How Tractor Supply Was Harvested Into a $5B Company

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Sept. 3 (Bloomberg) -- Greg Sandfort, president and CEO of Tractor Supply, discusses the company's growth with Pimm Fox on "Taking Stock." (Source: Bloomberg)

And chief executive greg sandfort joins me now.

Thank you for being here.

Thank you for having me.

Give people a history, details about tractor supply company.

They may not be familiar with them.

The company was started back in 1938 by charles schmitz -- schmidt.

We noticed that most of the orders were coming out of a place called mina, north dakota.

He said, why not open a store?

$5 billion in sales.

Tell us about what is going on in the store right now.

We know the planting season, way over.

We are going into the harvest now.

The seasonal transition has occurred.

We are through spring, summer, and now we are into fall.

You will see things that are all seasonal for planting.

You will see heating.

Big heating business.

Wood pellet stoves, things of that nature.

We are going into the fall season now.

Tell us about the salesforce you have at tractor supply.

It is interesting.

We go back to our mission and values as a company and the culture.

If you have been to a tractor supply store, you will note our sales team -- we call them team members -- are really helpful.

They are not going to oversell.

They are there to service your needs.

You will find someone who will greet you.

They will try to uncover the need to have.

They will recommend a solution.

They will quickly get you on your way.

I thought you were going to tell me that you higher customers and then you train them?

-- hire customers and then you train them?

That is what i was going to say next.

We do hire locally.

They know the market.

We teach them our business, our business model.

They are local, so they understand the needs.

What can you tell us about the health of the farm industry right now based on what is selling and not at tractor supply?

We do not really sell for production farming needs.


But i can tell you that corn prices are what we notice the most.

When they fluctuate up and down, we notice a move and price.

In some markets we can sink that with the customer base.

If the corn price goes down dramatically, that means a lot of planting.

It is very, very low now.

It is deflationary as far as it occurs.

We do not really service the production farming community.

Let's talk about the lawnmowers he do have.

That you have a big selection of your it tell us what is selling and what is new.

We do.

Our customers own land, only animals, and they have machinery.

Some of that machinery turns out to be large riding lawnmowers.

The type with handles that are quick, fast, can cut two or three acres.

That is the primary business for us.

Tell us about equine purchases.

What is big, what is happening?

It is interesting, the horse count has moderated over the last few years.

You're talking about people who love their horses as pets.

Not so much riding for pleasure.

That has leveled off the last 3, 4 years, the cost to be honest, a horse is an expensive animal to have.

What about the footprint of the store?

The average store is 13,500 square -- square feet.

We do have some smaller stores.

That is about average.

About of the third of the assortment in the box changes out every year and the center part of the store, which we call the centre court, is changing all the time.

About every 90 days.

That is where the excitement comes from.

Does it come with classes, teaching people to do the planting and so on?

We have experts that come into the store on a regular basis.

They may teach welding, animal care.

Large animal care.

They may talk about how to use equipment.

Yes, there are quite a bit of classes and things going on all the time.

Any farming background?

My uncle had some property.

That is probably where i got a little bit of the bug years ago.

To be honest with you, i do not own the property many of our

This text has been automatically generated. It may not be 100% accurate.


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