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I just got back from Christmas at my Uncles house (the Head Sales Manager from a Dealer in Oklahoma) and was told their dealership is being sold to a very large dealer in the state of Oklahoma. He said if/when they acquire their store it will be #10 in their chain of dealerships.

He told me that Deere believed that there were too many "Mom & Pop's" dealers running around, too many owned by only one or two people, and therefore no large dealerships and thus creating more paperwork for the large John Deere Headquarters. They believed that they now have the right amount of dealers to work with, so now in order to buy another John Deere dealer or to buy one yourself you simply cannot. You can however invest in one but you cannot buy one yourself, you must be a current John Deere Dealer now. That is why you are starting to see stores being grouped together under large Corporations of people owning large amounts of these dealerships.

This was believed to happen with the local cooperatives in the state of Kansas a few years back and it as since failed as they believed in 5 years (5 years ago) that only a few co-ops would remain and they would all be owned by a few others but instead it backfired and many of the largers ones went bankrupt and were again split into smaller companies. With size comes mis-management and bigger risks for loss. You know the saying "Don't carry all your eggs in one basket".... will this begin to happen with John Deere?

 

[combiness]

Alex, you must be psychic! I just visited one of my long-time friends over Christmas who told me much the same thing. He does not own anything green, except for a few antiques and those are not tractors. It's really sad that when farmers need more dealers and local service the most, Deere is giving it to them the least.

I really resent Deere's corporate policy on the dealership issue. In 20 years, I have the contracts deliberately pulled from long-time, well-established, "ma and pa" dealerships, only to consolidate sales to someone else's chain.

I'm really surprised more farmers and CH's are not just changing colors!

 

[funkc24]

Alex,

I'm just curious, but where does your Uncle work. I'm from western Oklahoma and both my parents work for a dealership whose network includes 9 stores in western Oklahoma and the Texas Panhandle. I have heard a rumor from a friend of mine at Oklahoma State who is from Medford asking me about the same thing. This was all news to me and your the second one I have heard make mention of it. In my opinion, 9 stores may be too many, but they seem to be doing well so far. I hope you had a Merry Christmas and have a Happy New Year

 

[placeholder]

I can kinda see why it would make things easier for peole having a few people to contact as they can call around their stores and see if they have it, but then again why not make a few extra phone calls, and end the tyranny of large corporations.

I felt the most sorry for them as their dad had just died this last August and they were told by Deere to either eat someone or be eaten themselves (Buy someone out or sell out themselves) and they choose the later as they're in no position to want another store as the two boys left are both farmers, and race horse owners, and several other endeavors that I'm sure are paying more than a dealership so they're getting rid of it.

They did have one really cool feature about the store however, they kept 3 of each toy EVER produced by ERTL for Deere since they owned the dealership (however long it was). They have the toys in the orginal box, and they have a semi-trailer that's inclosed they're boxing the toys up in 5' x 5' x' 4' boxes filled with toys, probably over 15 or 20 easy. They had a STEEL 6600 toy combine NIB for $7.00 when they were selling them, now what's something like that worth? Kinda interesting I thought, but 3 of every toy? There was 3 people in the dealership, I'm going to guess why they kept 3 of every toy, one for each one is my guess.

 

[combiness]

That 6600 is worth at least $250 or more. There were those with a little metal chain for the reel instead of the plastic gear. I suppose those are worth maybe another $200 more by now. I had a chance to buy one back in 1978. It did not have the chain. Geesh, what a crude model, though!

Not very realistic at all. Had I done it, I'd have a nest egg. It was priced at $15, which was a good chunk of money then for a min wage of only $2 something/hr.

I never got excited about any toy combines until the little bitty 1/64th ones came out. I did trade a 2-year subscription of my newsletter for a Joe Ertl Gleaner N6 back in 1985. Of course, I discarded the box [a crime I later found out. I also painted the reel bats silver and used black transfer film to make the realistic bands on the unloader shaft, painted the shiny silver screw heads white to match the cab. For years, my reasonably realistic N6 [the real ones don't have much resolution anyway] on my coffee table always with a binful of Hershey's kisses or mini Reese's cups.

