Tractor Brands Market Share

   / Tractor Brands Market Share #241  
Regardless, when the pie slices get small enough, at some point nothing is left but the crumbs.
 
   / Tractor Brands Market Share #242  
I figure smaller dealers sell under 10 units a month. Not a lot of money to be made there.

Our local mahindra, bobcat, kitoi, what ever the blue electric one, and lawnmower place always looks on the verge of shutting down.

I figure most their business is in the lawnmowers they sell
 
   / Tractor Brands Market Share #243  
I figure smaller dealers sell under 10 units a month. Not a lot of money to be made there.

Our local mahindra, bobcat, kitoi, what ever the blue electric one, and lawnmower place always looks on the verge of shutting down.

I figure most their business is in the lawnmowers they sell
So looking at conservative estimate, say they only get 10% margin and sell 10 $20k units, that's $20k in profit just from tractor sales in a month or $120k a year. Those sales build a customer base for parts, service, and attachments/implements. If they are selling other types of equipment, it is better for everyone. They diversify, which lessens their risk and overhead. It could allow them to keep smaller margins to compete. The other factor is that small shops run lean. Few employees and tend to have small, older buildings. Of course, there are drawbacks being the little guy. I guess I'd rather deal with them that a big JD store that is just part of a much bigger set of stores. If you don't have millions to spend over time, they don't care about you or your business.
 
   / Tractor Brands Market Share #244  
I’d wager Kubota and JD have a lot more overhead than other brands.
 
   / Tractor Brands Market Share #245  
I’d wager Kubota and JD have a lot more overhead than other brands.

Yes. The Kubota Super-techs who drive a circuit aiding local dealer mechanics mystified with a Kubota tractor problem are expensive to schedule efficiently and expensive to keep on the road five days per week.
 
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   / Tractor Brands Market Share #247  
I like Neal's videos, but I think he is trying to inject a little fear about the smaller brands, because he is losing sales to them.
I like Kiotis -
LS Seems to be an up and comer
TYM bought out Branson and is making tractors for others, and seems to be trying to get its act together (finally)
Mahindra's partnerships (TYM) and joint ventures (Yanmar) will be interesting to watch. It looks like they are getting serious about quality (finally)
Yanmar has great DNA - will need to develop a credible dealer network

Massey Ferguson is your Father's oldsmobile
McCormick is a Dead Man Walking
 
   / Tractor Brands Market Share #249  
Call me lucky, but my oldest Kubota, a 2013 has not had a single issue. Other than I broke the spot weld on the loader joystick.
 
   / Tractor Brands Market Share #250  
^^^^
My neighbor's Kubota is going on 30 years without a single issue. Not bad

Mike
 
 
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