This week we read a LinkedIn post from Dan Schultz that resonated with us.
From the post:
If we actually want to improve farms and rural communities, we must find ways to help farmers differentiate their products and break free from a system that’s keeping them on the brink.
#agtech should empower farmers to capture unique value rather than maintain the status quo.
We absolutely agree. Successful AgTech returns a net benefit to the farm family, and advances the welfare of rural communities, rather than simply trimming cost or growing output.
Starting with emergence of effective herbicides in the 1970s, AgTech has delivered significant comfort and convenience to farming and ranching. However the cumulative effects of AgTech have left most of them less wealthy. Innovations increase production, but margins do not grow because markets take any gains away through lower prices.
And the strategy most AgTech offers to resolve this? Innovations that produce more product.
Farmers and ranchers recognize this is not sustainable and are ready to explore alternatives. But many of the solutions offered disrupt current practice, are expensive to implement, add to administrative burden, and require all the cost and effort up front while financial returns are deferred to some future date. Roadblocks are raised that constrain new approaches, rather than paths cleared.
Ranchers need AgText like Flokk that:
Again, from the post:
What most people miss in the discussion around #agtech is that it’s not just another tool in the farmer’s tool belt or a better way for the incumbents to “digitize agriculture.” It’s a reshaping of the entire industry.
Farms and farming communities are transitioning from mere production units to vital nodes in an expansive network. It’s a chance for each to lean into their strengths, offering the unique value they’re primed to produce.
We agree. Successful AgTech companies make it easy for ranchers to participate in sophisticated production networks like CRSB that increase product value for every rancher. “Connecting the Herd” is key to increasing value through participation in animal performance, traceability, practice certification, and sustainability programs.
Flokk will be the preferred partner to ranchers as they engage, and sustain, the complex, data driven, relationships they require going forward. Schultz’s post confirms our vision, and proves it valid in both the US and Canada.
It is not just AgTech companies overlooking where opportunity lies. Most advisors and analysts believe the only way for a farm to increase profit is deliver more product or reduce cost. They cannot conceive a farmer or rancher being able to add value to their product.
Fine by us. Unicorns do not emerge from minor improvements to obsolete models. They arise from using technology to extract value that was overlooked by everyone else.
This is all beautiful theory. Flokk puts it into practice.
The opportunities to add value are endless. Regenerative agriculture, corporate ESG mandates, Tier 3 reporting, space and water constraints, carbon pricing, local food, social license, carbon offsets, ultra processed food, rural development. AgTech that advances any one of these from talking point to cash in producers pockets will succeed. Address all of them, and you will dominate.
Securing your customers trust is primary to making money from brokering their relationships. Trust comes with engagement. Engagement only comes through empathy. Flokk is uniquely capable of securing our customers trust; the entire Flokk team has hands on experience ranching.
Gaining the trust of your prospects is not sufficient. You also require the trust of the partners your customers will engage. Flokk seeks out builds relationships with organizations working to add value to our customers product. Flokk was the only company trusted to support the GOC traceability regulation consultation, and is the only sustainability reporting solution provider holding membership in CRSB.
Network effects are crucial to this strategy. A strategy focused on acquiring the next thousand customers will not succeed. Thirty to 40 percent of all producers need to be on your platform to gain the attention and cooperation of network peers. This requires a ruthless focus on simple and affordable implementation, and compelling prospect engagement, to secure broad adoption of your platform.
Flokk does not advertise we advance rural communities. We act.
We would be pleased to answer your questions about about our current 1.2M financing round that will manufacture our seed hardware inventory and launch our marketing plan.