EDITOR'S BLOG
CUTTING COSTS OR INVESTING IN THE BUSINESS?
How are you working smarter?
by Service Dealer Editor, Steve Gibbs
 
Steve Gibbs

Has the start of the season given you confidence to look at expanding certain areas of your dealership or is cutting costs still the order of the day? 

 


We lead today with a story which could hopefully be a positive indicator for what type of a season 2019 may pan out to be - this time for the ag machinery sector.

 

The AEA have released figures this week that show April's tractor registration figures were sharply up on the same month last year and were in fact the strongest figures for an April since 2012. The Association does admit that this may have at least in part had something to do with manufacturers bringing machines into the country ahead of the original Brexit date, rather than risk delays at ports or extra costs which might have resulted if the UK had left the EU without a deal. Which is understandable considering all the stories we've heard over the past few months regarding stockpiling and whatnot.

 

However, the AEA's economist, Stephen Howarth, tells us today that it's probably more than just that or timing differences due to system changes implemented during the month which has resulted in these improved figures. He says, ". . even allowing for that, there would still have been a noticeable year-on-year increase in April." Which is encouraging isn't it?

 

Of course I'm not saying all our readers will be hanging out the banners and booking that private jet to the Maldives just yet - as a breed, dealers have become accustomed to managing expectations.

 

If you listen to SME business experts, for companies to maintain profitability in the long term, it's not purely about cutting costs back to a bare minimum or going wild with spending to negotiate your way out of a difficult period. The key term they would use is working smarter. Knowing where to trim back on the fat in the business and where to sensibly invest in expansions.

 

The U.S dealer magazine Rural Lifestyle Dealer recently asked their readers where they are cutting back on costs in their dealerships at the moment. The whole piece is well worth a read through, if only to see just how relatable and how similar an experience the network over there is going through at the moment.

 

The magazine received a very interesting mixture of responses, from those which you would expect when times are little tight such as cutting back on advertising and marketing - to those which you may describe as slightly bullish, with some seeing now as the time to put money into the business to make sure they are in a position to fully take advantage of the opportunities which are out there this season.

 

One quote along these lines which really caught my eye was from a dealer called Doug Vahrenberg, of Vahrenberg Implement, based in Higginsville, Missouri. Doug is quoted by the magazine as saying his dealership is not undertaking any cost cutting exercises currently. He says, "We see momentum and stronger interest in the products we represent. We are actually increasing our marketing, upgrading facilities and increasing inventory to meet market demand. I’ve never had so many items pre-sold in our 67-year history . . .When you have the right products to sell, you don’t have the downturn others may be experiencing. Full steam ahead!"

 

That's real confidence being displayed there by Doug. Confidence in the machines he's selling, in his company's expertise and in there being customers out there who are willing to pay for both of these elements.

 

Is he being over confident? I don't know his particular circumstances, but I hope not. I certainly admire his belief in his products and services. But is it a statement which any of our readers feel they are in a position to repeat?

 

We're interested today in how our readers are feeling at the moment. In your efforts to work smarter where are you saving and where are you spending? If you are actively cutting costs within the business at the moment, where are you managing to do this?

 

Equally, what areas are you investing in? Are you seeing value in taking on more staff for example or investing in increased marketing? 

 

We'd appreciate hearing from you today, so please leave your comments below this article. 

NEWS
TRACTOR SALES RISE SHARPLY IN APRIL
Reversing trend of first 3 months
 
UK registrations of agricultural tractors (over 50hp) in April were up sharply

According to figures released by the AEA, at 1,606 machines, the total was up by more than a third on April 2018 and was the highest April figure since 2012.

 


According to figures released by the AEA, UK registrations of agricultural tractors (over 50hp) in April were up sharply, reversing the trend of the first three months of the year.

 

At 1,606 machines, the total was up by 35.1% on April 2018 and was the highest April figure since 2012.

 

Stephen Howarth, agricultural economist at the AEA, explained the figures saying, "Timing differences due to system changes implemented during the month, may have exaggerated the rise. However, even allowing for that, there would still have been a noticeable year-on-year increase in April.

