How Much Do Tractors Cost Dealers and Why is My Deere Dealer's List Price High?
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- Опубліковано 29 вер 2024
- I received a viewer question today about pricing and why the online list price for a Deere tractor is vastly different than what's on Deere's website. Many of the manufacturers have websites where you can "build" a tractor and when you've added all of the options and attachments you want, it'll tell you the list price of the package. This viewer's local Deere dealer's list price is quite a bit higher than Deere's quote. What's going on?
First off, I never pay any attention to list price. I doubt that any dealer ever sold a tractor for full list, it's just a fantasy number from the manufacturer and the only purpose it might serve is to make the actual price look lower. Does that even work?
List price is usually meaningful as a way of setting the net price to dealers, or the invoice cost. When I was in the equipment business, the invoice cost was 23% of list on most premium models. If it was a basic or economy tractor, that percentage would be less, it might be 15%. So, if you know list price, you could determine dealer cost, right? The answer is no.
Most tractors get additional factory discounts that are taken off the invoice number, before freight. It's usually a percentage, it could be a flat rate, or it could be both. So, to know a dealer's cost on a tractor you're trying to buy, you'd need to know the invoice cost, and the current programs.
There's also what's called a "cash in lieu" discount. If you use the manufacturer's low rate program, you don't get that discount. I recommend finding out what the cash in lieu is, because it may cost you less to borrow the money from the bank and pay the dealer with that (which counts to him as a cash deal) and take the cash discounts. You should keep that in mind when shopping.
To answer the original question about why the dealer's list price and Deere's list price didn't match, I suspect either the salesperson made a mistake or just pulled a bunch of numbers out of the air instead of calculating the actual list price. I've been in sales a good part of my life and if there's a shortcut to take to get the job done earlier, most of us will take it. This time the customer caught him.
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Great video Mike !!!!!!! A look behind the scenes of a dealers world. Invaluable info.
I just recently bought my new tractor. MSRP was $32,888. My dealer who I've trusted for 20+ years said no you won't pay that AND there's a rebate out right now. So tractor with loader, 1 rear remote added and the rear tires filled was $28,800.
Always a super informative video!
thanks Mike for your videos. I always learn something valuable.
You're right about the "Cash back" instead of 0 %. I've done that math on every piece of equipment I've bought. As an ag teacher and member of the ag teacher's credit union I can get up to 100% or MSRP on any peice of equipment. The interest rate at the credit union is usually around 3% but I have yet to find a piece of equipment that I could buy for "cash" (at least according to the dealer) and not end up paying more for it after paying interest at the credit union. I suppose if you the funds in the bank to actually be a "cash" customer it will save you money.
This is not the case 100% of the time. Depending on the size of the tractor, if you plan to not pay it off early, 0% options can be truly more cost effective for the customer.
I asked for a quote from my local dealer and it matched the list price from JD’s website. Guess they didn’t watch your video.
Mike, Thanks for this video. Greetings from Connecticut. God Bless.
Very informative, thanks Mike.
Thanks Mike. This is where you shine over the other tractor channels! I appreciate your insight and behind the scenes experience.
Great video per usual Mike, thanks for the info and things we may not always think about.
HarleyDavidson was the only one I knew that could get MSRP(or more)for their product and that was back in the late 90's and early 2000's...those days are long gone.
try buying the new mid engine corvette at a discount from MSRP. Markets are driven by the law of price vs demand.
On attachments, specifically rotary mowers, what should you offer to a dealer ? If they have an asking price of $3600, what kind of offer is reasonable?
$3600.
Helpful info - thanks Mike!
Let's take for example the New John Deere X9 Combine. Lots of money right, hot item right. You may pay 20K, 40K above MSRP because its a hot item. For example, lets take the 2012 Dodge HellCat. If I remember correctly for the HellCat in my area (Calif) the MSRP was like 68K. I was selling a house at the time and I was gonna buy a HellCat when escrow closed. I go down to my local Dodge Dealer and they wanted like 108K for a HellCat. You said you never pay above MSRP. I think your wrong, HOT items like the JD X9 will sell higher than the MSRP. That's my two cents
The new Bronco is going to go for sticker or higher.
I heard (with John Deere anyways) that their dealers are able to set their prices to whatever they want. And I believe it too. I’ve been scouring the internet looking for a deal and the the prices vary around the country by quite a bit. I’m from north central Minnesota and prices are on the high side.(like they think we all have deep pockets) And the southern portion of the country, like parts of Texas, Georgia, Kentucky, etc... The prices are considerably lower for the same machine.
