Hobby CUT Owners

[jaydee325]

I've seen reference to this in a couple other threads. Specifically, it has been speculated that Cabela's marketing to essentially hobby tractor owners is the backbone of their business model. And this is allowing them to command a premium in their pricing.

What this brings to mind is another "utility" vehicle. That would be pickup trucks. I remember back in the 60's, pickups were used to haul stuff. They could be bought for less than most cars. Then the "hobbyist" started bying them in droves and the price went up accordingly.

I hope this does not happen with tractors. They have historically been utility in nature like trucks were. The farmer used them to grow food for himself and his neighbors and made a profit. So, pricing was self limiting since farmers are generally on tight margins.

If the market strategy towards hobbyists works, does this mean tractor price inflation?

By the way, I'm a hobby CUT owner so I'm not knocking anyones motive for buying a tractor. The tie between pickups and tractors just seemed obvious. Or maybe not. What do you think?

Bob

 

[motownbrowne]

That's why they make so many models in the same size and horsepower. You can buy a 47 HP Kubota for 25k. Or you can buy a spend 40k for the grand l model. You can spend more on a b than a small m if you want.

Most farmers don't use tractors this small anyway. There's some use for the large utilities but most ag tractors are 140hp+.

Vegetable farmers like myself, though, use these tractors quite a bit. We are glad they make bare bones models. Honestly, though they could be designed better with vegetable production in mind. If a few manufacturers made a offset cultivating tractor, they'd be a hot item. Mostly though, I think that for the price, 20k can get you a pretty capable machine. I'd rather put my money in a new cut than a new pickup.

 

[dave1949]

I think you can order a plain jane pickup that would be similar in price to 40-50 years ago plus inflation.

Hardly anyone buys trucks with a std. cab, 2WD, 8' bed, AC and radio though. If you are selling a used one for a fair price, you'll be lucky to get a call. There are many (most?) models that don't offer a std. transmission in pickups anymore.

Deere, Kubota and NH all have CUT/small utility tractor model lines that are more or less bare bones. Those are relatively new offerings, so there must be a market for that type of machine. A base 2WD Deere 50xx model is not very expensive, for example.

 

[davrow]

It is already happening. Sure bare bones models are available for the working man, but the hobby market has suspension seats, tilt steering, fancy stereo and air in cab models (usually slightly above hobby pricing, but still) extendable 3pt arms, pin type sway control arms, hydraulic top'n'tilt, backhoes built-in to little tiny units, CUP HOLDERS!, the list goes on.

Ya don't need a lot of these options to make your tractor work - but people ask for it and the market delivers. For a price.

Honestly, what working man needs a vanity brush guard?

 

[Marveltone]

I'm hoping this eventually leads to a healthy used market. I only buy used equipment.

Yes I'm cheap!

Joe

 

[fieldman12]

I honestly think In, my opinion that sub-compact and compact tractors are getting way to expensive for what your getting. Like others said you are paying for features. I just don't understand how you can pay as much or more for a tractor that weighs much less and is not near as capable as the bigger (Utility)machines. I often see on here guys buy compacts or sub compacts and then bump up to a Utility tractor because they find out the machine is not as capable as they thought. Don't get me wrong they have there place but in my opinion price should reflect size just like on the bigger machines. You wont find a new 100hp tractor selling for as much or more than a 300hp tractor.

 

[Cherokee140]

If that were the case, then 90% of the pick up trucks sold in this country are just hobby trucks.

I hate to tell you this but they are....just like very few Jeeps go off road.

But in the case of cabelas I think they are going to miss the mark by a large part. I can only say from my own personal observations.....I live in the country....a small spot of land 13ac. Down the road from me we have a group of people that we all call the sub-division dwellers. These are houses all close together on 5ac plots. These are occupied by people that want to live in the country. Some have horses (for a while) some have large tractors, some have gardens, most are gone in a year....as in selling and moving back to the "city". Why....well heck I don't see how you do it...driving so far every day and gas is $3.50 a gal?...and you are so far away from the grocery store...my wife has to drive an hour to get to the mall....I have to haul the kids an hour for soccer practice....to the movies.....on and on.... Why do you stay. Me. I love it here.... They say....but it is SO MUCH WORK.....and on it goes.

Those people are the ones that are going to be buying the cabelas tractor...then selling it when they move back to town. And trying to sell me their **** horses....I hate horses.

