New tractor marque on right track despite the obstacles
New tractor marque on right track despite the obstacles
Just three months have
passed since the first
McCormick tractors rolled
off its Doncaster production
line – a venture initiated by
the New Holland/Case
merger. Andy Collings
reports on progress
THE the past 12 weeks have been particularly demanding for McCormick sales manager Mike Edmond. Launching a new tractor manufacturing company to a market which has seen volumes fall year on year is not without its stresses.
And then there has been foot-and-mouth and one of the wettest springs in living memory to further undermine UK farmer investment in new tractors.
"There has been a lot of pressure," he says. "But, despite everything, we have managed to place McCormick machines with very nearly all our dealers. More importantly, these dealers have sold the tractors to their customers. Which is good, and an indication that we are on the right track."
There have been three priorities he insists – the creation of a dealer network, product exposure and product extension.
"In respect of the first demand, we feel our two main markets, the UK and France, are well on the way. Most of our UK dealers are, at the moment at least, also Case dealers who know and trust the product, as do their customers.
"I believe it possible that many existing Case dealers will consider concentrating on the McCormick range due to the concerns they may have over CNH developments. The future could see Case and New Holland dealers selling identical machines."
Mr Edmond reports that his McCormick-France team has now been established and, in Germany, where the Landini infrastructure can be deployed employing dedi
Just three months have
passed since the first
McCormick tractors rolled
off its Doncaster production
line – a venture initiated by
the New Holland/Case
merger. Andy Collings
reports on progress
THE the past 12 weeks have been particularly demanding for McCormick sales manager Mike Edmond. Launching a new tractor manufacturing company to a market which has seen volumes fall year on year is not without its stresses.
And then there has been foot-and-mouth and one of the wettest springs in living memory to further undermine UK farmer investment in new tractors.
"There has been a lot of pressure," he says. "But, despite everything, we have managed to place McCormick machines with very nearly all our dealers. More importantly, these dealers have sold the tractors to their customers. Which is good, and an indication that we are on the right track."
There have been three priorities he insists – the creation of a dealer network, product exposure and product extension.
"In respect of the first demand, we feel our two main markets, the UK and France, are well on the way. Most of our UK dealers are, at the moment at least, also Case dealers who know and trust the product, as do their customers.
"I believe it possible that many existing Case dealers will consider concentrating on the McCormick range due to the concerns they may have over CNH developments. The future could see Case and New Holland dealers selling identical machines."
Mr Edmond reports that his McCormick-France team has now been established and, in Germany, where the Landini infrastructure can be deployed employing dedicated McCormick staff, progress is also being made.
Distribution agreements are being negotiated for the rest of Europe and there will be some key agreements announced in the coming weeks, says Mr Edmond. "I am confident we are on target with our aim of creating an international distribution network."
In respect of the second demand – product exposure – the season has not been kind. Cancellation of major shows due to F&M was a major blow. "We shall just have to make greater use of the media and other promotional campaigns to ensure the McCormick name is firmly established."
For product extension, plans for the introduction of new models are well advanced and the end of this year will see the launch of a 115hp addition to the MC range. For the 100hp-160hp Maxxum range, McCormick intends to launch a 170hp model which, with new styling and a Perkins engine, conforms to CNH agreement terms. McCormick continues to have a contract to build Maxxum tractors for sale by Case dealers.
"The introduction of more powerful tractors will help to open up new markets," says Mr Edmond. "Such powerful machines will be essential in attracting demand from countries such as the US and Australia where there are large arable areas. It also means we will be able offer a full package to potential dealers."
On the production front, Landinis recent acquisition of Frances St Dizier transmission factory now means that all McCormick tractor components are sourced in house giving the company complete control over production operations.
Looking ahead, Mr Edmond remains optimistic for the future of McCormick. "Our aim is not to become one of the Big Three," he insists. "We need to ensure that our finances remain in good order and that our products continue to have the high quality our customers have come to expect. I would hope that, three years down the line, we will be building 10,000 tractors a year."
• McCormicks parent company Landini acquired the Doncaster plant from CNH and all commercial and technical rights to the CX and MX-C tractor ranges earlier this year. This, it will be recalled, was a result of a European Commission ruling in respect of concern that the Case/New Holland merger would create an excessive market share. A detailed analysis of the agreement terms was published in farmers weekly Machinery 9 Feb. *
McCormicks Mike Edmond: "Plans for the introduction of new models are now well advanced."