This breakout section of Rural Lifestyle Dealer's 2018 Dealer Business Trends & Outlook Report provides a deeper analysis of forecasts and opportunities for Kubota dealers. Read the feature in the winter issue and email for a copy of the complete 46-page report.

Kubota markets served

Kubota total revenue

Dealer Takeaways

  • Nearly 97% of the responding Kubota dealers say total revenues will be as good as or better this year compared with last year and 94% say aftermarket revenues will be as good as or better this year compared to 2017.
  • Kubota dealers say zero-turn mowers have the greatest potential for increases in unit sales and utility vehicles top the list of products that Kubota dealers will be adding.
  • Eighty percent of Kubota dealers say customers have a brand in mind most of the time when they visit the dealership.

Kubota product lines

Kubota Dealers' Commentary:

What are you doing to help maintain strong margins throughout your dealership?

“Watch trade prices.” … “Top quality products and competitive pricing.” … “Standard - minimum margins expected on deals, need approval for low margin deals.” … “Set our margin goals, then review them to try to maintain our goals.” … “Stressing reliability of product and a good parts and service department.” … “Being efficient and reducing deadweight due to weak employees. I like to measure dollar turnover/employee.” … “Trying to offer exclusive products or services.” “Offering value packages such as bucket hook, rear work light and include delivery in cost of machine (but, price our equipment so as to include the cost of these value-added aspects). Also, provide subsidized first routine service and free transportation on warranty related issues. Again, including an average internal expense into cost calculations to take this level of service into account.” … “Provide strong aftermarket support.” … “Managing whole goods and parts inventory to control carrying costs and allow us to remain competitive.” “This is difficult with so many dealers within 1 hour of our shop. All we can do is stay with our margins and try to sell our dealership as maybe not the cheapest, but we will look after you in the long run.” … “Flat rates for setup and delivery.” … “Offer strong and friendly service.” … “Their pay is dependent on their margins! To maintain good margins you can’t give the iron away. When selling new, if you make nothing it will affect your used prices as well as potential margins.” “Ordering quantity with pre-season discounts and terms. Paying invoices to gain term discounts. Managing pricing percentages through Basic software.”… “Overhead down and sales margins up. It is not how much you sell, but what your net profit is after the sale”

Kubota full time employees

What rewards or incentives do you offer to help recruit, retain and motivate employees?

"Great benefits package, yearly bonuses and manufacturer-sponsored incentive trips.” … “All my employees are on a commission in addition to salary and we pay 100% of health insurance for our employees.” … “Paid health benefits, life insurance, 401K with contributions, paid vacation and production bonus.” … “Very good working conditions, bonus trips and pay that reflects work quality.” … “Maintain profit sharing, 401K and health insurance benefits.” … “ “Incentives for meeting sales goals and service techs for closing work orders timely.” … “Offer performance bonuses and maintain a friendly and family work environment.” … “Annual salary reviews. Bonus on sales increases from prior year. Incentive bonus by model. Uniforms, paid holidays, vacation, insurance, company vehicles and more.” “Sign-on bonus, tools and discounts.” … “Pay competitive salaries and continue to provide incentives to technicians that ‘beat’ our flat rate charges to customers. Let them know from my actions that they are valued members of our organization and understand our philosophy: ‘Customers First’. Then, treat them as the most important person that walks into our store.” younger more energetic people, to our front line to work with customers. Older, more experienced employees tend to be less flexible in their answers to customer problems. Younger employees seem to think out of the box and seem to show more concern for customer care.”

Kubota customers shoppingKubota customers recommendation

Kubota tractors and mowers