Grain originators play a crucial role in helping farmers navigate the complexities of the grain market. It can be challenging to keep up with changing farmer preferences and an evolving technology landscape. Here are some insights from Bushel’s 2023 State of the Farm Report to help grain originators improve their services, boost farmers’ satisfaction with their grain marketing results, and ultimately buy more grain from farmers.
Farmer Satisfaction with Grain Marketing
The report highlights that more than 50% of farmers surveyed are “satisfied” with their grain marketing results. This is an encouraging sign and indicates that many farmers are content with their current marketing strategies. However, there is always room for improvement, and grain originators can play a significant role in helping farmers optimize their marketing efforts.
The Importance of Knowing and Using Cost of Production
One critical factor contributing to farmers’ satisfaction with their grain marketing results is their understanding and use of their cost of production. Farmers who know and use their cost of production to make decisions are more satisfied marketers than those who don’t. This finding underscores the importance of working closely with farmers to help them calculate and incorporate their production costs into their marketing strategies. By providing this guidance, grain originators can empower farmers to make more informed decisions that lead to better outcomes.
Growing Interest in Digital Solutions
The 2023 State of the Farm Report also reveals that 31% of farmers surveyed express a likelihood to use an app or website to submit firm offers or sell grain. Additionally, 31% said they were unsure about whether they would use such digital platforms. This highlights the growing trend toward farmer adoption of technology for grain marketing. Grain originators can harness this trend to offer more convenient and efficient grain marketing tools to customers, while simultaneously streamlining internal processes.
How Grain Originators Can Adapt and Improve Services
- Educate and Collaborate. To enhance farmer satisfaction with grain marketing results, invest in education and collaboration. Work closely with farmers to help them understand their cost of production, which is a fundamental aspect of effective marketing. Provide resources, workshops, or training sessions that empower them with the knowledge and tools to make informed decisions.
- Embrace Technology. With a growing interest in digital solutions, it’s imperative that grain originators embrace technology as part of their service offerings. Consider partnering with platforms like Bushel to provide farmers with easy-to-use apps that they can use to submit firm offers or calculate their cost of production and manage their marketing position. By providing access to these types of tools, grain originators can streamline the marketing process for customers, help them increase their marketing satisfaction, and buy more grain.
- Stay Informed and Adapt. Stay up-to-date with the latest trends and innovations in the agricultural industry. Monitor the evolving preferences and needs of farmers. Be ready to adapt services and strategies to cater to their changing requirements, including their growing inclination towards digital solutions.
Check out the full 2023 State of the Farm Report here.