New higher horsepower tractors, a range of complementary implements and lifestyle product offerings will be the frontline weapons in Kubota’s assault on the agricultural equipment market as it plans to become a dominant force.
Speaking at the launch of a range of tillage and seeding equipment, Kubota Tractors Australia president, Yoshi Kawasaki, said the company’s growth plans were aggressive.
“Kubota is not just a tractor company anymore,” Mr Kawasaki said.
“Over the past seven years we have doubled our business.
“Our goal is to double our business again in the next 10 years.”
Tapping into the lifestyle or hobby farming segment with branded Kubota equipment was a central plank of the strategy.
Coming off more than a decade's experience with this segment in the US, Mr Kawasaki said market conditions here were similar
“We created the market there and in Australia there are 270,000 lifestyle customers.
“There are many areas lifestyle customers can spend their money, and Kubota’s competitor is not John Deere, it is the manufacturer of campervans or boats - that is our potential market.”
The plan is predicated on building Kubota ‘Lifestyle Centres’ in key dealerships.
Larger equipment such as the 125 kilowatt M7 range of tractors and the rebadged Kverneland seeding and tillage equipment, will also contribute to growing market share.
“The 100 to 200 horsepower market is huge,” he said.
“We are only getting six per cent of share and in a couple of years we would like to be at 15pc.
“That is a big proportion of our potential growth,” he said.
Training dealers on the Kverneland equipment and higher power tractors will be critical to success.
“The Kverneland implements can be complicated and we need dealer education,” Mr Kawasaki said.
It will be the dealer's choice to rid themselves of other brands, Mr Kawasaki said, but the aggressive outlook suggests this is highly favourable to head office.
“My goal is to have Kubota only dealers - I call it a Kubota ‘super dealer’.
“We have already started this and have three super dealers,” he said.
“I think if 50pc of our dealers end up Kubota super dealers that is a very good result.”
Kubota dealers would only be offering Kubota painted Kverneland equipment.
He said the “total value” concept which includes service and support would be a point of difference for customers to choose between the two brands..
“That will be a huge advantage,” he said.
