Seedstock producers

"I believe that there are a lot of good cattle out there today, but few people can prove it. I have always believed in records, because you can prove what you have," says Mike Kasten, 2004 CAB Commercial Commitment to Excellence Award winner.

Bull customers expect more every year, especially marketing opportunities for their calves. They don’t give away their loyalty; they can’t afford to. Service after the sale stands out as a way to build repeat business and demand for your program.

For Angus seedstock producers, Certified Angus Beef LLC (CAB) stands out as a unique opportunity. That’s because of its Feedlot Licensing Program (FLP) and efforts to channel the nation’s best Angus calves into those 80 or more licensed feedlots in 16 states.

“Since beginning in 1978, CAB has invited all registered Angus producers to supply the one branded beef program that is a wholly-owned subsidiary of the American Angus Association,” says CAB President Jim Riemann. “There has never been a fee to pay or a focus on an exclusive group of breeders.”

Instead, CAB has let the forces of supply and demand work to pay producers, he notes. “The growing pot of $50 million paid to producers in CAB premiums annually has had a continuous, positive effect on Angus cattle prices from seedstock through every phase of the cattle production system,” Riemann says.

CAB 2004 Seedstock Commitment to Excellence Award winner Henry Gardiner, Ashland, Kan., understands the value of branding.

Market pressure has caused many producers to evaluate how they can get more profit out of their herds. They have found the answers to higher profits in seedstock producers who offer high-quality, Angus genetics.

“Cow-calf producers who are serious about carving a profitable future are demanding greater service from seedstock suppliers,” says Larry Corah, CAB vice president. “The highest level of service will win their loyalty and steady to higher bids, particularly if it creates new marketing opportunities.”

By building a network connecting bull-buying clientele to licensed feedlots, seedstock producers can organize partial retained-ownership opportunities on a pen with similar Angus genetics. For other customers, the answers may be organized feeder-calf sales or fax and Internet listings through the CAB and Association networks.

Networking opportunities for all Angus producers have increased dramatically over the past six years as the FLP began to take shape. CAB can be a valuable tool in providing that connection. Through CAB and its licensed feedlots, seedstock producers have the power to help bull customers while learning more about their Angus genetics.