THALL10326 said:
Interesting point there about the companies ramming other goods down the dealers throat. We had two long time Husky small equipment dealers, the usual saws, blowers, trimmers thing, within a few miles of us that kicked out Husky. The story we got was Husky came to them and demanded they carry their mowers or else. The one dealer sold Kubota mowers and said no way and the other is a bigtime mower repair shop that refuse to carry their mowers as well. Both dealers quit Husky altogether over that and one now carries Stihl and the other one carries Stihl and Shindiawa. I was told by one of my big honcho's that they too had considered Husky but got told mowers must be included in the deal and that was it for us. Anyone know why Husky is doing the mower thing? Seems to me they would be happy with dealers carrying their small equipment line of saws, blowers, trimmers and accessories without forcing the mower issue. Any idea's???
The reason for all of this is that many companies want to grow their business by expanding into product categories different than what they are best known for. Some companies have had some success with this, but most times it is a struggle to capture market share in totally new product groups. Husky for instance has made a big investment in tractors, consumer Z mowers and commercial mowers. That's what they call their "total source" program. Most of the stuff, especially the commercial product, is pretty good. But if a dealer already has an established tractor or commercial line in his store, it might not be a good fit. And even if you bring it in, it may not sell well enough to be worth the effort. And how many of the sales that you do get could have simply gone to the brand you already had?
Additionally, the fact that some dealers are or aren't willing to play ball with these other product groups further contributes to having too many dealers in a given area.
Those 2 factors are why we have backed off and are primarily doing just saws. For both my tractor line and my commercial line, I am the only dealer in the county. As there is only one dealer in the county for Toyota, Chevy, Ford, etc. There are more Husky dealers in the county than there are McDonalds! So, why should I put my effort into promoting a line that can be shopped anywhere and everywhere?
My Husky rep asked if I was "looking to grow" with husky. My answer was that I have a different definition of growth than Husky. My idea is to promote and grow the lines that are, at least locally, only in my store. Husky's idea of growth seems to be that their product is like Pepsi and Coke, and should be in every store. (not to mention every catelog, web site and such)
When we did do the full catelog, we did well. and I think that we were the number 2, 3 or 4 dealer in the territory. But why compete with a dealer who is selling commercial equipment part time, closes his store at about 2:00PM to go to his job as a prison guard, isn't set up with Kohler or Kawasaki, etc.?
So, Thall, the dealers you mentioned must have had some of the same concerns, and would have probably been good prospects for JONSEREDREP. This is what I ment when I suggested that he focus on the differances in the companies rather than talking about the saws themselves. A good sales rep doesn't talk people into buying something they don't need. He has to find a dealer with a need or opportunity and then sell him. For Jonseredrep, it's not what's different about the saws, it's what's different about Tilton Equipment that will help him sign up some new dealers.