I talked to a Deere parts guy awhile back and he told me a few things that Deere does that I know drive up the cost of their parts. Ultimately it's up to the dealership to set te final price on a part, but Deere tells them how many of said part they have to stock to be in compliance as a dealer. That said, one thing that makes Deere parts so expensive is the amount of inventory the dealership has to keep. For instance Deere will have the same, identical part under 5 different part numbers and the minimum number of parts on hand is 10. For the dealership this means that if the part costs them $100 that instead of only having $500 tied up in parts on the shelf, because of Deere's requirements they now have $2500 worth of the same part sitting there, just under different part numbers. Extend this problem out over 10 different parts and now the dealership has $25,000 worth of parts sitting there. If they are going to have their money tied up like that they have to charge a premium on parts just to cover their overhead costs.
Then there is the fact that Deere has their products split up between so many dealerships it isn't funny. There are commercial dealers, ag dealers, construction dealers, homeowner product dealers, etc, etc. Then among those dealer classifications the individual dealership has to pay 'royalties' to carry the different lines within that catagory. For instance an ag dealer has to pay to carry each sub catagory like combines, cotton pickers, sprayers, etc, etc, etc. In other words you can buy a Deere compact tractor or a 500 HP Deere tractor, or a Gator, and you can't get parts for all three at the same dealership. In fact it goes against the dealerships contract with Deere to even carry parts for a product line they haven't paid the royalty to carry. So, you can have three different machines, all Deere green, and you'll have to go to three different dealerships to get parts for each one of them. Think how much time and money could be saved by the customer if they could simply go to one dealership, and order all of the parts they needed for all of their equipment....like most other brands do....
In the end all brands have their problems nowdays and the biggest one nowdays, bar none, is corprate greed.........
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Today's Featured Article - Usin Your Implements: Bucket Loader - by Curtis Von Fange. Introduction: Dad was raised during the depression years of the thirties. As a kid he worked part time on a farm in Kansas doing many of the manual chores. Some of the more successful farmers of that day had a new time saving device called a tractor. It increased the farm productivity and, in general, made life easier because more work could be done with this 'mechanical beast'. My dad dreamed that some day he would have his own tractor with every implement he could get. When he rea
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