With some dealers telling us they're upping their winter stocking orders in anticipation of an uncertain Q1, let's take a breath and get ready to appreciate a well-earned break!
Today's is the final Weekly Update of what has been frankly, a quite remarkable year.
Remarkable both for all the wrong reasons and remarkable also for the level of success which it appears many of our resourceful and resilient dealers have steered their businesses to over these past 12 months.
We know our readers won't be resting on their laurels though and will have a keen eye on the first quarter of next year. We've been hearing anecdotally that some dealers have been upping their winter stocking orders above the levels that they would usually choose to - both on wholegoods and parts.
Anticipating further logistical problems caused by both Covid and Brexit, some businesses we've heard from are telling us they are doing their best to head-off and mitigate further delays by stocking up now.
Is this something which sounds familiar to your dealership too? Have you been stockpiling ahead of Q1? Let us know in the comments below.
A well-earned break
Anyway, regardless of what might lie ahead, I hope plenty of you are in a position to begin winding down for a well-earned break. Due to the next two Fridays being Christmas Day and New Year's Day, we'll now be back in your inbox on Friday January 8th. Between now and then though, the first issue of the magazine for 2021 should be dropping onto your doormat, for your fix of Service Dealer!
A cracking issue to kick off the new year, we hear from our dealer panel on what the year might hold in store for them, from a family dealership who've adapted and thrived, from larger dealerships who have chosen to employ a dedicated marketing manager and from a major manufacturer who tells us how they've had to change their way of working this past year.
The mag will also welcome a new dealer diarist for the year. Chris Gibson of GGM Groundscare in Colne, Lancashire has kindly agreed to contribute a column each issue. Chris will be keeping us updated how his progressive, professional groundscare dealership navigates the 12 months ahead. I thank Chris for his commitment and I know the magazine will benefit from his words of wisdom.
I would also like to take the opportunity to thank Pete McArthur of Strathbogie Forest & Garden for so wonderfully keeping us informed with his diary during the course of this year. He has provided a fascinating insight into the running of an independent dealership under the strange circumstances thrown up by 2020. Thanks ever so Pete - it has been very much appreciated.
Whilst I'm doing some quick shout-outs, I should also like to thank all the other dealers who have contributed towards Service Dealer this year. Dealers who have contacted us with information about their businesses, dealers who have given their time over to interviews and indeed those who have been so very generous in joining us on our video conference calls throughout the year. Without these discussions we would not have been able to gain such an accurate impression of what's going on out there in the network.
By the same token, I'd like to also extend our tremendous gratitude to all the representatives of manufacturers, suppliers, business service providers and trade associations who have also joined us virtually throughout the year. These sessions have been open, frank and incredibly helpful, allowing us to pass on information to our readership on how key companies in our industry have been faring.
Thanks of course also to you our loyal dealer readers and all our commercial partners - both of whom couldn't be more vital to Service Dealer's continued success.
And finally before they start up the band and get out the big hook on a pole, sincere thanks to the editorial team of Martin, Laurence and Adam, the continued support of founder Chris Biddle and massive thanks to Duncan and his amazing team at TAP (with a particular fist-bump to the incredible Nikki!).
Charity Christmas game
To sign off for the year, I'll leave you with what's become a bit of a tradition in our final Update, an online prize game.
The clever computer people at TAP have come up with another fiendish challenge, which this year will also earn money for charity whilst you're timewasting! Complete the game with more than 150 points and TAP will donate £5.00 to Farms For City Children on your behalf. As Farms For City Children was founded by Sir Michael Morpurgo and his wife Clare, all successful entrants will be entered into a draw to win a Michael Morpurgo book, signed by the man himself!
Click above to play!
Have a go today and help us get to our maximum target total of £500. The winner will be picked and announced on Twitter on 08/01/21.
This week's WEB ONLY story is Robin Lennie, managing director of STIHL GB, who retires at the end of December, has given an entertaining and frank account of his 30-year career to the Inside Agri-Turf podcast.
The OPEI has released its December forecast, showing record growth across the U.S industry despite an ongoing pandemic and downward market pressures, and predict continued positive activity into 2021.
The American trade association, the Outdoor Power Equipment Institute (OPEI) has released its December forecast, showing record growth across the industry in the U.S, despite an ongoing pandemic and downward market pressures, and predict continued positive activity into 2021.