It is easy to have that pickup truck...look at a new one. They are more car like and ride more like a car with each model year. When I left GM in the 80's no one saw this coming. But now we have Lincoln pickup trucks.

Those with the Lincoln pickups are the ones buying the Cabelas tractors (for the most part.)

 

[GManBart]

But now we have Lincoln pickup trucks.

Lincoln stopped making them after the 2008 model year.....maybe what will happen to Cabela's tractors.

 

[Cherokee140]

Lincoln stopped making them after the 2008 model year.....maybe what will happen to Cabela's tractors.

My point exactly.

 

[kcflhrc]

People with more money than sense will buy the Cabela's tractors. Why? Because they were there buying other over priced crap and saw a tractor and bought it just because. It's a smart move but time will tell if it's a profitable one. My guess is it wont last. Those Lincoln trucks are cool though. But I like my yuppy Avalanche better. Another awesome vehicle they stopped making in 2013.

 

[DeereMann]

Right on, Cherokee140 -

Same thing up here. The trenders move out here to the country, find out it's 'work', then sell in a year. I see the grocery delivery truck out here sometimes. They don't want to work, they either weren't brought up to work, or they are lazy.

At least a few of the locals still garden, landscape, cut firewood, etc. I have been doing it all my life, love it, wouldn't dream of living in a condo (fancy apt. with self-important tenants), and running around all the time to escape my self-made prison in my luxury SUV.

And I have taught my kids about these things as well. They are free to make their own choice, but at least they aware of the choices they have before they make them.

 

[arrow]

I've seen reference to this in a couple other threads. Specifically, it has been speculated that Cabela's marketing to essentially hobby tractor owners is the backbone of their business model. And this is allowing them to command a premium in their pricing.

What this brings to mind is another "utility" vehicle. That would be pickup trucks. I remember back in the 60's, pickups were used to haul stuff. They could be bought for less than most cars. Then the "hobbyist" started bying them in droves and the price went up accordingly.

I hope this does not happen with tractors. They have historically been utility in nature like trucks were. The farmer used them to grow food for himself and his neighbors and made a profit. So, pricing was self limiting since farmers are generally on tight margins.

If the market strategy towards hobbyists works, does this mean tractor price inflation?

By the way, I'm a hobby CUT owner so I'm not knocking anyones motive for buying a tractor. The tie between pickups and tractors just seemed obvious. Or maybe not. What do you think?

Bob

This is already happening with tractors. To wit: in 2008 you could get a a 25-28 hp Kubota cut for less than 13K. This tractor has gone up about a K per year since that point and I totally agree with an above poster who states these things are getting too expensive for what they are. It is all about what the market will bear. Its happened to college tuitions. Is anyone getting 6 times a better education when tuitions were 8K instead of 50K at the same school? I think not. As a matter of fact, colleges have gotten worse in what they offer. In my state, Brown University has turned into a play pen and yet, it is still looked upon as a prestigious school. Like anything else, demand drives prices and the demand motives can be based on appearances. If people keep buying into college at these prices, colleges will increase tuitions. If people keep buying 50-60K pick ups, they'll keep making them. If people are willing to pay 20 K for a 14K tractor, they'll keep increasing. Throw in the EPA stupidity and now you really have a corundum.

 

[sd455dan]

I honestly think In, my opinion that sub-compact and compact tractors are getting way to expensive for what your getting. Like others said you are paying for features. I just don't understand how you can pay as much or more for a tractor that weighs much less and is not near as capable as the bigger (Utility)machines. I often see on here guys buy compacts or sub compacts and then bump up to a Utility tractor because they find out the machine is not as capable as they thought. Don't get me wrong they have there place but in my opinion price should reflect size just like on the bigger machines. You wont find a new 100hp tractor selling for as much or more than a 300hp tractor.

So true- some of these SCUTs are more money than a used bare bones utility tractor.

In some cases weighing 3 times what the average scut does. It has to be market forces, and also more profitable for the manufacturers ( less material input) = more profit...

 

[Johnny g]

I'm hoping this eventually leads to a healthy used market. I only buy used equipment.

Yes I'm cheap!

Joe

A good blend of cheap & smart can save a lot a cash. Im with you all the way. Jack

 

[GManBart]

Lincoln is part of Ford, and the Lincoln trucks were made on the F150 assembly lines, so it really was nothing more than an internal badging issue. All of the profit went to Ford, so they wouldn't really care whether you bought the Ford or Lincoln version.

