Ethical Purchase

[farmer frank]

Hey all!

#1
I started researching a tractor purchase seriously a month or so ago and visited a local dealer while we were in the neighborhood. The rep was extremely helpful, let me drive a couple of models, answered all of my questions, and has kept in touch since then helping me refine my order without being pushy. Other folks in our area have had great luck dealing with them.

#2
I have another neighbor who recommended I go to another dealer in the area, so I did. He knows the sales manager closely, but wasn't promising I'd get any special deal. I have heard great things about this second dealership and got pricing from them on the L4802 I'm hoping to acquire. I had a great experience with this dealer as well. I did not get any special offer.

These two dealers are not in the same network, although both are within the same ~30 or so miles. 2nd one maybe a little closer and slightly more convenient (sometimes). Both are offering the same price on the model, features, and implements I want. Both are reputable dealers in the eyes of some very experienced tractor owners in this area. Both offer delivery service and similar pricing. I do tend to travel more often in the direction of the second dealer, but I don't intend to have to visit them often post-purchase except to maybe shop for more implements.

Is it more ethical to move forward with the first dealer since he has more invested in the deal? I honestly have no preference either way, other than the slight difference in distance and direction. If I have to send it to be repaired, it's about the same distance, effort, and price to get it there. Both seems like safe bets.

Frank

 

[ken erickson]

From what you have shared, I personally would not feel obligated to purchase from the first dealer solely on the basis of them having more time Invested. Sounds like the dealer and salesman are doing what is expected of a good dealership. In this instance I think it rests on you as to which dealership you will be happiest with going forward. And it might well be that YOU will feel better going with the first considering how they treated you with follows up.

Congrats on your pending purchase !

 

[nbryan]

All being equal use the best dealer for your needs.
The "loser" dealer will just be processing some other sale instead of yours, anyway, no skin off their noses.

 

[Elliott in GA]

Everything being equal (deal, dealership, service and your experience with both), I would buy from the first dealer. They were the more helpful (took time with you, and let use try their equipment). The second dealer merely gave you a price, which was the same.

For me to buy from the second dealer, they would have to do something more/better than the first dealer - again everything else being the same. And, I would give the first dealer a chance to match a better offer from the second dealer - if there was a price difference.

 

[RCW]

I don't think #1 has any more investment than #2.

The main difference was #1 was your first stop. Salesman spent some time with options and let you test drive a couple machines. Good for him!

It's what salespeople do....that's their job.

While he might be a great guy, you don't owe him anything.

That said, with pricing, distance, convenience, etc., relatively equal, I don't think it's a question of ethics.

I'd go with whichever dealer you're comfortable with and has a reputation for service after sale in case you need it.

 

[rc51stierhoff]

Personally I believe in transparency. I’d recommend (did one or other offer demo of units? How about delivery and after sale expectations such as first service etc? Do they come pick up and deliver?):

1. first find out if either have inventory in lot that is not spoken for. (Meaning it is ready to deliver and you don’t or sign paper work order and then Wait and undisclosed time to take delivery…if timing matters to you.

2. after determine availability of both I’d go back to first dealer and tell them another dealer came back with a quote you did not expect and ask if they 1. They want to sharpen pencil / match? Or help on implements and add ons 2. Either way Let them know no hard feeling but you are also interested in service and If buy from another they would still service.

those answers will tell you a lot about the dealer.

 

[D2Cat]

I don't think it's appropriate to ask them to "sharpen their pencil". You simply go there and let them know you checked with another dealer and found a machine at a good price and trying to decide what direction to go. This opens a discussion about service after the sale, delivery, availability, cost or anything else you choose to talk about. When you leave it's on good terms no matter what.

 

[SDT]

Hey all!

#1
I started researching a tractor purchase seriously a month or so ago and visited a local dealer while we were in the neighborhood. The rep was extremely helpful, let me drive a couple of models, answered all of my questions, and has kept in touch since then helping me refine my order without being pushy. Other folks in our area have had great luck dealing with them.

#2
I have another neighbor who recommended I go to another dealer in the area, so I did. He knows the sales manager closely, but wasn't promising I'd get any special deal. I have heard great things about this second dealership and got pricing from them on the L4802 I'm hoping to acquire. I had a great experience with this dealer as well. I did not get any special offer.

These two dealers are not in the same network, although both are within the same ~30 or so miles. 2nd one maybe a little closer and slightly more convenient (sometimes). Both are offering the same price on the model, features, and implements I want. Both are reputable dealers in the eyes of some very experienced tractor owners in this area. Both offer delivery service and similar pricing. I do tend to travel more often in the direction of the second dealer, but I don't intend to have to visit them often post-purchase except to maybe shop for more implements.

Is it more ethical to move forward with the first dealer since he has more invested in the deal? I honestly have no preference either way, other than the slight difference in distance and direction. If I have to send it to be repaired, it's about the same distance, effort, and price to get it there. Both seems like safe bets.

Frank

Regarding sales/money, ethics has been immaterial for decades.

Though illegal, it is common practice for nearby dealers to conspire to set prices, which is why prices from both dealers are nearly identical.

Buy from the dealer that is most convenient for you.

