Posted by NY 986 on December 26, 2020 at 10:16:56 from (67.249.255.74):
In Reply to: Re: Shop Rates posted by jm. on December 26, 2020 at 09:49:32:
I knew a family member of a JD dealer from a few decades ago. The shop if it was lucky ran at a break even and they tried to make 10 percent on whole goods. What helped them as it most likely helped an IH dealer was selling parts on a very deep product line that existed for many decades. They tried to make 10 percent overall on sales that ran around 3 million dollars for all departments combined. I knew people who worked for the regional Case dealer here and they were instructed as to agricultural machinery sales that they needed to make at least 12 percent net profit on each sale or to walk away from a deal. This dealer had the benefit of a very healthy industrial sales network in order to pick and choose during the very bad for agriculture 1980's. This helped them to become predominant while their fellow Case dealers settled for deals that made next to nothing for them but got product out the door to get the territory manager off of their backs.
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