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I got a response from AGCO...

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Byron WC in SW Wi View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Byron WC in SW Wi Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 8:45pm
Hurst - Why do they have a Deutz Allis tractor just for Brazil?  If Fendt and Valtra are such a global presence where are they?  If the orange AGCOs outsell MF and Challenger 4 to 1 why would you drop them?  Please help me understand business sense.  They are however making European sense which doesn't work here.

Right now AGCO's are priced about the same as JD.  They have upped their pricing because according to Martin they don't want to win market share by having a lower price but by having a better tractor.  They do have a good tractor but nobody in their right mind would buy an AGCO over a JD for the same money because your loosing it in resale. 


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Post Options Post Options   Thanks (0) Thanks(0)   Quote jeffrey Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 8:45pm
i think it is in everybodys best interest who visits here that AGCO does not go broke. Sorry for the guys who have newer AGCO equipment who feel they are getting a bad deal. But this is not the first time it has happened.  Remember Deutz? What about when Ford bought New Holland or White bought Oliver and MM and Cockshutt. Or when Fiat bought New Holland and Case IH.  Weather you run a D17 , DT220 , an oliver or MM, you need AGCO to get parts. I know some will say I don`t know what I am talking about.  In 2001 I bought a new Gehl discbine. I had heard the dealer was closing and asked the salesman, he said they where not going to close. Guess what 30 days after I wrote the check the dealer was gone. No other dealer close (90 minute drive) And today Gehl does not even make hay equipment.  But I got over it. OK go ahead and blast me and call me names.
 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote ScottinSWIL Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 8:48pm
   Well it is still good to hear that they will stick with the R series Gleaner.   I know some of the dealers have been crying for more improvements through the years and it sounds like Agco at least has the sense to move forward with those.  After all ,the headers and a big part of  the A series are gleaner original ideas.  As far as tractors I guess I'd rather drive yellow before i would EVER consider a Massey even though they are the same now under the hood.  Would  be the  laughing stock of the neighborhood to  the JD and CNH diehards.  I like orange but we also have New Holland and JD already.  It will be Agco's loss in the end in the North  American market.   They are just kicking a bunch of good  dealers in the sack by forcing them to sell Massey red.    Just like IG others will stray.  But how many very large farming operations do you see in a magazine with an Agco tractor in the background.   All red and green.  NO large 4-wheel drive to market through the years has killed alot of potential.    Some large operators would probably think about Cat yellow  because of name more than Agco orange.   Alll these years and they just kept screwing up a marketing plan or lack of.   It is sad but I will stick with a Gleaner as I just got a R75 this year and we really like it so far.  Have had gleaners for over 30 yrs.    Just as long as they don't put Massey stripes on it!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Spud Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 9:09pm
No IL Gleaner I don't know your situation as you are just a name on the internet.  I was merely pointing out that they still build the tractor you thought was great last week, just in a different color now.  I don't think that warrants telling me to shut my mouth.  I guess it is easy to be rude on the internet.
Byron, we do have Agco equipment.  2 Deutz allis, 1 massey, and 1 New Idea round baler.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote ac45 Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 9:20pm
I somewhat have to agree with Illinois Gleaner. There is not much agco stuff around here, nearest dealer is 45 miles, but those who buy it are diehard orange people. Agco has good products, but i dont feel that they are that superior to the red and green to drive another 50 miles for parts sales and service, especially when they quit making the brand someone likes. around here the only Masseys you see are under a 80 hp, and its been that way forever, no one around here is going to buy a challenger tractor either. This brand reduction all sounds good from text book managment and econmics, but these people have never even sold lemonade from a lemonade stand, so in real world marketing they suck. Only a farmer can tell how a farmer will think, you cant get 5 degrees in marketing and sell to a farmer if youve never been one or grew up with them. Why do you think deere is so successful??
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Post Options Post Options   Thanks (0) Thanks(0)   Quote JC-WI Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 9:26pm
If AGCO wants to leave the N A market and just market global tractors, why not just tell them to sell all Allis-Chalmers and all Gleaner patents and parts and copywrites to somebody that wants to keep the company in NA If there is nos ale for the stuff in this country, why would they care if you /a corporation were to start manufactoring them again.
yup, would take to much money to buy them rats out.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Austin(WI) Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 9:55pm

well...there is still a couple years before this happens...maybe something will change.