Kris Kiser, President and CEO of the OPEI
“We’ve seen very real, significant positive market dynamics across many of the segments we track,” said Kris Kiser, President and CEO of the OPEI. “While this year has been very challenging, the industry has stepped up to continue making and shipping necessary equipment, helping many Americans get outside and work in and reconnect with their living landscapes.”
Kris added, “We expect demand for outdoor power equipment to remain strong into 2021 as homeowners expand their connection to their living landscape and invest in the maintenance of their outdoor spaces. Consumer demand remains high, and inventories at outdoor power equipment dealers remain tight.”
Overall, the industry in the U.S saw shipments of outdoor power equipment increase by more than 5 million units - a jump of 16 percent from last year - and those levels are expected to remain elevated in 2021.
The OPEI say this year has seen expansion of both petrol-powered and battery/electric equipment, with all electric and battery powered segments tracked by OPEI posting double-digit growth. “The industry continues to expand its power offerings for commercial contractors and homeowners,” Kris said.
Consumer lawnmower shipments grew more than 15 percent in 2020, with 7.7 million units shipped.
Commercial lawn mower shipments are down about 5 percent in 2020 compared to 2019, with more than 308,000 shipped, but are expected to grow by more than 5 percent in 2021.
Handheld power equipment shipments grew by more than 17 percent in 2020, with 29.3 million units shipped.
“Commercial products are down a bit this year, as professional landscape contractors have been conservative during this period of uncertainty. They’ve been saving and will likely be in a strong cash position in the spring,” Kris said. “Manufacturers expect significant commercial investment in spring of 2021, and we expect this sector to grow by more than 5 percent next year.”
OPEI forecasted projections use as their basis the compiled monthly shipment data reported by OPEI members, constituting more than 90 percent of all shipments in the U.S. market. OPEI projections reflect shipments of products to include all power sources.
Netherton Tractors Limited will now also deal in Maschio Gaspardo, Strautmann and Sky equipment.
Opico Ltd is has announced the expansion of its partnership with Netherton Tractors Limited, to include Maschio Gaspardo tillage and seeding equipment and Maschio flail mowers, Sky grain drills and Strautmann forage and feeding wagons.
Charles Bedforth, sales director, Opico Ltd & Harry Barclay, managing director, Netherton Tractors Ltd
Netherton has previously been a long-standing Opico dealer, selling and servicing the HE-VA range of cultivation machinery and the Opico range of grassland maintenance equipment and grain dryers.
The dealership was established in 1987 and covers the area from the M8 north, with branches located in Forfar, Glenrothes and Perth, as well as two depots to be opened in the Turiff and Nairn area. This recent expansion has extended their reach into the North of Scotland.
Commenting, Charles Bedforth, Opico sales director said, “We couldn’t be more delighted that our full line-up of brands will be represented by Netherton Tractors. They enjoy an excellent reputation for supporting customers and they are ideally positioned to grow the Opico portfolio across the Perthshire, Turiff and Nairn areas. We are confident that all our customers, new and existing will receive excellent support.“
Harry Barclay, managing director at Netherton added, “Our sales, service and parts teams are busy getting up to speed with the excellent new range and we look forward to being of service to our local customers.”
Company announces that Frank Alviti will be taking over the areas of Herefordshire, Shropshire and Mid-Wales with immediate effect.
GreenMech say the strategic re-alignment of their dealer network continues with the announcement that Frank Alviti will be taking over the areas of Herefordshire, Shropshire and Mid-Wales with immediate effect.
Director Dave Alviti (right) pictured with Peter Bagguley, GreenMech national sales manager
With a client base that spans arb, groundcare and industrial, Frank Alviti will be offering sales and support across the complete GreenMech range from their Ludlow premises.
On their appointment, director Dave Alviti said, “We’ve been running a couple of GreenMech machines on our arb hire fleet for a few years and are pleased to now extend this into a full distribution agreement. Having personally worked as an arborist previously, I have a longstanding relationship with GreenMech and their machines, and so I am delighted to share this knowledge, experience and quality range of woodchippers with our client base over the coming weeks and months.”
