The Equipment Dealers Assn.’s (EDA) Compensation & Benefits Survey questionnaire was revised in 2016 to include wage data relative to office/personnel staff, sales, parts and service departments. In total, more than 30 different job descriptions were analyzed in the survey report.
The article that follows is the first time Farm Equipment has published a summary of the results of the Equipment Dealers Assn.’s (EDA) Compensation & Benefits Report. This coverage focuses on the U.S. only (the report also breaks out Western Canada and 8 U.S. territories) and 2016 data.
The comprehensive report available from EDA covers methodology and statistics, compensation information (summarized broadly here), employee benefits programs and employment practices and HR programs. Dealers will also find the appendix information of interest, which includes commentary and insight into commission/bonus structures.
To order the complete report, please contact EDA at info@equipmentdealer.org or 636-349-5000.
About the EDA Survey
The Equipment Dealers Assn. collects survey data every 2 years from agriculture and outdoor power equipment (OPE) dealers across North America. In 2016, 434 equipment dealers submitted data, the highest participation to date. These dealers represent more than 1,500 dealership locations throughout the U.S. and Canada. The data collected from the survey was reviewed by Armstrong Teasdale, LLP, Scheffel Boyle CPAs and Visor Benefits, who provided their analysis and recommendations.
A bound 120-page report was made available to all dealers who participated in this year’s survey, and available for purchase to others. Companies who did not participate may purchase the report by contacting EDA at info@equipmentdealer.org or 636-349-5000.
CORPORATE LEVEL
Corporate CEO
This is the top leadership position of a multi-branch organization that has a head office function. The incumbent is responsible for the overall direction of the business and for achieving optimum financial returns. Coordinates the efforts of other senior corporate leaders and works with them to develop current and long-rang objectives, strategies and policies for the organization. Promotes positive relations with all external parties (customers, the financial community and original equipment manufacturers). Pursues and negotiates mergers, acquisitions and dispositions.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$150,595 | $166,134 | $250,165 |
- Average Based on Profit: 15%
- Average Based on Total Sales: 4%
- Average Based on Total Salary: 23%
- 10% Receive Long-Term Benefits (Average Value: $56,250)
Corporate Service Manager
Supports branches in managing the profitability of the service department. Defines, monitors and enhances the customer interface and service operations processes and protocols. Develops, implements and enhances service department processes to meet OEM performance standards as well as safety and environmental policies and regulations. Ensures processes are in place to maintain accurate records, monitor work in process and troubleshoot related issues. May assess the technical capabilities of service staff and coordinates training. May implement marketing campaign for service departments in branches.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$86,802 | $19,573 | $97,188 |
- Average Based on Profit: 5%
- Average Based on Total Salary: 24%
- 3% Receive Long-Term Benefits
Corporate Sales Manager
Responsible for planning and directing all activities of the sales force, including assignment of sales territories, business development efforts, customer communications and preparation of sales forecasts. Ensures the organization’s sales volume and profitability objectives are met. Supervises the sales team ensuring business development objectives are established, sales forecasts are developed, sales and communications programs are implemented and sales forecasts are achieved.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$110,277 | $55,138 | $171,753 |
- Average Based on Profit: 13%
- Average Based on Total Sales: 3%
- Average Based on Total Salary: 20%
- 4% Receive Long-Term Benefits
Corporate Parts Manager
Supports branches in managing the profitability of the parts department. Defines, monitors and enhances inventory management, fill rate and customer service processes in order to support branches in attaining individual parts goals. Ensures processes in place are followed so that parts availability standards are met and re-order processes result in optimum inventory costs. Ensures processes are in place to maintain accurate physical inventory and inventory accounting. May assess the technical capabilities of parts staff and coordinate training. May implement marketing campaign for parts by working with OEM and branches.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$77,701 | $21,570 | $91,378 |
- Average Based on Profit: 3%
- Average Based on Total Sales: 5%
- Average Based on Total Salary: 20%
- 3% Receive Long-Term Benefits
DEALERSHIP LEVEL
General Manager/Branch Manager
Responsible for financing and operating performance of the dealership/branch, customer satisfaction and employee engagement, as well as managing or supporting relationships with key stakeholders such as OEMs and government agencies. Optimizes dealership/branch performance by integrating across sales, service and parts departments. Manages performance by setting goals, monitoring performance, managing accountability and taking action to enhance performance.
