Rating market advisors

[gustgd]

Our Farm also did subscribe to a marketing service (Cargills Market Sense) We were with them for three years and through 4 full time advisers and a couple fill in guys. Just when we had a guy trained up they would either transfer within, or out of Cargill.
Relationships and trust are a major part of the industry.
We did not pay for crops they did not handle ie:lentils and mustard even though we asked our guy what he was seeing in his travels and talks.
Also we did not pay to have them tell us to leave Durum in the pool.
They did advise selling some fixed price when it was at $5.75 for the 09 crop year. ( We never did because the PRO was over $7, showing the uselessness of the PRO and the marketing genius of the CWB)

If you don't already know your cost of production go to http://www.agriculture.gov.sk.ca/crop-planning-guides
or use $185.00: $200.00 you will be pretty close.
What we do now is the Kostal newsletter and wild oats for a slightly different view. as well as all the freebies some get read some don't

I don't think we will go back to the full service marketers for a while as
a) We don't follow advice as closely as we maybe should.
b) most of these advisers are base hitters which is good long term, but I think most of them are still learning how to manage today's volatility.
c) It's allot of work to keep the sales up to date in their systems, and keep up my end of the bargain on all of the reading that is required to make informed decisions.

84% of people think they are better than average marketers!!!

"72% of statistics are made up 27% of the time" Homer Simpson

[cottonpicken]

Best advisor i know is pillypilsner.lol

[mbratrud]

As a market advisor and a farmer, I will say that this is not a service that is easy to show value in 1 year.

I will be the first to admit that I am far less than perfect. But as my client relationships ripen 5 years I know their farms as well as they do. I know what their marketing tendancies are, and develop their strategy around their style.

Short term relationships are a crap shoot, it's not uncommon to have a bad experience on the first year, if a market is called wrong or there is a communication break down.

What producers have to realize is the service has to be a two way street. The farmer has to "buy in". They have to seek the information a bit until the advisor learns what the farmer wants.

The other key to marketing advisors is to build a relationship with your local buyers, It really needs to be a 4 way relationship between The Advisor, Producer, Buyer, and Futures Broker. The last thing you want is the buyers working against your advisor. I know I have talked to some buyers who will not give another advisor the time of day.

Farmers that are skeptics about advisors should not hire them... If they simply look at what is done wrong they will not be happy with any advisor. If your looking at an advisor, look for someone who you are willing to give a couple years to prove themselves, and that has a good relationship with all your potential buyers.

Some Advisors shoot themselves in the foot because they charge a fee that they cannot deliver on. Especially for the first year or 2 the advisor should be prepared to work for a bit less to prove themselves. I also believe that no farmer should hire anyone for full service marketing that is more than 2 hr drive away.

It is also important to know how many clients the advisor is trying to provide fullservice for. Any more than 10 they are not doing a good job.


beings it's fair game to post our links on here...

www.bratrudag.ca

[cottonpicken]

Mark,didnt know you where doing that.
We could have been having some livley market discussions.

[mbratrud]

Be hard to charge anyone if I shared all my market thoughts on here. I have been doing this for about 5 years now, a little more under the radar than my competitors though. But now CP your really pissing me off because the person I thought you were would have known that.

[cottonpicken]

I aint that guy.

[TOM4CWB]

JamesB,

Anyone truly worth their salt... can teach the marketing basics... and they the decisions must be made by you for your farm.

THis is why CWB claims simply blow my mind.

Information is what we need... valid, timely info that has been sorted through for relevance... Yes like DTN and Lweber provide.

I will never understand how we should turn these decisions over to someone who has interests opposite to ours... LIKE GRAIN CO's... and come out on the positive side once they have signed us up and contracted our grain! Production contracts tend to make this worse. BUNGE/Canamera has been the best marketing partner by far... of the majors... for long term vision in marketing options for our grain sales... Viterra and Pioneer about even as next place.

So in my small mind... you need to know what you need to make money doing sales... and have a marketing partner who will put those sales into stable/executable contracts when you need to pull the trigger on your sales. Some of the smaller independents have helped keep some big buyers in line... so they should be supported to keep the big guys humble!

If you need training that is a whole different matter... which you need to think about. Agriville is about as good as it gets... to learn from decades of experience and from those who have often learned the hard way... BY MAKING MISTAKES!

Nothing ventured nothing gained... just make sure; you know who will reap the gain... that it is actually your farm... from those sweet talking well paid hired hands!

If the CWB were honest... they could be a very good asset in marketing...

If we know where the CWB lies... from their realistic past performance... a farm can hold their nose and make decisions that are not half bad on the economic end. The world has changed after 9-11... especially across the 49th to the south. Going back to the early 90's marketing opportunities... is long gone and water under the bridge.

Where you farm... and who you choose to do business with on agro... has a big bearing on who to listen to... and what motivates them!

DO THEY NEED YOUR BUSINESS NEXT YEAR TOO?

[shaney]

I think its important to note that we all must
identify where are strengths are. Most farmers are
great at production and hate marketing. There is
nothing wrong with seeking marketing help from
one of the services that are available. It doesn't
make you less of a farmer to get help. In my
opinion to many times farmers assume that they
can do it all to save money. I some cases this may
be a short term approach and will not provide hight
ROI in the long term. This discussion is no
different that some farmers hiring an agronomist
because they are weak on crop production and
better at the marketing side.

[Hopperbin]

Is there really farmers out there that hate marketing and selling grain? I like selling grain I could sell grain all day wish I could have more grain to sell. I do have enough to sell really, just that I don't understand why anyone would not like to market their grains. Then again some people leave it in the bin to heat also hmmmm.

[Hopperbin]

And can do marketing and selling and get intoxicated all at the same time, great job. Right Cotton? Good thing I am not a market advisor. Could get alcohol poisoning from that job. haha reminds me of my dad's old accountant when you stepped into his office you could slice the air with a knife so thick with smoke haha.