At last, some positive news!

It was encouraging to hear that one of the dealerships we have reported on for closing their doors in this Spring '24 period, has been purchased out of administration by MacGregor Industrial Supplies. Especially pleasing was the news that fifteen of the original employees have been kept on at Balgownie to ensure some degree of continuity. Clearly thoughts remain with the twenty-four who were laid-off initially - but as this is news that we perhaps didn't expect to hear, we should chalk this up as a bright spot in recent weeks. Particularly for the staff who do remain and hopefully for the customers who can continue to be served with the brands they are familiar with in the local area.

It has brought us no pleasure whatsoever here at Service Dealer Towers, having to report on this spate of closures these past few weeks. We'd much rather be talking up all the positive aspects of the industry and the incredible work that dealers up and down the country are undertaking week in, week out. In fact, it's such a relief that today each story in our Weekly Update can be described as positive news for the sector.

But I must say, in my 20+ years of working on the magazine I can't recall a period where as many dealerships folded in such a short period of time - so the unusual nature of these past few weeks, did require some comment I'm afraid.

Dealer thoughts

And talking of comment, we had quite the response from you, our dealer readers, last week when we asked what was going on with these closures so far this year? As illustrated by this Weekly Update's superb engagement rates recently, we are so lucky, and indeed grateful, that when we ask our expert readership for their thoughts and opinions on a given industry subject, we receive such considered and insightful responses.

What came across most strongly from dealers who contributed to the discussion, is just how much of an Herculean effort it is for small businesses, in the current circumstances, to remain sufficiently profitable.

This struggle was summed up succinctly by one reader who answered the question 'what's going on?' with, "Simple - lack of margin!". Another expanded on the theme, saying, "Greedy big brands with low margins for dealers."

This low margin argument received an interesting spin from a reader who described themselves as a DIY store, saying they would hate to be reliant solely on garden machinery for their profitability. They explained, "Something is wrong when you can make more money on a £21.99 tin of paint than if you chose to price match an online lawnmower."

Another thread taken up by our dealer commentators, took aim at the bottom end of the sector for skewing the marketplace for traditional servicing dealers. One said, "China is sucking the blood from many businesses with wholesale prices which in a real world would be crazy. Dealers with quality products simply cannot compete."  A separate dealer agreed with the position on cheap Chinese imports, saying they have been " . . undercutting the quality manufacturers for years, while at the same time making a mockery of all the 'green' claptrap spouted by hypocritical politicians, and others who, when it comes down to it, just cannot resist saving a buck or two."

We also heard from our friend Nigel Barnes of Moggs Of Wells, whose insight we always appreciate, who told us he sympathised completely with the current situation. On the subject of cheap products, Nigel added, "When it comes to sales, there are always other outfits giving what I would call ridiculous discounts, and manufacturers offering promotional prices to stimulate demand, meaning that our margins are squeezed to the bone if not beyond."

Nigel also spoke on the service side of a dealership, remarking how difficult it was to attract quality people with "desperately low" industry wages, and how customers do not realise how difficult and time-consuming some jobs can be. He told us, "I frequently find that we cannot really charge for how many hours a job actually took because customers simply wouldn't pay the bill. You only need a stripped thread or a sheared off bolt in an awkward position and time just goes out of the window."

We also had another factor for dealership closures mentioned to us, that we haven't heard articulated specifically regarding the recent spate, but nonetheless is a subject we have discussed many times in the past - and that is a lack of succession. One dealer wrote to me saying, "I have been keeping my own record of local dealership closures in the last few years and I’m currently up to a count of fifteen. To the best of my knowledge, all bar one of those closures was not directly related to lack of finance. Most were the owners having got to retirement age with nobody to take over the business."

Another opinion shared, was that some blame must be placed on the manufacturers for dumping dealerships with stock. They need to shoulder some responsibility for what has been happening we were told. This dealer also posed the question are other independent retailers in separate industries to ours, struggling in a similar fashion this year? And if not, what is it that's unique about this sector and why aren't our trade associations pressing government to do something about it? Big questions that require some further investigation.

So whilst we have learnt some positive news this week with a dealership saved from the brink, we must be mindful that there are always potential pitfalls. We will continue to monitor the situation as we progress throughout the season and, as ever, we will be thankful to have such a fantastic readership that we can rely upon to share with us their thoughts and opinions.

So please do continue to keep us up-to-date with happenings at your place of business and in your communities, whilst letting us know what you think about wider industry topics. It is always much appreciated.

PSD Groundscare have announced a new partnership with German manufacturer SABO who are re-entering the UK and Irish market.

SABO produce battery and petrol walk behind collection mowers for both residential and commercial markets and have traditionally enjoyed a high market share in the specialised dealer channel.

PSD say they will be focussing on the sale of the walk-behind mowers, which for many years were branded in the green and yellow of John Deere. However, in October 2020 Deere decided to exit the WBM market and sold SABO to private equity company Mutares SE & Co - who subsequently, in September 2023, agreed to sell the company to a management buyout led by managing director Lars Daniel, finally returning SABO Holding GmbH, to private ownership. The range of new collection mowers take the original design but are now produced in a distinctive red colour.

