RK Tractor reviews???

[RK Tractor Guy]

I guess the easiest way to help someone understand why what we are doing is so different, just compare RK Tractors to Mahindra USA. Both buy tractors from TYM Korea, built to each company’s specifications and their brand. Let’s presume that both company’s pay the same amount to TYM Korea for their tractors. Mahindra USA sells their tractors to independent Mahindra dealers. Mahindra dealers are the customer of Mahindra USA, so Mahindra USA adds their profit margin to their cost and that is the price that a Mahindra dealer pays for that tractor. So, the Mahindra dealer has paid the cost that TYM Korea charged Mahindra USA plus the Mahindra USA markup. The Mahindra dealer then marks up the tractor further so they too can make a profit, and it is the independent Mahindra dealer, not Mahindra USA that sells the tractor to the tractor buyer.

RK Tractors sells their tractors through their own store locations, there is no sale to a dealer. That means that our cost to get a tractor to one of our stores includes what we paid TYM Korea for it, plus transportation, but we run our own fleet, so even our transportation costs to our stores are lower that what a Mahindra dealer pays for transportation from Mahindra USA to their dealership. We are the brand and the dealer in one, and that is why our prices are so low, every day.

If that isn’t eliminating the middle man, I don’t know what is.

Yes, tractor dealers negotiate, just like in the car business. RK Tractors does not because our prices are so far below those of any other brand, everyday, we don’t have to, and no one needs to wonder if they got the best possible price. A competing dealer selling a comparably equipped tractor at our price would literally be selling it for less than he paid for it.

So, any perception or belief that our low pricing is introductory or that we cannot hold to being the lowest priced brand out there fails to take into account that we are the brand and dealer in one company.

 

[majorwager]

prof fatalist.

Clarifying your comment concerning the kioti model you purchased being equal to the RK model ..According to the screenshot below, it lists the features YOU DO NOT have on your tractor. THE RK is a PREMIUM model for these same reasons.

 

[prof fate]

Well...I DO have teh floor mat, 2 rear remotes, mirror, armrests, HST linked pedal, cruise control.
I do not have tele lower rear arms or tilt wheel.
I added a tool box for nothing (had it, two holes needed drilled in the box and I bought 2 bolts/nuts.

I paid 22451 all in - tax, 993 insurance for 6 years, whatever they charged for zero down/0% interest (from what I"m hearing at least $750, perhaps 900 for that loan). So if you remove the $1600ish insurance and financing, $1300 sales tax..I paid about 19500 for my CK3510HST, including free delivery BTW.

So that means the box, tilt wheel and tele links cost $500ish since the RK37 is $19,998.

PRemium? Perhaps...higher price? Yep.

prof fatalist.

Clarifying your comment concerning the kioti model you purchased being equal to the RK model ..According to the screenshot below, it lists the features YOU DO NOT have on your tractor. THE RK is a PREMIUM model for these same reasons.

 

[kkilli]

Stop feeding the troll and he might go away.......

 

[RK Tractor Guy]

We at RK Tractors would ask that people not debate in this manner. If you are in the market for a tractor, get quotes, compare prices and specs and decide based upon what works for you.

 

[RK Tractor Guy]

SOOOO, I drive to a RK store with my pockets stuffed over full with hundred dollar bills and a empty trailer, and I can't even get anyone at the store to take them in trade for a tractor!

Now, that would be a FIRST for me!!

SR

We would suggest that if you don’t live near one of our RK Tractors locations that you not buy one of our tractors. We are a new and growing tractor brand. We believe that anyone buying one of our tractors is entitled to prompt service support. We cannot provide that to customers that live outside of a reasonable distance from that service. In the future, we will develop an “authorized RK Tractors service center” network. We are doing quite well selling tractors to customers near our RK Tractors locations, and see not benefit to us or the tractor buyer that lives outside of the area. Hope that makes sense to you.

 

[s219]

S219,

Believe you are incorrect SIR

How would TYM sell directly to the customer? Folks would get on a plane, go to korea, choose the tractor, then make their own arrangements to import this tractor into the USA. Sounds convoluted.

I never said they would. I only said a "no middle man" business model would have to mean that a manufacturer (any manufacturer) would sell direct to the customer.

The RK guy keeps throwing around this "no middle man" phrase when in reality RK is the middle man. That is not a knock on RK, that is just pointing out the obvious that there is indeed a middle man. I can see that plain as day.

If I am going to a store to buy something then obviously the store is in the middle of the deal. Doesn't matter if it's a tractor or some other product, or who is the manufacturer and who is the seller. By definition, RK is the middle man for anything I buy at their store.

 

[s219]

I would actually view these RK tractors as more of a "house brand" product, similar to -- for example -- Craftsman tractors sold at Sears. Obviously Sears doesn't manufacture them (Husqvarna and MTD do/did) but they are built to Sears specs and styling. The tractors are then sold at Sears stores and customers buy them. Sears is the obvious middle man in that arrangement, just like RK is in theirs. Just because a house brand product has the same name as the store doesn't mean there is no middle man.

