The Success in Shortline Machinery series highlights the best practice strategies employed by top farm equipment dealers to promote and sell shortline equipment. It is brought to you courtesy of Väderstad.
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First published October 13, 2011
As with any merger or acquisition, the rolled-up organization often finds a hodgepodge of shortline equipment. If those lines are not in conflict with the major-line's products, they almost assuredly will compete with another shortline product in the mix. In the first few weeks of the merger, Precision Equipment was already at work discussing shortline rationalization.
"This is a good time to have that dialog, because we have a new entity - it's Precision Equipment now instead of Farmers or Elder," says Ron Farrier, chairman of the board, Precision Equipment.
"Both dealerships had different shortlines, so now we've got to figure out which one's going to do the best job working with us," he says.
Precision Equipment is assembling a panel for these decisions, a structure many small store dealer-principals may find foreign. "When you're the owner, sometimes you react off-the-cuff in decisions like these - for instance making a decision on a rep's personality. Now, we've got a committee that helps make that decision so that's going to be exciting to get everybody to agree on that."
Precision Equipment is bringing in their shortline companies to re-pitch themselves. "We're putting them through the test," says Farrier.