SABO say they chose to partner with PSD due to their track record of taking specialist landscaping equipment to market - in addition to PSD’s comprehensive list of carefully chosen specialist dealers.

The new range of SABO collection mowers is to be launched in the UK with immediate effect.
 
PSD sales director Stuart Mercer said, “We’re extremely excited to add SABO to our portfolio and lead the reintroduction of this fantastic product line and we look forward to being able to offer the UK and Ireland the best range of collection mowers available. We have the infrastructure in place to be able to support customers with first-class after sales including spare parts and can’t wait to get going with the new range.”

Lars Daniel, SABO managing director, added, “We are delighted that we have been able to secure this partnership with PSD to distribute our range throughout the UK & Ireland. They have a first-class reputation and we look forward to a long and successful partnership."

The owners of Service Dealer have announced that so far in 2024 the engagement rates for the Service Dealer Weekly Update have reached quite remarkable levels.

Always regularly receiving well over 50% opens - which in itself is almost unheard of for a business-to-business title - last week saw opens hit 63%.

Service Dealer owner Duncan Murray-Clarke said, "The engagement rates that our Weekly Update has been reaching this year is pretty mind-boggling.

"Also with the feedback we receive from our loyal readers, it proves that dealers are really keen to stay in touch during these difficult times."

Two further companies who will be supporting November's Service Dealer Conference & Awards have been unveiled.

They are:

Toro U.K who are returning as a Gold Sponsor

And Yamaha who are also returning as a Gold Sponsor.

Service Dealer owner Duncan Murray-Clarke said, "There is great work going on behind-the-scenes currently, to ensure that this year's Conference builds on the tremendous success of last year's event.

"Our valued sponsors are integral component of our day dedicated to the dealer network and it's a real delight to welcome back for 2024 both Toro UK and Yamaha."

Craig Hoare, sales and marketing manager at Toro U.K. Limited said, “We are delighted to again commit to the Service Dealer Conference & Awards in 2024. Service Dealer has always been at the heart of the industry and the essential link between manufacturer and dealer.  

"Our dealer network is at the core of our success and I see no better opportunity than the Service Dealer Conference & Awards to come together to celebrate the hard work, commitment and achievements of those dealers.”

Matt Taylerson, divisional manager, marketing at Yamaha added, "We are thrilled to be supporting the Service Dealer Awards again.

"Yamaha continue to support our dealer network, including those attending the Awards this year. Congratulations to all those who win."

The theme for this year's Service Dealer Conference has been announced as Driving Success and it will take place, along with the Dealer Of The Year Awards, once again at the Crowne Plaza, Stratford-Upon-Avon on Thursday 28th November 2024.

For more information on how you can be a part of the event and to stay updated on conference news visit our website or follow us on social media @servicedealer

Lynx Engineering has been appointed by Netherlands-based Safertractors bv as their importer and distributor in the UK and Ireland for the company’s Agribumper product range.

Agribumper is described as a variable front weight and tractor bumper system that combines ballast solutions with enhanced on-road visibility and safety. The product range spans four different weight systems and weight options from 350 to 2000kg across more than 60 models including front-linkage mounted weights as well as product lines that leave the front linkage and PTO free for use.

Lynx say they will be debuting the range on their stands at the forthcoming Balmoral, Cereals and Royal Highland shows. The products on display will include examples from the Agribumper Baseline and Fronthitch Line product groups.

Lynx managing director, Nick Ewbank, said, “The Agribumper system is mounted closer to the tractor than any other front weight block, so it doesn’t make the tractor longer than necessary. Without doubt, the visibility and safety features which come as standard across the Agribumper range, make an important contribution to road safety. As modern tractors continue to get bigger, heavier and faster, being seen quickly by other road users in all weather conditions, day or night, is a potentially life-saving consideration.”

Catalyst Computer Systems have announced the appointment of Rob Patrick as their new managing director.

Rob Patrick

With over 30 years of experience in the IT industry, Catalyst say Rob brings a wealth of knowledge and a dynamic leadership style to their organisation.

Rob has a diverse background in the IT sector, as he began his career in technical roles, but transitioned into software expertise over two decades ago. Originally from Leicester, where Catalyst Computer Systems is coincidentally based, Rob now resides in Poole, Dorset. Despite his geographical journey, he maintains a strong connection to Leicester, often spending time there with his family. Rob’s career has taken him across the UK and around the world, including a fascinating tenure as an IT Officer onboard several cruise ships.

Catalyst say Rob’s extensive industry experience, coupled with his understanding of various sectors such as agriculture, groundscare, and construction positions him as an asset to themselves. 

Rob previously served as the customer services director before stepping into the role of managing director in March 2024. Before joining Catalyst, he spent 12 years with Catalyst’s sister company, Ibcos Computers, where he held roles ranging from implementation and training consultant to professional services group manager.

