the subject and that's the end of it. You'll actually gain some "savvy" respect for that. Had I to do my tractor again, I would have bought from the better price, never mentioned it locally and let them figure it out. My happiness and life pleasures do not extend to an agreement to keep them happy and their business solvent. :)
 
   / Loyalty to Local Dealership? ?? #18  
Compute the cost for you to drive and get the gear from afar. Add that to the low price and take that total to your local dealer as your final offer on his gear. If he says yes, dandy. If not, your "extra" is that you like the remote gear a little better.

I'll bet that you seldom will take the gear to the dealer for repairs. You already have purchased a lot from him. If he refuses to service your gear just because it wasn't purchased from him, you don't need that kind of service anyway.
 
   / Loyalty to Local Dealership? ?? #19  
I have no loyalty to my local dealer, WHY he has no loyalty to me? Loyalty is a two way street. What I do is allow my local guys to compete with other dealers, and it's up to them FIRST if they want to be loyal to me.
Generally ALL local businesses I deal with are up to 25% HIGHER than anyone else.
Local Kubota at the time was 28K dealer would not budge off full retail so I purchased from South Carolina, and with shipping I still saved 8K.
Local Air conditioning guy ( all five of them) quoted me 5K more than a company that came in from 100 miles away. 5K in my pocket.
Local Ford dealer quoted 3K higher than company 75 miles away.
I get that different businesses have different costs in different cities, but when there is as much FAT as I'm seeing IN THE EXACT same product then
my local companies can bend a little but are all to proud to negotiate, of feel they are doing me a favor. Either that of they forget they invented this thing called the internet.
Nope sorry loyalty is a two way street.
 
   / Loyalty to Local Dealership? ?? #20  
Cut to the chase. Tell your local dealer what you can get it for. Give him a chance to compete. If he does fine. If he does not fine. It's business. Nothing more, nothing less. Sorta cold but business is business.
 

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