Demystifiy THIS.

[DAP]

A question to any of you retailers lurking out there .... what do you typically do with your "new and recently old stock" i.e. what will you do with all the 2001 orange machines that aren't sold when the 2002 model lines come out.

I realize that you will keep some on your lots. Will these units be discounted?

Do they go to dealer auctions?

Inquiring minds want to know! Thanks

Doug

 

[boatman]

i am talking boats not tractors but it is the same. the dealer buys the tractors so he needs to sell them. he has paid cash or has them financed. if the tractor has been financed for a long time he might be prone to giving a great deal to get rid it. i try to keep my inventory down at model year changes but always have some leftovers. so we try to hold prices on the new models and lower old model 5-10% to get rid of them. the only time you see anything at auction would be a dealer going out of business who has paid cash or financed them thru a local bank and this would depend on what type of buy-back agreement that kubota has with the finance company's. the finance company would rather sell all of the inventory to another dealer at a discount.

 

[BOTAMAN]

Unless there is a model # change there is little or no difference between a 2001 or a 2002 model other than one being a invoiced to the dealer in a different year. Unless there is a model change the dealer doesn't get a better discount, and unless the unit is weathered or has come due there is little incentive for the dealer to discount the unit.