One of the phrases often used by precision dealers to sum up their business plan for technology support is a move from “free to fee.”
For many dealers, those 3 words represent a significant shift in how they’ve historically handled precision service. While farm customers are used to paying for mechanical repairs on a tractor or combine, attaching an hourly charge to calibrate a yield monitor or troubleshoot a down GPS signal has been a much harder sell.
More than 61% of respondents to the 2016 Precision Farming Dealer benchmark study said that starting to bill for precision services is a priority for growing revenue in the coming year.
But there is momentum for changing the mindset of farm customers, and finding the right combination of services and salesmanship is a how Jason Pennycook, precision specialist with Johnson Tractor, is having success packaging precision support plans as a recurring revenue source.
In today’s Precision Farming Dealer podcast, brought to you by Farmers Edge, Jason shares his experience-based insight for developing a profitable precision service plan to include pricing, training and renewals.
Precision Farming Dealer's podcast series is brought to you by Farmers Edge.Farmers Edge, your partner in providing precision agriculture and independent data management solutions for your customers. Farmers Edge is proud to partner with dealers across the United States to unlock exceptional opportunities for their farm customers. Through innovative technology and field-centric tools, their whole-farm Smart Solution will strengthen your platform and enhance your customer relations. Grow the opportunities for your customers and become a representative for Farmers Edge. Visit us at farmersedge.ca/become-a-representative or call (952) 582-1398.