Please bear in mind that there are many, many different ways to configure and order machines of the same model, and dealerships in one area of the country may order them differently than other areas. When you’re comparing exact apples to apples, today’s tractor pricing is fairly similar thanks to the internet.
That's not true, no dealer can set the price wherever they wanted,
Thanks for the information. Do the programs tend to be better in the fall or a time of the year when sales are low?
Not necessarily. All manufacturers take a price increase every year, so it depends on what equipment is already on the ground, what market share is required of each dealership, and what programs are available.
Great info and great advice! Thank you
Thank you Sir!
Very helpful thank you
Pretty honest guy but the dealer makes at least 1/3 or he be out of business
lol you are suggesting we make 30% profits on tractors? I wish!!! You have no idea what you are talking about
@@mattb5029 I think it is YOU who don't know what you are talking about. In the internet age and the majority of buyers having some level of knowledge, yes at the point of initial purchase, it is liable to be more on the order of 10%. But the tractor dealers, just like car dealers, the money to be made is not in the initial purchase. It is in the implements added later and service and supplies. Over the life of the tractor, if the dealer does a good job of providing the customer with a good experience at the time of the sale and also after, having the customer use the dealer for those later purchases and service can result in a total profit over the life of the tractor of something on the order of 30%. This is what keeps tractor and car dealerships in business, not the 10% made at the time of the sale. If the customer never returns, that dealership will not be sustainable.
All businesses, banks included, have to make a profit to stay in business...if you think you're getting something free, you probably don't understand how a business operates.
or a crocked dealer just like car dealers
Dealers are all the same. Their main interest is to separate you from your money. They are skilled at playing games and messing with you.
Disagree. While we do indeed need to get paid so that we can eat and support our families, our primary goal is to solve your problem. I have regularly sold people a smaller, less expensive tractor than they originally inquired about, because I felt it suited their needs more properly and was a better use of their resources.
Get real everyone knows how all the crooks work
CNH is still monthly with target programs and specialized leasing options for territory.
Kioti is quarterly with updated finance/cash incentives.
The short line products are uaually quartarly. Kuhn, Pottenger etc..
In todays info rich world I tell my customers the blunt truth. The dealers have to make a dollar or else they wouldnt be sitting across from me now for sales or service on new equipment.
Yes the word 'deal" has to be good for you to buy.. i get it.. no one wants to pay more than they have to, but the deal also has to be good for me too.
But if im giving anyone looking to buy any advice before they hit the dealer, is understand that the days of slick haired sales reps and gold teeth are done. Sometimes a customer will walk in more knowledgeable on products than we are because of thier time dedicated to researching what they want. So work with us instead of demand the best deal we can or else you'll go to the competitor.. trust us, we know you are shoping around and we want to negotiate. It means your serious about buying.
Most of us equipment sales reps WANT your business because it helps us put food on the table, keep the dealership open and put you into the equipment you want and need.
Do your homework on the product, double check the numbers, ask questions, ask questions, ask questions.
Great video topic, Mike.
I dissagree. There are still a few slick hair'd gold teeth salepeople out there. I agree going in the Dealership packed with more knowledge than you think you need. Pretend it's a school exam and print cheat notes. Keep them in the car to refer before going into each brand's Dealership. :)
To your point ruyguy8888, I happen to live close by the lowest price Deere dealer in my state and maybe region and I am looking to purchase from another dealer 60 miles north of me because I couldn't get any cooperation from the one by my house. They don't give a damn and I found out that lowest price also means lowest attitude and lowest customer service.
Agreed. The internet has definitely begun to keep our industry accountable. I just wish the internet pricing could be a bit more accurate, so that I have less arguments with people about that part.
I bought a Deere 4066R 4 years ago. They were offering 0 for 84. I was planning to pay cash, but when I asked for the cash discount all they offered was $1,000 credit towards any implement. I hate to borrow money, but that’s a no brainer. Assume they were in clearance mode. So timing is key.
Buying a tractor is almost as bad as buying a car. The dealers play the same kind of games. The reality is you are not buying a specific brand, you are buying that brands dealer network. Sadly other than Deere and Kubota are the only ones with an expansive dealer network.
My issue is a dealer has opened very close to my farm, less than 4 kilometres away. I think they will be a good dealer as they a large hydraulic mechanic support company. So they know a lot about machines.
The issue is they are selling a brand I’m a bit unsure about. It does not have the best reputation.
Having been in both businesses, the equipment business is SO much more simple than the car business. There’s not too many games to play, honestly.
