We’ll See What Happens  

What’s Happened…

Marketing is easy with good information. Or is it? Is there really ever enough good information to make what we will term a “highly confident decision?” Fundamental and technical factors in markets are constantly changing. 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. Typically, to avoid a decision, the wording may be something along the lines of “we’ll see what happens,” meaning they are kicking the can down the road, hoping the decision process will be easier in the future. The comfortable thing may be to do nothing. Sometimes there are wins with this approach. Often, perhaps sadly, there are not.

Why this is Important…

Some feel they need “enough” information before they can act. However, by the time they have enough information to decide, the market may have already moved. If you struggle making marketing decisions, then consider a strategic approach. Strategic marketing can help to 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 the right tool for the right time. 

What can you do about it?

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, then work with someone who is a professional. When you do make marketing decisions, write out the reason, expectations, and potential liabilities. Waiting to see what happens may have its place, yet from a long–term perspective, is not likely the best approach that separates good marketers from great marketers.  

Find out what works for you…

Work with a professional to find the strategy or strategies that are 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 and less emotionally–charged responses to market moves, which are always dynamic. 

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. 

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 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. 

Author

Bryan Doherty