tractor mark up price

   / tractor mark up price #11  
I posted this on another thread last night....


I am in the market for a new one as well, not sure 2320 or 2520. Leaning towards 2520. I am in PA and I am starting out by thinking Delaware is not far from me and they do not have sales tax so I should be able to save $1000 off the bat. So here is what the dealer gave me as the first quote on the 2...

2320 Tractor ..........................$11,672.00
200CX.....................................$3,054.0 0
62D Mower Deck........................$2,905.00 (with independant hydro lift)
54in Quick hitch snow blower ......$3,457.00
3-bag power flow......................$1,947.00

Total......................................$23,037 .00


2520 Tractor...........................$13,761.00
200CX....................................$3,054.00
62D Mower Deck.......................$3,069.00 (with independant hydro lift)
54in Quick hitch snow blower .....$3,442.00
3-bag power flow......................$1,947.00

Total......................................$25,275 .00


I really don't think this is too good of a deal but we will see.
Now, I notice that I already got a verbal price on the 2320 at a local dealershiip in PA and it was $12,900 (including the $250 delivery charge) so the DE dealer seems to be high on his base price ($13,473.00). I will be trying to strike a a better deal with him.. I also need to find out if the unit he has on the lot is a 2011 or 2010 left over and if it is a left over I will try and get a bigger discoun as it is an aging unit that he is paying on his floor plan. I think read that a good deal is a discount from 15% to 20% off MSRP.

After a final price is made I am think (not sure) i can take off the $1,000 rebate amount the manufacture is giving. The rebate does not affect the dealership bc i am pretty sure he gets the kick back from JD. It can be a smoke and mirror deal too. Where before the $1,000 savings you could have picked up the 2520 (alone) for $13,500 (15%) off and now with the saving that translate to being able to pick it up at $12,500. But that is where the smoke and mirrors comes in. Just sayin. It is kind of like buying a car.

Does anyone know about the "SET UP" cost that the dealer puts down for every attachment?????
 
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   / tractor mark up price #12  
10 % profit is about what a dealer can make on a new tractor sale. His overhead has to come out of that. If there was any quick, easy money to made in New Tractor Sales, I would still be selling them. Ken Sweet
 
   / tractor mark up price #13  
the profit maker is when they sell the trade in equipment.when i buy equipment i do the trade in,but when i trade the equipment is wore out.thus worth junk prices to the dealer.
 
   / tractor mark up price #14  
10 % profit is about what a dealer can make on a new tractor sale. His overhead has to come out of that. If there was any quick, easy money to made in New Tractor Sales, I would still be selling them. Ken Sweet

Here Here Ken.........I was in the marine business, (probably very similar to the tractor biz) and I would have been very happy to have ended up with 10%.........wasn't gonna happen, that's why I'm out as well.

Never been happier I might add.

REV
 
   / tractor mark up price #15  
Here Here Ken.........I was in the marine business, (probably very similar to the tractor biz) and I would have been very happy to have ended up with 10%.........wasn't gonna happen, that's why I'm out as well.

Never been happier I might add.

REV

Selling new tractors is more of a "prestige" kinda thing rather than a money making business. Most buyers, just don't realize this. Ken Sweet
 
   / tractor mark up price #16  
Selling new tractors is more of a "prestige" kinda thing rather than a money making business. Most buyers, just don't realize this. Ken Sweet

OK.... but when they keep coming back to buy oil, filters, widgets, gadgets, and a new mower, new disc, new tiller, etc, etc.

It's more than "prestige"! It's a relationship... And the sign on the door says "OPEN".

AKfish
 
   / tractor mark up price #17  
I think read that a good deal is a discount from 15% to 20% off MSRP.

That's a good range to shoot for... The "smoke and mirrors" of setup, dealer prep, freight, is just that!

Keep your eyes on the "pea" and not the shell!

If they want your business and you want to stay with them - you'll find a price that you're both satisfied with.

AKfish
 
   / tractor mark up price #18  
My thoughts as well AKfish...thanks
 

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