What’s your answer?
The three “Gets” are questions dealers should always be asking themselves. For many, these challenging times have presented ample opportunity to ponder on the answers to Get Big, Get Better or Get Out.
Are you a rural lifestyle or large ag or construction dealer or a mix of all? No two dealership answers will be the same. More than anything, how are individual dealerships operating? Are they successful despite every challenge they face or do they
float along with their market conditions?
For large ag dealerships, unfortunately, the downturn is throwing a curveball as to how an owner or organization is able to answer. The current business cycle is making many dealerships choose how they have to answer and not how they wish to answer. For far too many, it is difficult to achieve what they desire.
There are a growing number of large ag equipment dealerships that are seeing light at the end of the tunnel. This number is growing daily. There is some chatter regarding financially healthy dealerships getting back to buying more locations.
On the flip side, there are a number of large ag dealerships that are likely in their last year of business. They will be out of money before we enter 2018.
As you will see in the charts in this article, not all markets are in a down cycle. Outside of the energy production regions, compact tractor and construction dealerships are experiencing a boom. Over a five-year span, there has been sales growth in these product types.
As it pertains to you, I challenge you to not only think about the Get Big, Get Better and Get Out answers, but to write out your thoughts. Words on a page are not as easily changed as the words in your head. The “Get” questions are not always how they appear on the surface. I will share some of the meaning of the three “Gets.” This will provide direction on how a dealer should answer.
Western Equipment Dealer Magazine
By Trent Hummel