Lazer price - revisted........

Discussion in 'Lawn Mowing' started by DaveinVa, Mar 31, 2001.

  1. DaveinVa

    DaveinVa LawnSite Member
    Posts: 28

    I thought I would post - so you guys can see what the numbers are looking like and the decision I have to make - and as always I'm open to your thoughts as to what you would do..........so here goes - The lowest price I've gotten on a 23kaw is $6799 - BUT it is from a dealer which is roughly 1 hour away from me. The local (and only) dealer - less than 5 minutes away say's that their price on the same exact unit will be $7250 - $451 more........ Yesterday I met with the owner of the local dealership and simply asked (after he stressed what a great price his was) - how is another dealership able to sell the same thing for $451 less - and his response was - they aren't making any money on it.....and got real defensive about his price being great and how he is in business to make money. Frankly - I don't think the other guys are in business to lose money !!! All I can think is there sure must be a whopper of a markup on these things! What I find interesting is that the local dealer kept stressing over and over how he will cater in service to the commerical buyer who buys from him - but won't guarantee the same kind of service from those who buy their units from another dealer - which is understandable - EXCEPT - he certainly does not give ANY cuts in his hourly service rates because you buy from him - his rate is $58 per hour. I can't help but shake my head when I think how these dealers just like car dealers (for the most part) - just don't have a clue - that a very healthy business can be built - just based upon service to the customer alone. If I was in the equipment sales business I think I'd have to look at the long term or big picture - rather than short term quick buck game. I'm inquiring as to the reputation of the service department of the less costly unit dealership - and having to weigh - in the long run is it worth paying the extra $500 to this dealer and only have to travel a few minutes to take it to him - or go with the one at a further distance.........then of course the issue in my mind is - how often do these units have to go in the shop - if in fact ExMarks are a solid built - quality machine vs routine preventative maintenance, i.e., oil changes, blades, belts, etc...being done by us.
     
  2. awm

    awm LawnSite Gold Member
    Posts: 3,354

    I believe Id buy the cheaper unit if he is a good service dealer. Thats right much difference and with anyluck after its set up right by dealer you wont have to deal with either much.The local can be handled also just a matter
    of talkin the talk.PEOPLE MAD ONE MIN,LOVE YOU THE NEXT.
    not too big a deal either way.
     
  3. Keith

    Keith LawnSite Gold Member
    Posts: 3,977

    I believe I would have bought from the local dealer for $451 more....until he threw the "the other dealer isn't making any money thing". He was unwilling to work with you! You made the offer to work with him.

    We have dealers like that here. It's amazing, the dealers that are cheaper, move more machines, therefore make more money. This is the same way with anything.
     
  4. Barkleymut

    Barkleymut LawnSite Bronze Member
    Posts: 1,117

    $451 is nothing when your without a machine for a week because they had to tear down the engine, order a part, wait for JoBob to come back from Myrtle Beach to put it in and then wait a couple days before they call you to say hey its ready. And then 2 days later its spewing black smoke just like before. It happened to me because I didn't talk to other lawn guys about the dealers reputation. I did however buy from the only dealer of this particular machine that is in town. Now I take it to Lesco where the mechanic is more knowledgable than the dealer who sold it.
     
  5. fireball

    fireball LawnSite Member
    from ne Pa
    Posts: 172

    even harder choice.

    Let us look at the facts. It is fair to assume that you will visit the dealer three times in the first year(once to purchase, twice for adjustments and maintenance items such as belts and filters, thirdly for them to go over it for the winter) One hour to go there and one hour to return, two hours times 3 times per year equals 6 man hours. If you charge $35.00 per hour to your clients you have just given up 210.00 in revenue to go to that dealer therefore the difference between dealers is really 240.00. When you add the cost of gas and depreciation of the truck into it it starts to narrow more.

    I can deal with a dealer that is honest and admits that he has to make money on everything that he does in order to survive. A dealer who doesn't make anything on the transaction but sells lots of them usually goes out of business or screws you with bad service just like all the scrubs we know
     
  6. sunrise

    sunrise Banned
    Posts: 247

    If your dealer with the lowest price is Dickerson then you should go for it.
    I did and live about 1 hr away.
    They are good dealer,always having work shop for you.
    they have alot of stuff you may need
     
  7. Dillon

    Dillon LawnSite Member
    Posts: 32

    When you give an estimate, do you negotiate on the price or do you give a price that you feel is fair for you to make a profit. You could look at the cheaper dealer sort of like a scrub. Stick with the local dealer, the first time you have a problem and have to drive an hour just to get it looked at that, that $451 is going is going to start looking like alot more.
     
  8. DaveinVa

    DaveinVa LawnSite Member
    Posts: 28

    Hey Guys: I certainly agree that the $451 is a matter of peanuts compared to quality and convenience of service. I guess the real rub with me is not as much about the cost difference in the initial purchase - but the ATTITUDE. I guess what's a hard pill to swallow as well is that this dealer also owned a warehouse that I rented for over 10 years.......never in the ten years were we so much as 1 day late on rent - and only once - when the water heater went out did we ever ask for anything from him - and then he b*tched and complained about how he wasn't making any money on his rentals, but eventually had it replaced.......in a small town area such as this - and over the years you get to know people pretty well. Trust me on this one - if this guy were in my shoes he would be insisting on a matching price - he's tighter than the bark on a tree.
     
  9. Keith

    Keith LawnSite Gold Member
    Posts: 3,977

    You seem not to care too much for the guy, and I can see why. Deal elsewhere. $451 doesn't buy you anything, go with the dealer you think will treat you better. I have found in the past, a lot of the dealers that are lower on prices go the extra mile on service. They want your business. The higher ones couldn't give a $h!t less about you.
     
  10. lawnnut

    lawnnut LawnSite Member
    Posts: 87

    If you get south of Fredricksburg those dealers will be
    serviced by a Distributor out of NC that will have the price
    of the mowers about 500 to 1000 higher.
    The west suburbs of DC Will beat about any where I know of on price for a new one.
     

Share This Page