"Better By Design"
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Post Options Post Options   Thanks (0) Thanks(0)   Quote ILGLEANER Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 10:05pm

Spud speak for yourself about being rude. You stated that I would be making a bad mistake going with Deere or CNH,making them a monopoly. You said I still like the tractor if its red or yellow because its the same tractor. So you must know me and know my farm,and my thoughts. So when I state facts to you about the distance I drive to stay loyal to Orange tractors and Silver combines,and it would be stupid to go out of my way 50 miles to change to a different color tractor on my farm. I am going to get pissed real quick.You have no clue about my farm ,I drive tractors that are orange ,because I think they are as good as the rest,and I can still drive orange tractors. I dont care how good they are in yellow or red I AINT DRIVING THEM. I have a orange pickup,4wheeler,and anything else you can think of. I bleed it!!!!!!!!!!!!! I have supported AGCO since it started. I stuck with them. They said I am not worth there buisness, so I go else where. HOW does that make me in the wrong. There is not a doubt in my mind,if they were not going to quit making orange tractors there would be a new DT205B sitting in my shed this spring,but instead its going to be a New 8245R,the dealer is 5 miles away.How is that stupid ?????  I have to change colors they made that choice for me.

                                    Illinois -almost Deere  Gleaner  :)



Edited by ILGLEANER - 16 Nov 2009 at 10:09pm
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Hurst Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 10:16pm
From what I have found, Massey is the top selling tractor brand in the world right now, and has been there for 35 years.  What makes business sense for AGCO in a global economy is to not get caught up with just the needs of one of their markets, the North American sector, but the global needs.  As far as Deutz-Allis tractors in South America, it is most likely due to the lower needs of those farms.  They cannot afford the new AGCO tractors and don't need that high tech of a tractor, so AGCO continues to sell the older models there.  They are renamed AGCO-Allis now from what I could find. 

I'm not saying I like seeing orange paint go, but at the same time, you the executives at AGCO are trying to keep a GLOBAL company alive.  That means you will have to make some sacrifices in different markets.  AGCO tractors may be outselling MF and Challenger 4-1 in NA, but what if NA is only 10% of their sales (I just made that figure up, I hope it is more).  You can't assume most people are buying AGCO's just because of the orange paint.  Most farmers bought them for the technology, innovation, and dealer support in their area.  If they keep this dealer support, seeing how the MF tractors are the same exact tractor in different paint, many of these farmers probably won't really care about the slight change of color of their tractor.  As far as people who just bought AGCO tractors, if they are identical to the MF tractors like I have read numerous times here, then I doubt replacement parts are going to be of any shortage in the near future. 

I hate to see orange go away as much as many of you, but I also can understand where AGCO is most likely coming from.  We don't see but a small slice of the story as far as what is going on inside the company, so it's really hard for us to make the best decisions for the company.  AGCO sees it fit during this economy to cut out the orange line of tractors in an attempt to save money, but that doesn't mean the AGCO line of tractors will never reappear.  It's possible they may come back after the economy gets going, or weirder things may happen, like them selling off the Allis Chalmers portion of the company.  Only time will tell there.

Hurst

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Oldoug Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 10:56pm