Rob says he is committed to implementing greater collaboration across all departments. His vision includes encouraging interdepartmental cooperation to enhance levels of service to customers and deliver new and improved features within the Platinum product. 

Bombardier Recreational Products (BRP) is continuing to grow its Can-Am off-road dealer network in the UK with the appointment of Thorncliffe, a Rhyl-based family-run business.  

Callum Jones, site manager

The addition of the brand to the dealer’s portfolio means it is expanding its workforce with the addition of two new sales staff and one technician with more employees scheduled to join in 2024.

Thorncliffe, who recently bought a local groundcare and machinery business, say they are committed to meeting the growing demand for utility ATVs and SSVs across multiple sectors ranging from agriculture to ground care. 

Rachael Turner, BRP commercial manager UK & Ireland, says, “Wales is a growing market for Can-Am ATVs and SSVs and the addition of Callum and his team will assist our expansion within the region."

Callum Jones, site manager, Thorncliffe, added, “We recently acquired a local groundcare and machinery business so we started looking for an SSV that would be suitable for use in the groundcare sector. Through word of mouth, we came across Can-Am. From there, we looked further into its offering and there were two distinct factors that made Can-Am stand out from the crowd. The first is the high-quality vehicles it produces and the second is the breadth of the line-up, which gave us the confidence to know that we could provide customers with an ATV or SSV to meet their needs and requirements. We are excited about what the future holds with Can-Am.”

First established in 2014, ABA Groundcare based in Tiverton, Devon are celebrating 10 years of selling Yamaha’s ATV range this April.

Jamie Hutchings initially set up the business following dealer changes in the area and was awarded the franchise in 2014. He said, “Yamaha UK were forthcoming in working with me, it felt like they saw the opportunity to keep growing the brand in the area. We have gone from being one of the youngest dealers to now one of the older ones.”

When the partnership first began, ABA Groundcare sold up to 20 ATVs per year, now the company say they sell over 85 units into the surrounding area. The dealership took on a bigger area in recently following the purchase of Hayes Garden Machinery at the end of 2023. The business now operates from two locations: Tiverton, Devon and Dorchester, Dorset.

“Yamaha holds a strong reputation in the area, and we will support any potential customers but most of our ATVs go to the farming community," explained Jamie. "We are confident in the brand from the product point of view but also from the back-up and after sales support we receive from Yamaha UK themselves.”

Gareth Sloane, manager, Power Products, Yamaha UK added, "Jamie and his team have consistently demonstrated a deep understanding of the needs of their customers and a true passion for the Yamaha brand. Their dedication to providing exceptional service and expertise has been instrumental in the continued growth and success of Yamaha ATVs in the southwest region. We look forward to many more years of this successful partnership." .

What began as one Kubota tractor at one football complex in Eastleigh is blossoming into a prolific partnership between dealers Rod Gaskin Ltd and Hampshire FA (HFA).

In his day job as HFA facility operations manager, Pete Hussey (pictured above) puts their L2501 to task maintaining the five natural pitches at the Stoneham Lane Complex. This positive first-hand experience puts Pete in good stead when in his other guise - conducting Pitch Power surveys to provide valuable advice and machinery recommendations to benefit hundreds of grassroots facilities in the county.

“Hampshire FA acquired the Stoneham Lane facility in 2020, and while I already had two other venues under my remit, this was the first with natural turf pitches to look after,” explains Pete. “I started from square one, understanding what equipment we needed and working with local dealers to find the best fit for our site and our requirements. The first priority was finding the right tractor that would give us versatility, reliability and become the heart of our maintenance programme. For this, we opted for Kubota.” 

Pete continued, “Most of the jobs we do will take a number of hours to complete so it was very important for us not just to find a tractor powerful and durable enough to use with a wide range of implements, but that would also make for a positive all-round experience for the driver.

“In addition, we have enjoyed outstanding reliability with this tractor which is testament to the Kubota build quality and the regular servicing and maintenance conducted by the team at Rod Gaskin.” 

With the successes of this partnership bearing fruit for both parties, the tie-up became official in September 2023 with Rod Gaskin Ltd announced as Hampshire FA’s official supplier of grounds machinery. Pete explains, “This gives hundreds of grassroots football clubs and now schools and local councils as well, access to a fantastic range of quality machinery from brands like Kubota with an abundance of grants and funding available via the Football Foundation. The possibilities of this scheme are very exciting and can be the difference between bringing core, basic pitches up to a good or advanced level to benefit clubs and communities alike.” 

Tom Merritt-Smith, groundcare sales specialist at Rod Gaskin Ltd adds, “We have a great relationship with Pete and the team at Hampshire FA and are delighted to be working in partnership with them to support the growth of grassroots football. Being sports orientated, I know the importance of maintaining football pitches to the highest possible standards. We look forward to supporting Pete, Hampshire FA and clubs in the area with quality groundcare equipment and our aftersales facility for many years to come.”

Our 2020 Summer research showed 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 2022 will continue to be reinvested into promoting the site online and so supporting the dealer network.

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.

Map of dealerships registered with Garden Trader

FIND OUT MORE