New Tractor Sales Are Declining

[airbiscuit]

I generally do see more inventory on dealer lots. I am guessing part of that is a result of them trying to get stock on hand after months of shortages. I'm thinking that those with cash and a need are still buying them. Those on the ragged edge to afford monthly payments aren't. One would think you would start to see new incentives to buy, but who knows?

 

[ovrszd]

In the Auto/Truck/UTV world dealers would order you one with little or nothing down. They wanted to get on the Manufacturer's build list. If you changed your mind they would gladly let you off the hook because they had half a dozen people standing behind you waiting for one.

A month ago the only UTVs in the local dealer's showroom were ones ordered and the buyer backed out. They quickly sell.

 

[ArlyA]

In the Auto/Truck/UTV world dealers would order you one with little or nothing down. They wanted to get on the Manufacturer's build list. If you changed your mind they would gladly let you off the hook because they had half a dozen people standing behind you waiting for one.

A month ago the only UTVs in the local dealer's showroom were ones ordered and the buyer backed out. They quickly sell.

We order a atv last fall and got it 11 months later with 2000 down payment. We'd have not got it without that DP. Our locale dealship is not going to get one in for display on there floor.

 

[Rdrcr]

In the Auto/Truck/UTV world dealers would order you one with little or nothing down. They wanted to get on the Manufacturer's build list. If you changed your mind they would gladly let you off the hook because they had half a dozen people standing behind you waiting for one.

A month ago the only UTVs in the local dealer's showroom were ones ordered and the buyer backed out. They quickly sell.

The automotive dealers are requiring a deposit in my area, but most UTV dealers just put you on a list and call when a unit becomes available.

Mike

 

[airbiscuit]

My perception is that there are also fewer I'm looking to buy a new tractor threads being started on TBN these days.

 

[ovrszd]

We order a atv last fall and got it 11 months later with 2000 down payment. We'd have not got it without that DP. Our locale dealship is not going to get one in for display on there floor.

Yep. And I'm sure he'd have let you out of that deal if you wanted out. And would have had it sold within a couple days.

My dealer is very spoiled. Sells everything he can get. Friend bought a 4dr UTV that was on the showroom floor less than 24hrs. First come first serve.

 

[ArlyA]

Yep. And I'm sure he'd have let you out of that deal if you wanted out. And would have had it sold within a couple days.

My dealer is very spoiled. Sells everything he can get. Friend bought a 4dr UTV that was on the showroom floor less than 24hrs. First come first serve.

Yes, but would have kept our $2K.

 

[MinnesotaEric]

I generally do see more inventory on dealer lots. I am guessing part of that is a result of them trying to get stock on hand after months of shortages. I'm thinking that those with cash and a need are still buying them. Those on the ragged edge to afford monthly payments aren't. One would think you would start to see new incentives to buy, but who knows?

Increased inventory is a result of a slowing economy. Look forward to price incentives and discounted interest rates over the next 18 months as OEMs of every stripe try to get small by reducing inventory.

 

[CloverKnollFarms]

7,000 Twitter and Meta employees are leaving the market for a tractor

 

[jyoutz]

Increased inventory is a result of a slowing economy. Look forward to price incentives and discounted interest rates over the next 18 months as OEMs of every stripe try to get small by reducing inventory.

Could be, or it could be a result of the supply chain just catching up. For many years dealers kept full lots of inventory.

 

[ovrszd]

Could be, or it could be a result of the supply chain just catching up. For many years dealers kept full lots of inventory.

Brilliant. The supply chain is catching up. To a slowing economy.

 

[jyoutz]

Brilliant. The supply chain is catching up. To a slowing economy.

Dealers have had things on back order for a couple of years. My local dealer has equipment that he didn’t have last spring. He says he’s now getting supply that he ordered as far back as 2020.

 

[cathy liebchen]

Seems to me like breaking into a federal building to change an election while chanting about hanging the vice president because he didn't do what you wanted, isn't very peaceful. But what about those BLM guys isn't a valid argument.

Would you have been ok with people doing this to try to keep Obama in office?

The guy in the cow horns helmet was so scary I thought he would end up being POTUS

 

[Rdrcr]

Good video from Messicks regarding the current market conditions;

Mike

 

[Cahaba Valley Farm]

Good video from Messicks regarding the current market conditions;

Mike

You beat me to it Rd. I was just about to post this. Thanks for posting.

 

[Rdrcr]

^^^^
Yep, no worries. I thought the video contained some good and relevant info for the tread.

Mike

 

[airbiscuit]

That video sounds about right. I expect there will be waves (up an down) with sales and supply, but the amplitude of those waves will diminish over time.

 

[MinnesotaMorg]

I like my kubota dealer, but the last two times I've been there (last week + 2 months ago) I noticed a substantial increase of stuff sitting on the lot. I commented both times that I was watching sales trends and it looks like their supply is catching up a bit and sales must be slowing. Both times they have denied it stating that "everything on the lot is already sold".

I don't fault them to trying to maintain the facade so that people get fomo and buy now, but I think the jig is up. IMO in this messicks video you can tell he is trying to avoid just coming out and saying it. I did talk to one guy at the dealer and he did agree that we need a crash to normalize prices and supply.

When I was in the market for a kubota skid, I just told the sales guy I wasn't interested in being put on a list to get one in 4-6 months - and to call me if he gets one I can buy. Not 10 days later he calls me and says he has a SVL65 on hand I can buy.

edit: I should add I would believe that half of the skids / tractors / miniX on the lot are sold, but not every single one.

 

[5030]

My dealer has been having an ongoing issue with getting front end loaders and backhoes too. He's got a number of sold units waiting to both. Kubota says they are ramping up production of them but he hasn't seen it or so he tells me.

 

[Cahaba Valley Farm]

I like my kubota dealer, but the last two times I've been there (last week + 2 months ago) I noticed a substantial increase of stuff sitting on the lot. I commented both times that I was watching sales trends and it looks like their supply is catching up a bit and sales must be slowing. Both times they have denied it stating that "everything on the lot is already sold".

Yeah everything is sold but all the owners forgot to come pick them up

IMO in this messicks video you can tell he is trying to avoid just coming out and saying it.

You took the words right out of my mouth.

I don't fault them to trying to maintain the facade so that people get fomo and buy now, but I think the jig is up.

Yep it's up. Some markets will take longer for it to show up but a crash is inevitable with the borrowing costs continuing to skyrocket.