Martin Lucas, GreenMech sales director added, “With a fantastic reputation for sales and aftercare, we look forward to working with Dave and the whole Frank Alviti team to raise the GreenMech profile and offer a more localised service across this key territory.”
GreenMech say any existing warranties relating to their chippers sold by previous area dealers Brian Beddoes and Tallis Amos Group Ltd, will continue to be supported by Frank Alviti.
The Toro Company say their strong fourth-quarter results were driven by continued sales growth in their residential segment and a rebound in their professional segment.
The Toro Company this week reported results for its fiscal fourth-quarter and full-year periods ended October 31, 2020.
The company says that Q4 net sales were $841 million, which is up 14.5% year over year.
Whilst full-year net sales for 2020 were $3.38 billion, which is up 7.7% versus last year. The residential segment net sales were up 24.1%.
“Our strong fourth-quarter results were driven by continued sales growth in our residential segment and a rebound in our professional segment,” said Richard M. Olson, chairman and chief executive officer.
“Residential sales were robust across all channels with strong demand for our new product lineup, accentuated by refreshed branding, an extended selling season, and stay-at-home trends. Improved demand for our professional products reflected greater business confidence from our customers and increased home investments. The integration of our Venture Products acquisition added another strong brand with multi-season products, contributing incremental sales in the quarter.
“Our momentum and continued investments position us well for success in the new fiscal year,” continued Olson. “We have a strong portfolio of businesses and deep customer relationships, a dedicated team and channel partners, and innovative products and emerging technologies aligned with customer needs. We will remain sharply focused on business execution as we continue to face uncertainty due to the ongoing pandemic."
FOURTH-QUARTER FISCAL 2020 FINANCIAL HIGHLIGHTS
Net sales of $841.0 million, up 14.5% from $734.4 million in the fourth quarter of fiscal 2019.
Net earnings of $72.2 million, up 88.7% from $38.3 million in the fourth quarter of fiscal 2019; *Adjusted net earnings of $69.2 million, up 33.5% from $51.8 million in the fourth quarter of fiscal 2019.
FULL-YEAR FISCAL 2020 FINANCIAL HIGHLIGHTS
Net sales of $3.38 billion, up 7.7% from $3.14 billion in fiscal 2019.
Net earnings of $329.7 million, up 20.3% from $274.0 million in the prior-year period; *Adjusted net earnings of $327.7 million, up 1.1% from $324.3 million in fiscal 2019.
OUTLOOK
The company is providing full-year fiscal 2021 guidance based on current visibility, although there continues to be considerable uncertainty given the potential effects of COVID-19 on demand levels and timing, its supply chain and the broader global economy.
For fiscal 2021, management expects total net sales growth in the range of 6.0% to 8.0% and *adjusted EPS in the range of $3.35 to $3.45 per diluted share. This estimated adjusted diluted EPS range excludes the benefit of the excess tax deduction for share-based compensation.
Claas Group has announced record sales in its 2020 financial year, rising 3.7% to 4.042 billion euros despite the pandemic and shut-downs in production.
Claas have announced that they increased their sales in the 2020 financial year by 3.7 percent to 4.042 billion euros (previous year: 3.898 billion euros).
Pre-tax earnings rose to 158 million euros (previous year: 136 million euros), whilst their free cash flow achieved a substantial turnaround into profit with 308 million euros (previous year: -138 million euros).
"Claas managed to achieve growth in sales and to improve profitability despite the pandemic and shutdowns in production. In the process, our widespread international presence has paid off,” said Thomas Böck, chairman of the Claas Group Executive Board.
Whilst sales in Germany, France and the other Western European countries remained stable on the whole, they grew significantly in Eastern Europe and especially Russia. At around 20%, the company achieved its strongest growth in sales outside of Europe, with North America proving to be the most important growth driver.
Despite the effects of Covid-19, the company says investment in major projects, such as at the company’s Le Mans tractor plant and at Harsewinkel continued. In addition they completed the new Class UK headquarters at Saxham, Suffolk and they launched the new 15ha Technoparc centre in Ymeray, France.
Despite uncertainties including the ongoing pandemic and the political situation for farmers in core markets, Claas say they expect sales and earnings for the current 2021 fiscal year to remain at the previous year's level.
