Published March 16, 2026
Deere & Company: Dealership Store Operations & Service Alerts
inpractise.com/articles/john-deere-expert-alerts-operations-center-and-proactive-service-strategy
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What about the parts business at Tellus? You mentioned in the notes it was around $80 to $85 million in business across the 25 stores. I think that is a bit above $3 million in parts revenue per store. Is that roughly correct?
This year we budgeted in that mid-$80 million range. We didn't hit that. The market tanked and we just didn't get there. We fell short. As far as where your gross margin would be, when you are looking at a percentage standpoint, we are sitting somewhere in the mid-30s. You would love to see it at 35%, but I have very seldom seen it get that high. I think 32% to 33% is a solid margin number.
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What about the market share for parts?
Parts market share doesn't really exist. It's a weird thing. In 20 years in the parts business, I've wanted to find parts market share and be able to track that. Deere has a program now that has gotten close. There's a deal called POPS that runs through the service side, which gives you a better idea on the service side what your market share is, a percentage of product service. It's based on the number of serial numbers that they know are sold into your AOR. Then it's based on data you're sending back to them through a program called Ellipse, and that's tracked by serial number. It's not perfect, but it's better than what we've had in the past.
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