 

[8820titan2]

I work for a Deere dealership and there are 5 stores all together owned by one guy. He flies a helicopter(that he owns) to whatever dealership he will visit that day or may visit them all in one day. I'm in Kentucky. He bought his first dealership in '90. Now he could buy another one if one came up for sale and either keep it open or close it, I am not sure. But the small dealerships are being absorbed quickly.

I always found the small dealerships friendlier. Just my opinion though.

 

[gibbons025]

I bet it is Western Equpiment in Oklahoma. Our next door neighbor owns 30% of that dealership we are very close freinds with them. They are becaming huge in the ownership of dealers, they also have bought out some large ones in the Texas panhandle.

 

[combiness]

Sounds like it to me, too.

 

[b575]

Truth be told after dealing with cat, There is no need for a dealer every 20-30 miles. With excellent management, a mobile service tech can do anything to any equipment we have purchased from them in a more timely fashion than the red/green show 5 miles north of us..........Its now only the green show, Case shut down a 7 year old building 2 years ago. The local Deere will not be a familly dealer after the 52-54 year old brothers decide to retire. (their boys are my best friends and were told they never had a chance to run the store).

Its something we all will have to get use to, just like crazy land, Fert. and Fuel prices.
Good Luck to all!

 

[brandonswia]

Deere wants their dealers to move to more service people working out of trucks instead of shops.

Brandon

 

[hfh]

Up here in ND, there is a noticable dealer network thats getting bigger with less mom and pop dealers. My local JD dealer shares dealerships with 3 others, yet they each still have their own names but with one owner. If a certain area has has 3 dealers with one being the larger, its not uncommon to see that larger dealer buy out the 2 smaller ones therefore expanding itself, unless of course, RDO buys them all out. The biggest JD dealer network in ND is RDO. I can see why a dealershp with several stores can do better than one single owner dealership could do. Case IH or CNH is also going into the trend of larger dealer network. In this case, Titan Machinery is the largest Case IH/CNH dealer network in ND.

 

[placeholder]

I believe it is Western Equipment that is buying the dealership

 

[combiness]

Oh that's a real strategic name; TITAN Machinery! LOL I would have expected to see such a name with a green label, haha!

 

[b575]

HA! Good one Combiness

Finnally something Red stole from green!

Heard Titan now has the dealership in D**e, IA? (I guess that town is a dirty word

...... A few years back they bought dealers that were part of the company that owned the dealer in my hometown.

Not sure how the Deere/ RDO relationship is going? Thought I read Rdo is suing Deere & Co for yanking its dealer liscense in the Minneapolis area?

 

[combiness]

Now just what is RDO? Did you know that "Titan" the name given to the 20 Series J.D. combines, is the first time Deere ever sed a trade name other than just "John Deere?"

Seeriously, I do love J.D.'s as much as other combines.

Trying to pick a favorite brand or color to me, is like a mother of several saying that "Joe" or "Bob" or "Jane" is her favorite when she loves all her children equally.

 

[jacobb]

Does anyone know if Western is the one that has the 3 R65's? I almost think it was. Does anyone know what cities the machines are located. Thanks

Jacob

 

[b575]

Combiness.....

Here is RDO http://www.hoovers.com/rdo-equipment/--I....= rdo-equipment

I beleive he Ronny Offit started with Potato's. Came from nothing story. Next thing ya know, he was growing potato's from Texas to Canada.......Then got into the chip business(Frito lay potato Chips)........
Now has 40 deere dealers...........Not the whole story, his son (in law I think) has controlling interest in 4 deere dealers around me..........Soooooo, He's into more than anyone actually knows.
Took his company public then private.........How does that happen?

 

[placeholder]

They're keeping it open, they were forcing the old owners to either shut down or sell out to someone

 

[combiness]

Quote:

I always found the small dealerships friendlier. Just my opinion though.

I totally agree with that! I used to really love going to the old dealerships where I could sit around [during slow times or after hours] grab a pop from their machine and talk about combines, farming and even the way stuff was heading. Those were the days!

Today's dealers are only interested in sharing their time as long as someone comes in with a fat wallet.

 

[funkc24]

jacobb,

Western Equipment does have 3 R65s sitting on their lot. They are located at the Weatheford store and are local trades from a custom harvester. If you need more information, I can try and get it for you.