With the rising costs of fuel, feed, and nearly everything else, cattlemen of all herd sizes are forced to be a bit more creative about marketing their livestock these days. Conditions today are not unlike those ranchers have seen in decades past, however, there are marketing tools and services that are available in these times that have not always been here. Imagine telling your great-grandfather that buyers did not actually have to be present in order to view his cattle or the sale; that they could sit in the comfort of their living rooms and pay the same price without expensing fuel, mileage, hotel rooms, etc.
Of course, many would argue that this new age marketing loses the "deal with a handshake" that is a core value of the industry. If cattlemen begin to market cattle via internet auctions and through sight-unseen purchases because of DVDs of the cattle accompanying the traditional sale catalog, the face-to-face deal-making process of the "good 'ol days" risks fading away. As with any market, more efficient ways of reaching the consumer must be found in order for the market to evolve. Though the livestock market is not known for its fast-paced evolution of efficiency, it is quickly becoming the trial ground for new marketing techniques.
Internet auctions have not attempted to take the place of the traditional auction, in fact, they are merely a supplement. An internet auction enables buyers who are located cross-country from your sale to be able to participate in the buying process, which could increase the bottom line of the sale. With increasing cost to travel, buyers may be willing to spend more money on cattle if they are not spending that money on travel and cattle. Most internet auction services include side-by-side views of video of the cattle at the ranch prior to sale day and a live auction ring video simultaneously. Many auctioneers have welcomed the addition of the internet auction supplement and adjust easily to the online bidding process, with a computer screen in front of them where they can see the online bids as they come in without disrupting the normal bidding process. Internet auctions tend to be relatively inexpensive, and some services are actually a one-time flat fee instead of a percentage of bids won on the internet.
More prevalent than the internet auction has been the advent of videoing cattle prior to sale day and enclosing a DVD of the cattle with the traditional sale catalog, sometimes in place of the catalog. This process is highly customizable as the herd manager/ranch owner can decide where and when their cattle will be videoed, and have the ability to capture the natural movement of the cattle in an environment that is virtually stress-free. Typically, a half-circle pen is set up in which to video cattle in and the process usually takes about one or two minutes per head with two horseback crewmen pushing the cattle from one side of the half-circle to the other. This allows for the cattle to be filmed from all angles and captures their natural, easy movement. Again, the added advantage is that the cattle are being handled by the people most familiar with them (e.g. cowboy crew) and in their home environment. Pre-recording cattle allows customers to see them in a comfortable state instead of the high-energy, high-stress environment of the sale ring.
After the actual filming of the cattle, the videos are then edited down to thirty to forty-five second clips of each lot number, and burned to a DVD. This component is another customizable stage to the videoing process. The DVD itself can be as complex or as basic as you want it to be: DVD covers can be graphically designed with the ranch logo, sale dates, pictures, or any combination of those. They can also be plain text, according to the look and "feel" you want to give your ranch and sale. These DVDs can be easily mailed to your customers singly or attached to the back cover of the sale catalog. As an added convenience to your customers, they will not need to spend the money to come look at your cattle before the sale. Not only is the cost of filming, burning and shipping the DVDs far less than the cost of disrupting your daily schedule to show customers cattle in the weeks before a sale, you can also record a "voice-over" to include the information you would tell the customer in person. Videos of the cattle can also be posted to a website where customers can click through to a specific lot number and access that video via internet as well. The website videos make an easy addition to marketing cattle as it aids people who are looking for one specific cow, bull, calf, etc.
As with any marketing tool, the process of videoing and creating DVDs to showcase your cattle can be as complex or as simple as you desire. At its most complex, the package can include the videoing of the cattle; any number of DVDs to be shipped (five to five thousand or more); graphic artwork on the DVD, cover, and logos placed on the screen for the viewer; voice-over of pedigrees, etc. per head; and internet viewing available through your website. At its simplest, the package includes the videoing of the cattle, any number of DVDs, and shipping costs. Each package price depends solely on the amount of customization put into the process, and of course, how long it takes to actually video the cattle. Typically, eighty to ninety head can be videoed in one day, with the right conditions and enough people on horseback to expedite the process.
Though this takes away from the value of the face-to-face time spent with the customer, it actually enables you to increase the value of customer service. Customer service is a major point of differentiation for ranches of all size. By providing your customers with the ability to view your cattle when it is convenient for them, you put the buying power back in their hands, which makes them more likely to come back to you for the sale or for private treaty offerings. Your customers will be that much more likely to spend the money they would have allocated to travel and lodging on cattle because of the service of previewing the cattle that DVD viewing and internet viewing provided.
When choosing to implement a new marketing tool, it is always important to weigh the costs with the benefits. Because the videoing tool is highly customizable, it is often the most popular and easiest way to reach out to a broader customer base with limited increase in cost. There are companies who can consult what they believe is right for your herd size and customer base, and with their help, you can choose which marketing mix fits your operation. The best part about the video marketing tool is that it can grow or scale down with your herd size, and if designed correctly, it can increase your customer base and possibly grow your business. Many of the large registered operations have already moved to utilizing this tool, and it is only a matter of time before small operations all begin to follow suit. It is better to jump on the bandwagon while it is a trend and before it becomes a "must" for cattlemen to market their cattle.
For more information on this article see Cattle in Motion
This Article was first printed in Fall 2008 RanchWorldAds Magazine Article by Blaine Fisher