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FarmOn.com Farm Masters Video: Brenda Schoepp on The Value of Beef Data.
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Pretty basic stuff.
In our world the buyers don't think of data. They think "who's calves are those?" Then, "yup, they do a good job on their cattle. I think I'll bid on them" Where the cattle came from is as important as any data, because if you have a good reputation, the buyers know you have done things right, That's even more basic. But that's how it is at an auction.
My advice? Build a reputation. Sell good healthy cattle, and don't pull any dirty tricks. It takes time, but it's worth more than anything else.
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I basically agree with what Brenda is saying, but think that Kato has pretty well got it summed up in terms of how it is practically applied at auction. Buyers use your name as a proxy/summary for what the data says. If they buy a lot from Joe Blow and 1/2 of them die at the feedlot, you can bet the feedlot will in no uncertain terms remind them to pay appropriately in the future.
This concept is one of the reasons we don't sell pre-sort. My personal opinion for our operation is that if I won't put my name on it, I should not be selling it. It also makes a difference if you can put 60,000 pound lots together (what a full tri-axle can haul).
I understand why guys do the pre-sort thing but am not really a fan of the health and genetic mixing that goes on. I am pretty sure that creates inconsistent feeding pens and bigger health problems in the end.
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With the pre-sort isn't the market sending the wrong signal then? Often these are the dearest sales despite the genetic/health mixing involved. It makes me question how interested the order buyers/feedlots are in what they are really getting versus the convenience of filling orders/pens quickly.
We have used pre-sorts on occasion but only for a handful that would have been sold/penalized as singles otherwise due to colour or size. That seems a natural profit opportunity to me but I don't understand the guys who send big strings of same colour/same size cattle to pre-sorts.
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We live 45 minutes from a sale that runs presorts only when the run is on. They have one other sale each week. The presorts always outperform the regular sales, so there's not much to choose from. That being said, you do not want to bring anything that gets sorted out. The discounts on the tagouts can be higher than they deserve to be. If you take good calves, and they get put in the right groups, you do get paid for your effort.
We would rather not sell at a presort, but really don't have much choice. It has pretty much killed age verification for a lot of operations, but we still age verify anyway.
We don't buy at presorts either. We go to other auction marts for that, where there are more singles and odds and ends to buy.
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Reputation is paramount!
But some information is beneficial to buyers of calves (ex. health program, days weaned) and SHOULD figure in to the price paid. If it doesn't, what's the point of providing ANY information? In this climate of high prices, we may see less and less information provided. Don't forget, and I feel this is VERY important, our information is proprietary and our right to own this information outright should be protected!
Pre-sorts don't allow for any information exchange.
Personally, I am not that interested in carcass data. I have been told numerous times that the feeding program at the feedlot plays into carcass quality more then anything. I'm sure that genetics also contributes, but even if the genetics are 'good', the feeding program could compromise carcass quality. Comments?
Reputation is paramount! We have worked hard at improving the genetics of our herd. It shows in the quality of the animals. I have kept detailed records of each and every animal, and I will not give that information away. The information has value.
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littledoggie, I agree that the carcass data can be greatly affected by how the cattle are fed/handled after they leave the farm. Have to be careful too not to go overboard selecting for good carcass data especially if you are retaining replacement heifers in the herd. Carcass and fertility are antagonistic traits.
Can't believe how many people don't share info on days weaned, herd health etc at auction sales. Maybe 10% do here. What is the point of adding value if you don't convey what you have done?
In truth I think its a reflection of how little the majority selling at auction have to offer in the way of features on their calves. It's a lowest common denominator system - a two tier industry - people that are in the cattle business and people that own a few cattle. People that market their cattle and people that dump their cattle off at the auction.
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If ours are in a regular sale, the information is with them. At a presort, it's irrelevent. I would be happy to see the end of presorts, but that doesn't look like it's going to happen any time soon.
From a buyer's point of view, I think vaccination status will be a top priority in the future. Those calves are to valuable to end up in a sick pen or worse.
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There is a huge affect on carcass quality due to feedlot protocol littledoggie.
There is also fantastic potential in the breeding herd.
Thus Brenda's reference to the word value; 666 times in her video.
When issues of transparency and profit sharing rather than deception and fighting for every cent in the so called chain over one piece of meat have been resolved, the industry will become sustainable and functional rather than dysfunctional and at the mercy of the all mighty dollar and greed.
In Oneness - Randy LOL
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Over the last 3 weeks or so, we have heard of discounts on calves offered for sale straight off the cow. That tells me there is value in information when provided.
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