 

[aczlan]

I never said they would. I only said a "no middle man" business model would have to mean that a manufacturer (any manufacturer) would sell direct to the customer.

The RK guy keeps throwing around this "no middle man" phrase when in reality RK is the middle man. That is not a knock on RK, that is just pointing out the obvious that there is indeed a middle man. I can see that plain as day.

If I am going to a store to buy something then obviously the store is in the middle of the deal. Doesn't matter if it's a tractor or some other product, or who is the manufacturer and who is the seller. By definition, RK is the middle man for anything I buy at their store.

However, as has been explained, normally there would be a middleman and the dealer (ie: Mahindra USA and the Mahindra dealer) not one (Rural King) so they are in fact getting rid of one of the middlemen between the manufacturer and the buyer.

Aaron Z

 

[GirlWhoWantsTractor]

I would actually view these RK tractors as more of a "house brand" product, similar to -- for example -- Craftsman tractors sold at Sears. Obviously Sears doesn't manufacture them (Husqvarna and MTD do/did) but they are built to Sears specs and styling. The tractors are then sold at Sears stores and customers buy them. Sears is the obvious middle man in that arrangement, just like RK is in theirs. Just because a house brand product has the same name as the store doesn't mean there is no middle man.

One more time:

1. TYM (Manufacturer) > 2. Mahindra USA (Tractor "maker") > 3. "Joe's Tractors" (Dealer) > 4. Consumer

1. TYM (Manufacturer) > 2. RK Tractors (Tractor "maker") > 3. Consumer

 

[s219]

However, as has been explained, normally there would be a middleman and the dealer (ie: Mahindra USA and the Mahindra dealer) not one (Rural King) so they are in fact getting rid of one of the middlemen between the manufacturer and the buyer.

Aaron Z

Big deal -- then Kubota could be saying they have one less middle man too since they make their own tractors and they don't have another company in the loop. And there are tractor companies like Deere that manufacture some of their tractors and sub-out manufacture of other tractors. Should they say some models cut out a middle man but other models add a middle man? I just think it's an arbitrary and pointless description when there is obviously someone in the middle no matter what.

Kubota -> Dealer -> Customer
Deere -> Dealer -> Customer
Yanmar -> Deere -> Dealer -> Customer
TYM -> RK -> Customer
TYM -> Cabelas -> Customer
Jinma -> Nortrac (Northern Tool) -> Customer

And so on...

Unless a product is sold factory direct to the customer, somebody is always in the middle. Doesn't matter if it's a dealer, an importer, a retail chain with a house brand, etc. There is nothing wrong with any of these business models, but none of them are direct to the customer.

If I was RK I would be playing up the fact that they are a national retail chain and they have a lot of stores that will sell tractors and support the customer. There is a middle man and there is a good reason for it. The middle man is a national retail chain and not some independent dealer. The middle man adds value in a way that the manufacturer cannot. Don't pretend there is no middle man.

 

[GirlWhoWantsTractor]

Big deal -- then Kubota could be saying they have one less middle man too since they make their own tractors and they don't have another company in the loop.

Yes, Kubota can say they have one less middle-man too.

1. TYM (Manufacturer) > 2. Mahindra USA (Tractor "maker") > 3. "Joe's Tractors" (Dealer) > 4. Consumer

1. TYM (Manufacturer) > 2. RK Tractors (Tractor "maker") > 3. Consumer

1. Kubota or Deere (Manufacturer) > 2. "Jim's Tractors" (Dealer) > 3. Consumer

Slight difference here, as you can see. RK is cutting out the *dealer* and Kubota and Deere are cutting out the *tractor maker.* And I'm gonna guess there are more savings in cutting out the dealer.

No one is saying RK is unique in cutting out one of the middle men; they are simply saying they are passing on those savings to the consumer.

 

[4get gto]

I could care less if they want to call themselves beginning,middle or end man.
If they can offer a good tractor at a more reasonable price I'm certainly going to take a look.
Why do we have make this on and on.

 

[s219]

So what rubbed me the wrong way about it from the beginning was that the guy who kept saying he was cutting out the middle man is actually the middle man and that should be plainly obvious. I'd have the same exact reaction if Cabelas had tried that move, or Northern, Sears, etc.

The reality of it is that if you are a store chain brand and somebody else manufactures the tractors for you, then you the store chain are the middle man. RK is not a manufacturer of tractors and they are not a tractor distributor, they are a store chain with house brand tractor products. That is nothing to be ashamed of or talk around -- just accept it and move on and sell your tractors.

 

[LouNY]

I would expect that this thread is the exact reason that many manufactures, manufactures reps, distributors, and dealers do not participant in many forums.
Nit picking, cry babies derailing a thread.

 

[s219]

I would expect that this thread is the exact reason that many manufactures, manufactures reps, distributors, and dealers do not participant in many forums.
Nit picking, cry babies derailing a thread.

