Montana MarketManagerMontana MarketManager®® ProgramProgram

A Commodity Group’s Approach to Risk A Commodity Group’s Approach to Risk Management EducationManagement Education

Richard OwenRichard OwenMontana Grain Growers AssociationMontana Grain Growers Associationwww.montanamarketmanager.orgwww.montanamarketmanager.org

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Montana MarketManagerMontana MarketManager®® ProgramProgram

Developed in late 1998 to improve producers grain marketing skills.

MISSION: To provide Montana grain and livestock producers with the tools and information necessary to maximize profits from the marketplace.

Integrates Workshops/Seminars, Marketing Clubs and an online Market Information System (website)

Through partnership with Montana Stockgrowers Association, now includes livestock information in all three program components

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Montana MarketManagerMontana MarketManager®® ProgramProgram

We are in the education and information business – not the advisory business

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Why Montana Why Montana MarketManager?MarketManager?

Because our members told us this was what they wanted MGGA to do!

Because it makes $ense!– On the grain side, every one cent increase

that Montana producers receive for their grain equals $1.6 million to the states economy.

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MarketManager Goal MarketManager Goal

How will we know when we are successful?

When Montana producers consistently market their product in the upper ½ of the market

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Program Evaluation and Program Evaluation and AssessmentAssessment

Benchmark and measure educational progress of participants

Benchmark and measure increased income from participation in the program

Surveys to evaluate producers preference for different distance learning modes

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Advisory CommitteeAdvisory Committee

Provides overall guidance and direction for the program

Includes producers, grain and livestock industry reps, ag lenders, extension, adult and distance education, agribusiness

Meets on a regular basis in Great Falls and by conference call, e-mail

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Major Partners Public/Private Partners:Major Partners Public/Private Partners: MT Dept. of Ag. – (Growth Through Ag) Texas Ag Extension Service (MasterMarketer) Montana Stockgrowers Association Burlington Northern Santa Fe Cenex Harvest States Montana State University General Mills – Northwest Grain Division USDA – Risk Management Agency USDA - Rural Development Agency Burns Telecommunications Center, MSU Northwest Farm Credit Services Bonneville Power Administration Qwest Communications

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Program ElementsProgram Elements

Two full-time staff members dedicated to Montana MarketManager – Program Coordinator – Website Manager

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Additional Partner – LivestockAdditional Partner – Livestock Similar customer base to the Montana Stockgrowers

Association (MSGA). Joint convention in 2000. Discussions started summer of 1999. Finalized spring of

2000. Livestock information now incorporated into all three

components of the program. Contract pays for half of MarketManager Coordinator

position. Portions of other staff and administrative expenses.

Most importantly – shows both membership bases that we can work together.

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Program ElementsProgram Elements

Marketing Clubs

Marketing Workshops

MarketManager Online (Website)

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Marketing ClubsMarketing Clubs Clubs provide a peer support group for learning about and

practicing marketing decisions.

Over 40 clubs in place around MT – and growing

MarketManager provides a network among clubs and leaders.

Offers material, speakers, hands-on support. Communicate with staff and each other through e-mail listserv, discussion board, interactive TV and conference calls

Many clubs cover both livestock and grain markets

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Marketing WorkshopsMarketing Workshops Started out just grain – now includes livestock Available to multiple Montana locations through

interactive video delivery Fall and winter 1999/2000- nine grain workshops –

1039 attendees. Total of 114 workshops in 22 locations Speakers host an online discussion forum Five grain and livestock workshops held in the fall of

2000

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Marketing WorkshopsMarketing Workshops MasterMarketer Program developed by Texas A&M –

Montana and Minnesota added in 2001 Over 60 hours of top notch instruction on all aspects of

marketing Rotated around different Montana locations 2003 Dates:

– Part 1: January 27-29– Part 2: Feb. 11-12– Part 3: Feb. 25-26

Advanced Topic Series (ATS) added in 2002

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Montana MarketManager OnlineMontana MarketManager Online®® (www.montanamarketmanager.org)(www.montanamarketmanager.org)

Hub of the overall program Debuted in March 1999. Expanded to included

livestock market information in June 2000 Provides Montana-specific market news, pricing

information, market commentary, weather, educational information

Full time Website Manager Website free to all members – started out

subscription based

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Commodity ChallengeCommodity Challenge

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Online Marketing Simulation Gamewww.commoditychallenge.com

• Realistic way to practice your marketing skills – and not lose money

• Open to all producer• Most fun when played as a marketing

club• Concurrent session on CC yesterday

afternoon

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Why So Much Emphasis on The Why So Much Emphasis on The Internet?Internet?

Over 45% of MT producers on the Internet – and growing rapidly

Reduced costs to the association

Much quicker and more timely information delivery

Time and $ savings for members (less travel)

Improved interaction between members (discussion boards, listservs)

Embracing New Technology in Other Embracing New Technology in Other AreasAreas

Interactive video delivery of workshopsVideo streaming workshops and meetings to

producers home computer

Telephone conferencing of speakers to marketing club meetings

Audio and video taping of workshops

Extensive Internet training at conventions

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Lessons LearnedLessons Learned Producers are more accepting of new distance

technology then we realize. Producers are often more flexible than the technology

Anything to lessen mileage is appreciated by users Rural Internet connection speed is relatively fast, but

still in desperate need of more bandwidth Traditional education providers, such as extension

and associations, are at risk from for-profit startups targeting the same audiences

Constantly scan for non-traditional partners

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Richard Owen

Executive Vice PresidentMontana Grain Growers Association

rtowen@mgga.org Phone: (406) 761-4596

www.montanamarketmanager.org

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