Why are TYM and Branson so much less??

[prof fate]

Perhaps 're-badged' is a more accurate term.

Car companies have done it for decades - chevy luv pickup and ford courier back in the 80s.
the ford probe was a mazda.
The end of Saab were a mix of american and japanese (gm and subaru) models.

 

[Texasmark]

I wouldn't have a problem with buying TYM or Branson either one. They are both good tractors. Typically you will see TYM, Kioti and LS being fairly close in price with TYM sometimes being very aggressive. TYM has a lot of tractors in North America - mostly through rebranding deals - so they are not really a new concern. TYM is working toward a goal of building 200,000 tractors per year (very aggressive goal in the tractor world) and they are pricing aggressively, including more content, adding sales channels (like Rural King) and appear to be working hard to grow their business in the U.S. Basically, TYM has built what appears to be a very nice factory in Korea and the boss has told them to fill it up, so that is what they appear to be doing.

From what I've seen Branson runs a little higher, but then you are buying 1,000 to 1,500 pounds more iron with the Branson (not kidding). I haven't spent time on a TYM, but have on some Bransons. I grew up using mostly MF and Ford tractors and the Branson is a much closer match to those than some of the other brands. I was also impressed with the fit and finish on them. I really wish that Branson or McCormick (same tractor) were better represented in my area.

"I really wish that Branson or McCormick (same tractor) were better represented in my area."

With new management (at Branson per the news article in this posting) and larger offering of 2 brands (Branson and TYM) maybe that will happen. If nothing else, if the 200,000 units volume per year materializes, parts and service availability in the future should be assured.......as long as there is a requirement there will be parts......I'm still buying OEM parts for my JD equipment built back in the '60s. Plenty of aftermarket parts suppliers feeding the market too and having used their parts, work just like OEM.

 

[Texasmark]

I haven't been on TBN often lately, but as a volume Branson and Mahindra dealer I have a couple of observations to make. First, this is a civil bunch of tractor fans. Awesome of you all not to just hammer any brand that is not your own. Rare indeed.

Secondly there are a lot of good points being made. I'll touch on one, where a poster mentioned that less marketing can mean tractors cost less. It is a risky thing to do, but Branson has decided on a slower growth plan than some brands with crazy lofty goals. They do much less national advertising. They pulled back a bunch on what is spent at the big farm shows, where a weekend display costs in the 6 figures with staff and tractor hauling, etc. When they do a national dealer meeting, it is close by the Rome, GA headquarters so they aren't enriching tractor haulers. Hotels are just normal, not glitzy. Meals are just meat and potatoes. Dress code is casual. Low pressure. Some brands spend several million dollars to put on their yearly meeting. The cost of that is added on the tractors, so is the cost of the multimillion dollar advertising campaigns. Branson has been profitable every year for years. Growth is steady, but not explosive. Prices go up seldom, and a small amount when they do.

I will admit, advertising is supposed to be free. You advertise, pay the cost of that and the resultant increase in sales should more than cover that costs. In a perfect world that is true. But as one of the larger Branson dealers in the USA, we like having low prices on a quality machine. Could I sell more if they were $5k more and we had fantastic brand recognition with lots of national advertising? I'm not sure honestly. For now, I like the slow and steady growth and steady prices. Works for us.

As for JD and Kubota. They are fine machines, especially if you look at their non-economy models. Good quality, very capable and with a solid network of dealers. They have earned enough market share over the years that they can make more margin. Good for them, it is the goal of most brands to get to that point. I don't diss on those brands, even as we sell against them every day.

Nice post.

 

[TractorNH]

"Rebranding" actually means changing your corporate image, logo, etc., but it sounds like here on TBN it means "taking another company's product and sticking your label on it."

Mahindra is a tractor manufacturer. In other countries, they manufacture the tractor themselves. For the U.S. market, they still design the tractor and build some components themselves, however they have chosen to contract with various manufacturers to build other components. They then assemble the tractor in a Mahindra assembly plant. For the US market, Mahindra currently has TYM build some of the core components. Mahindra tractors are not the same as TYM-branded or RK or Branson tractors, though they may share some components.

TYM is a very large and well-regarded Korean *manufacturer*; they have a Machinery Division, a Cutlery Division, a Culture Service division (basically publishing and films), and a Cigarette Filter division. TYM didn't even *have* a tractor brand in the U.S. until 2004; before then, they simply made tractors and components for other tractor companies.

TYM supplies core tractor components to several U.S. tractor companies, including John Deere.

TYM does not even manufacture TYM-branded tractors top to bottom; many have Perkins engines and a Bosch hydro-electric hitch control system, for example.

So what does "rebranded" actually mean?

The Mahindra 2500 and 2600 series tractors ARE TYM's with minor differences like the hood and interior and of course the engine since Mahindra has their own design. The 2655 HST I have has the exact same frame, drivetrain, hydraulics, and even cab as the TYM T454 and T554. The entire drivetrain and frame assembly is built and assembled by TYM. Mahindra does final assembly in the US which includes their unique body panels and cab features like the seat but even the dashboard switches and cab climate control and accessory light switches are identical. I looked at both when I was buying my Mahindra.