 

"In part, this may be due to manufacturers bringing machines into the country ahead of the original Brexit date, rather than risk delays at ports or extra costs which might have resulted if the UK had left the EU without a deal. Any machines involved would likely have been registered during April."

The rise in April brings the total number of machines registered in the year to date to 4,273, 4% more than in the first four months of last year. Stephen Howarth said it remains to be seen whether the temporary factors mentioned above will balance out in the coming months.

MKM AGRICULTURE EXPANDS BUSINESS EASTWARDS
Beds ATV and UTV specialist opens new Suffolk branch
by Martin Rickatson, Service Dealer agricultural machinery editor
 
MKM Agriculture

MKM Agriculture this week officially opened its second branch in Suffolk, following the firm’s establishment of new premises at Ixworth Thorpe, near Bury St Edmunds, back in March.


MKM Agriculture, the Bedfordshire-based ATV and UTV dealership, this week officially opened its second branch in Suffolk, following the firm’s establishment of new premises at Ixworth Thorpe, near Bury St Edmunds, back in March. The development follows the departure from ATV retailing of Fieldens, the area’s former Honda dealer.

 

 

While it retails all four leading ATV makes from its Beds branch, the company, which has been selling, servicing and supporting professional ATVs since 2003, and sport/leisure machines since 2006, will be focusing on Honda - whose products it has been retailing since 2016 - from its new branch.

 

“Not only are we selling the Honda ATV products, though, but we are also really pleased to have just been awarded the Honda domestic grasscare franchise for this area,” says Anthony Deacon, managing director of the MKM Agriculture business, which he runs alongside his father, Mark.

 

“In addition, we are also retailing a full range of complementary products for ATV users from suppliers including Logic and Wessex, giving us a full line of machinery and implements.

 

“At the new premises, we have a showroom, full workshop facilities and a comprehensive spare parts store. In addition, we have an off-road demonstration area where we can show what our machines are capable of and potential customers can try them out. And we’re really pleased to have attracted a good number of former Fieldens staff to work with us, including Keith Collins, who is managing the new Suffolk branch.”

DEERE PAYS $1M FOR AIR QUALITY VIOLATION
In Iowa
 
Deere & Co. has agreed to pay $1 million for violating air quality standards at its Cedar Falls, USA facility

This week's WEB ONLY story is that it has been reported that Deere & Co. has agreed to pay $1 million to Iowa for violating air quality standards at its Cedar Falls, USA facility.

 


IAGRE APPOINT NEW CEO
With effect from 1st September 2019
 
Edward Hansom speaking at the 2019 AGM and Awards yesterday (May 2nd)

The Institution of Agricultural Engineers has announced the appointment of Edward Hansom, BEng CEng MIMechE, as their next CEO.


The Institution of Agricultural Engineers has announced the appointment of Edward Hansom, BEng CEng MIMechE, as their next CEO.

 

Edward was introduced to IAgrE members at the 2019 AGM and Awards held at the National Fluid Power Centre at Worksop, Notts yesterday (May 2nd) by IAgrE President, Professor Jane Rickson. He succeeds retiring CEO Alastair Taylor on 1st September 2019.

 

Edward speaking at the AGM & Awards yesterday

 

Edward is a Chartered Engineer, with a background in mechanical and production engineering and was a Marine Engineer Officer with the Royal Navy. He has over 20 years' experience of leading teams within Professional Engineering Institutions, including the Institution of Mechanical Engineers (IMechE), the Institute of Marine Engineering, Science and Technology (IMarEST) and the Royal Institution of Naval Architects (RINA).


IAgrE say Edward will bring an extensive knowledge of membership and professional matters to the Institution. He has led the development of Professional Standards (including Engineering Council registrations), Accreditation and Continuing Professional Development, with special focus on increasing Institution membership and membership benefits.


Edward has worked with national bodies, industry, academia, and international organisations; including representation at a strategic level with organisations such as UK Governmental departments, the Engineering Council, the Science Council and the International Maritime Organisation.


