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One big dealer

A
couple of weeks ago Canada’s largest farm equipment retail chain,
Rocky Mountain Dealerships Inc., announced it had undergone
yet another expansion and acquired two Manitoba ag equipment stores.
These businesses had been operating under the name Murray’s
Farm Supplies and are reported to have had revenues of about $15
million annually. The deal is expected to be finalized on February
1st.

This

latest acquisition brings the number of dealerships in the Rocky
network, which are primarily Case IH outlets, to an impressive 39.
Its chain of stores now stretchs from the Peace region of Alberta to
Southern Manitoba.

Rocky’s
CEO, Matt Campbell, commented on this acquisition by saying, “Rocky
continues to ensure that we have the products and services our
agriculture customers need. By acquiring these stores, Rocky is
expanding the availability of key product lines to our customers, and
complementing the existing Case IH dealers we operate in the region.
We look forward to offering these products and services to new and
existing customers.”

In
an interview I had with Garrett Ganden, Rocky’s COO, late last year,
he said the company was also working on standardizing the look of its
stores and upgrading existing facilities. It is also ending its past
practice of allowing some of the stores it purchased to continue

trading under their previous business names. Very soon all of Rocky’s
outlets with have a standard marquee above the door. (For more on
that interview see the November, 2012, issue of Country Guide.)

RME_Store_Fronts_Case_Dual.jpg

Rocky
hopes to have all its outlets sport a standard look in the future.

It
seems consolidation and growth are key factors in every aspect of
North American agriculture these days. In the Canadian ag machinery
retail sector, Rocky has taken growth much farther than any other
chain, and its rate of growth has been rapid, to say the least.

But

even with 39 stores across the west, it’s far from the largest
equipment retailer in North America. That title belongs to North
Dakota-based Titan, whose U.S. outlets now number an astonishing 104.
And Titan recently announced it has branched into Eastern Europe. It
now operates 12 other stores in Bulgaria and Romania.

Ganden
said Rocky has no immediate plans to look at dealership acquisitions
in other countries. But he didn’t rule out the possibility of
eventually looking farther east across this country.

The
face of farm machinery retailers in North America is much different
than it was a couple of decades ago. It will be interesting to see
what it will look like two decades into the future.

Scott

About the author

Contributor

Scott Garvey

Scott Garvey is a freelance writer and video producer. He is also the former machinery editor at Grainews.

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