I said it last week and I'll say it this week and probably the next, AGCO sucks, more importantly Martin Richenhagen sucks.  This whole idea to phase out AGCO brand and promote such worthless brands as Challenger is his.  I can't believe we can have AGCO buy out all these brands and now the name AGCO is what is gonna dissappear, shouldn't it work the other way or am I just understanding this wrong????   What Mr. CEO Martin Richenhagen's letter did on Thrusday can't be fixed either, even if they decide to bring back the orange tractor, it's over, nobody is gonna buy it cause they will remember that it can be taken right back with one letter to the dealers.  Mr. CEO just killed alot of equipment sales of all AGCO brands.  Everybody's belief in AGCO is shaken now, they don't know what is safe to buy, what brand is going to be around and the future is certainly uncertain.  Nobody want's to support a brand that doesn't even support/promote itself.  It just sucks.  I don't like John Deere, but I have to give them credit, most of the stuff is made in the U.S.A., they promote themselves, their marketing is second to none, and they make their customers feel comfortable buying their equipment.  I bet you'll will never here the CEO of John Deere come out and say "Do to a changing market we need to drop the name John Deere and effective 2010 we will be Deere Ag Corp. we will also be dropping the familar green paint used over the years in favor of a new color for this new begining.  We appericiate our customers...blah, blah, blah.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Hurst Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 11:03pm
I agree with you, but a lot of this discussion, rightfully so, is based on the US market.  They are actually keeping their big brand alive, Massey.  As far as Cat, I feel like there's something going on behind the scenes we don't know about.  If not, Cat at least ensures another market opportunity and dealer network to use.  Cat owns Perkins now if I remember correctly, so... maybe that has something to do with it?  I have to give Deere credit for their focus on the American market.  AGCO has just shifted focus to a different sector.  It's kind of hard to imagine as the company has bought out so many American companies, but a lot of their innovations have come through European companies, and those customers would be feeling the same way if one of their companies were cut out.  I don't know what exactly they are looking for quantitatively by dropping AGCO, as it doesn't seem like AGCO can be much of a cost burden to them. 

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Post Options Post Options   Thanks (0) Thanks(0)   Quote tominpa Quote  Post ReplyReply Direct Link To This Post Posted: 16 Nov 2009 at 11:08pm
I got to agrea with IL. We went green as well we bought a new 8530 last year and we ordered a green combine this fall. To hell with agco. they dont care about the American farmer so let them sell tractors to the chineese. we just bought out the remaining inventory from a recently closed agco dealership and i looked in his shed and he went out and bought 2 large deere mfwd tractors. He's bitter. Maybe that will get their attension but I doubt it.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Byron WC in SW Wi Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 4:49am
Spud - I appreciate what your trying to say but IMO IG is a great guy in my book.  He may not like this comment but I've always thought he and I are a lot alike and would probably have a big wrestling match and then be best friends if we ever met.  He speaks with his heart on his sleeve and he has been a huge supporter of AGCO since I've known him on here.  But, he made it perfectly clear months back that if AGCO dropped orange they were betraying him.  That's how I feel too.  I should have paraphrased my comments on owning AGCO equipment to say only ORANGE AGCO equipment.  Those are the ones whose value took a hit this week and who, in all likelihood, bought it primarily because it was orange.

Hurst - I don't trust AGCO and I don't trust their numbers.  I trust the dealers and guys in the field that say AGCO outsells the others 4 to 1.  I don't like double standards and hypocrits.  Their AGCO-Allis brand could be in the US to with orange paint.  Their keeping that for Brazil!!!???   You could probably sell more tractors in Texas than Brazil if you went at it.  So anyway.  It does not make sense fiscally or in any other way cause I don't trust their numbers and their not doing it across the board just to AGCO tractors.  BTW - I think it's because of Martin R and this article why he's doing it: http://thegatheringoftheorange.blogspot.com/2009/10/what-might-future-of-agco-look-like.html#comments
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Jack(Ky) Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 6:36am
It sounds just like the obama gang is running Agco. They want to see America go down the tube too.JP
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Post Options Post Options   Thanks (0) Thanks(0)   Quote 1770 Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 7:07am
You guys are worst then the deere nuts,   Needs to be green to be good. Have a neighbor bleed green. had a jd tractor just out of warranty, small 90hp model, put 8k in the rear end,   Looking at massey next time, shock to hear that.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote BrettPhillips Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 7:56am

TominPA:

I believe that you are closer to the truth than you realize.  It seems that China is seen as the rising superpower these days, and the rest of the world is preparing to kneel at their feet, including AGCO...  Gentlemen, we have been sold out.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote bigallis1 Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 7:58am
Originally posted by TedBuiskerN.IL. TedBuiskerN.IL. wrote:

If that was the case, they should revive the Allis Chalmers brand.  At one time that was as global as you could get.  There are still Allis Crawlers and older tractors in Europe from WWII.