 

[NCL4701]

I wouldn’t feel ethically obligated in either direction. Sales people put time and effort into quotes and sales with a reasonable expectation they’re going to close only a percentage of deals. Just part of the business.

If you go back to the first dealer to let them know you have a competitive quote but appreciate the time they’ve put into enough that you want to see if they can match or beat another dealer’s offer, IMO that’s reasonable.

I would recommend against actually verbalizing the phrase “sharpen your pencil” in negotiating anything. I’m not exactly in sales but I have been negotiating deals as a significant part of my profession for 33 years. Once in a while I’m told to “sharpen my pencil”. When someone says that, we just went from cooperative negotiating to adversarial negotiating in a nanosecond and they’d be well advised to grease up because it’s going to get ugly and it will cost them. Most people find that to be a very condescending phrase. If I was the salesman and those words came out of your mouth I’d ban you from the dealership. All customers aren’t good customers. Maybe that’s just some weird thing with me, but I don’t think so.

 

[rc51stierhoff]

I learned that phrase from a dealer I have bought 3 machines from and I have a great relationship with the owner, his son and their sales people. My point was really to be transparent. Use what ever word you think appropriate.

 

[fried1765]

Regarding sales/money, ethics has been immaterial for decades.

Though illegal, it is common practice for nearby dealers to conspire to set prices, which is why prices from both dealers are nearly identical.

Buy from the dealer that is most convenient for you.

EXACTLY !!!!

 

[PaulL]

You don't have to buy parts or get service from where you buy the tractor. They make money on both those transactions - it's not a favour they do you because you bought a tractor from them.

Sounds like both dealers are similar. I agree on checking availability, and if there's a machine on the lot I'd ask to see it. My local dealer had a machine on the lot, and I ended up going to someone who didn't. The machine on the lot had rust on it, and I was paying for a new machine not a rusty one. The place I went to was happy to give me the next new machine that came in, rather than one that had been sitting for a while.

 

[GrizBota]

If the two dealers are nearly as convenient and helpful, I’d say buy from whichever one is ready to deliver now. Then in the future, maybe buy some implements from the other dealer. If you feel they about both about the same after that, just buy from whichever your more convenient at that point in time. I expect shortly you will like working with one better than other. Eventually you’ll need service. That’s what would keep (ore lose) your business.

 

[skeets]

Flip a coin , heads #1, tails #2. I would do that but the ones around here are owned by the same family, nice people but as Scrooge said tuppence is tuppence

 

[mikester]

I'd choose the dealer that gives you the best post sales service.

Call the service department and see if they will pick up your tractor for free to service it and how long are they backlogged in service?

Call the parts department and find out how much a complete set of filters are, do they have them in stock and when can you pick up on a Saturday?

 

[GreensvilleJay]

yup a coin toss...
when the coin stands on the edge (yes that IS possible ), buy from the 3rd dealer.

 

[Chad D.]

EXACTLY !!!!

But, couldn’t it be just as plausible that the prices are simply the same?

Same equipment from same manufacturer, shipped the same-ish distance. Let’s assume that the dealer cost is the same on the machines.

Same general market area, so I would. assume that the dealer’s operating costs are similar. It’s not like one is in rural Arkansas where the property and labor may be cheap while the other is Downtown NYC…

Id guess there is a better chance that two dealers in the same area both know what the market will pay for these machines and they’re both priced right in that range, without the need for collusion. It’s possible, but just not that likely from my stance.

 

[fried1765]

But, couldn’t it be just as plausible that the prices are simply the same?

Same equipment from same manufacturer, shipped the same-ish distance. Let’s assume that the dealer cost is the same on the machines.

Same general market area, so I would. assume that the dealer’s operating costs are similar. It’s not like one is in rural Arkansas where the property and labor may be cheap while the other is Downtown NYC…

Id guess there is a better chance that two dealers in the same area both know what the market will pay for these machines and they’re both priced right in that range, without the need for collusion. It’s possible, but just not that likely from my stance.

Yup!

 

[Chad D.]

I'd choose the dealer that gives you the best post sales service.

Call the service department and see if they will pick up your tractor for free to service it and how long are they backlogged in service?

Call the parts department and find out how much a complete set of filters are, do they have them in stock and when can you pick up on a Saturday?

This, 100%. I’m in construction sales, and see it regularly. People will choose my firm for a new project based on our service department’s reputation on a regular basis. A returning customer is always better than a new one, and service work is recurring business.

Anybody can sell a tractor. Find the one that will help you take care of it later. In my opinion, this is much more valuable than seeing who can beat who on the initial sale by a percent or two… Price is important, but nobody cares about saving a couple hundred bucks if you don’t feel good in the following years.

If you feel that both dealers are 100% equal, then go with the first one. They likely helped with answering questions and providing info that the second team didn’t need to because you already knew. But, I doubt that they’re both on the same level for service. Who do your neighbors use? Ask them why…

 

[Geezer3d]

If price is a priority for you then let the first dealer know that you have been shopping other dealers and price is an important factor. Otherwise, I would decide based on which place felt right to me. Call it intition of you like, but when I shop for even lower cost items I usually get a feel for how comfortable I am with the place and their employees. All other things being equal, I would buy from the second dealer simply because you say they are closer and you tend to travel in their direction more often.