Commenting on his appointment Ed said, "I am honored to be taking up the appointment of Chief Executive of the IAgrE. I am very much looking forward to the opportunities and challenges that will come with the job and to build upon the excellent work Alastair has done during his tenure."

TOUGH NEW APPRENTICESHIP STANDARDS PASSED
By AGCO apprentices
 
One of the qualfiying apprentices, Jacques Marshall, who works at Thurlow Nunn Standen Ltd in East Anglia

Agricultural engineers from the AGCO Apprenticeship Academy at Moreton Morrell College are celebrating being the first in the UK to pass through the tough new national apprenticeship standards.

 


Agricultural engineers from the AGCO Apprenticeship Academy at Moreton Morrell College are celebrating being the first in the UK to pass through the tough new national apprenticeship standards for their industry sector.

Fourteen land-based service engineering apprentices, working at AGCO dealerships across the country, were delighted to learn that they had passed through their End Point Assessment (EPA), taken with Lantra at Moreton Morrell’s land-based college at the end of February.

 

The Agricultural engineers from the AGCO Apprenticeship Academy

An EPA is the final assessment apprentices undertake to make sure they are fully competent and can do the job that they have been training for. Government legislation states that a rigorous and robust EPA must be delivered by a separate body to the training provider giving employers the confidence that apprentices have achieved occupational competence. This is the first ever cohort within the agricultural engineering sector to undertake the assessment.

Apprentice Jacques Marshall, who works at Thurlow Nunn Standen Ltd in East Anglia as a trainee technician was very pleased to learn he had passed all elements of his EPA.

 

Jacques Marshall

 

The 23-year-old from Norfolk said, “It feels great to achieve after all the hard work and effort put into the four-year programme. Agricultural technicians are highly sought after so it’s really good to know that I now have the skills and will give me a good career for life. College has been great, and I’ve definitely made some friends for life.”

Anthony Linfield, AGCO’s training development manager, said, “I am delighted that AGCO’s dealer apprentices have become the first ever within the agricultural engineering sector to undertake their End Point Assessments including exams. The EPA represents a key element of the AGCO land-based engineering apprenticeship scheme, and serves as demonstrable proof at pass, merit or distinction of their qualification to the employers who have invested in them.”

Mark Eden, Director of Work Based Learning at WCG, said, “As their training provider it was really pleasing to see our latest group of AGCO apprentices complete their Land-Based Service Engineering Apprenticeship programme and become the first apprentices in the country to achieve this new apprenticeship standard.

“The group demonstrated a wide range of knowledge, skills and behaviours during the intense process of assessment spread over a two-week period. This is testament to all the hard work this group have committed to their apprenticeship and the support and guidance received from the team at Moreton Morrell College and the AGCO franchised dealer network these candidates represent.

“The group achieved some fantastic results across all elements of their EPA process, so I would like to thank Land-Based Assessment Limited and the team at Lantra who have supported WCG throughout this process.”

Lantra provides expert training and qualifications for land-based industries. Its Chief Executive Marcus Potter said, “As an EPA organisation we’re delighted that the first technical apprentices in Level 3 Land-Based Engineering, have recently passed through the new assessment process with Lantra. We’ve worked closely with all parties behind the scenes to ensure the end-to-end process has run as smoothly as possible. Feedback to date has been extremely positive, providing an excellent platform for moving forward.”

The AGCO Academy Apprenticeship is now in its twentieth year, and in partnership with Moreton Morrell College, part of the multi-site college group WCG, has been the starting point for some of the most highly-respected and sought-after agricultural engineers in the sector.

It combines classroom and workshop training with practical, work-based development to lay the foundations of a successful career, working with brands including Massey Ferguson, Fendt and Valtra.

Dealerships and those interested in finding out more about the opportunities through the AGCO apprenticeship scheme can email MasseyFerguson.apprenticeship@agcocorp.com, Fendt.apprenticeship@agcocorp.com or Valtra.apprenticeship@agcocorp.com

SALTEX ADDS ECO VILLAGE
New for this year
 
SALTEX Eco Village

The organisers of October's exhibition are promising to showcase the latest green technology in groundscare in a new area, dedicated to environmentally-friendly products.