 

[TractorNH]

I have been told they are number one in the world and number 3 in the U.S. with a large gap also

The reason their #1 in the world is because they completely dominate the two largest farming markets for tractors in the world, India and China.

 

[GirlWhoWantsTractor]

The Mahindra 2500 and 2600 series tractors ARE TYM's with minor differences like the hood and interior and of course the engine since Mahindra has their own design. The 2655 HST I have has the exact same frame, drivetrain, hydraulics, and even cab as the TYM T454 and T554. The entire drivetrain and frame assembly is built and assembled by TYM. Mahindra does final assembly in the US which includes their unique body panels and cab features like the seat but even the dashboard switches and cab climate control and accessory light switches are identical. I looked at both when I was buying my Mahindra.

Mahindra is a top-to-bottom tractor manufacturer; they design the tractor, either build the components themselves, or contract various other companies to build the components for them, then assemble the tractor in a Mahindra factory. Just like John Deere.

TYM is a heavy manufacturer that makes everything from tractor parts, to silverware, to cigarette filters. They make tractor components for several companies, including John Deere. TYM only recently got into building TYM tractors in 2004.

Hard to see how this makes Mahindra a "rebadged" TYM, but I give up.

 

[DavesTractor]

The reason their #1 in the world is because they completely dominate the two largest farming markets for tractors in the world, India and China.

Bingo. They dominate India at least, not sure on China, and India is the largest tractor market in the world. If you do well there, it is not hard to be #1 in the world. But being #3 in the USA, even with #3 being a long ways back from #2, is still quite an achievement.

 

[Tennsawdust]

Perhaps 're-badged' is a more accurate term.

Car companies have done it for decades - chevy luv pickup and ford courier back in the 80s.
the ford probe was a mazda.
The end of Saab were a mix of american and japanese (gm and subaru) models.

You could make that argument, but typically rebadging is considered to be taking someone else's product and putting your name on it. That does and has happened in the tractor market, but more typically the various brands are subcontracting companies like TYM to supply a tractor fitted to their brands specific requirements. The TYM supplied Mahindras have different engines, sheet metal, tire packages and equipment levels than the TYM version on the same chassis. Similarly, the New Holland and Case IH tractors are not exactly the same as what LS offers, even though all three brands are built by LS. It can be very confusing to find that you have purchased an Indian branded tractor that was built in Korea using a Japanese engine, but that is how things work in today's world.

 

[Tennsawdust]

Perhaps 're-badged' is a more accurate term.

Car companies have done it for decades - chevy luv pickup and ford courier back in the 80s.
the ford probe was a mazda.
The end of Saab were a mix of american and japanese (gm and subaru) models.

You could make that argument, but typically rebadging is considered to be taking someone else's product and putting your name on it. That does and has happened in the tractor market, but more typically the various brands are subcontracting companies like TYM to supply a tractor fitted to their brands specific requirements. The TYM supplied Mahindras have different engines, sheet metal, tire packages and equipment levels than the TYM version on the same chassis. Similarly, the New Holland and Case IH tractors are not exactly the same as what LS offers, even though all three brands are built by LS. It can be very confusing to find that you have purchased an Indian branded tractor that was built in Korea using a Japanese engine, but that is how things work in today's world.

 

[DavesTractor]

Mahindra is a top-to-bottom tractor manufacturer; they design the tractor, either build the components themselves, or contract various other companies to build the components for them, then assemble the tractor in a Mahindra factory. Just like John Deere.

TYM is a heavy manufacturer that makes everything from tractor parts, to silverware, to cigarette filters. They make tractor components for several companies, including John Deere. TYM only recently got into building TYM tractors in 2004.

Hard to see how this makes Mahindra a "rebadged" TYM, but I give up.

While it is true that TYM builds a lot of products and has always purchased engines and some other components instead of making them, TYM builds a completed tractor in Korea and ships them to the USA. This "final assembly" in the USA is just an hour or two of work. De-crate, install tires, stand the ROPS, install steering wheel. Many Mahindra models are truly rebadged TYMs, with minor differences. Mahindra buys enough TYM product that they get a different grill, different decals of course, different seat and so forth. The TYM products are not assembled in a Mahindra factory, unless you consider the decrating work I described above to be assembly.

To buy a TYM via Mahindra has the advantage of great parts support, long warranty and a more developed dealer base as opposed to the fledgling TYM dealer network.

Worldwide Mahindra actually builds the vast majority of the tractors they sell in their own plants. Even casting their own engine blocks. They are very much a manufacturer. In the USA, they do sell quite a few TYM and Mitsu products as well as M&M built units.

You reference John Deere. For decades the smaller John Deere tractors were built in Japan by Yanmar. Entirely. To JD specs of course, but this was not a JD factory.

This is just normal stuff in the tractor world and has been for decades and decades.