Just how much do dealers make off a sell

Discussion in 'Lawn Mowing' started by FARMERlawn03, Jun 27, 2003.

  1. FARMERlawn03

    FARMERlawn03 LawnSite Member
    Messages: 27

    How much would a dealer try and make on say a Scag 60 in. 27hp Kohler? Or anything? Can I bring him down?
  2. Customer: How much to mow my lawn?

    LCO: $6000.

    Customer: $6000, I won't pay that much

    LCO: I can't budge on my price, I have overhead, labor, and all sorts of expences built into my price.

    Customer: I will pay you $5000.

    LCO: sorry, I can't go that low.

    A couple hundred, that's about it.
  3. J&R

    J&R LawnSite Senior Member
    Messages: 835

    The dealers markup is 10 to 18 % 10 if he don't sell a lot of mowers up to 18% if he sells alot.
  4. fblandscape

    fblandscape Banned
    Messages: 776

    My dealer told me like 5% profit margin after everything is paid for.
  5. cos

    cos LawnSite Addict
    Messages: 1,253

    Profit margins all depend on the manufacturer too. He sets a dealer price and the MSRP too. If it ain't worth selling the product, he will switch brands and then start talking that brand up as the "best". :)
  6. grassdaddy

    grassdaddy LawnSite Senior Member
    Messages: 565

    priced 27/61lc turf tiger for 9200
    the air cooled kohler 27 was 87 or 8800 this was in april.
  7. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Messages: 8,745

    I think that it all depends on the dealer and the amount of money that he/she wants to make. I know some dealers mark up 30% while others mark up 220%.
  8. MacLawnCo

    MacLawnCo LawnSite Bronze Member
    Messages: 1,847

    If you guys are gona bash your dealers down for $500, even $1000, you dont see the whole picture. Over the course of the machines life (easily 2000 hours), the $500 will cost you $.25 per hour, and the $1000 will cost you $.5 per hour. Pass the cost on to your clients, and then you will have a dealer who will just about bend over backwards to help you in a pinch.
  9. fblandscape

    fblandscape Banned
    Messages: 776

    Don't forget that when these guys are marking up the machines they sell, they have to pay their guys to put the machines together. They have to pay to operate their shops, the insurance on the guys and the building, they have to pay for gas and all this other stuff. It's not like it was years ago when they could ask for double what it cost them.
  10. Keith

    Keith LawnSite Gold Member
    Messages: 3,979

    I've always been curious myself how much profit there is in equipment. I have a dealer that knocks 10% of whatever equipment that I buy that he stocks. Of course he doesn't stock much that I actually use. He would do really well with me if he had Exmark and Shindaiwa :D

    I bought my EPS Lazer for $8950 from a dealer and they had a new 2002 model of the same machine for $8500. I am assuming they weren't losing money ;) As far as small equipment goes, something like a T230 Shindaiwa would go for $280 at a local dealer (MSRP) but I have seen some places sell them for $225.

    Who knows? Seems like a pretty well-gaurded secret.

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