A Bigger Piece of the Pie: Creating Market Share for SimGenetic Cattle

Ben Williamson

Penn State University

September 14, 2015

• Produce first calf at 2 yr of age, and annually thereafter

• Wean the most valuable calf that the market demands

• Adaptable to the environment and specific management schemes

What is a ‘good’ cow?

What is a ‘good’ calf?

• Accelerated growth

• Feed to Gain Ratio

• Easy to manage

• Capture the most premiums at sale

• Best consumer product

Old Perceptions

• Simmental cattle are not what they once where

• Need to make sure that everyone knows that

• Continue to focus on– Calving Ease/Birth Weight–Mature Size / Maintenance– Carcass Grid

Industry Appeal

• Where and how do Simmentals have a place in the industry?– Heterosis • Pounds• Increased Maternal Performance• Lean Yield

– Complementing British Genetics• Multi-Segment Appeal

– Maternal, Terminal, and Balanced Trait Options

• Black Hides

Industry Appeal

• Versatility: Simmental can offer a genetic opportunity for everyone– Purebreds– Sim Solutions–Maternal – Terminal– Show Cattle

Market Place

• Where are marketing opportunities?– Commercial Bulls– The average of the female contemporaries– Niche or Offset Industries/Markets

• What influences those markets?– Beef Supply/Demand• Beef cow inventory is changing again

– Economy• Investors (Sell or Buy $10,000 females)

Creating Market Share

• “If you are in a business without competition, you aren't in a business!” Pat Goggins

• Business is about people

• Two most important factors:– HONESTY– INTEGRITY

• This will lead to increased trust

Creating Market Share

• Find ways to serve your customer– Produce what they need and want

– In order for one segment to survive, we all need to survive

– Keep an healthy environment

– Give them the resources to be profitable

Informed Decisions

• Help your customer make informed decisions– There is a great deal of risk in this business, help

your customer mange it

• This includes reported and non-reported information– Performance Data– Relatives Performance Data– EPD’s– How cattle were managed

Informed Decisions

• Sometimes information is overwhelming to decipher– Help Your customers decide its relevance for what

THEY need– KISS Theory

• Don’t give customers the opportunity to have a bad experience!

Customer Service

• Help them, and in turn they will help you– Regional producer educational meetings

– If they call you to answer questions, they will eventually use you as a bull/seedstock source• Not just bulls, but management advise and current issues

– Show interest in buyers goals and needs

– Bull delivery gives you the opportunity to asses their strengths and weakness

Customer Service

• Give Back!– Show appreciation to your buyer– Help them find ways to capture the value of their

genetic purchase• Feeder Calf Sales• Backgrounding Services• Commercial Heifer Sales• Direct Feedlot Market• Retained Ownership• Incentive Grids (70:70)

Customer Service

–Give Back!

– Not only help producers, but youth• Local/Regional/National youth projects and events• Judging Teams

– Best advertisement will ALWAYS be word of mouth• It takes a lifetime to build a brand, but it takes a

moment to lose it

Create a Recognizable Image …and Stick with It!

• Welcoming Environment/Image• Simple and Clean• Should be recognized at a glance• Remember your target audience– Commercial Bull Buyer vs. Show Heifers

Create a Recognizable Image …and Stick with It!

Advertise, Advertise, Advertise.• If they don’t know you exist, then they are not going

to know what you have to offer• First, identify your target audience

What do they want?

Where do they receive information?

How can I make them feel welcome and comfortable?

Types of Advertisement

• Radio– Try to pair with other similar broadcast

• Market reports

• Direct Mailing– Catalogs & Post Cards

• Especially commercial buyers

• Pictures– Worth a thousand words!

• Videos– Additional increase in sale participation

Types of Advertisement

– Any Free opportunity• Social Media• Cattle Exchange• Craigslist

– Publications• State and National Breed Press• Regional & Local Newspapers

Types of Advertisement

• Websites• Have memorable web address• Rank in search engine• Engage your visitors• Clear navigation• Make calls to action prominent• Keep branding consistent• Enable social sharing• Create mobile version

Promotion

• Find other ways to create awareness about your program

• Marketing is all about creating a buzz– Get Involved• Local/State/National Groups

– Local/State/National Associations– Consignment Sales and Programs– Exhibition

Sales and Events

• Field Days and Open Houses

• Security in Numbers– Group Production Sales– Shared Vision–More information for all parties

Retaining Market Share

• Produce what the buyer wants– CED, BW, Grow, Carcass, Etc.– Feet & Legs, udders, longevity, minimal maintenance

and management requirements

• Disciplined Breeding Programs– No room for IF, Should, or Could– The toughest critic of your cattle should be you– Set attainable goals and continue to critique them

Thank you!