A long-term partnership has been agreed between AGCO/Fendt and the maker of specialist combine harvester headers, Carl Geringhoff Vertriebsgesellschaft mbH & Co. KG.
A long-term partnership has recently been agreed between the agricultural equipment manufacturer AGCO/Fendt and the maker of specialist combine harvester headers, Carl Geringhoff Vertriebsgesellschaft mbH & Co. KG, based in Ahlen, Westphalia, Germany.
Geringhoff is known as a manufacturer of draper headers, corn pickers, headers for special crops and folding headers - which AGCO say are the perfect complement to Fendt units.
Geringhoff's products include draper headers with flexible cutterbars, and with a split frame and reel for ground adaptation, and an optional flexible cutterbar for low pickup losses in stalk and bean cutting. Fendt customers will also be able to use headers with a working width of up to 13.70 m with their combine harvester in the future. Geringhoff also provides special sunflower and millet heads.
"These headers are an excellent complement to our existing range, and we can now provide solutions for all our customers", said Christoph Gröblinghoff,chairman of the AGCO/Fendt Management Board, referring to the collaboration with Geringhoff.
Geringhoff's headers are sourced through sales partners and fully managed by Geringhoff, with them or the sales partner taking care of the purchasing, processing, service and after-sales side of Geringhoff products. Geringhoff headers are sold in Europe, North America, Australia, New Zealand and Africa.
Doosan Bobcat EMEA has appointed Versatile Equipment Ltd, replacing Bobcat of London, for an area that accounts for around 20% of the total value of machinery sales in the UK.
Doosan Bobcat EMEA has appointed Versatile Equipment Ltd as their new dealer for the counties of Greater London, Essex, West Sussex, East Sussex, Kent and Surrey in the UK.
Versatile Equipment replaces Bobcat of London as the exclusive Bobcat dealer in this region, which according to Bobcat accounts for around 20% of the total value of machinery sales in construction and related markets in the UK.
From 1st January 2021, Versatile Equipment supercedes Bobcat of London with sole responsibility in this area for sales and service of the range of Bobcat skid-steer and compact track loaders, mini-excavators, telehandlers, compact wheel loaders, light compaction and attachments.
Ewen Gilchrist, network development manager UK & Nordics at Doosan Bobcat EMEA, said, “We are excited by the expertise, experience and enthusiasm that Versatile Equipment will bring to the role of the new Authorised Bobcat Dealer for Greater London and the South East. Versatile Equipment is well established and offers a knowledge of the compact equipment and telehandler market that is second to none and is matched by a strong familiarity with the expanding Bobcat product range and an outstanding parts and service back-up for new and existing customers in the area.”
Lee Chater, sales and marketing director at Versatile Equipment, said, “To meet customer demand, we have complemented our successful track record in the compact market, with strong investment in our facilities both at our headquarters in Borough Green near Sevenoaks in Kent, and at our partner business, Hydraulics Plant Services, in East Grinstead, close to Gatwick Airport.
“We are looking forward to a long and fruitful relationship with Bobcat, helping to significantly increase the company’s share of the construction, rental, landscaping, agriculture, industrial, recycling, waste management and other markets in London and the South East.”
As well as sales of the entire Bobcat range of machines and attachments, Versatile will be offering a full selection of genuine accessories and parts. This will be backed up by a stock of both brand new and second hand Bobcat machines for sale. Customers will also benefit from on-site service.
Glenn Bootman will use his knowledge and experience of cultivation, establishment practices and soils, to support Opico’s territory managers and dealers around the country.
Glenn Bootman has been appointed as product manager for Sky Agriculture drills and the HE-VA cultivation range in the UK.
Glenn Bootman
Glenn will use his knowledge and experience of cultivation and establishment practices and, more importantly soils, to support Opico’s territory managers and dealers around the country. He will also work closely with HE-VA in Denmark and SKY in France to develop their products for farmers and contractors in the UK. Opico say Glenn will be the essential link between what happens on farm and in the manufacturing and R & D process.
Glenn will also continue his role as an Opico territory manager but will look after a contracted area, focused around Northamptonshire, Bedfordshire and Buckinghamshire.
Charles Bedforth, sales director, Opico Ltd said, “Glenn’s knowledge is second to none. Opico is growing and having someone with Glenn’s capabilities championing HE-VA and SKY brands for all our customers and dealers will benefit us all.”