Lots of great information in this one. I already bought my tractor, in fact I paid it off a couple months ago. I will definitely do a few things differently next time, thanks, Mike!
Mike you're right, MSRP doesn't mean a thing. Go to a lot of the Ford truck dealers, you'll find MSRP AND RIGHT NEXT TO IT? THE PRICE THAT THE DEALER'S GOING TO SELL IT FOR ....... WHICH MAY WELL BE $10 TO $20,000 MORE THAN THE MSRP. THE WORLD HAS GONE MAD!!!
WHICH COULD BE 10 TO $20,000 MORE THAN MSRP WHAT IS GOING ON???
Now in the tail end of April...with the current supply and demand, you’re negotiating power is all but moot. Besides the program discounts offered by the manufacturer, you buy a tractor today, you’re paying “list” price.
every NEW tractor should come with a bottle of salve and a grief counselor ... cuz your a$$ just got raped!
NEVER buy new! waaayyyy to much depreciation! always find a good used one!
thats some great information you shared there Mike. Hope you and your family are doing well.
I watched this twice, and got no info. Since nobody ever say's what they actually got and what they paid for it... August 2020 Butler PA... I bought a 1025r with front loader, pallet forks, post hole digger, tiller, and backhoe for 26,100. That's out the door, delivered with stupid tax. And yes I paid an extra $450 for 0% for 72 months, with 5 grand cash down, to put my payment at $320. It's a right off so, someone tell me if I over paid or not.
No sir, that seems about average to good. I wouldn’t say you overpaid at all, especially if that’s including tax.
i just bought a 2016 tractor off of tractorhouse. dealer list was $133K, i offered $114, we settled on $117K. this was in the fall so that may have played into their thought process on the negotiated price. i've often heard your offer should be around 10% off and it worked for me.
The bottom line is the dealer will sell you the tractor for whatever price is best for his business at that particular moment. It may be list price, invoice price, somewhere in between, maybe even below invoice if he's desperate to move product at any cost. The dealer is a salesman and he will tailor his approach (and price) based on what kind of customer you are. If you're an "invoice" guy he'll produce an invoice that shows you're getting a good deal. If you're a "service" guy he'll throw in some sort of service package. If you're into tech he will push that. His job is to read you and tailor the deal to your customer type. That's not dishonest that's just salesmanship. Main thing is to pay what you can afford and stick with a dealer that has a good reputation. You're going to own that tractor for a long time
I shopped price and service, made my decision after research
I wish I could take you tractor shopping with me
I'm look'in to buy a new tractor, 100 HP+, 4WD, Cab . So the dealer nearest to me is a Massey shop, I have a Massey now so I stop and take a look at a 5710 full cab unit. The owner was my sales rep, nice tractor, he quotes me a price that I was good with and throws me the keys and I run it around the lot and am already seeing myself running the bat-wing full tilt in the AC with no bugs in my eyes. I park it and go in the office with him, he's tooling around on his PC and gives me the old "I made a mistake" line and adds a even 10K to the price tag. I back off and tell him I'm going to go look at a Deere and leave, thinking this guy owns the place, how can he not know his prices. A hour later I'm at the Deere shop looking at a 6110R cab unit, salesman shoots me a price I was impressed with and we go in his office, lighting strikes twice, same story he add a even 10K to the price, to make this as short as possible the exact same thing happened at the Kubota dealer latter that day, another +10K once in the office. I guess this is the new version of "let me go talk to my boss" line. To be honest I would have probably bought any of the three if they would have given me the real price up front, it just felt like I was getting ripped off for 10K. Meanwhile I'm still risking my life on the old no cab, no ROPS, no 4x4 and not a clue of brakes, MF-85. Pray for me, lol.
I’m a Deere salesman, and I’ve said that line twice. But I actually did make an honest mistake. People think we make piles of money on tractors, but a $10k mistake would cost me my job.
However, 3 dealerships all making a $10k “mistake” does sound fishy.
Sounds like the guy was being high balled from the beginning.
Good info Mike! I found so many differences online - best way was to call the dealers, get phone quotes first, then go to the dealer - talk to the mechanic about the tractor you want, and then ask for extras from sales guy (50 hour or first service free, delivery free, etc) and save up to pay cash beforehand to get the best deal.
great info! if tractor package cost 30 k how much should i offer them?
31k jk
I'm currently ;purchasing a john deere tractor tractor.,
P:er the purchase agreement,The terms are 5years, zero interest.
does this mean all the markup/etc is buried in the purchase cost?