Well if you go back and read from the beginning, it started out with regular TBN posters asking questions and discussing the tractors. Then when the RK rep came in (who is not registered with TBN as a manufacturer or dealer, BTW) and went heavy on the marketing, things started turning. I think a manufacturer or dealer who participates here needs to hold to a standard and realize this is a public forum where candid open discussion is the way of life. If they start going heavy on the marketing talk then they have laid a different type of groundwork and opened themselves up to whatever feedback/criticism comes their way. It's as simple as that. I wouldn't like that behavior from any brand.

 

[prof fate]

What's being said is that RK buys direct from the factory in korea, imports them to the USA and deal with all that paperwork, etc.
I doubt it...but I don't know for sure (and google wont say much other than the RK company line).

Almost all companies have an american company - toyota USA, honda USA, etc. Is that a middle man? Or just an office that takes dealer orders and handles the import paperwork and shipping? TODAY those 'middlemen' also run factories and more, often offering financing, etc.

How much do they add to the cost? Can't say - BUT - if RK is importing from TYM directly SOMEONE still has to arrange shipping, import, distribution, etc. So if it takes tym USA 10 people it likely takes RK 8 people say, since they don't need a separate ceo or payroll person. Not sure it saves a lot of costs though.

There are SO many details that we don't know, can't know, that we DON'T know.

We've all heard of 'dealer invoice' - what a bunch of marketing malarkey that is. In theory all dealers pay the same- IN THEORY - but there are incentives and other programs.

For instance - (and it varies by manufacturer how this woeks, but I've seen all these 'tools') - buy X amount and get free flooring (no financing fee on your inventory), buy some slow moving models and we'll give you the ability to buy a hot moving model, marketing money (to help pay for ads/mailings), use teh manufacturer financing and the dealer gets a cut of it, if you agree to NOT return unsold models you can get better pricing/deals, the more units you move the better the deal/pricing/incentives you get. IN addition to 'package' deals that they do all the time "we're gonna make 5,000 units equipped as X at a special deal IF you take 100 of them!" etc, etc.

RK likely skips all those games - they don't need to get dealers to buy them,move them, etc. I assume RK stores are all corporate, no franchisees, they don't pay commissions to salesman, finance people, etc.

Big deal -- then Kubota could be saying they have one less middle man too since they make their own tractors and they don't have another company in the loop. And there are tractor companies like Deere that manufacture some of their tractors and sub-out manufacture of other tractors. Should they say some models cut out a middle man but other models add a middle man? I just think it's an arbitrary and pointless description when there is obviously someone in the middle no matter what.

Kubota -> Dealer -> Customer
Deere -> Dealer -> Customer
Yanmar -> Deere -> Dealer -> Customer
TYM -> RK -> Customer
TYM -> Cabelas -> Customer
Jinma -> Nortrac (Northern Tool) -> Customer

And so on...

Unless a product is sold factory direct to the customer, somebody is always in the middle. Doesn't matter if it's a dealer, an importer, a retail chain with a house brand, etc. There is nothing wrong with any of these business models, but none of them are direct to the customer.

If I was RK I would be playing up the fact that they are a national retail chain and they have a lot of stores that will sell tractors and support the customer. There is a middle man and there is a good reason for it. The middle man is a national retail chain and not some independent dealer. The middle man adds value in a way that the manufacturer cannot. Don't pretend there is no middle man.

 

[prof fate]

Several times I was told by the RKguy that RK is a premium tractor, sold low prices,and kioti is a value tractor that costs more.
SOrry, he is wrong, at least in my case.

Making blanket statements is never good and rarely accurate.
He never addressed the issues at my local store (lack of inventory, help, knowledge).

It's great he's here and is addressing issues - but one must realize he has an agenda - and is paid to achieve that agenda. But he doesn't hide that fact - which is great also.

It's just in a open forum all sides need to be heard, and when bad/wrong/innaccurate information is out there it needs to be addressed also.

"the best equipped tractor for the lowest price" - not true, at least not in my case.
Sure, tehy cut out the middleman and some cost - but at what cost to the consumer? As I've said, I can't find knowledgable help at the store...never run into that at a traditional dealer. Is that a deal breaker? For some yes, for others no.
"we're in it for the long term"..maybe. Like every business, if it's not a profit maker it gets dropped. Will RK tractors be a profit center? For some stores probably, but i'm sure not for all stores. And will it be year after year? OR will they drop them when sales slow or if problems develop? And what about support after that?

They've dropped 2 brands in the past...can you get warranty support and parts for those dropped lines at an RK store? (I'd really like to know - but alas, nobody has responded in any way to whether that is possible or not).

I'm not saying anything bad about RK's tractors..I AM asking questions - many of which go unanswered (hence my repeating the questions).

I would expect that this thread is the exact reason that many manufactures, manufactures reps, distributors, and dealers do not participant in many forums.
Nit picking, cry babies derailing a thread.

 

[buckeyefarmer]

I appreciate RK coming on and answering questions and explaining their business operates with regard to tractors.

 

[majorwager]

Stop feeding the troll and he might go away.......

AMEN............