Good point Ted on the global thing.
And it could still be done today with the Agco line.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote bigallis1 Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 8:09am
Originally posted by TomYaz TomYaz wrote:

Tom,

 I received your e-mail regarding the AGCO Brand.  Decisions like these are not made easily and not without research with supporting facts.  AGCO Brand has only been established in North America.  Brands such as Massey Ferguson, Fendt, Challenger and Valtra are our global brands.  In order to compete with major lines of products we find that we are unable to adequately promote multiple brands especially those, which are not global brands.  Today’s economic environment makes it impossible for companies such as AGCO to grow these brands with diluted resources.  From a sales volume position, the AGCO Brand was minimal in the big picture.  However, we realize that there is an emotional side to this with the heritage going back to the Allis Chalmers product and dealer network.  Again, these decisions are never easy but many times the correct decisions are not always those that are.  We value our AGCO customers and will do what we can to retain as many of you as possible in the future. 

Thank you for your response to AGCO Answers.

Stephen Barcuch

District Director - East Coast District

AGCO Corporation

>>>So what he is saying they only want to keep the brands with global recognition....


I commend Mr. Barcuch for taking the time to respond to the e-mail.
I would question how much research and supporting facts was really done.
Again, it sounds like the Marketing folks got their way.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Spud Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 9:08am
Sorry you are so riled up ILGleaner.  I know you are disappointed but I still don't think it warrants being rude and telling me to shut my mouth.  I think it is possible to debate this without resorting to that.
If it makes sense to go to Deere, go nuts.  I have no idea who is closest to you as you are just a name on the computer.
BTW, the Deere dealer wants Agco out of your county because of:
A: The feel betrayed by Agco like you or
B: They want to keep out competition.
My money is on B.  Drop prices now and run the others out of business and then make it up later when there are no other options.
If going Deere works for your location and financial situation then that is what works for you.  It is no skin off my butt.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Anthony Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 9:08am
I just emailed AGCO and let them know how I feel
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Jim Lindemood Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 9:26am
Way to go Tom Yaz, you got a response from AGCO.  Interesting how everybody in the country knows John Deere regardless of where they live or what they do. That's marketing. They have accessable dealerships and (in my experience) have been quite responsive and cutomer oriented. ( and I don't own a JD tractor - yet, nor want one  - yet.) Nobody outside the farm industry or collectors know that AGCO exists or what brands they have, or where a dealer is  -- that is a lack of marketing. Cutting back on the line and dealers is not marketing, and likely will not build your share of the business.
If AGCO is going to be a player in NA with any brand, they are going to have to come out of the closet and do some serious marketing and building customer relations.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Anthony Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 9:38am
Jim you ought to email your post to AGCO, its very good and very true

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Kip-Utah Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 11:29am

Along w/ A-C I'm also a Mopar Man. It's been a tough few years! The irony is that it was the Germans (Diamler) that done in Chrysler, just like Duetz did in Allis-Chalmers. And in both cases it happened in pretty short order. There was a time when Chrysler had very distinct models from Imperial, Chrysler, Desoto, Dodge, and Plymouth. When higher optioned Dodges became available Desoto was dropped, eventually Plymouths became nothing more than rebadged Dodges, and now Plymouth is also gone. The real lesson to be learned is that the original brands started by Walter Chrysler and The Dodge Bros. are the ones that are left. Imperial,Desoto, & Plymouth were all made up brands that this many years later still never carried the brand loyalty of the originals! For many years Chryco also marketed a version of Dodge medium and light duty trucks for the Canadian and other export markets, called Fargos. But today Dodge branded pickups do just fine in Canada and other export markets. After all Dodge was the original, compared to the made up brand of Fargo. Chrysler could have said that we are going to drop Dodge Trucks in the North American market, because internationally we do very well with the Fargo brand! That would have been assinine. There is a lesson to be learned. Can you say Challenger?!!