Yes most likely
Absolutely
What you don’t understand is that any difference in price between cash and financed price is paid to the lender. It is not extra profit for the dealership. If it is $20,000 cash, and $21,500 for 0% for 60, then the dealership is getting charged $1500 by the lender. It’s not an extra $1500 for the dealership.
Bet the thumbs down for the video came from dealers.
I’m a salesman. I absolutely love this video and wish all of my customers understood this. Especially the financing part he discussed at the end.
This kind of information packed video keeps me coming back to your site often. Very informative, thanks Mike
should of made this video sooner so i could have seen before i bought my kubota :P
i got lucky and got half of it right though. so its ok :P
I hate debt, so i asked for cash price to buy , and then found the 0% to actually be 1.5%, which is still a really good deal. so i ended up financing, since 1.5% is below inflation.
the guy kept saying "we dont make any money on the tractors, it all comes from the attachments" so i didnt even think to put an offer in. ooo well.
When’s the best time to buy? Sp, fall, or winter? I Figure summer is always busy.
Somewhere Mike has a video on that, though I don't know which. I think the answer was none. It's all these discount programs that make it vary.
“Best time to buy” is a myth. A salesman is more likely to haggle with a guy that’s ready to buy today than he is to haggle with a guy today for him to “come back tomorrow”
Thanks for the information. Great info.
Thanks Mike for all your information. When I’m ready to buy a tractor I’m going to hire you to come to NC to help me.
I was in Farm Equipment sales for several years and tried to steer customers away from 0% financing. When you use the 0% programs the customer is actually paying all the interest up front by giving up the cash discounts. If for some reason you want or need to pay off the equipment loan early you don't recover any of your interest.
Currently it depends on the equipment. On green
I used to be a sales rep in Australia, and it was exactly the same .
There is no such thing as a free lunch. Give your dealer a wish list of what you may need in the future, and he should match you up with some really good marketing programs from the manufacturer (factory discounts).
I've been farming now for over 20 years and predominantly buy 2nd hand , but sometimes technology needs to arrive new.
Don't get conned into taking finance packages, because it's easy. Your bank should always be able to beat the dealer, which allows you to pick up the extra discount on the purchase price.
Not necessarily true. I have some equipment that the 0% for 60 month price is $500 more than cash. There’s not a bank on the planet that can touch that.
Ha Shopping now and all prices I am being quoted are way over MSRP. Not only do they want to sell it at MSRP they want to sell it over that.
Looking to buy a kioti subcompact new. Is it like a car dealership in wiggle room on price? Should I try for lower price or add on like a third function on loader?
If their margins are like mine (deere) then there’s not enough room to throw in a 3rd function. You’d be best off to try to get that third function at cost if you’ll pay what they quote you on the rest. That’s typically pretty fair in my experience. People think dealerships make a killing. But realistically on $20,000, the dealership is probably making $1700ish dollars. Which means the salesman is making $170. And if he only does that 3-4 times in a month, it’s pretty hard to eat on that.
Great information, thanks Mike.
Could it be "dealer add-ons"? Like you see a lot on cars where the dealer adds a "dealer prep fee" or charging you $500 for floor matts🙄 ....ok, I digress. But could the difference between dealers be because one added a third function kit another arm rests, etc.... ?
With some dealers they are given larger discounts on wholesale purchase from the manufacturer if they are a high volume dealer, they may get discounts from the manufacturer as a result of the huge volume they sale. So the prices you may see as MSRP maybe different for each brand dealer. They all use those magic numbers to make you believe you are getting a good deal...you aren't, you got the same deal the guy before you got LOL.
CNH as a rule usually gives their dealers 30 days from the day they get the new machine before they have to pay for it . And also the large multi store dealers are now even offering their own programs vs the manufactuers offers . And also if you attend any kind of farm show or trade show they do offer some cash back or interest deals but you have to sign up to get it. And also get to know the dealers company rep cause they also get so much a month or quarter that they could throw in to get the deal made . Otherwise find out if there are any Veteran's or Farm Bureau incentives or If you are a not for profit they can also knock down prices or if your under a GSA deal as well . Or even if its a multi unit deal too since i know Agco and Kubota will give you up to a year on another machine to get it sometimes. Biggest thing is asking your dealer about these things
7:18 "Programs you can download..." I believe what you are referring to is an "Amortization Calculator." No need to download. Most you can simply do live/online. Takes about 10 seconds (literally) to figure out if the dealer or your local bank/credit union is the better deal. P.S. Thanks for the "behind the scenes" explanation on dealer pricing. I have the same frustration that your viewer wrote about and it was nice to hear reality from a trusted source like yourself.
