Why is it so hard to buy a tractor?

[daugen]

Slowpoke, welcome. Hard to believe a tractor dealer that also sells residential consumer goods isn't open on a Saturday morning.

 

[dickfoster]

I'm jealous of you guys and your dealers. The local Kubota dealer isn't open on Saturdays at all, and closes during the week at 530pm. With my schedule, it could be another month before I can get in there (Working out of town all week next week in Fargo... Hmmm... maybe I can make time to visit a few dealers there).

All the tractor dealers around here are closed on the weekends too.

 

[jibe717]

In reply to the OP, "Why is it so hard to buy a tractor"? I had the same problem myself. That's why I own 4 tractors and now a Husqvarna PZ 60 zero turn mower. Just bought the mower this past month. The salesmen in N. MN think I'm insane for shopping for a lawnmower with 2' of snow on the ground and the temp at 10 degrees below zero. My wife thinks I have a problem with buying machines too.

 

[Creamer]

In reply to the OP, "Why is it so hard to buy a tractor"? I had the same problem myself. That's why I own 4 tractors and now a Husqvarna PZ 60 zero turn mower. Just bought the mower this past month. The salesmen in N. MN think I'm insane for shopping for a lawnmower with 2' of snow on the ground and the temp at 10 degrees below zero. My wife thinks I have a problem with buying machines too.

How can that be? Where you are at you don't get much summer so you have to be ready. If you don't have the equipment before summer starts you don't have time to get it.

 

[jibe717]

We have two seasons here. Winter and getting ready for winter.

 

[MessickFarmEqu]

My understanding is that generally there is a 30% margin on tractors and implements, so a good starting point would be 15% off. That leaves 9 grand gross profit on a 60K package, say net half of the 9k to the dealer after paying expenses. That ought to be enough...

Yea... the is no holy way a dealer can make that kinda money on a compact. Competition between dealers is generally enough to widdle things down to the point that your paying far more in sales tax than the dealer is making in profit.

 

[daugen]

Yea... the is no holy way a dealer can make that kinda money on a compact. Competition between dealers is generally enough to widdle things down to the point that your paying far more in sales tax than the dealer is making in profit.

yes, you have competition between Kubota dealers and between brands with similar products. I guess Kubota doesn't
have restrictive territories. The margins you mention don't seem sustainable.
Your company is known to price aggressively. Others don't...which is why you are as successful as you are.
and your willingness to ship. If I were getting a tractor from far away, I would want a heck of a deal to offset dealing with a
quality local dealer who won't budge on price. If no local dealer, well, I'm a big Amazon buyer too...
If a dealer is far enough away they won't pick up your tractor for service, I think the price ought to come down.
I'm old fashioned enough to value local service, having owned several main street businesses in a small town, and will
pay a little more for that.

I've been blessed with two outstanding Kubota dealers in a row.
but it could have been JD if my first experience had been better.
And I looked at Kioti too, but thought the tiny new dealer might have been a little shaky.
Nice tractor though.

 

[Turbys_1700]

When I bought my Workmaster I had purchased items from the dealer prior including a FEL for my 1720. A friend of mine was looking for an L series Kubota and I told him to go up there. He went there when they were busy and he did not get the attention he deserved. Ticked me off. I am sure that if I would have gone with him they would have talked to him. I guess in a small dealership with only 1 main salesman things like that can happen. He ended up buying out of state.

At the time I purchased they were advertising in Craigslist the price on the tractor I bought. Since then they stopped that marketing plan but now advertise the interest rate and financing options. I am sure that they did OK but the discount from the on-line build price was a lot more than 20%. I think that the on-line pricing from New Holland is really higher than it should be.

Overall they do a good job and have a good repair and maintenance area. They are always busy. I hope to never need them for warranty work. I did the 50 hour service myself but will let them put in a 2nd rear hydraulic and 3rd function. Could have done it when I purchased but decided to pay cash for it later.

 

[DavesTractor]

Yea... the is no holy way a dealer can make that kinda money on a compact. Competition between dealers is generally enough to widdle things down to the point that your paying far more in sales tax than the dealer is making in profit.

I agree. Competition just won't allow it.

 

[JDL538]

Back in the eighties Meijer was in Ohio, before Walmart was here

That was a different Meyer..I'm from Cinti.