There’s A Better Marketing Approach Than “Wait and See”

What Happened

Marketing is easy with good information. Or is it? Is there ever enough good information to make a “highly confident decision?” 

Fundamental and technical factors in markets change constantly. Marketing decisions are forward-looking, meaning that what you decide today will have consequences, good or bad, in the future. Even with what you might feel is great information at the time, the results of a decision based on that information can be emotionally paralyzing. The bottom line is that farmers (who are only human and subject to emotion) may tend to shy away from the decision-making process. Selling too soon, or not selling enough, is a constant battle. To avoid a decision, a farmer may kick the can down the road, waiting to see what happens and hoping the decision-making process will be easier in the future. The comfortable thing may be doing nothing. Sometimes there are wins with this approach. Often, there are not.

Why This Is Important

Some feel they need “enough” information before acting. However, by the time they have enough information to decide, the market may have already moved. If you struggle to make marketing decisions, consider a strategic approach. Strategic marketing can help manage, or potentially eliminate, the emotion of marketing decisions. Consider using strategy and marketing tools beyond forward or spot selling. Know the tools in your marketing toolbox and when to use them. 

What Can You Do?

Learn about marketing options available to you. Connect with the right people to help you achieve your goals. If marketing is not your strong suit, work with a professional. When you make marketing decisions, write out the reason, expectations, and potential liabilities. While it may have its place, waiting to see what happens is not the best approach from a long-term perspective.

Find What Works for You

Work with a professional to find the strategy or strategies best suited for your operation. Communication is important. Ask critical questions and garner a full comprehension of consequences and potential rewards before executing. The idea is to make good decisions for the operation rather than emotionally charged responses to market moves, which are always dynamic. 

Editor’s Note: If you have any questions on this Perspective, feel free to contact Bryan Doherty at Total Farm Marketing: (800) 334-9779.

Disclaimer: The data contained herein is believed to be drawn from reliable sources but cannot be guaranteed. Individuals acting on this information are responsible for their own actions. Commodity trading may not be suitable for all recipients of this report. Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Examples of seasonal price moves or extreme market conditions are not meant to imply that such moves or conditions are common occurrences or likely to occur. Futures prices have already factored in the seasonal aspects of supply and demand. No representation is being made that scenario planning, strategy, or discipline will guarantee success or profits. Any decisions you may make to buy, sell, or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to Total Farm Marketing. Total Farm Marketing and TFM refer to Stewart-Peterson Group Inc., Stewart-Peterson Inc., and SP Risk Services LLC. Stewart-Peterson Group Inc. is registered with the Commodity Futures Trading Commission (CFTC) as an introducing broker and is a member of the National Futures Association. SP Risk Services, LLC is an insurance agency and an equal opportunity provider. Stewart-Peterson Inc. is a publishing company. A customer may have relationships with all three companies. SP Risk Services LLC and Stewart-Peterson Inc. are wholly owned by Stewart-Peterson Group Inc. unless otherwise noted, services referenced are services of Stewart-Peterson Group Inc. Presented for solicitation.

About the Author: With the wisdom of 30 years at Total Farm Marketing and a following across the Grain Belt, Bryan Doherty is deeply passionate about his clients, their success, and long-term, fruitful relationships. As a senior market advisor and vice president of brokerage solutions, Doherty lives and breathes farm marketing. He has an in-depth understanding of the tools and markets, listens, and communicates with intent and clarity to ensure clients are comfortable with the decisions.