home → articles → Columnists | Email to a Friend

Just Your Standard Bull

published: April 30th 2010
by: Michael Sturgess

While there have been past spring seasons where I have worked more sales, I’m quite certain that this spring remains one of the busiest I have had in some time. However, much of my time has been focused on some of the new services we now offer. One such service is the addition of providing DVAuction services to our area.
    And much of this time has been spent working with Texas auction markets and getting many of them set up with internet auction service. Before we began our efforts in late February, there were three auctions in Texas that were using the DVAuction service. There are now nine auctions broadcasting, with quite a few more to be coming online in the coming months. Our goal all along has been to create a larger network of auctions in Texas. We do this for several reasons. First of all, it is important to note that prior to our efforts, there were approximately 40 auction markets basically from Oklahoma and North already subscribing to DVAuction services. Our goal is to have 50% or 20 auction markets in Texas alone.
    What does this mean to you as a commercial producer? One of our underlying philosophies behind our efforts is that our world is a better place with strong, local auction markets. When you think about it, your auctions not only assist you with marketing, but they invest back to your local communities and economies. Giving them the tools to make them more competitive in this ever-changing industry just makes good sense. And with internet-based marketing added to their arsenal,  customers can see their cattle sell, keep in touch with current market conditions and have new marketing opportunities available to them. Auction markets can add new services like live internet bidding to pre-approved buyers at special feeder calf and replacement female sales. Or how about going with live bidding for a few special pre-recorded video consignments to the regular sale? In the very near future, you will be seeing local auction markets offering load lots of country cattle during both special and regular sales, instead of being sold through larger national video companies. To me, it makes more sense to support local companies who invest back into their local economies, rather than seeing those monies leave your area.
    What does this mean to the seedstock producer? First of all, a large network of auction markets brings a very large pool of potential bull and replacement female buyers to the table. Breeders that are having production sales of both bulls and females and are considering internet auction services should think about the audience this represents. DVAuction had over 91,000 registered viewers back in January—over 93,000 today and growing. Imagine what it will be with a large network of Texas markets!
    Secondly, a seedstock producer qualifies for discounted rates when he conducts his production sale at a DV auction market. A greater captive audience and discounted rates are two very attractive reasons to consider using our auction market customers.
    Thirdly, we are seeing very definite changes in buying habits with the advent of newer technologies. Most of the production sales broadcasted over the internet in our market area use pre-recorded video of the cattle. A few years ago, if a person could not attend a sale, he would call the sale manager, consultant or sale staff to visually appraise what could not be verified through just a pedigree or still photography in a sale catalog. With the advent of cell phones, many would still insist on having someone taking their bids over the phone during the auction. Now, with today’s technology, a buyer can view videos prior to the sale. He can appraise them for their phenotype, soundness and how the animal travels. He can then pre-register for the event and bid in his own home or office. Or if he cannot be available during the auction, he can leave proxy bids on any lot or lots he wishes. In other words, the service becomes part of the sale staff as well. Instead of leaving your bid with a person, you leave it with a private and secure system that only uses what is necessary to buy the lot.
    The use of internet auction services is definitely on the rise. Since last fall, I would guess that the sales I have attended where the service was used, I saw anywhere from 10-30% of the cattle sold going to buyers on the internet. Some of this can be attributed to changes in the economy, higher fuel prices and reduced travel habits. Convenience should not be overlooked here either. We live in a time where multi-tasking is a prerequisite for survival. These services allow someone to basically be at two places in one time.
    Of course, nothing can take the place of the excitement and adrenaline generated at a well conducted auction. And I still believe that most people prefer going to a sale, seeing the cattle live and enjoy the interaction with other producers. This has always been a great way to network with others and meet new people. Nowadays, people network over the internet, even find companionship over the internet. Who knows, we may some day see a service out there where you fill out a profile for you and your ranch and a computer matches you with buyers for your cattle. Not only will they like your cattle, but will like you as well!
SLS