 


New for 2019, SALTEX are promising visitors a showcase of the latest green technology in groundscare in a new area on the show floor, which is purely dedicated to environmentally-friendly products.

 

The organisers say the trend towards sustainable and environmentally-friendly practices in groundscare is gathering pace. The IOG believe that an increased number of grounds personnel, greenkeepers, landscapers and contractors are looking for products that can deliver quality results but also reduce carbon footprints to the environment.


This addition to the show appears to have stemmed from the results of the post-event survey last year which revealed that visitors thought the exhibition could benefit even further from a wider choice of eco-friendly products and services.


The organinsers say the new Eco Village will feature a programme of daily demonstrations of sustainable technology - offering visitors an opportunity of seeing a number of products in action.


Also, industry experts, within this village, will offer advice on green technology and how it could benefit current working practices.


Commenting on the development, SALTEX event director Matthew Knight, said, “Each year we listen to every single piece of feedback and implement tangible changes that will make the SALTEX experience even better.


“It is great to see groundscare manufacturers committed to reducing the environmental footprints and with the increasing demand for battery-powered products it makes sense to launch a new area at SALTEX, which solely focuses on these technologies.


“There has been a huge amount of interest from companies that are looking to participate and we are expecting to stage a fascinating and varied demonstration programme."


SALTEX 2019 takes place at the NEC, Birmingham on October 30 and 31.

EDINBURGH TO LONDON BY MOWER - 60 YEARS ON
Event celebrated recently
 
Mike Smith, Mike Savage, Tom Hudson, Hugh Tansley and John Wilson 60 years on from their epic journey

Five former students who drove a Ransomes Matador non-stop from Edinburgh to London in 1959, were reunited recently to commemorate their epic journey at the University of Hertfordshire.

 


Five former students who drove a Ransomes Matador mower non-stop from Edinburgh to London’s Hyde Park back in 1959, were reunited recently to commemorate their epic journey.

 

The University of Hertfordshire in Hatfield hosted a celebratory lunch and tour of the current engineering faculty to celebrate their remarkable achievement.

 

Mike Smith, Mike Savage, Tom Hudson, Hugh Tansley and John Wilson 60 years on from their epic journey

 

Back in 1959, Tom Hudson, Mike Smith, Mike Savage, Hugh Tansley and John Wilson, who were all apprentices at the De Havilland Aircraft Company and day-release students at Hatfield Technical College, decided they wanted to test the reliability of small petrol engines, so they hatched a plot which became known as Operation Matador, to see if they could drive a mower from Edinburgh to London.

 

They contacted the management at Ransomes, Sims and Jeffries, the forerunner of today’s Ransomes Jacobsen company, who quickly agreed to help them out. Ransomes provided a standard Matador walk-behind mower, slightly modified with a larger sump added to the 288cc Villiers engine to provide enough lubrication for the non-stop 400-mile trip. A team of four apprentices tested a couple of prototypes, running them around Ipswich for 90 hours, which was the estimated time it would take to travel at 3 mph down the A68 and A1.

 

With the trials successfully completed, the date for Operation Matador was set for Easter 1959. The five students left Edinburgh Castle with Tom Hudson driving the first leg and the others crammed into a Bedford Dormobile, which was to be their mobile home for the next four days. A gift of a haggis was placed in the grass box of the mower to be presented to the Keeper of the Royal Parks in London - a Scotsman - at the end of the journey.

 

Four days and three nights after leaving the appropriately named Lawnmarket in Edinburgh, the students rode into Hyde Park to be greeted by a high-powered reception committee of Royal Park’s staff, Ransomes top management and dealer representatives, a BBC television crew and the press. The haggis was handed over to the Keeper of the Royal Parks and a ceremonial strip of Hyde Park grass was mown to Ransomes perfection.

 

Back in 2009 Ransomes Jacobsen helped the team celebrate their 50th anniversary by organising a two-day visit to their head office in Ipswich, which included a replica of the
Ransomes Matador mower complete with the number plate and signage from 1959.