😊👍
Green paint is expensive.
If you buy a JD tractor, you get the junk you paid for. Bad company, bad products.
Good info 👍
Always learn something here.
What he’s saying is your going to get screwed. This is simple, make an offer they won’t take and work your way up.
but you didn't answer his question, he got more than one quote from more the one dealer and they were all different than the manufacturers. what is the odds that all of them can't add
When I bought my 1026R, the dealer I purchased from was a high volume dealer and gave me a price below what another dealer said he PAID for the tractor. I am very happy with my purchase and my dealer.
so I got one question. is there a best time to buy a tractor like in the fall or spring or just any time of the year? thanks
Not necessarily. Prices on tractors will go up every single year. This is a fact. It comes from the manufacturers, not the dealerships. It also depends on what size tractor you’re looking to purchase.
I bought a JD 1025R tractor about a year ago, right before this Covid thing and my dealer said John Deere always changes their prices and promotions from month to month and they have no control over the prices. I didn't know for sure if the sales guy was just making this stuff up and didn't really believe him. But I wanted a new sub compact tractor and I know other brands cost roughly the same price. Needless to say I bought my 1025R from that dealer mainly because they were only 15 minutes from me. If I knew what you said now, I would have waited and looked around for a bit better deal. Thanks for making this video and helping other people save some money on their new tractors.
I’m a Deere salesman in Oklahoma. John Deere programs are indeed subject to change every month. The reason being is that sometimes they will offer the dealerships more incentives to sell certain tractors by allowing the use of funds set aside by the manufacturer. It’s to encourage market share growth. If that allotted budget is exhausted, the price goes back up. It’s not a shady tactic to get more money. It’s truly to offer incentives to customers to buy. You MIGHT get a better deal on some things every now and then by waiting a singular month, but tractor prices go up every year. Period.
Sounds a lot like car dealers, except no Monroney Stickers.
Careful the reality is tractors are in demand and they can charge as they see fit.
When it starts with an ad I just shut it down and keep going it's not that important to me I just go to some other sites.
Mike, that was some worthwhile information, Thanks.
0% is not 0%. If you do the math on the difference between paying cash and using “0%” it’s about 5-6% interest on what you’re doing. No such thing as free financing. I have bought several Kubotas and that’s the game they play. I’m sure the other colors work the exact same.
There is no such thing as free financing indeed. While it might be misleading, 0% is definitely 0%, where the payment is amortized evenly throughout the term to where you’re not paying mostly interest for the first two years.
New Holland is part of Case, not Agco.....
Very very helpful, I'm just in the middle of this, getting quotes from multiple dealers on a couple different tractors, and all the numbers are wildly different
So what he said is the dealer lacked integrity.
You should at least mention the dealers have a good amount of overhead... Not only the obvious of staff, training, and facilities, but interest on the machines and repairs for lot issues etc. I was surprised with the 23% figure though... Is the shipping cost part of invoice/list, or is that something else that needs to be accounted for too?
Invoice is 23% off MSRP. Freight and setup are added back after that.
Great info. Appreciate you. GOD Bless
I am looking for a older compact tractor and I can not believe how much they are selling for these older tractors are as expensive as a new one why is that ???
Because the market is strong. It has been for a few years. Also, due to Covid, we’ve seen a decrease in equipment availability from the manufacturers, so used equipment that is on the ground and available is becoming even more valuable.
There’s a Deere dealer near me who charges list price. Whatever is on Deere’s website is what the price is and they won’t haggle. They’ve been in business since 1964.
Hi. Deere salesman here. How on earth does any Deere dealership stay in business charging list price?
Mike, thank you for always providing great information on your channel.
T++ti
What bugs me about the cash rebates many manufacturers offer (rather than just lowering the price) is that (in most jurisdictions) you're charged sales tax on the gross price, not the price after the rebate. So, you're being taxed on the amount being rebated.
No sir. Let’s say my invoice on a tractor is $20,000, and there’s a $1000 cash bonus, you will be charged sales tax on the selling price, which is $19,000.
I do not know a manufacturer that has some sort of “mail in” type rebate that you would not get immediately at the point of sale. If a tractor costs $20,000 and they have a $1000 cash incentive and they charge you sales tax on $20k, you’re getting ripped off.