Multiple Branches GM
Average Base | Average Commission/Bonus |
Average Total Compensation |
$101,204 | $61,820 | $133,350 |
- Average Based on Profit: 6%
- Average Based on Total Salary: 53%
- 5% Receive Long-Term Benefits (Average Value: $56,250)
- Average Branches Supervised: 4
Single Branch GM
Average Base | Average Commission/Bonus |
Average Total Compensation |
$86,306 | $63,478 | $117,665 |
- Average Based on Profit: 8%
- Average Based on Sales: 3%
Parts Manager
Manages the parts department to meet customers’ needs with acceptable fill rates and optimum inventory investment to deliver financial results. Manages processes and staff to ensure parts availability standards are met and re-order processes result in optimum inventory costs through accurate physical inventory and related accounting. Sets customer service standards and trains and monitors staff performance. Assesses the technical capabilities of parts staff and arranges/conducts training. Implements parts marketing campaigns.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$54,372 | $10,708 | $59,839 |
- Average Based on Profit: 2%
- Average Based on Sales: 1%
- Average Based on Total Salary: 8%
- Average Parts Counter Personnel Managed: 4
Service Manager
Manages the service department to deliver customer satisfaction while optimizing financial results. Through effective processes and trained staff, manages the customer experience and ensures servicing and repairs of equipment result in customer’s satisfaction. Manages resources to control costs and grows the business through repeat customers and partnerships with parts and sales personnel to promote the service department. Develops, implements and enhances service department processes to meet OEM performance standards, safety and environmental policies and regulations. Assesses the technical capabilities of the service staff and coordinates training. May implement marketing campaigns for the service department.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$59,555 | $11,616 | $65,478 |
- Average Based on Profit: 10%
- Average Based on Sales: 3%
- Average Based on Total Salary: 11%
- Average Technicians Managed: 8
Top Producer
Responsible for selling products and services to a wide range of accounts and customers. Accountable for increasing sales volumes and customer base. Recognized for record sales achievements. Authoritative source with advanced knowledge of company and competitor products and services. Excels at increasing sales volumes across various revenue streams, such as equipment and aftermarket services. Provides expert advice to other sales representatives and may train or supervise more junior sales representatives.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$43,159 | $65,524 | $92,777 |
- Average Base Monthly Pay/Draw: $2,973
- Average Based on Profit: 17%
- Average Based on Sales: 2%
- Average Based on Total Salary: 24%
- Straight commission earners receive average of 8%
Sales Manager
Responsible for planning and directing all activities of the dealership/branch sales force, including assignment of sales territories, business development efforts, customer communications and preparation of sales forecasts. Ensures the organization’s sales volume and profitability objectives are met. Supervises the sales team ensuring business development objectives are established, sales forecasts are developed, sales and communications programs are implemented and sales forecasts are achieved.
Average Base | Average Commission/Bonus |
Average Total Compensation |
$72,257 | $35,061 | $93,161 |
- Average Based on Profit: 9%
- Average Based on Sales: 4%
- 21% of sales manager also sell equipment; those who do spend 50% of their time selling
Top Technician
Journeyman or comparable work experience but with higher level of productivity. Independently conducts diagnostics, disassembly, parts replacement, assembly and testing of most types of repairs. Manages own productivity to meet department goals. Prepares and submits all reports and forms related to work assignments. Serves as resource to other technicians to solve unusual problems and may supervise work of less experience technicians. Maintains product knowledge of OEM equipment. Follows procedures related to safety and environmental standards.
- Top Technician Sees Average Hourly Wage of $24.48
- Average Customer Rate: $90.84
- Average Internal Rate: $77.63
- 28% of Dealers Reporting Technical Pay Based on Efficiency: 28%
- Dealers Using Flat-Rate Pricing in Service Department: 40%
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