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Toro - there dropping my dealer???

Discussion in 'Lawn Mowing' started by meets1, Mar 13, 2007.

  1. meets1

    meets1 LawnSite Gold Member
    Posts: 3,775

    My dealer calls today and wants to talk when I have the time. Ok - I figure I have 2 new Z's order for this spring and he wants to go over some stuff.

    HE tells me that Toro is dropping him due to low volume of sales, not enough inventory on hand, that he isn't pushing toro like he should. Toro came and picked up everything he had.

    He carries snapper & honda walks. Jonsreed, marayuma, red max. Good line of equipment but by by to TORO.

    This fall I was there and he had the entire shop full of toro service work. Today he tells me they were all bought from Home Depot and he has lost alot of sales due to there pricing. He told me that HD is selling these machines for less than he is buying them for.

    Now I have purchased many toro's from him in the past and he is just a great dealer for us. Respectfull, his employees are great, etc. I just can't beleive that TORO would up and pull the dealership.

    I here they are looking at a local implement dealer who can handle more equipment inventory but still. Now I have a 45 - 60 minute communte to get any TORO stuff. Maybe I might switch to exmark. Always wanted to try there machines and I know TORO / EXMARK is like talking GMC / Chevy but what a pain!
  2. tallimeca

    tallimeca LawnSite Bronze Member
    Posts: 1,229

    but this is happening to dealers more and more.

    There was a post yesterday about a guy who was pissed that he dealer isn't doing Echo product anymore. I posted about how this happens all the time.

    This is more directly a distributor pulling out of the dealership then Toro directly. However, there's not alot a dealer can do.

    But to be honest with you, it sounds to me more like your dealer was in financial trouble. They wouldn't come take everything and walk out the door unless he owned them some money and couldn't pay it. I know this for a fact. What probably is more likely is that they came down on him and wanted him to take more inventory then he felt comfortable with and he told them to beat it. Don't blame him at all myself. These manufacturers are sitting on inventory and forcing it down dealers throats, causing prices to go up because if dealers are sitting on , they are paying interest on it.

    Just to put things in prosepective, an average size dealer stocking say 200-250 thousand in equipment, they could be paying 500-1000 dollars a month in just interest. There goes alot of profit off the equipment right out the door!!!

    I wouldn't sweat it, look for Toro to pop back up again at another dealer in the area. Happens all the time.

    I had heard a rumor that Toro was going to withdrawn from the commercial mowing market and stay with homeowner and golf equipment. No one else has heard this on here from the feedback I got when I posted it.
  3. meets1

    meets1 LawnSite Gold Member
    Posts: 3,775

    Exactly what my dealer said. They wanted him to have more inventory, push more toro and pay them more interest. He said there floor plan was awful where as snapper has up to 16 months for a floor plan for the equipment.

    touch thing with my dealer is Toro, snapper, he has, grass hopper, kubota,John Deere, Woods, Bush Hog, New Holland, Sears, Dixon, these guys are all in town. Scag dealer is about 25 minutes away.

    I hope the kubota dealer in town takes on Toro cuz there was some talk from him today - rented a tracked bobcat, muddy today, and he asked me about toro. So maybe........

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