Is no state sales tax on farm equipment etc in TN which is awesome. Even though I see a lot of Deere equipment I'm not a fan of Deere equipment. Ferguson,Case for tractors, 🐱 or komatsu for the heavy equipment.
When you go into a dealer looking to get a somewhat loaded tractor is there a good percentage off MSRP that you could count on paying? Or at least a percentage off that you know is a fair deal so that you know you are not getting screwed?
Thanks again Mike, I really appreciate all that you do!
Zach, not in my experience. The invoice price on most tractors is anywhere from 15% to 23% below MSRP, but there are manufacturer programs off of that number that changes based on supply and demand. A big part of my career I could have sold a tractor for what it said on the invoice and made good money because there were substantial discounts off that. So, there's not a good rule of thumb.
@@TractorMike Thanks Mike! Going to be shopping soon so at least I can go in and know if I am getting 15%-23% below MSRP I am not getting taken. haha Great channel and keep it up!
Thanks mike , great info
List price has relationship to borrowing factor.
Borrowing factor is typically determined on book value, not MSRP. At least it has been in my experience of getting customers financed.
Awesome video
Thanks for sharing!
Thank you for making this video, I was also finding dealer to dealer list price was different.
Well for the second question in the title, a true story.
A nice Dutch fellow bought my Dad's farm. For several years Dad, worked off and on for him, mostly to keep busy.
They were in the market for a 140-160 hp tractor, in the "good used" market. So less than 2000 hrs, good shape, etc.
So not a small amount of money. They looked around a fair bit, and found a few to choose from.
The JD dealer had one so they went to look at it. Obviously price came up.
Direct quote from that conversation.
Dave, the customer. " Why are all the John Deere's 5 to 10 thousand more for a similar spec tractor? Why are you charging more for basically the same thing?"
Salesman's answer. " Because we can.' At least he was honest. But didn't make a sale.
My dealer wanted twenty thousand more for a used pull behind swather than what I bought my new Kubota for. They let that green paint really go to their head.
The way Deere is structured now it pays for a dealer to have multiple locations and buy large quantities of product. This gives the dealer the best price whereas a small dealer gets a price a lot higher and therefore can't compete. I know of several large dealers that order tractors and equipment for smaller dealers in the area and when they come in just transfer them over. This way the large dealer gets a better price on all of his equipment and the smaller dealer gets a better price too.
I would look for an older tractor before they started to make you have the tractors repair at an authorized repair depot. Old tractors work fine and can have roll bars etc added.
The difference in list usually is freight. If the tractor traveled farther from the factory, you’re going to pay more. When dealers offer invoice it’s a bogus number. Only the dealer principle knows what’s true dealer invoice. And like car dealers, there’s a hold back figure to guarantee the dealer makes a certain percentage of profit no matter what programs there are. Most times, few will come ahead on a low rate deal.
I got 2 quotes in my state and a 3rd in an adjacent state and the adjacent state quote showed a list price $320 higher, so you might be onto something with your comment about freight. In my case, the adjacent state was further from where the tractors originate. $320 further...doesn't seem like it to me, but maybe so. Funny thing is that even though that dealer showed a higher list price, the price they quoted me was lower than the other two dealers.
Ready to buy our Mahindra and this video, as all have been, will be very helpful.
THANK YOU for the education.
On behalf of every salesman that has had a customer who wanted to trade in a mahindra, please don’t. It’ll be the worst tractor buying mistake you’ll make.
@@pilotmatt293 mahindra is junk. Try getting parts for them. I like Case, Massey Ferguson, John Deere then Kubota. Have run New Holland equipment and they ran good but parts were expensive since not many dealers around without having to drive 30-60 miles.
At least JD used to have a volume discount program, which means that the more the dealer sold the more that would be taken off the cost to dealer. Most sales people did not know this. The reason I know is my father was a JD dealer back in the 70's - 80's.
Perfect - dead nuts - good work
All tractor sales businesses have the discretion to set prices at a practical level. Listing prices higher, leaves the ability to sell the tractor for more than it's worth. End of discussion.
What something is "worth" is determined by having a willing buyer to pay. Something is worth only what someone is willing to pay and not a dollar more. This is true of a Rembrandt painting or a tractor, new or used. If you are willing to pay $30K for a tractor configured as you want, but your neighbor is willing to pay $32K, then the tractor is "worth" $32K. Fortunately, and this is true whether we are talking cars or tractors, we have the internet now, and most buyers have it and don't walk in completely ignorant. Before the internet, you had lots of buyers who knew nothing and those were the ones the dealer liked best because those deals had the most margin for the seller.