% markup on Exmark Mower

Discussion in 'Lawn Mowing' started by kckid, Apr 10, 2002.

  1. kckid

    kckid LawnSite Member
    Posts: 13

    Don't want to seem like a :cry: baby here, I posted this message on the Exmark fourm. Would like to pose it here as well.

    Anyone know what the average markup on exmark laser Z, HP, LC are?

    Very few Exmark dealers in my area, and the quotes I have been getting seem only couple of hundred off "list".

    Would like to buy an Exmark, but I don't pay list.

    Thanks for help ahead of time.
     
  2. Mark

    Mark LawnSite Senior Member
    Posts: 723

    Thats the way the exmark dealer here in town is,60"Lazer 25hp Kohler List 9100 he sell you one for 8800 and thats final,i guess thats why you see 15 scags to every one exmark the scag dealer is great and will deal with you right. The exmark dealer is also a Deere dealer i guess thats what keeps him in business. Marks Mowing Service
     
  3. Martino

    Martino LawnSite Bronze Member
    from Midwest
    Posts: 1,772

    OPE for the most part uses discount, not mark-up. The dealer's discount would be around 15-20%, depending on things like buying quantities and payment terms.

    Since you don't "pay list", do you expect your customers to?
     
  4. kckid

    kckid LawnSite Member
    Posts: 13

    Thanks for the info... I'm a homeowner not a landscape business.
     
  5. ow man

    ow man LawnSite Member
    Posts: 111

    Good point Martino, you are right on the profit margines. If a dealer sells a unit for list at $8000, his cost is is $6800. His profit is $1200, he gives a landscaper a $400 discount, he makes $800.
    Then factor in business overhead, partial assy. and service, floor plan interest that comes due, and 20 units on his floor ($136,000), then if we have a bad dry season (which we all know spells disaster) That's enough to give you gray hair! Don't get me wrong, I'm all for not getting raped by a dealer, but everyone has to make a little money in business. I guess we all can pray for rain all summer, then we'll all be happy!
     
  6. kckid

    kckid LawnSite Member
    Posts: 13

    Let me ask folks, do they just pay what the dealer is asking for a car?

    How is this any different? Some of these things cost as much if not more than a car.
     
  7. Martino

    Martino LawnSite Bronze Member
    from Midwest
    Posts: 1,772

    This is different because it is not the car business....there are not holdbacks, dealer rebates and other incentives avilable to the OPE dealer (usually) that are standard in the auto industry. The dealer's margins have been shrinking every year, but not his costs of doing business. An LCO might get a discounted price because he will buy other things in volume like parts, blowers, trimmers,etc. that Joe Consumer will not. In other words, he will have earned his discount through his loyalty and continued business.

    If ya wanna dance, ya gotta pay the fiddler!
     
  8. kerr lawn

    kerr lawn LawnSite Member
    Posts: 154

    i went from one dealer who treated me like S*** for 2 years and then moved to another dealer who i would never argue price because his service is unbeatable. I have his shops nextel number, his personal nextel number, and his partners number. I have called these ppl at 9:30 p.m., sundays, and all the other days of week. I always pay my bill before i leave the shop and they love me enough to send me a x-mas card and my friend one who has bought some stuff from them.

    My theroy is i hate it when customers try to beat me down on price, so why am i gonna beat another small business man down on his price? Usually ppl aren't trying to rape you of your money, they just want to make their fair share. What goes around, comes around.

    peace
    bryan
     
  9. MuskTurfKing

    MuskTurfKing LawnSite Senior Member
    Posts: 338

    That's what everyone needs to find Kerr, a dealer like you have. Those are the guys that will make the money, pay a little more and get A LOT extra. Kinda goes the same with us too. Pay me what I ask, and you'll get the best, if you don't, you can have the scrubs.

    Hank
     
  10. ow man

    ow man LawnSite Member
    Posts: 111

    Kerr Lawn, AMEN You have a wonderful theory. Wish more guys were like you!
     

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