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What's up for herbicide retailers? Jan 1, 2001 12:00 PM Barb Baylor Anderson Manufacturers outline 2001 programs. Look for more seed, herbicide and trait packages. John Hester, Nichols Agriservice, likely echoes the sentiments of many retailers as he ponders the 2001 herbicide sales and application season. "We want good products at a fair price backed with strong company support," the Nichols, IA, retailer says. "I'd like to see sales reps spending more time with dealers and applicators." Crop protection companies are apparently listening and responding with new services, enhanced herbicide programs and improved product storage and delivery options for 2001. Aventis Crop Science. "Aventis will maintain its retail-focused programs for all corn products," says Kin Sweet, Liberty herbicide manager. "Programs will be based on market share growth and building customer loyalty." Specifically, Sweet says Balance Pro and Liberty are bundled in the Aventis Smart program this year. Aventis also expects to have a new preemergence grass herbicide available, which will be included in the Smart program. Growers who apply Aventis-approved rates of Balance and/or the grass herbicide followed by Liberty are guaranteed that if control is not satisfactory, a free second supply of Liberty and a stipend for custom application will be offered. Aventis will provide dealers and custom applicators the same bulk and minibulk programs as last year and has added a new 120-gal. minibulk container for Liberty at the request of dealers and applicators. Aventis will also be a full participant in the Harvest Partners program. Balance Pro is new to the Aventis lineup this year, says Rob Schrick, Balance herbicide manager. Balance Pro is a liquid formulation of Balance herbicide designed to reduce mix and load time and create a uniform solution in the spray tank to eliminate dispersion-related "hot spots" and consequently Aventis customer concerns. "High-volume retail locations will also have the option of using the Balance Pro bulk integration (BI) system, which is a weighing-measuring system that integrates Balance Pro into automated mixing-loading systems," says Schrick. "We think dealers will be able to maximize profits with the flexibility of Balance Pro because it can be used in virtually any preemerge corn herbicide program." BASF. On the heels of acquiring American Cyanamid, BASF plans a fresh approach to the herbicide marketplace when it comes to setting program payment expectations with retailers, says Rick Patton, BASF marketing manager for customer strategy. "We will be very transparent in our offer with a clear reward based on commitment dates and growth," he explains. "When retailers increase support and sales of our product line, they will know exactly what the earnings will be. If they also commit to the BASF portfolio by program deadlines, they will know exactly what the rewards will be, with no `black boxes,' no tiered volume levels, that tend to get abused." Patton anticipates that the BASF product portfolio, coupled with grower recommendations, will enhance retailer profit potential. "Our sales force will recommend a two-shot weed control program in 95 percent or more of situations, providing retailers multiple-service income trips," he says. "In addition, our soybean postemergence products - Raptor, Pursuit and Extreme - all require additives, which provides retailers additional income." The BASF retailer program includes a bulk program launched last August with transparent rewards for growth of BASF bulk brands and a bonus for early commitment and shipment. "We communicated to retailers they did not need to wait for a `core' program and to judge our bulk program on its merits," says Patton. "Retailers have the opportunity to make decisions regarding support and corresponding volumes of BASF bulk herbicides much sooner than in the past. The bottom line is a more efficient inventory and working capital management tool." BASF also launched a stand-alone package program with the same characteristics as its bulk program. To assist retailers in promoting weed control programs this year, BASF will offer growers several Performance Partners rebate offers for certain product bundles paid through the Harvest Partners preferred customer program. BASF also introduces Performance Guard, which allows growers to lock in corn and soybean herbicide costs and use the most agronomically sound BASF programs recommended. "During the past year, we listened to a lot of retailers talk about their business and, in particular, the struggles they were experiencing with increasing grower demands," says Patton. "Performance Guard will assist retailers by clearly outlining expectations for growers and increasing grower satisfaction due to improved weed control. If economic weed control is not attained, growers receive a respray of BASF products paid for by BASF." Bayer. Dealers can expect to see more Internet involvement in service and sales from Bayer Corporation. "BayerValue.com is our major initiative for 2001 to help retailers remain profitable in an increasingly complex and competitive crop protection marketplace," says Scott Welge, corn marketing manager. He describes the site as a business-to-business e-commerce platform that marries traditional distribution channels and the local retailer's service and knowledge with the speed and efficiency of the Internet to order, track and ship products. "Retailers will have greater real-time access to inventory, sales, financial data and other business management tools." BayerValue.com is not the only change. Dry flowable Domain herbicide and also Axiom and Epic herbicides are included as part of Bayer's Accu-Bulk DF delivery system for 2001. Welge says the Accu-Bulk system is designed to allow retailers to more conveniently transport, handle and mix larger quantities, as it fits into existing automated liquid-mixing systems. Retailers and custom applicators can also connect multiple Accu-Bulk units containing different Bayer herbicides. "Stacking, greater accuracy and mobility, outside storage and reduced liability over liquid bulk systems are all merits of the Accu-Bulk system that can help retailers be more efficient," says Welge. Monsanto. Monsanto will use a portfolio approach to help their full-service retailers maximize profitability this year. "In the past, retailers have been primarily involved with selling fertilizers and pesticides. Our integrated solutions package includes seed, herbicide and traits," says Jim Zimmer, director of U.S. technology for Monsanto. "Our goal is to provide retailers with solutions that enhance profitability while increasing their customers' productivity and profitability." For Roundup brands this year, Monsanto will include a suggested dealer price on package offerings through distributors. Monsanto will continue its bulk systems bonus, whereby the company offers 15- and 30-gal. returnable containers so bulk product can be repackaged into smaller containers to provide retailers the opportunity to sell bulk product at a package price. Monsanto will also continue the Alliance Plus annual retailer program, which gives retailers access to comprehensive information, employee training and business development credits. "Alliance Plus is a reward for continued support of the Monsanto portfolio and an investment in their business development," says Zimmer. "We provide the products and tools to compete successfully in a generic environment." Dealers can expect service and product announcements from others soon. We'll report on new programs from Syngenta, the company resulting from the Novartis-Zeneca merger, in our next issue. "I hope to see new companies focus on the people side," sums up Iowa retailer Hester. "We are not far from the day when we can line up all of the corn herbicides, take every other one away, and weed control itself would not be affected. But representatives who back those products locally need to have both product and business knowledge to help retailers earn a profit in this lean farm economy." |
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