 

Ten years on the mower, now in the safe hands of the Ipswich Transport Museum, was parked on the lawn at the university to greet the intrepid Operation Matador team as they arrived.

Vice-Chancellor of the University of Hertfordshire, Professor Quintin McKellar driving the mower

 

Professor Quintin McKellar CBE, Vice-Chancellor and Chief Executive of the University of Hertfordshire, welcomed the illustrious alumni saying, “I am delighted to welcome you all to this amazing celebration, some 60 years on from that epic Easter weekend back in 1959. It was an incredible feat and a credit to yourselves, Hatfield Technical College as it was then, and the Ransomes company. You have entered the annals of the history of the University and it’s a pleasure to welcome you and your wives on this historic occasion, and to get a shot driving the lawn mower!”

 

Mike Smith, one of the ‘masterminds’ behind the ride added, “We keep in touch with each other, but it has been 10 years since we were all together. What’s really amazing is that we are all still here to celebrate again a decade later and we are truly grateful to the Vice-Chancellor and his staff for this generous recognition.”

 

The celebrations concluded with a tour of the university’s Engineering department to see the recently installed driving simulator in the Automotive laboratory, various flight simulators and the latest Student Formula racing car being designed and built by the engineering students.

 

The tour concluded with a visit to the engineering faculty where a Students Formula racing car is being constructed

ANOTHER AWARD FOR EGO'S POWERLOAD
Independent newspaper bestows
 
Ego Power+ ST1510E loop handled line trimmer featuring Powerload

The Ego Power+ ST1510E loop handled line trimmer featuring Powerload has been voted a Best Buy in IndyBest, coming out on top in a test of nine manufacturers.

 


Adding to its list of awards, Ego’s new Line Trimmer with Powerload technology featuring a self-winding line, has received its latest accolade.

 


The ST1510E loop handled line trimmer has been voted a Best Buy in IndyBest (published in The Independent), coming out on top in a test of nine manufacturers.


This is the latest in a run of awards for the manufacturer, who won a BBC Gardeners’ World Best Buy for its new 47cm self-propelled mower. Ego Power+ was rated highly for the best mid-price mowers, scoring it 19/20 and reporting on the ease of use.


Vince Brauns, product manager EMEA, at Ego, said, “We’re very pleased to be awarded the IndyBest Best Buy. Listening to our customers pain points has allowed us to create a multi-award-winning product that works for everybody.”

MTD APPOINT FOR SOUTH-EAST
Scott Hawkins joins as territory sales manager
 
Scott Hawkins

Role will see him providing additional sales support on both the Cub Cadet TMSystem and Infinicut.

 


MTD Specialty Turf Products have announced the appointment of Scott Hawkins.

 

Scott joins the team as territory sales manager for the South East, a role which will see him providing additional sales support on both the Cub Cadet TMSystem and Infinicut.


Scott joins MTD on the back of two years as football & cricket head groundsman at the La Manga Club in Spain. During this period he was responsible for overseeing all elements of grounds maintenance for the natural grass soccer pitches and cricket facilities - both of which are regularly in use by leading teams from around the world for warm-weather training. Prior to this, Scott worked at Fenner’s Cricket Ground for the University of Cambridge and began his career at Essex County Cricket Club.


Upon embarking on his latest venture, Scott said, “I’m very excited to be taking up this new position and working with such technologically advanced machinery. I have already enjoyed a busy BTME in Harrogate and look forward to using my knowledge and experience as a groundsman to work alongside turf managers, in both the golf and sports turf markets, helping them to achieve their aims.”

CUB CADET SUPPORTING BADMINTON HORSE TRIALS
Taking place this week
 
Cub Cadet at Badminton

Company has sent its XZ3 122 machine to cut the trade area before and during the event, which is taking place in Gloucestershire until this Sunday, 5th May.

 


Cub Cadet has again been supporting the Badminton Horse Trials, sending its XZ3 122 machine to cut the trade area before and during the event, which began in Gloucestershire on Wednesday this week (1st May) and is running until Sunday (5th).

