By Dick Hagen
The Land Staff Writer
— Fielder’s Choice is staying in the ballgame by taking a sales and marketing approach that differs from most seed companies.
Fielder’s Choice, a seed marketing firm out of Monticello, Ind., has “defied marketing logic” for over 20 years by selling direct to farmers via telephone, said Randy Hagen, business development manager of the Fielder’s Choice Dassel headquarters. The firm now markets nationwide through 40 full-time, specially trained seed advisers on the phone at their two call centers in Indiana and Minnesota.
“We don’t have district sales managers or dealers. Myself and two other guys are the only road show,” said Hagen. “We do plot day events and customer luncheon meetings like today where we go over crop season results, talk what’s new, and make suggestions on how to maximize both yields and profitability for the next season.” (Editor’s note: This exclusive interview with The Land took place at a Dec. 14 luncheon meeting at Jackpot Junction. Hagen is not related to the writer of this story.)
The management strategy of this firm precludes the overhead expenses of maintaining a salaried field sales staff. In addition, you seldom, if ever, see or hear Fielder’s Choice advertising in farm magazines, on billboards, via television or farm radio. Instead they rely heavily on product performance plus direct-mail campaigns and the F.I.R.S.T. yield verification plot data. This significant savings in overhead expenses means products are priced moderately.
Not surprisingly, marketing muscle of the internet keeps growing, too. “We’re sending more and more information via e-mail requests and also posting information on selected products on our website,” said Hagen. “Plus we’ve designed a webX program featuring various specialists talking on issues relating to modern agriculture. We’ll have several hundred farmers signing on to get in on these webinar events.
“We’re now owned by Monsanto so our next generation genetics are sourced through their world class research. And it just seems that more and more farmers enjoy our direct-to-the-farm way of doing business.”
Perhaps the best example of their continually expanding product lineup is that for 2010 they are offering 19 new corn products and 17 new soybean products, plus the latest new technologies such as Genuity Roundup Ready 2 Yield and Acceleron Seed Treatment System.
It may be too early to definitively settle rumors that because of the late, wet harvest on many soybean seed fields throughout the Midwest, quality seed, especially in the 2.0 relative maturities and earlier, could be a question.
“Because of the season, seed companies will be scrutinizing quality intensely as they start bagging this year’s seed crop. Based on what’s at stake, the seed that’s put out there will be good quality seed,” Hagen said.
However, he advises farmers to order early and take delivery early because he thinks there could be some quality issues showing up later this winter.
Phoning it in
Selling seed over the phone has worked amazingly well for Fielder’s Choice. Hagen said it boils down to being a good listener and not being too “pushy” in their telephone visits with farmers.
“We try to come across as wanting to help each producer as much as we can. And with growing concern about profitability and not just yield, our story and our pricing seems to deliver,” said Hagen, who did marketing work with four different seed firms before hitching up with Fielder’s Choice eight years ago.
So what are the mechanics of telephone buying of seed? Fielder’s Choice seed advisers make calls, and take calls, anytime between 7 a.m. and 10 p.m. Monday through Thursday, and 7 to 7 on Fridays, plus 8 a.m. to 1 p.m. on Saturdays. After the information gathering process, field-by-field for each farmer, the adviser develops a Seed Portfolio recommendation.
Once OK’d, including pricing, the buyer has the choice of direct delivery to his/her farm (on 50-bag or larger orders), or pickup at the most convenient regional distribution center. If a particular situation requires on-the-farm support, Fielder’s Choice will send a knowledgeable agronomist directly to your farm.
“We aren’t automatically the lower-priced seed company though that is the general reputation. As most farmers know, lots of crazy things happen in this business including free seed by some outfits when it’s crunch time. You’ve got to look at profitability and profitability is more than just yield, more than just price.
“It boils down to does your product work best on my farm, my fields, my management style. And is it affordable based on my management style,” Hagen said.
Because of the difficult 2009 harvest season many farmers are talking slightly earlier hybrids for 2010.
But usually most farmers get back to reality and stay right where they are on maturities, generally using two to three different maturities to spread out the harvest season. He noted, however, that lots of 85- to 90-day hybrids today have the genetic ability to go over 200 bushels.
Performance history
Fielder’s Choice’s marketing story is heavy on consistency of performance. Hagen said, “today’s discriminating farmer wants to make certain ‘everything’ is in the seed not just winning a yield plot. We’re talking special traits to protect against certain insects and diseases. Also the agronomics to work on each farmer’s soils. The point being our seed advisers ask enough questions so they can give advice based on each farmer’s individual needs.”
Sharing some exciting yield data is always part of the seed business. Like Hagen telling of a Wisconsin irrigated plot which produced a 302 bushel yield for Fielder’s Choice NG6546 and 312 bushels with NG6646. And a plot at St. James where FC hybrid 6583 did 296 bushels per acre.
“We in the seed industry keep talking 300 bushel industry averages by 2030,” he said. “The fact that a few 300 bushel yields were triggered this year tells us we’re on the way.”
In view of exploding performance, should farmers try a few rounds of 38,000 to 40,000 plants per acre of a selected hybrid on their best field just to “test” the genetics against their management? Hagen reminds that seed companies have information on how their products work based on population and how they are best positioned. Profitability also plays into the question and with escalating seed costs break-even data on higher populations need to be considered.
“Make certain you have good enough information about the product and your own fields to feel you can handle a 38,000 planting rate on a trial basis. As time goes on we’ll be pushing more population, more traits, more everything so we know farmers will crank up to these new challenges because that’s just the nature of the American farmer,” he said.