HANSEN'S OLD ORANGE IRON. Showing, Pulling, & Going!!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote DougG Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 12:55pm
Hey Jim good point on the marketing thing, I emailed them last night about that, prolly for nuthing ; but never hurts to try-  I put in there nobody even knows what they do market and the dealers are so few between - how could you have a good showing in North America ; ??? 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Embellem Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 1:20pm
In hindsight, you had to figure AGCO would start pruning. AGCO spent years buying up all kinds of brands of equipment, many of them with overlapping product lines  and markets. Never made much sense to me. There was no way that they could keep all of those brands going. Either it was short-sighted on their part to think they could or their plan has always been to pick and choose the product lines and even brands they like and cut the others.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote AndrewGubbels Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 1:37pm
I am very disapointed to hear how everyone is responding to this. As a service tech working with the product everyday I feel that the product being sold should not be as simple as if they do not make the color I want I will get something else. This is very disapointing.  The faithfull customers will stick with whatever there dealer has to sell to them.  Because a good dealer should offer good service and a good product.  Customer satisfaction.  I know alot of people are upset by some things taking place, I say buy new orange tractors just to show that they are selling.  Not trade them off on green or other competators.  This is just supporting why they are making this choice. I will try my best and have to help support our product if people are unhappy with it I am sorry we didnt do abetter job. 
 
Andrew
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Post Options Post Options   Thanks (0) Thanks(0)   Quote BrettPhillips Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 2:06pm

Andrew:

As you skillfully pointed out, this is also about dealers.  If existing AGCO dealers do not become MF dealers, then many AGCO owners will lose their source for parts and service at a reasonable distance.  Here in the east, Cat dealers could care less about farm equipment and as a result Challenger dealers are rare birds.  Limiting Challenger to Cat dealerships is really hurting the development of the yellow farm equipment market.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote ScottinSWIL Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 2:33pm
Andrew        I guess one upsetting thing about it all is the fact that they come out with this great new looking series tractor and then announce its demise before it ever has a chance.  It seems they are purposely  timing this to justify there reasoning for discountinuing the orange paint.     I'd would love one of the new "B" series tractors.   Will probably like to trade the 8070 on one of the earler DT series shortly.   As some others have said if we lose all local dealers ,  parts for the old orange will be a problem.  I  too have a JD dealer within 5 miles of the farm,  but the  Agco's have been alot of tractor compared to the cost of JDs.  I just don't understand why if you are producing these in the same factory they can't just have certain days to fill North American orders with orange or whatever, just like they run the Massey and Gleaner combines on  the same line in Hesston Ks.  They probably wouldn't need a big marketing ploy in the US for the color orange anyway.    One man calling the shots is not the will of the dealers out there that know what they can sell.  Color isn't everything but they already pissed off the White customers and now the few orange that is left.    I still will buy an orange if the right opportunity comes up here shortly.    But  thinking back, no wonder it has  been so hard for dealers to get some new orange paint on the lot to sell.    I think alot more of them could have been sold if they were just out there to sell (DT A series)             

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Post Options Post Options   Thanks (0) Thanks(0)   Quote ILGLEANER Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 2:40pm
Scott if you are really looking for a good deal on a DT 220A 2005 model 1400 hrs email me I know where one is for a steal.
                                                      IG

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Education doesn't make you smart, it makes you educated.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Byron WC in SW Wi Quote  Post ReplyReply Direct Link To This Post Posted: 17 Nov 2009 at 3:53pm
I think that's the point Andrew.  A lot of us drive past green, red, orange, (kubota), blue and yellow dealers to get to the orange one cause it was orange and the "Allis Gleaner Company."  Now I love my dealer but I'm not going to drive that far to see red tractors where orange ones should be and support the company that killed Allis the second time.

This is kind of how I feel.  It's like theirs been rumors that my girls been cheating on me but I don't want to believe it.  I notice her not giving me as much attention but I pass it off.  Then she comes out and writes me a letter that shes dumping me for this man that shes been sleeping with for awhile.  Makes me wanna get away from that and start over.

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Edited by Byron WC in SW Wi - 17 Nov 2009 at 3:55pm

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