Cabela's getting into tractors is completely different....they're outsourcing from another independent company that is already making the same base machine. The profit will be split between two companies, which may be why it looks like the Cabela's pricing is higher....TYM has to make a profit on the sale to Cabela's, so Cabela's has to crank up the price.

 

[fieldman12]

I hate to tell you this but they are....just like very few Jeeps go off road.

But in the case of cabelas I think they are going to miss the mark by a large part. I can only say from my own personal observations.....I live in the country....a small spot of land 13ac. Down the road from me we have a group of people that we all call the sub-division dwellers. These are houses all close together on 5ac plots. These are occupied by people that want to live in the country. Some have horses (for a while) some have large tractors, some have gardens, most are gone in a year....as in selling and moving back to the "city". Why....well heck I don't see how you do it...driving so far every day and gas is $3.50 a gal?...and you are so far away from the grocery store...my wife has to drive an hour to get to the mall....I have to haul the kids an hour for soccer practice....to the movies.....on and on.... Why do you stay. Me. I love it here.... They say....but it is SO MUCH WORK.....and on it goes.

Those people are the ones that are going to be buying the cabelas tractor...then selling it when they move back to town. And trying to sell me their **** horses....I hate horses.

It is easy to have that pickup truck...look at a new one. They are more car like and ride more like a car with each model year. When I left GM in the 80's no one saw this coming. But now we have Lincoln pickup trucks.

Those with the Lincoln pickups are the ones buying the Cabelas tractors (for the most part.)

Like me and dad always said (5 acre is just enough land to give most people a problem). Around here I see people buy 5 acre lots and have no equipment at all to maintain it. The only time they want anything to do with you is when they want something like pulling them out with your tractor when there stuck in snow for free. Any other time they pass you on the road like you don't exist. Most have a mower here that will barely run. I have one neighbor that's idea of plowing snow is using the riding mower and dropping the deck all the way down lol. It just cost more all the way around to live out in the country that most people have no idea about. Most end up moving in a few years. The last neighbor I had between her and her husband made $140,000.00 a year that where from California and wanted a piece of the country life. They lasted a year. They asked if I would till there garden I said yes for $50.00. Evidently that was too high. I had helped them do many jobs free before and not ever one bit of help from them. I don't mind helping people out for free but most of them think since your there neighbor think you should help them all the time for free but when you need help there never around. Most complain about the snow and cold in the winter and the roads being bad. If there electric goes out they go rent a hotel room. Our electric goes out we just go get a kerosene heater and fire up the fire place. The California neighbor I seen at the fair the year they where here and they had the nerve to make fun of our little country town. They made little comments about all the tractors and corn. I'm thinking this is heaven to me and would not change a thing.

 

[Cherokee140]

I'm thinking this is heaven to me and would not change a thing.

That is the only time I get my hackles up....they move out and want to start changing things. First was the road....gravel was too dusty so the dwellers got something going to turn the road into chip n' seal....That was OK by me....just made my value go up. Then they wanted to move our area into another school district....ahh NO. Yes little Johnny has to ride on the bus for over an hour but welcome to country life. She tried that twice and when it was shot down the second time their house went for sale....still for sale a year later. Best part is their kids not even in school yet. Their oldest was 5 but she was just not ready to "let go" yet. Oh boy please move before your spawn starts to drive. We already had one drunk teen from your sub division drive up onto someone yard and hit someone mowing their yard on a 4 wheeler.

 

[Cherokee140]

Lincoln is part of Ford, and the Lincoln trucks were made on the F150 assembly lines, so it really was nothing more than an internal badging issue. All of the profit went to Ford, so they wouldn't really care whether you bought the Ford or Lincoln version.

Cabela's getting into tractors is completely different....they're outsourcing from another independent company that is already making the same base machine. The profit will be split between two companies, which may be why it looks like the Cabela's pricing is higher....TYM has to make a profit on the sale to Cabela's, so Cabela's has to crank up the price.

You miss the point...but you stepped right on it.

Yes it is a F150. But people so interested in image they buy the Lincoln and not the lowly Ford. Same with this tractor...they would not be caught dead in something TYM...what the **** is that. Now a John Deere that we might look at....after all they did make their lawn mower....you know they have a 455 to mow a yard the size of a postage stamp.