¹ū¶³“«Ć½

Lessiter Media Reports on Kubota Brand Purity Drive

from

George Russell, founder of Machinery Advisors Consortium and collaborator on the Big Dealer report, points to a movement by Kubota toward Kubota-only branded stores and dealership groups with scale. ā€œKubota is in with a lot of other brands’ dealers, but (corporate) is really pushing to have Kubota-only stores. What you’re seeing here is a lot of that; the effect of that emphasis is Kubota-only stores.ā€

Alex Woods, senior vice president, sales operations, supply chain & parts at Kubota, said the rise of Kubota-only dealerships was not a brand purity attempt but rather an organic response to the company’s improved equipment offerings.

ā€œHistorically, there’s been a high percentage of our dealers who have had another major-line, but that’s been changing over time,ā€ he says. ā€œI think this has been happening largely organically. Because if we can provide the dealer more products to sell, we get a bigger share of the wallet. We’re able to cover more of the total operating expenses of the dealership, so we’re able to earn that ability.

ā€œWe are not about brand purity; we aren’t demanding that of our dealers. We think if we can continue to get a bigger share of the wallet, then brand purity is naturally moving our direction. We hope to keep that moving.ā€

Woods did say this Kubota-only dealer trend could slow down in the future, as equipment supply chains continue to struggle across the industry.