 

 

Speaking of his decision to use the mower, Badminton site manager, Harry Verney, said, “When we hold the trials each year, we are looking for machines which can deliver a high-quality cut, whilst being comfortable and easy to control for the staff using them. For us, Cub Cadet has always been the right choice. We have been using them for a number of years now and are always really pleased with the results.”


During the trials, Cub Cadet say they are also proud to be supporting rider William Fox-Pitt MBE, one of the most successful three-day event riders ever. Mr Fox-Pitt is a double world number one and seven-times British number one.


Ian Seager, marketing manager for Cub Cadet, said: “We are pleased to be offering our support again to such a high-profile event. Badminton required a strong yet easily manoeuvrable machine to cut the trade area and our innovative and market-leading XZ3 122 fits the bill perfectly.”

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Sponsored Product Announcements
HUSQVARNA LAUNCH NEW PROFESSIONAL HEDGETRIMMERS
Husqvarna 522HD Series
 
Husqvarna 522HD Series hedge trimmers

Three new 522HD models replace the old 226HD series and are completely new both inside and out.

 


 

The new professional Husqvarna 522HD Series hedge trimmers are designed specifically with the professional operator in mind.


Three new 522HD models replace the old 226HD series and are completely new both inside and out.

 

What’s new?

  • Weight – Almost 1kg weight reduction (compared to old 226HD) gives the operators a much lighter machine that is easy to manoeuvre with less strain on the arms and back, improving productivity.
  • Coarse cut – Increased cutting performance on HDR model in coarse and dense hedges, delivered by a high torque gearbox and heavy duty blade design.
  • Serviceability – Features have been added to make the machine easier to service and perform frequent preventative maintenance.

Manual gear rotation allows the blades to be reversed when jammed in dense material or hidden, objects using a T27 Torx grip tool without damaging the gearbox. It also allows the blades to be set in place for sharpening.


A grease nipple on the gearbox allows frequent preventative maintenance.

 

Demonstrations and Support - The Husqvarna Professional Team are available to support the dealer network with demonstrations for professional fleet organisations. To enquire about a demonstration contact your local Area Business Manager.

 

522HD60X - 967658701

  • Fine Cut – Dual sided - 4,400 cuts per min blade speed
  • Weight 4.9kg
  • Vibration levels Front/Rear - 2.8/2.1m/s2
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522HDR60X - 967658301

  • Rough Cut – Dual sided - 3,200 cuts per min blade speed
  • Weight 5.0kg
  • Vibration levels Front/Rear - 3.8/1.3m/s2
  • £620.00 Inc VAT

522HDR75X - 967658401

  • Rough cut – Dual sided - 3,200 cuts per min blade speed
  • Weight 5.2kg
  • Vibration levels Front/Rear - 3.1/2.2m/s2
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In stock available to order now

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In the last month, over 13,000 people who are looking to make a product or service purchase turned to Garden Trader to help locate their local dealer.  It is important that the public understand the true value of product knowledge and customer service provided by our amazing dealer network.  That is why we have been introducing video clips of real dealers in the UK to humanise decision making online and physically direct customers to dealers.  Thanks to all of you who have helped us with filming and we will be adding more soon. Garden Trader is delivering on average 550 potential customers every year to individual dealer's pages.  Because of the site promotional criteria, we know the majority are actively looking to make a purchase (product or service).  All subscribed dealers can easily check their listing's analytics just by logging in to see for themselves just how Garden Trader is helping their business. At £1.84 per week, we don't believe any other form of highly targeted digital promotion can get anywhere close to this value.  Better still, it was designed to promote our highly skilled dealer network in the UK and helping fight discount based zero value online retailers and DIY stores. If you do wish to re-subscribe or indeed register it is easy and takes just a few minutes. 


Garden Trader is a product and dealer search website/directory only for specialist garden machinery dealers in the UK. It has been designed to support and promote our dealer industry to consumers who are specifically searching for garden machinery products and services.

 

It costs just £96 + VAT per year to be listed and all revenues in 2019 will be reinvested into promoting the site online.

 

Garden Trader

 

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.

 

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