U.S manufacturer Monarch Tractor have introduced what they describe as the world’s first fully electric, driver optional, smart tractor integrated on a single platform.
U.S manufacturer Monarch Tractor have introduced what they describe as the world’s first fully electric, driver optional, smart tractor integrated on a single platform.
The company says the innovation addresses the issues faced by farmers of labour shortages, climate change concerns, and increasingly stringent environmental regulations by combining electrification, automation, machine learning, and data analysis. They also say they have secured several hundred working farms as preliminary customers.
To see some of the key features of the Monarch Tractor in action watch the below video:
Praveen Penmetsa, co-founder & CEO, Monarch Tractor said, "Monarch Tractor is ushering in the digital transformation of farming with unprecedented intelligence, technology and safety features.
"We have assembled a world-class team of farmers, engineers, and scientists to meet today’s farming demands and are empowering farmers by giving them intelligent tools to collect more predictive data to implement sustainable practices, better share their story and make more money. Hundreds of farmers have signed on to receive a Monarch Tractor and we look forward to delivering a new level of sustainability and efficiency to their existing farm operations."
The company says the unit has a starting price of $50,000 and can be reserved now. Shipping will commence in autumn 2021.
Carlo Mondavi, chief farming officer, at Monarch Tractor added, “As a fourth-generation farmer, I’ve seen firsthand the hazards that farming presents not just to workers, but to the environment as well. Monarch Tractor is moving farming toward a safer and sustainable future by eliminating harmful emissions, reducing the need for herbicides and keeping workers out of harm’s way with its driver-optional capabilities.”
Lawnmower Jones, a family business based in Funtington, West Sussex, is looking for a person to help them expand and continue to offer good customer service.
Lawnmower Jones is a family business that started in 2014, working from home and has expanded over the last few years.
We now have two units in a business park and business is growing.
The business is based Funtington, West Sussex.
We do believe in good customer service and have a good customer base.
The work load has considerably increased and now looking for a person to help us expand and continue to offer good customer service.
The position
A full time experienced mechanic.
Job description
Servicing and repairing all types of garden machinery.
Servicing and repairing some commercial machinery.
Assembling and testing new machinery when needed.
Specifiacations
Good communication skills.
Happy to work on own.
Help with serving customers.
Having a good eye for detail.
We are looking for a friendly enthusiastic person to join our team and would offer a Competitive Salary.
The Briggs and Stratton Pre-Season is now available via the Kramp webshop.
With over 110 years of experience, Briggs & Stratton are trusted by millions of users around the globe and backed by the largest service network in the industry. As a leading manufacturer of power generation, lawn and garden turf care and job site products, you know it's a brand that can be trusted.
The Briggs and Stratton Pre-Season is now available via the Kramp webshop. Take the opportunity to make huge savings on a wide range of top-quality items.
To take advantage of the offer, please log in to the Kramp webshop to see the catalogue and fill in the order form, or remember you can contact your account manager for more information.
Link to Kramp webshop - https://www.kramp.com/shop-gb/en (Please remember to log in to your account to see details and place your order, T&Cs apply)
In Garden Trader user research conducted over the Spring/Summer (February to July) of 2020, 79% of the 67,000 users found the site helpful or extremely helpful. But even more encouraging was that 77.4% of site users were likely or extremely likely to visit the dealership they were looking at on Garden Trader. This is the best proof yet that people want to buy from people and this highly targeted website is delivering quality leads to subscribed dealers for just 26p per day.
Our Summer research shows that on average, each Garden Trader dealer will be sent 114 new customers (or people with a buying intention walking through your door) per year. This works out at 83p for each new customer. A subscription rate designed to be all inclusive delivering unrivalled online results.
This site was purpose-built just for skilled servicing ground care dealers by the team that bring you Service Dealer Magazine. It is easy and quick to register and costs just £96 + VAT per year for a full listing. As this dealer site is designed to promote the UK dealer network, all revenues in 2021 will be reinvested into promoting the site online.
Join the country’s only independent specialist website, created by the team that bring you Service Dealer. Join our subscribed Garden Trader dealers now by clicking on “Register Dealership” and let's fight back against the zero value retailers.
